New research, commissioned by the Association for Project Management (APM) and conducted by PwC UK, has for the first time revealed the scale of the contribution the project profession makes to the UK economy. The new report, entitled ‘The Golden Thread’, has identified that project management in the UK generates
In order to jump start growth across Wales, the tolls for the Severn Bridges have been officially removed. Reports suggest the removal could boost the Welsh economy by up to £1 billion and deliver over £1,400 a year in savings for drivers travelling between England and Wales. Turley’s director and head of
Robert Walters, a surveyor that has been in operation conducting surveys around the world since the year 2000, has released figures this year that indicate that the salary earners working in the field of mid-level supplies will go up by a very significant 11 per cent. This is without a
BDC 319 : Aug 2024
New research, commissioned by the Association for Project Management (APM) and conducted by PwC UK, has for the first time revealed the scale of the contribution the project profession makes to the UK economy. The new report, entitled ‘The Golden Thread’, has identified that project management in the UK generates around £156.5 billion of annual Gross Value Added (GVA) and that an estimated 2.13 million full-time equivalent workers (FTEs) are employed in the UK project management profession. This means around 7.9 per cent of UK employment (full time equivalents FTEs) delivers almost nine percent (8.9%) of total UK GVA. The new APM and PwC report seeks to highlight the contribution of the project profession to all aspects of UK plc, and reveals that the profession generates GVA that far outstrips other cross-business activity such as design, law and marketing. Debbie Dore, chief executive of APM welcomed the report stating: “Project management has for too long been cast as a ‘Cinderella’ or ‘hidden’ profession, working hard behind the scenes to ensure other’s success. But this new report recasts the profession into the role of a ‘golden thread’ – a seam that runs through UK plc, helping to develop new services, drive strategic change and sector-wide reform. In short, this report finds that the project profession is a thread truly woven into the fabric of UK societal and economic success.” Having established the real value of the profession, APM, the chartered body for the project profession, is now building on these findings to raise a red flag, warning of the factors that could inhibit the potential growth of the profession’s economic contribution. Of particular concern is the potential for a growing skills gap which, if not addressed, could lead to the rise of the ‘accidental project manager’ – employees without any recognised professional standards or training, who are given project management roles – decisions that can often jeopardise project success. Debbie Dore explains “Our report suggests that the contribution from and demand for the project profession is more extensive than many commentators thought and is set to increase. This could lead to demand for qualified and experienced project personnel starting to outstrip supply – ultimately leading to the failure of increasing numbers of projects. That’s why this report highlights to business, government and the education sector, the importance of training, development and professional standards (such as chartership) as the best way to develop a talent pool that is to scale and fit for purpose in today and tomorrow’s world.” Measured optimism PwC interviewed over 400 businesses for The Golden Thread and concluded that, as recognition of the importance of good project management grows, so too does the level of optimism among organisations in all sectors about the future of project management. 40 per cent of those interviewed in this research predicted a growth in projects, and 34 per cent were expecting project budgets to grow over the next three years. However, the report concludes that challenges remain – with over half of organisations (52 per cent) expressing concern over the current uncertainties caused by government policy – and just over one third (35 per cent) ranking this as the single greatest challenge of the past three years – with 56 per cent of businesses forecasting that this will still be an issue by 2021. Skills shortage Skills and capability shortages were also cited in the report as a potential barrier by a third of organisations questioned. Having access to enough people with the right project management skills and capabilities in the UK is a concern for 39 per cent and financial pressures leading to severe cost containment issues is a worry for 37 per cent. 32 per cent and 39 per cent of businesses respectively expect these to continue to be a challenge in the next three years. Sectoral trends Types of projects undertaken vary from sector to sector, but overall IT and digital transformations and new product development projects tend to dominate with 55 per cent and 46 per cent of organisations respectively having undertaken these types of project in the past year. Perhaps not surprisingly, in the construction and local government sectors, fixed capital projects are the main project type undertaken. Sandie Grimshaw, Partner, PwC UK explains the need for the UK to focus on skills further: “As ‘megaprojects’ increase in size and complexity, project professionals’ skills and attributes will need to change and adapt to handle media and political pressure along with strategic stakeholders in ways that are akin to professional diplomats. Whilst the UK has a strong and growing number of project professionals, this research helps to provide a better baseline for the skills sets and numbers of professionals required to support the capability for delivering projects – both large and small – in the years ahead.”
In order to jump start growth across Wales, the tolls for the Severn Bridges have been officially removed. Reports suggest the removal could boost the Welsh economy by up to £1 billion and deliver over £1,400 a year in savings for drivers travelling between England and Wales. Turley’s director and head of planning in Wales, Huw Jones welcomed the news but called for further investment in regional infrastructure. “A serious plan to drive regeneration across the region requires a much more holistic approach than simply waiving the tolls. It’s a first step that needs to be supported by a range of other measures if there is to be any significant impact. What we need is joined-up planning policy on both sides of the Severn Bridge. One that is responsive to changing market conditions. Sustained investment in infrastructure is critical,” he said. “We would like to see progress on a number of fronts, including the delivery of the M4 Relief Road, electrification of the Swansea to London railway line, improved capacity at Cardiff and Bristol airports, the provision of new metro stations, and road improvements in the west of England on the M4 and M5 networks. “There is a great deal of work to do if we’re going to see the much-anticipated Western Growth Engine come to fruition. Without a clear vision, and an appetite to invest in infrastructure, our region won’t capture the opportunity to drive growth,” Huw Jones concluded.
Robert Walters, a surveyor that has been in operation conducting surveys around the world since the year 2000, has released figures this year that indicate that the salary earners working in the field of mid-level supplies will go up by a very significant 11 per cent. This is without a doubt a very welcome piece of news to salary earners in this bracket of the work industry as it contrasts greatly to the mere 4 per cent average rise in the salaries of people in other senior positions in work. This evidence is clearly a sunnier alternative to the gloomy news and prospects that have been put in place as a result of fluctuating economies, the EU referendum and the surprising election results in the United States. This is clearly an encouraging sign to employers in the field who will want to encourage the popularity of the profession, and it is clear that the amount of applicants for positions in this sector is consistently high, due to the lucrative salary schemes available. In addition to this, members employed in the contract acquisition sector will see their annual salaries also rise, to slightly less impressive degrees, to a total of 8 per cent. As Mister Neil Morgan of the managing team of Robert Walters explains, it is evident that this strengthening of salary growth is a good sign for the contracting industry and a sign that there will still be a large demand for such senior positions in the years to come. Such skills as time management and an ability to multitask and juggle a number of different duties are essential to the job description of these senior roles in the business, and these are skills at least that will not be in shortage among those members of the British population wanting to get their foot in the senior careers door. And with an 11 per cent increase, who wouldn’t want to give it a go at some point in their life?
