Doesn\u2019t leave a good first impression, does it? <\/p>\n\n\n\n
As extreme as this example is, it showcases the importance of managers being aware of the resources at hand and how to distribute them among their teams.<\/p>\n\n\n\n
So let\u2019s talk about exactly this \u2014 what resource allocation is and how you can utilize it for the benefit of your project.<\/p>\n\n\n
![\"A](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/A-guide-to-resource-allocation-cover.png\")
<\/figure>\n<\/div>\n\n\nWhat is resource allocation? <\/h2>\n\n\n\n
Resource allocation is the process of defining all finite project resources<\/a> and distributing them as efficiently as possible.<\/p>\n\n\n\n You read that right \u2014 \u201cfinite\u201d, as in almost every resource in your project is limited. <\/p>\n\n\n\n There\u2019s a certain timeframe or a certain number of people in your project team<\/a>. As a project manager, you need to have a detailed understanding of every resource available before allocating any of them. Otherwise, you risk running your budget into the ground.<\/p>\n\n\n\n Now, proper distribution of resources involves matching the right resource to the right task. So, if your task prioritization<\/a> skills are not up to par, your resource utilization will be lacking \u2014 and that\u2019ll sink both your productivity and quality of output. <\/p>\n\n\n\n This is why, especially in larger teams, projects will have a resource manager as a dedicated role.<\/p>\n\n\n\n And yet \u2014 that\u2019s not where the story ends. As the project unfolds, resource management doesn\u2019t stop. If a change is made to the project, resources will have to be redistributed \u2014 otherwise, some might be rendered useless.<\/p>\n\n\n\n Resource allocation comprises 3 main elements \u2014 or rather, resource categories \u2014 that you must consider:<\/p>\n\n\n\n \ud83d\udca1 PLAKY PRO TIP<\/strong><\/p>\n\n\n\n When teams or individuals don\u2019t share resources, it means they\u2019re working in silos. Find out why working in silos is bad and how you could avoid it:<\/p>\n\n\n\n Knowing how to manage your resources can bring many benefits to your project, some of which include:<\/p>\n\n\n\n \ud83d\udca1 PLAKY PRO TIP<\/strong><\/p>\n\n\n\n Wondering how you could improve resource management? Learn about capacity planning in the guide below:<\/p>\n\n\n\n Resource allocation can be approached in many different ways, but we\u2019ve picked 4 methods we deemed best.<\/p>\n\n\n\n While it focuses more on time management than anything else, the critical path method<\/a> is great for deciding task priorities. <\/p>\n\n\n\n It involves finding task dependencies<\/a> within your project and identifying the longest line of dependent tasks. <\/p>\n\n\n\n Every task outside of the line can be delayed without much issue. But, tasks that are on the critical path are more important \u2014 so give priority to those activities when allocating resources.<\/p>\n\n\n Even though it\u2019s similar to CPM, Critical Chain Project Management<\/a> gives more consideration to other resources. It takes into account not only task dependencies but resource dependencies as well. <\/p>\n\n\n\n The main idea behind CCPM is to ensure that there are extra resources on the side, i.e., buffers. The buffers serve to keep the project timeline and schedule safe from delays.<\/p>\n\n\n Resource leveling focuses on changing the project timeline<\/a> to account for resource availability. In other words, if a resource isn\u2019t available for a task at the desired time, you can just reschedule the task. <\/p>\n\n\n\n Even though this solution sounds simple enough, its use is limited, as overdoing it will delay the project too much. So, resource leveling works much better in more flexible projects.<\/p>\n\n\n\n Resource smoothing is the opposite of leveling \u2014 so its goal isn\u2019t to change the timeline. Instead, in smoothing, you will add additional resources as needed to avoid rescheduling. <\/p>\n\n\n\n Still, try not to go overboard with smoothing. Do it too much, and you\u2019ll eat through your resources in no time.<\/p>\n\n\n\n Resource allocation is a complicated endeavor with many moving parts. So, we\u2019ve rounded up the most important steps to help you avoid wasting even a single clipboard.<\/p>\n\n\n\n The first step is to figure out the project scope<\/a>. How do you cover all the work? What\u2019s the size of your budget and your workforce? These factors will ultimately let you know which material resources you need \u2014 so that you don\u2019t waste finances on more.<\/p>\n\n\n\n The project scope is also important for time management<\/a>. If you have a long time to finish a project, you have more leeway to reallocate resources when needed.<\/p>\n\n\n\n Your work doesn\u2019t end here, though. <\/p>\n\n\n\n Unfortunately for you, the scope is subject to change during the course of the project. So, you need to keep track of any scope changes and reallocate your resources as necessary. <\/p>\n\n\n\n The ways in which your tasks relate to each other will always have an effect on how you use your resources.