What is Project Management Software?

Project management software comes in all shapes and sizes. Some professionals call it workflow software others refer to it as productivity software. Regardless, they all share the same goals:

To keep teams aligned in real-time and ensure work is moving forward efficiently. But that merely scraps the surface of what’s possible, and what project management software can do for the modern PMO.

What is Project Management Software?

In a nutshell, project management software (often called PM software) is a digital system bringing key components like project planning, task management, resource allocation, and reporting into one centralized place.

The objective? To offer real-time collaboration with sophisticated tools that eliminate scattered spreadsheets, sticky notes and siloed working amongst teams.

PM software is driven by a need to enhance clarity, steer productivity and focus, and ensure projects are delivered on budget!

The modern project management software combines several core elements:

• Workflow software to assign responsibilities and build flawless processes
• Task management features like Gantt Charts and Kanban boards to visualize progress
• Collaboration features for real-time updates, notifications and more.
• Seamless UI for simple yet sophisticated work without the complexities
• Customization to design your PMO processes in a way that works for you

Brief History and Evolution of PM Software

As you might expect, the concept of project management software has evolved alongside the changing needs of businesses. The early days of project management saw manual tools like charts and whiteboards leading the way for an entire project.

Fun fact: Gantt Charts weren’t invented until the 1900s by Henry Laurence Gantt.

Gantt Charts were considered one of the first visual systems for tracking and managing tasks, along with their associated dependencies.

Of course, this was a revolutionary moment in the world of project management and progress in the field was explosive moving forward.

Fast-forward to the 1980s – 1990s and Microsoft unleashed the first desktop-based business software like Microsoft Project. These tools offered something unheard of before: a way to digital schedule and report on projects.

Despite being innovative and powerful PM software was often reserved for specialized project managers due to the complexities of the tools themselves. But it wouldn’t be before when productivity software would become accessible to all!

As we moved into the early 2000s, cloud-based PM software made its appearance. This new way era of tools made it much easier for teams spanning countries and continents, departments and industries to collaborate – and collaboration became a focal point of these systems.

It was the beginning of a competitive space that has since seen Microsoft Project lose its momentum against tools like ClickUp, Monday, Asana, Wrike, edison365, and many more platforms and applications.

Introducing AI-Powered Project Management Software

In today’s world, project management is undergoing yet another transformation. The rise of artificial intelligence. Advanced platforms are now capable of completely automating repetitive tasks and offering predictive insights.

AI in project management is projected to grow exponentially in the coming years too! In 2024 it was valued at $3.08B, while forecasted to reach $7.4B by 2029. These numbers translate to something much more comprehendible…

Project management software promises to be smarter, adaptive, and more strategic. Ultimately, the history and evolution has been an exciting one for project management professionals, and the future seems bright!

Who uses Project Management Tools?

There’s a misconception that PM software is reserved for specialized project managers, enterprise organizations, or IT teams. The truth is these tools are versatile, and most platforms are built for small and large projects.

Freelancers and Small Departments

Believe it or not, even individuals and freelancers can leverage the lightweight and free versions of some productivity tools. Many platforms like Notion, Trello, and Asana offer free solutions that provides just enough for this type of user.

• Managing client projects
• Organizing minor tasks
• Collaborate within small teams

Enterprises and Large Corporations

At the other end of the spectrum, enterprises use project management software to handle complex portfolios, major compliance requirements, and vast resource management and tracking. These tools often include sophisticated integrations, enabling enterprises to connect with other business productivity software.

• Managing large-scale project portfolios across multiple departments
• Ensure compliance and governance with structure
• Leveraging advanced reporting and forecasting

Nonprofits and Public Sector

When it comes to nonprofits, educational institutions, and other public sector businesses, pm software can really make a difference. It helps them streamline grant management, campaigns, and other academic projects.

