Salary for a PM
The subject of the salary for a PM or Project Manager will be discussed in this article. Naturally, the compensation of project managers are highly variable depending on the sector and the location. Indeed.com comes up with a similar number, except it splits that down into a base pay of approximately $74,000 and a bonus of approximately $13,500. Glassdoor estimates that the average base pay for a PM in the United States is approximately $89,000 as of the beginning of 2022.
According to research conducted by Northeastern University, earning the appropriate certifications or a master’s degree in business administration might result in significant increases in salary of at least $10,000. Project managers have the ability to cut costs for their companies, boost organizational efficiencies, and contribute to the generation of higher profits by seeing strategic initiatives through from their genesis to their conclusion.
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Thankfully, the executives of the organization recognize the significance of the role of project management and understand its value. Ninety-seven percent of firms have a firm belief that successful project management is essential to the success of their business, and these same organizations are prepared to pay for it.
The salary for a PM depends on the important and vital duties they perform. Project managers are tasked with the duties of planning and supervising projects to ensure that they are finished on time and without exceeding the allotted spending limit. Project managers are responsible for planning and assigning resources, developing budgets, monitoring progress, and keeping stakeholders informed throughout the entirety of the project. All of this is carried out in accordance with the objectives and priorities of the company. The fields of construction, information technology, human resources, and marketing are just few of the many fields in which project managers are required.
Some of the additional job duties of a PM are:
- They determine and define what the scope of the project should be, as well as its objectives.
- Determine the resources that will be required to achieve the goals, and then manage those resources in an efficient and productive manner.
- Create a budget taking into account the scale of the work and the necessary resources.
- Maintain an accurate accounting of project costs in order to stay on budget.
- Create and maintain a comprehensive timetable and work plan for the project.
- Regularly and consistently update various project stakeholders on the strategy, modifications, and progress being made in their respective projects.
- Manage contracts with third-party vendors and suppliers by delegating work and providing clear direction regarding expected results.
- Employ the most effective methods, processes, and standards available within the industry throughout the entirety of the project’s execution.
- Keep a close eye on project tasks and make modifications when necessary.
- Evaluate the performance of the project to find places where it might be enhanced.
Salary for a PM: Education Needed
In most cases, the salary for a PM depends on education. Those who want to work as project managers need to have a bachelor’s degree related to business or computer science, in addition to a number of years of experience working in the relevant industry with progressively more responsibility. A Project Management Professional (PMP) certification is something that many project managers decide to work toward.
A person must have a degree (either an associate’s or a Bachelor’s), a specific number of experience hours in the leading and directing of projects, a specific number of hours of education in project management, pass an exam, and participate in ongoing professional development in order to be eligible for a PMP certification. Successful project managers pay close attention to detail and excel in their ability to communicate with others.
Salary for a PM: Certification Necessary?
Does the salary for a PM depend on being certified? Well, obtaining relevant certifications, of which there are many in the subject of project management, is one approach to make it apparent what talents you have obtained over the course of your career. “Certifications are always fantastic, and the range of those accessible has expanded over the past few years,” adds Hutchison, who is herself CompTIA Project+ certified.
“These past few years have seen a significant expansion in the range of those available.” “When I have a client who is a PM and I’m working on their CV, it is usually helpful to raise their profile when we can mention a recent cert because it shows that they are up to date in their field. CompTIA Project+, Lean Six Sigma, and Google Project Management are all excellent options for individuals who wish to obtain a certification and transition into a full-time project management career.
These certifications are valuable for a variety of reasons, one of which is that many of them come with formal training content linked with them. According to Devin Schumacher, founder of SERP Company, “There is not a single project management position that is the same, but I see that some formal training helps as well.” “For example, Google offers a project management online course certificate through Coursera. The company’s employees have taken their real-world experience working at Google and condensed and conceptualized it into four to five courses. These modules are intended to serve as a common standard, and I always recommend that our company’s new hires in the field of project management complete them.
However, according to Nate Tsang, CEO of Wall Street Zen, a certification or even a degree in and of itself does not necessarily reveal all of the relevant information. “You receive the biggest income rise by getting a Project Management Professional (PMP) certification or MBA,” he says, “but only after you’ve piled up real experience working as a PM.” The PMP certification is awarded by the Project Management Institute (PMI). Nevertheless, having these certifications sends a clear message to your current company (or possible employers in the future) that “you wish to take on greater duties or lead a larger staff.”
Becoming certified not only allows you to increase the salary for PM, but it also proves to potential employers that you possess the knowledge and abilities necessary to successfully manage projects and teams.
A recent survey conducted all around the world indicated that professionals who hold a PMP certification earn an average wage that is 22 percent higher than that of those who do not hold one in any country or industry. In the United States, the average yearly salary for a project manager with a PMP certification is $120,000, whereas the average salary for a project manager without a certification is $95,000.
A Project Management Professional (PMP) credential is frequently required or acknowledged as desirable for professional progress and promotions. The Project Management Institute is an organization that is recognized all around the world and is responsible for awarding the certification. This organization encourages collaboration, teaching, and research within the field of project management. In addition to this, the organization is responsible for the upkeep of worldwide certification standards, credentialing, rules, and processes.
Salary for a PM: Agile Skills
Oftentimes in a job description for a Project Manager, you will see that one of the requirements is for them to know Agile. What the heck is that?
The Agile methodology for managing projects focuses on taking small, incremental steps rather than large, iterative ones to bring projects to a successful conclusion. Short-term development cycles are used to carry out the implementation of a project’s iterative components. Instead of top-down administration and adhering to a predetermined plan, the strategy places an emphasis on delivering results quickly, being flexible in the face of change, and working together.
There is continuous feedback in Agile processes, which enables team members to respond appropriately to difficulties as they appear and gives stakeholders the opportunity to maintain consistent communication. Although it was initially developed for the purpose of developing software, the Agile methodology is now widely employed in the execution of a wide variety of projects as well as in the management of organizations.
Compare and contrast this method of project management with more conventional approaches. The phases of traditional project management often follow a sequential order, moving from the stage of planning to that of designing, then implementing, and finally wrapping up. Before moving on to the next stage, the previous one has to be finished first.
You may notice that we referred to Agile as a methodology above. Well technically speaking, agile is not considered a methodology; rather, it is a mentality for approaching the manner in which projects are carried out. Because it does not stipulate which tools and procedures should be utilized, Agile is not considered to be a methodology.
Agile, on the other hand, is a catch-all word that encompasses a wide variety of management approaches. Scrum, Kanban, and Extreme Programming (XP) are all diverse approaches to agile software development that are classified as Agile techniques.