<\/p>\n\n\n\n Take scheduling, for example. If 2 tasks are dependent, you can\u2019t do them simultaneously \u2014 you must schedule one after the other. So, your utility of human or time resources is pretty limited in this case. <\/p>\n\n\n\n On the other hand, dependent tasks can be beneficial for material resources since that means they\u2019re not needed at the same time.<\/p>\n\n\n\n To make tracking task relationships easier, you\u2019ll want to use a digital tool, like project management software \u2014 and preferably one that comes with a Gantt view<\/a>.<\/p>\n\n\n\n Since Gantt charts display the project timeline, they make it a breeze to spot task relations and avoid parallel tasks \u2014 something we\u2019ll talk about more later on.<\/p>\n\n\n Try Plaky by CAKE.com today<\/a><\/p>\n\n\n\n Apart from task dependencies, you also need to mind resource dependencies \u2014 which show how your tasks are dependent on certain resources. <\/p>\n\n\n\n For example, you can\u2019t start construction without the proper tools if you\u2019re aiming for quality. Similarly, you can\u2019t bake a pie without flour if you actually want it to be edible.<\/p>\n\n\n\n That said, you want your resource dependencies to be as few as possible \u2014 so that in the event of a resource shortage, your whole project doesn\u2019t come to an abrupt halt.<\/p>\n\n\n\n What resources are available? How important are they for certain tasks? Are they replaceable? All of these questions help determine resource dependencies.<\/p>\n\n\n\n But, to avoid ending up with dozens of grocery lists of resources different tasks need \u2014 you can once again rely on various tools.<\/p>\n\n\n In some cases, you could use a spreadsheet to keep track of resources. But, if you\u2019re tracking multiple resources across multiple projects \u2014 and your goal is to minimize mistakes and be more productive \u2014 a digital tool is the (only) way to go.<\/p>\n\n\n\n With a customizable project management tool, you can keep track of all the resources needed for each task accurately and efficiently. In fact, just like you can track task relations in a Gantt chart, you can also use the same tool to:<\/p>\n\n\n\n And speaking of which, over-allocating and under-allocating pose a large risk when prioritizing tasks. <\/p>\n\n\n\n As you determine which tasks are of higher priority, you will want to pour more resources into them. However, if you go overboard, this becomes an issue.<\/p>\n\n\n\n For instance, if you have a highly skilled team member, you might feel tempted to give them more responsibilities and assign as many priority tasks to them as possible. <\/p>\n\n\n\n This can lead to burnout or an unbalanced workload compared to the rest of the team. Essentially, instead of being rewarded for being more skilled, the team member is overworked.<\/p>\n\n\n This is another case where you can use a Gantt chart to determine how well utilized your resources are with a single look.<\/p>\n\n\n\n If there are large gaps in the timeline, and no tasks require a particular resource, it\u2019s probably underutilized. And the same goes the other way around \u2014 when too many overlapping tasks need the same resource, that resource is overloaded.<\/p>\n\n\n\n What\u2019s more, always keep in mind that whenever you add resources to one part of the project with a fixed budget, you\u2019re taking them away from another part. <\/p>\n\n\n\n So, if you increase the budget for your marketing department, you have to decrease the budget for something else.<\/p>\n\n\n\n Get started with Plaky by CAKE.com<\/a><\/p>\n\n\n\n Finally, stay as far away from parallel tasks as humanly possible.<\/p>\n\n\n\n Parallel tasks are created when one large task is split into subtasks, each assigned to a different team member and completed at the same time. <\/p>\n\n\n\n But, while multitasking might be tempting, in most cases, it causes more harm than good. <\/p>\n\n\n\n With parallel tasks, you need more resources since you cannot share them between the 2 tasks. <\/p>\n\n\n\n For example, one forklift is enough to transfer one type of material at a time, but if you want to speed up the process, you might be tempted to get 2 more. <\/p>\n\n\n\n The issue is \u2014 this might cause the storage area to become overcrowded. Plus, if there\u2019s no room for 3 forklifts, they\u2019ll work slower than one!<\/p>\n\n\n\n Evidently, while creating parallel tasks is sometimes necessary, avoiding them will result in a more efficient use of your resources.<\/p>\n\n\n\n So, how does this all look in practice?<\/p>\n\n\n\n Let\u2019s say you have a publishing house, and you\u2019re planning a book launch. Here\u2019s how you can go about allocating your resources.<\/p>\n\n\n\n The first step in resource allocation is to determine your needs and goals. So, let\u2019s say your current goal is to complete the launch of 10 new books. <\/p>\n\n\n\n The next step is to take inventory of your resources. Here\u2019s how that might look for you:<\/p>\n\n\n\n Your next step is to determine which tasks are dependent.<\/p>\n\n\n\n For example, making a deal with a printer and designing the covers comes before<\/em> printing. And printing comes before<\/em> pitching a deal to bookstores.<\/p>\n\n\n\n Now, you can start the tasks that aren\u2019t dependent whenever you\u2019d like \u2014 in this case, you can start marketing as soon as you begin your project. It would be rather efficient to then assign higher-priority books to a faster designer too.