• Organize fundraising campaigns
• Manage student or volunteer projects
• Track grant deadlines

Core Features for Project Management Software

The very best project management software (PM software) goes above and beyond basic task tracking and reporting. It offers an end-to-end environment, empowered teams to manage everything from planning to delivery.

Take a look at some of the core features and must-have capabilities of any kind of productivity software you are considering today!

Task and Project Templates

Sometimes its not about reinventing the wheel with project management but standardizing the right processes and creating a winning formula. Through sophisticated workflow templates and project schedules, teams can avoid missing critical steps and minimize human error.

With edison365, users can enjoy a range of templates that are fully customizable to the way they work. The best part? edison365 allows for as many templates as necessary to reach your goals. Build the library you need and want!

Gantt Charts and Visual Dashboards

Visual progress and tracking is the backbone of robust pm software. From Gantt Charts to Kanban boards, these features provide clarity and transparency around the work your team and wider organization are doing.

It gives key stakeholders a bird’s-eye view over everything that’s happening, any setbacks and dependencies, and expected deadlines. The best pm tools will provide easy-to-use drag-and-drop functionality for visual tools too.

Resource Management and Optimization

Managing resources is just as important as any component of project management. After all, teams that are overbooked are also burnout. Progress dwindles, effort falls short, and the finish line moves further away.

The best types of project management software allow you to assign all kind of resources to the right task at the right time. It’s about tracking availability, balancing workflows, and improving overall project delivery.

Workflow Automation

Eliminating repetitive tasks and processes within your project portfolio lifecycle is pivotal, and that’s done with the help of workflow automation. From assigning tasks to sending deadline reminders automation helps keep things on track.

With edison365, our workflow builder is beautifully designed with users in mind. We lean into the drag-and-drop approach, giving teams full control over their workflows and processes in a way that doesn’t require expensive consultants or training.

Collaborative Tools

As previously mentioned, collaboration is at the heart of all modern productivity software. It’s a non-negotiable for managing projects, portfolios, ideas, and more. Features like file sharing, commenting, voting, and instant messaging are key.

The ability to collaborate from anywhere in the world rapidly improve communication, speeds up decision-making and upholds accountability across teams and departments.
Business Reporting

Finally, let’s talk business reporting dashboards. The ability to pull insights and data to driven decisions is vital. Dashboards that offer real-time overviews over budgets, project progress, and general performance helps steer teams in the right direction.

With edison365 being built on the Microsoft ecosystem, we offer users a full integration of Power BI, providing them with a reporting functionality they’re familiar with, trust, and know how to get the best out of!

In a nutshell, key project management software features must go beyond digital to-do lists. They need to offer all-encompassing system for managing the end-to-end lifecycle of projects and portfolios. Like edison365 does, of course!

Recommend Read: 8 Must-have PPM Software features

5 Key Benefits of using PM Tools

The right PM software does more than connect teams with must-have tools, it transforms the way they work completely! Below are 6 key benefits of project management software you must know.

• Improved productivity: streamline workflows, remove repetitive and manual tasks, and keep projects on schedule in one centralized place.
  
• Enhance resource management: Allocate the right people and equipment at the right time in the right place. No overbooking, no wasted capacity.
  
• Transparency for all: Real-time dashboards and visual features make progress tracking, reporting, deadlines, and budgets visible to everyone.
  
• Data-driven decisions: Detailed reporting and insights help teams make the right decisions based on real data, eliminating mistakes and improves results.
  
• Supports remote and hybrid teams: cloud-based business software supports teams and aligns efforts from one time zone to another!

How to Choose the Right Project Management Platform

Choosing the right pm software depends on your needs but answering a few simple questions can help you identify the best platform for you. By understanding things like team size, budgets, and long-term goals, you can go into free trials and product demos know exactly what you need!

Consider Scalability

First and foremost, it’s important to understand if your chosen pm software can grow with you and your PMO. Some tools are limited in what’s possible, making scalability a must-have.

