Economic Prosperity The 6th Sustainable Project Management Principle

In this final post on our Six Sustainable Project Management principles, we’ll look closely at some organizations that exemplify Economic Prosperity in their project management and explore how they achieve it.

First, let’s set the context!

Adhering to fiscal strategies, objectives, and targets that balance the needs of stakeholders, including immediate needs and those of future generations, is the core focus.  Prosperity is also of the 5 pillars of our P5 Standard for Sustainability in Project Management, of which three key categories and a total of nine elements.

We will delve into the P5 Impacts of prosperity in future posts. (Unless you want to take our in-depth training today.) The Economic Prosperity Principle is different from a prosperity impact analysis. Let me explain how.

Prosperity, It is our responsibility.

As project managers, it is our responsibility to oversee projects that meet the needs of the present and future. This Economic Prosperity sustainable project principle is one of the most critical principles of the six.

Economic prosperity means that the project should be financially sustainable and meet the needs of stakeholders from a fiscal perspective. It is essential to strike a balance between the immediate requirements of stakeholders and those of future generations. In this article, we will discuss how to put this principle into practice and why it is essential for project managers.

Economic prosperity is essential because it ensures that the project is financially sustainable and meets the needs of all stakeholders. It allows project managers to evaluate the potential economic impact of the project and adjust their approach accordingly. By considering the long-term financial sustainability of the project, project managers can ensure that the project continues to benefit future generations.

How do we put the Principle into practice?

1. Develop a Comprehensive Financial Plan

To achieve economic prosperity, you must have a comprehensive financial plan that outlines all the project’s financial aspects. This plan should include the projected income, expenses, and profits. You should also consider the long-term financial sustainability of the project. The plan should be reviewed regularly and adjusted accordingly to ensure that the project remains financially viable.

2. Evaluate the Project’s Economic Impact

It is essential to evaluate the project’s economic impact on both the short and long term. This includes the economic benefits of the project such as job creation, increased revenue, and improved infrastructure. You should also consider potential negative impacts such as environmental degradation or displacement of communities.

3. Ensure Stakeholder Participation

Stakeholder participation is crucial in achieving economic prosperity. All stakeholders, including investors, sponsors, and community members, should be involved in the financial planning process. This ensures that their financial needs are considered, and the project is financially sustainable in the long term.

4. Consider Alternative Funding Sources

Projects can benefit from alternative funding sources, such as grants, loans, or crowdfunding. These sources can provide additional financial support that may not be available through traditional funding channels. You should evaluate which funding source is best suited for your project and ensure that it aligns with the project’s long-term goals.

Here are some examples of organizations who do it right.

 

 

The Walt Disney Company

Disney is one organization that exemplifies Economic Prosperity in project management. Their commitment to sustainable practices extends across all aspects of their business, from theme parks and resorts to media and entertainment. In 2012, Disney announced a goal to reduce their net greenhouse gas emissions by 50% by 2020, a target that they achieved four years ahead of schedule in 2016. They have since set a new goal to achieve net-zero greenhouse gas emissions and diverting 90% of waste from landfills by 2030.

Disney’s approach to Economic Prosperity involves investing in renewable energy and adopting green procurement policies. They have installed solar panels on several buildings across their properties and recently announced plans to build a 270-acre solar farm in Florida. Additionally, they prioritize sustainability in their procurement practices and have set targets to increase their use of environmentally friendly products and reduce single-use plastics.

 

 

 

IKEA

Another organization that exemplifies Economic Prosperity in project management is IKEA. As a global furniture retailer, IKEA has a significant impact on the environment and society. To address this, the company has committed to becoming “climate positive” by 2030, which means reducing more greenhouse gas emissions than they produce in their value chain. They are also committed to using only renewable energy and ensuring that all materials are sustainably sourced and recycled.

