Project management in small to medium‐sized enterprises : Tailoring the practices to the size of company

Purpose – The authors propose that small to medium‐sized enterprises (SMEs) need simpler, more people‐focused forms of project management than traditionally used by larger organizations. The authors have undertaken this research to identify to what extent SMEs use project management and what are the key components used. Design/methodology/approach – Based on the results of the two previous stages of their research the authors formulate the three propositions about the use of project management in SMEs, which they test through a web‐based questionnaire. Findings – More than 40 per cent of the turnover of small and micro‐sized companies is undertaken as projects, and in the first two years of their lives more than 60 per cent. People in these companies multi‐task, so these projects are managed by people for whom project management is not their first discipline. At a key stage of their development, SMEs undertake many projects managed by amateurs. A simplified version of project management should have requirements definition at its core, and practices for managing the work, duration and resources used. People focused methods which seek team member commitment are preferred. Practical implications – The results should aid in the development of project management approaches for use by the non‐specialist project managers in SMEs. The authors have shown that different versions of project management may be required for micro‐sized and small companies (a micro‐lite version), and for medium‐sized companies (a lite version). Originality/value – Project management theoreticians need to recognise that different versions of project management are required in different circumstances.