<\/p>\n\n\n\n But, you also need to make sure that the one office phone you have is available to both sales representatives \u2014 which means rescheduling so that their tasks don\u2019t overlap.<\/p>\n\n\n\n So far so good, but what do you do if there\u2019s a change?<\/p>\n\n\n\n As the project will probably span a few months, remember to track progress and keep an eye on any changes \u2014 because they will definitely affect it in some way.<\/p>\n\n\n\n Let\u2019s say that halfway through the project, you get 5 more great manuscripts, and decide to increase the scope. In that case, you need to re-evaluate the resources at your disposal.<\/p>\n\n\n\n The budget would have to be increased, by the necessity of the printing costs. You\u2019d probably also require another designer to avoid putting too much pressure on the current ones.<\/p>\n\n\n\n On the other hand, you wouldn\u2019t have to get another phone because the sales team\u2019s scope wouldn\u2019t increase as much.<\/p>\n\n\n\n \ud83d\udca1 PLAKY PRO TIP<\/strong><\/p>\n\n\n\n Project design entails the proper allocation of essential project resources, such as people, budget, and materials. Find out how to build the best project design below:<\/p>\n\n\n\n Without a clear distribution of resources, you end up with terrible workloads, conflicts over limited resources, confusion, and delays. <\/p>\n\n\n\n So, if you like the idea of using resource planning but don\u2019t know how to start, just use Plaky\u2019s resource planning template. <\/p>\n\n\n\n Get our resource planning template<\/a><\/p>\n\n\n\n Whether you\u2019re just starting out with Plaky<\/a> by CAKE.com<\/a> or are in a time crunch to start your project, our resource planning template is sure to prove handy.<\/p>\n\n\n\n The template allows you to start planning resources at the click of a button \u2014 keep all resources in one place and<\/em> figure out which are needed for which task. <\/p>\n\n\n\n And since it is fully customizable, you can easily change and update it with the information that is relevant to your team. <\/p>\n\n\n But how will you track which resources you need for each task? Easy \u2014 just use the \u201cTag\u201d field.<\/p>\n\n\n\n Material resources are the biggest offender here, as they have the largest number of different types. But thanks to Plaky\u2019s versatility, you can use the \u201cTag\u201d field to categorize and track them properly \u2014 as well as use a custom field to assign them to the right team.<\/p>\n\n\n But, you\u2019re not just observing resources one by one in Plaky \u2014 you can also observe them as a whole, using the summary row<\/a>. At the bottom of every item group, the summary row acts as a visual indicator of how much a resource is used in those items.<\/p>\n\n\n\n And the best part? Even if the inevitable happens and you have to handle changes fast \u2014 you can communicate it all to your team within Plaky.<\/p>\n\n\n\n Because Plaky by CAKE.com allows for real-time communication, it\u2019s pretty easy to keep teams aligned and everyone informed in the comments section.<\/p>\n\n\n\n So, whether it\u2019s a quick update about your resource usage \u2014 or a warning that more resources are needed \u2014 you\u2019ll have no trouble achieving transparency and further fostering collaboration.<\/p>\n\n\n\nWhat are the 3 elements of resource allocation? <\/h3>\n\n\n\n
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Pros of effective resource allocation<\/h2>\n\n\n\n
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How are resources allocated? <\/h2>\n\n\n\n
Critical Path Method (CPM) <\/h3>\n\n\n\n
![\"CPM](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/CPM-diagram-example-min.png\")
Critical Chain Project Management (CCPM)<\/h3>\n\n\n\n
![\"Critical](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Critical-chain-diagram-min.png\")
Resource leveling<\/h3>\n\n\n\n
Resource smoothing<\/h3>\n\n\n\n
Step-by-step guide to successful resource allocation<\/h2>\n\n\n\n
Step #1: Identify the project scope<\/h3>\n\n\n\n
Step #2: Track task dependencies<\/h3>\n\n\n\n
![\"Generate](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Gantt-view-in-Plaky-min.png\")
Step #3: Track resource dependencies<\/h3>\n\n\n\n
![\"Use](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Spotting-resource-dependencies-in-a-gantt-chart-min.png\")
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Step #4: Avoid over-allocating<\/h3>\n\n\n\n
![\"Use](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Use-Plakys-Gantt-view-to-check-whether-youre-underutilizing-or-overutilizing-your-human-resources.png\")
Step #5: Avoid parallel tasks<\/h3>\n\n\n\n
Resource allocation example<\/h2>\n\n\n\n
Step #1: Needs and goals<\/h3>\n\n\n\n
Step #2: Inventory <\/h3>\n\n\n\n
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Step #3: Dependencies<\/h3>\n\n\n\n
Step #4: Track progress and changes<\/h3>\n\n\n\n
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Plaky by CAKE.com\u2019s resource planning template\u00a0<\/h2>\n\n\n\n
![\"Elevate](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Resource-planning-template-Plaky.png\")
![\"Use](\"https:\/\/plaky.com\/blog\/wp-content\/uploads\/2023\/11\/Resource-allocation-in-Plaky-2.png\")