 

IKEA’s approach to Economic Prosperity involves investing in renewable energy and adopting green procurement policies. They have installed wind turbines at several of their stores and warehouses and have invested in two wind farms in the United States. Additionally, they prioritize sustainability in their procurement practices by using only sustainably sourced materials and promoting circular economy practices even if you can’t pronounce any of their products;  Björksta = Picture Frame…

New logo and city identity markets Christchurch as a place for growth | Stuff.co.nz

Christchurch, New Zealand

The City of Christchurch is another organization that exemplifies Economic Prosperity in project management. As a local government body, the City of Sydney has a responsibility to address environmental and social issues affecting their community. To achieve this, they have set targets to become carbon-neutral and zero waste, and to increase the use of sustainable transportation.

The Christchurch’s approach to Economic Prosperity involves collaborating with stakeholders and investing in sustainable infrastructure. They work closely with local communities to identify and address environmental and social impact issues associated with their projects Christchurch Council, GPM. and the PMI-NZ chapter, are collaborating in support of a tailored sustainable standard for council using the GPM P5 Standard.

Here are four incredible initiatives:

  1. Ecological Restoration: The Avon-Ōtākaro Network (AvON) is a group dedicated to restoring the ecological health of Christchurch’s Avon River and Ōtākaro/Avon River Corridor. They are planting native trees and shrubs, removing invasive species, and creating habitats for wildlife.

  2. Sustainable Transport: Christchurch has implemented several initiatives to encourage sustainable transport. This includes bike-sharing schemes, e-bike rental services, and plans to build more cycleways and walkways.

  3. Green Buildings: Christchurch is home to several green buildings, such as the Kathmandu Corporate Headquarters and the Ara Institute of Canterbury. These buildings use energy-efficient materials and practices, renewable energy sources, and natural lighting to reduce their environmental impact.

  4. Waste Reduction: Christchurch has been working to reduce waste by implementing recycling programs, encouraging composting, and introducing pay-as-you-throw waste collection systems. They also have a community exchange program where residents can trade goods and services without exchanging money.

  5. Renewable Energy: Christchurch is investing in renewable energy sources such as wind power and solar energy. It has also implemented a district heating system that uses waste wood to generate heat for homes and businesses.

Overall, these organizations demonstrate that Economic Prosperity can be achieved through various approaches such as investing in renewable energy, adopting green procurement policies, prioritizing employee well-being, investing in sustainable technology research and development, and collaborating with stakeholders. By doing so, they ensure that their projects benefit everyone involved, both current and future generations alike.

In essence, Economic Prosperity is a vital principle of sustainable project management that emphasizes balancing the needs of stakeholders while adhering to fiscal strategies, objectives, and targets. Organizations like The Walt Disney Company, IKEA, and the City of Christchurch are leading the way in implementing sustainable practices in their project management. These organizations set an example for others to follow, demonstrating that sustainable project management is not only possible but also necessary for the well-being of the environment and society.

Dr. Joel Carboni

Dr. Joel Carboni is a highly respected expert in sustainable project management. He is a graduate of Ball State University and holds a Ph.D. in Sustainable Development and Environment. He has over 25 years of experience in project management, including government, finance, consulting, manufacturing, and education. He is a frequent speaker at conferences and events related to project management and sustainability and has worked in more than 50 countries. In addition to serving as President Emeritus of the International Project Management Association (IPMA) in the United States and being a member of the Global advisory board, Dr. Carboni is also the founder of GPM (Green Project Management) and a visiting professor at Skema Business School. He is also the GPM representative to the United Nations Global Compact, where he was a founding signatory of the Business for Peace Initiative and the Anti-Corruption call to action and a contributor to the development of the UN 2030 Agenda for Sustainable Development (SDGs). Dr. Carboni is the creator of the PRiSM™ project delivery methodology and the P5 Standard for Sustainability in Project Management and has written training programs on Green and Sustainable Project Management that are offered in more than 145 countries through professional training providers, business associations, and universities. He is the lead author of the book "Sustainable Project Management."

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