Project management software

What is project management software?

Project management software is a digital tool used for planning, carrying out and monitoring work. With this software you can keep track of how much time is spent on a project and what costs have been incurred. This gives managers constant insight into the time and costs spent. This allows them to easily monitor progress and check whether the project is achieving the intended results. The software promotes easy collaboration because important information, such as updates, documents and photos, is stored in one central place accessible to everyone.

What should a project management tool offer?

An effective project management tool generally offers the following functions:

• checkSetting up a team and assigning roles and tasks. This way everyone knows what their responsibility is and what is expected of them.
• checkIn a project management system, projects can be divided into phases. For example the orientation phase, the preparation phase and the realisation phase
• checkPlanning who does what and when. You can also keep track of and follow deadlines.
• checkKeeping track of minutes, important documents and agreements made per project.
• checkInsight per project into hours, materials and costs. This lets you see in time whether the budget is being exceeded.
• checkYou can easily follow how the project groups are doing and intervene if necessary.
• checkProject management is about managing expectations. The points above help with this, allowing you to improve the quality of your business.

In addition to managing projects, many project management tools also offer the following modules:

• Quotation
• Sales
• CRM
• Quotation
• Time tracking (for projects)
• Work orders
• Invoicing
• Staff scheduling
• Inventory management
• Accounts receivable
• HRM

Think carefully about which modules you want to use. If you already use an accounting system, for example, it is advisable to connect the project management software to it. This can be done via an API. API stands for "Application Programming Interface". An API makes sure two different applications can communicate with each other and give each other access to information.

Example:

You already use a CRM system (for example: Hubspot) and one for accounting (for example: Exact Online). You can then choose Simplicate as your project management tool. This project management system has integrations with both Hubspot and Exact Online. This way you only have to enter data in one place. This saves a lot of manual ‘retyping work’. The risk of errors is also much lower.

This way you create an ideal software landscape. This is also called ‘Best of breed’. This means that for every task that has to be carried out in an organisation, the ‘best’ available software is used. ‘Best of breed’ consists of individual SaaS (Software As A Service) solutions, which are often linked to each other. This is the opposite of an ERP ‘all-in-one’ system. Also read: ERP ‘all-in-one’ versus ‘Best of Breed’. This blog explains what ‘best of breed’ and ERP ‘all-in-one’ are and what their advantages and disadvantages are. This can also help you choose a project management tool.

A project management tool on the one hand makes it easier to plan and manage your projects, the “administrative part”, so to speak. On the other hand, a project management system can provide insight. The most important insights a project management system can give are:

• Work in progress position
• Project results
• Capacity of your staff and/or resources
• Revenue per project
• Costs per project
• Productivity

Tip: Determine for your organisation which insights you want to have and check whether the project management tool can show them. You can do this, for example, by requesting a demo or trial period.

What are free project planning tools?

Free project planning tools are often limited to basic functionality and are generally suitable for smaller teams. These tools usually lack advanced features such as creating quotations, recording hours and drawing up invoices. For a detailed overview of these limitations, see the discussion of the various modules in the previous chapter.

Costs are often charged when the number of users is extended. If you need to give more employees access to the tool, you usually end up in a paid subscription. Free tools are therefore ideal for testing to determine whether they meet your needs. For more extensive functionality, upgrading to a paid version is unavoidable.

What is the best project management software?

Choosing the best project management software depends on your specific needs. For example, if you are looking for a tool for the construction sector, certain features such as inventory management will be more important than features that are better suited to consultancy work.

You also need to determine which modules you really need, as we discussed in earlier chapters. If you already have software that supports your sales processes, you may not need the same functionality in your new project management tool. With our selection guide, by answering a few questions, you can find the project management software that suits your business.