Questions to ask during demos:

• What automations are available?
• How customizable are the project management tools?
• How many users can your platform handle?

Understand Platform Roadmap

You’re not just investing in a tool right now, but it’s future capabilities, and how they benefit you. Any solid project management software should offer some insight into its future plans and upgrades.

Demo questions on platform roadmaps:

• What features are you planning to release soon?
• Will new features be made available to existing users on the same plan?
• What does the next three years of upgrades look like?

Check Integrations

No project management software should operate in isolation. It must connect with wider integrations and digital tools to expand its power and provide an unstoppable feature stack for successful PMO.

Questions to ask during a demo:

• What CRM and communication tools can integrate with your platform?
• Does it connect with the Microsoft ecosystem?
• How many integrations are possible?

Balance Features and Budget

The cost of the tools you’re using should be weighed up against the long-term ROI and benefits pm software provides. While free and entry-level tools will work for some teams, premium plans may be the only option for some organizations.

Questions to ask on pricing and budgets:

• What features are including in each pricing tier?
• Are their additional costs for automation, reporting or integrations?
• Can pricing be scaled gradually as more users join?

Conclusively, there is no one-size-fits-all pm software. However, by understanding exactly what you need, you can ensure you’re choosing the right platform with the right tools!

Looking to move away from Microsoft Project Online? Watch our FAQ with Microsoft MVP Paul Mather to learn the best tips and tricks for choosing a new PM software.

Getting Started with PM Software Adoption

We’ve written extensively about software adoption, but how do you really get started with a new project management software? A smooth implementation ensures your team make the most of the platform you’re investing in.

• Assess your needs: define your goals, workflows, and the must-have features before rollout into your organization
• Try a pilot: Start small, piloting pm software in a department of team to understand if it’s a good fit for the rest of your company.
• Onboard and train: provide help articles, videos, and training to ensure people are ready to go from day one with your new project management software.
• Integrate with other systems: connect your new PM tool with wider business software for CRM, accounting, and communication.
• Monitor and improve: Never take your foot off the gas with pm software, always look for ways to improve your use and upgrade your experience.

Ultimately, you want to look build a team of champions amongst your organization who can push for smooth software adoption and get everyone onboard! Why? Because the consequences of poor adoption can be costly!

Deployment Options for PM Software

Not every organization needs the same setup. Project management tools come in all shapes and sizes, as we explained earlier on. The best pm software deployment option depends on your needs.

Cloud-based SaaS

This setup typically means the software can be accessed via a browser or mobile. With cloud-based SaaS you can expect scalability, straightforward updates, and remote access for teams.

Desktop Application

These types of project management software are installed locally onto a desktop computer. For smaller organizations or those who work mostly offline, this can be an ideal option.

Mobile Apps

One of the less common deployment options for project management software is mobile apps. Simply due to the complexity of managing projects, this can make things a little tricky. Nonetheless, mobile apps provide quick access, updates, notifications, and collaboration on the go.

Hybrid or On-premises

Finally, hosted on company serves or part of a hybrid setup, this deployment option can be best for enterprises who rely on strict compliance and security. This comes with stronger data control, but more expensive IT requirements.

As you can imagine, project management SaaS dominates and has rapidly become the most popular. However, other deployment options still remain a strong choice for some businesses.

Final Thoughts on Project Management Software

PM Software has become one of the most important categories of business and productivity software today. From simple workflow software to full-scale end-to-end systems, these PM tools centralize, improve collaboration and bridge the gap between effort and results.

The right software depends on your team’s size, growth goals, priorities, and more. However, once implemented, you can take digital transformation to a new level. Whether you choose agile SaaS platforms like edison365 or more traditional tools like Microsoft Project Online, the key is to align it to your way of working.

Throughout this guide, we have covered off everything from the history and evolution of project management software to the core features, benefits, and more. If you’re ready to the next step in your journey to partnering with the right PM software, book a demo or trial our tools for free (no credit card needed!)