What does it take to reach the goal?
Realising the expected benefits of programmes, projects and strategic initiatives is a challenge for many organisations. Companies often invest significant resources in work that ultimately does not deliver the intended value. So how do we ensure that outcomes improve – and that investments create the business value they were intended to?
In our experience, the biggest barrier is often this: it is difficult to understand exactly what is required for each benefit to be achieved. Some benefits are concrete and easily measured – for example, replacing a machine or system that performs a task faster or improves product quality. But things become far more complex when realisation depends on changes to workflows, employee behaviour or organisational structures.
Below, we take a closer look at how to make benefits realisation clearer, easier and more structured.
The hard‑to‑define benefits
Many benefits are intangible: improved processes, reduced time spent on daily tasks or better customer service. These benefits are also the ones most likely to be forgotten or never followed up on during or after a project. This is typically because they are poorly defined – or because organisations lack methods to measure them. Clear analysis and description of all benefits (including ownership) is a fundamental element of any business case and critical to delivering real value.
The benefit owner: a pivotal role
The benefit owner:
- is responsible for identifying, describing and planning the key benefits
- sets requirements for project deliverables to ensure the benefits can be realised
Benefit ownership is what ensures results actually materialise. When benefit owners are appointed, their responsibilities and obligations must be clear. Beyond describing benefits and defining the underlying hypotheses, they are responsible for ongoing follow‑up during the project. They may need to adjust expectations or requirements along the way. And their role continues after the project ends: many benefits emerge only once everyday operations resume.
In short, the benefit owner has their hand on the hot plate: the project delivers outputs, but the benefit owner is accountable for turning those outputs into measurable value.
The role is therefore critical and must be given adequate time and resources – before, during and after the project.
Hypotheses that create insight
Benefits work often starts with high‑level descriptions and initial estimates of measurable outcomes. The next step is to examine which behavioural changes or process adjustments are needed to unlock the tangible benefits. It is vital to articulate these links clearly: what must happen for benefit X to be realised – both short‑term and long‑term?
It is rarely possible to be 100% certain about the required behavioural changes, so we establish hypotheses for each benefit. These break down complexity and make it easier to measure progress. Hypotheses can be adjusted as we learn more.
Example:
Benefit / project objective
- Implementing a new system and adjusting task order for production staff generates an annual saving of X hours, equal to X currency.
Hypotheses required to achieve the benefit
- Production staff must be able to use the new system
- Production staff must change their workflow so that action Y is completed before action Z
How to achieve and anchor the new behaviour
- On‑the‑job training (responsible: project team)
- Visual checklist in the work area (project team)
- Weekly follow‑up at team meetings to evaluate whether staff follow the new process and whether it makes sense to them (responsible: team leader and benefit owner)
- Monthly benefit tracking during the project (benefit owner)
- Monthly follow‑up after go‑live (benefit owner)
If a hypothesis proves incorrect, the project team and benefit owner must identify what is needed instead – whether new methods, new behavioural triggers or new assumptions.
A new approach to benefits realisation?
Benefits realisation is about far more than listing expected financial results. Each benefit must be described in terms of organisation, processes and systems – and how these three elements connect to make the benefit possible.
Organisation
Who is affected during and after the project?
What does it mean for working conditions and behaviour?
Is organisational change required?
How should communication support the necessary behavioural shifts?
Processes
Which processes are affected?
Do new processes need to be designed?
Are there adjacent processes that could be improved to support or amplify the benefit?
How will new processes be implemented and anchored?
Systems
How must the system landscape support the project deliverables?
Are system changes or new data flows needed to reflect and sustain new behaviours and processes?
How are systems introduced, and what information needs to reach which stakeholders?
These three elements must reinforce each other. If they pull in different directions, benefits will fail.
Ultimately, a project’s long‑term success depends on viewing goals and benefits from a broad, holistic perspective. At their core, all projects are change projects – and require leadership that understands both tangible and intangible impacts.
Benefits realisation and change in constant focus
Once benefits and their dependencies are defined, the project must maintain continuous focus throughout delivery. The project plan must include frequent measurements of progress, enabling adjustments to actions or hypotheses as needed. Benefits realisation should be as visible and important as traditional delivery milestones – and supported by a clear plan for how each benefit will be realised.
This requires everyone involved – project team members, leaders, stakeholders and, of course, the benefit owner – to keep benefits at the forefront. In practice, this means shifting mindset:
- We work on a project → We work for the business
- We deliver technology → We create benefits
- We implement → We transform
- The user is a recipient → The user is involved
- We manage time, resources and quality → We manage for benefits
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