Blockchain as a Project Management Platform
The Russian government-owned bank VEB declared in March that they plan to use blockchain technology for project management. The CEO of Russia’s largest bank, Sberbank, stated in February that they plan to implement blockchain technology within 2 to 2 1/2 years. This indicates that the technology will be available commercially by the end 2019.
The Bank of Russia announced in June 2016 that it was developing a prototype that uses blockchain and Ethereum to communicate between Russian banks. These all confirm the Russian government’s announcement to legalize and regulate Blockchain technology soon. It is clear that blockchain technology is being used by not only private businesses but also government-owned institutions.
Why is Blockchain Important?
People learned that Bitcoin uses a specific blockchain implementation when it was first introduced in 2008/2009. Visionaries realized that blockchain technology can be used to solve many problems today, and not just for Bitcoin. For instance, this distributed/decentralized ledger technology can provide tamper-proof record of transaction data, regardless of transaction type. Transaction types can include any type of purchase, payment, transfer of funds, and completion of tasks, milestones, or projects.
An Ecosystem of Trust
Blockchain technology is the foundation and facilitator of trust-based networks. It works in the Bitcoin public ecosystem where anyone can write to its blockchain and is without any central power. But it also works in a private network. The technology can be used where only those who are allowed to write on the Blockchain, or participants, can be identified and trusted. It can be used within an industry, among affiliates or subsidiaries of a parent company, or between clients and providers and their partners.
A Project Management Platform
VEB’s CEO was asked why blockchain technology was being considered for their project management platform. He explained that they couldn’t find any other platform to help them manage their projects efficiently when they started thinking about it. They saw the blockchain as a solid foundation and a quality platform that could serve them well into the future. They see the potential of blockchain in improving governance and minimizing bureaucracy.
On-time and on-budget
Experts believe that blockchain technology is a powerful PM platform because of its technical superiority. It is redundant, resilient, secure and can be tampered with in a way that makes it very expensive. Additionally, it promotes trustworthiness data. It is also highly efficient because it allows for superior operational workflow. Blockchain-based projects will bring business value. It will reduce time, cost, and risk. The project manager is the best person to manage time, cost, risk, and other concerns.
The Role of the Project Manager
Blockchain technology can be used by project managers to solve a variety of knowledge/problem domains that they are responsible for. The project manager, for example, is responsible for communicating with all participants to establish the private blockchain network. This will allow them to determine requirements, budget, deadlines and deliverables that the Blockchain will verify and validate as transactions. Technology can simplify all issues that involve reconciliation, arbitration, and intermediation. It will always be the project manager that can speak with anyone regarding their concerns and provide necessary explanations. The project manager is ultimately responsible for letting customers know that the project is over and that they are satisfied.
Software for Project Management