Project Management Tools (AI and otherwise) to Transition from Project Management to Project Leadership!

By Luigi Morsa and Richard Maltzman

Introduction

Let´s start with a basic definition: “Project management tools simplify everything from project planning to collaboration, helping meeting deadlines and deliver a more refined finished project” [1]. More simply and generally the use of software, as it should in any field, should make the life (of the user) easier and provides greater capability and efficiency and with a lower probability of errors. The challenge of a Project Leader (as opposed to a Project Manager) is to deliver a product in a triple constraint environment (scope, cost and time), but also to keep the project contributors motivated, focused, even happy, and contributing towards project objectives at their self-actualized level of performance. We know that the “people side” of project management is often the most difficult part of our work – and in fact, many (if not most) project managers come from the technical world and are not naturally skilled and talented in what PMI now calls power skills…

The good news is that software (somewhat ironically) has advanced greatly in this area and can be a big help for project managers who need to transition to great project leaders. We will explore this type of software, but first, let’s take a closer look at classical Project Management software. And of course, AI has found its way deeply into this software as well as in people/performance management software.

Classical Project Management Software
Fortunately, the market is rife with many project management solutions. That’s the good news.  The bad news is that this complicates the decision on which to choose. There are respected web sites, like Forbes Advisor, that curate a set of considered best project management software, based on pricing, features, customer support and more [2]. Out of this effort there is an available list of software (2024) with related strength points. An extract is reported below:

• ClickUp: Best agile project management software
• com: Best for startups on a tight budget
• Notion: Best for content creators
• Wrike: Best for artificial intelligence (AI) features
• Jira: Best for product development teams

Regardless of the different feature sets, typical or classical Project management software brings many benefits. Below, we highlight some of these key benefits.

Seamless and Streamlined Communication
No more checking long email threads or sitting in unnecessary meetings just to clear up who is doing what. Project management tools have integrated commenting and messaging so that everything is in one place [3]. Clear communication isn’t just about productivity — it also helps you maintain transparency and accountability with stakeholders [1].

Clear Deadlines and Roles
Each team member’s deadlines are listed clearly next to their tasks and they can see how those deadlines impact others’ deadlines [3].

Planning made easier
Using a project development tool, you can set the hierarchy of tasks for better efficiency and effectiveness. It also makes it easier for the team to understand their tasks [4].

Better Budget Management
Staying within budget and saving time are always top priorities, and with a project management tool, you can see your data, your resources, how they’re being used, planned vs actual usage, and much more. Most project management tools can be customized to trigger alerts and notifications if you stray from the intended budget, too [5].

More accurate tracking and monitoring
Project management tools provide visual dashboards and workflows to keep projects on track, offering real-time updates. These allow project managers to monitor progress, identify potential bottlenecks, and adjust as needed [6].

Risk Identification and Response
Project management software can help you chart and visualize your SWOT analysis (strengths, weaknesses, opportunities, and threats) and communicate the whole picture in a clear, digestible way to all stakeholders, clients, customers, partners, and your internal team [5]. With Project management software, it is easier to identify, analyze, and respond to risk of project failure points and to include a time and resources cushion to handle unexpected challenges [3].  There are even specialized tools like RAIDLOG.com which consider Risks, Assumptions, Issues, and Decisions in an integrated fashion.

In-house Tools
Even though the current Project Management software is (at least theoretically) user-friendly, efficient, reliable, flexible and so on, a company could decide to develop its own software – and may need to due to security or proprietary reasons such as having a PMO with directives to use certain forms, limits on budget or risk, and requiring the use of proprietary templates. In general, the decision to have a tailored solution, ensuring it fits perfectly with company workflows, is strictly linked to the company needs, but it is also determined by the company size, as underlined in an article with a meaningful title “When Should Your Company Develop Its Own Software?” appeared on Harvard Business Review [7]. More in detail, for small companies, it’s usually easier (and almost always cheaper) to do manual workarounds when their operating software isn’t up to the task. Midsize companies and up may choose custom coding of standard software or a suite of software packages.

Despite the advantages of in-house software, it must be pointed out that even in the case of customized solutions to manage activities and teams, a Project Manager could have the need or the will to continue to rely on Excel spreadsheets (or similar such as Google Sheets). The reasons could be various, most probably not everything is always covered by a commercial or in-house developed software, therefore a spreadsheet could help. In reality, it turns out, even in 2025, nothing can still beat a well-built customized spreadsheet for certain project needs. However, in general, the newer tools can handle tasks such as data tracking, reporting, tasks monitoring (Gantt charts, timelines, trackers) and so on – and do them with better sharing and communications features than manual systems. For the most expert it is also possible to create some interactive panel called a “UserForm”. A UserForm is basically a pop-up window that you can use to create a custom interface for Excel. This pop-up window allows you to have a more user-friendly interface. In the pop-up window, you can have many different kinds of buttons, user input areas, and layouts [8], like you were interacting with much more sophisticated software, not just with a spreadsheet.

Going beyond: acknowledging the Power Skills and becoming a Project Leader
In today´s work world, most of the projects are increasingly challenging (VUCA – Volatility, Uncertainty, Complexity, and Ambiguity), therefore, in order to be successful, it is necessary to go well beyond the ordinary measurement of the performance of individual team members and to work instead within a full synergy environment. Here is where Project Leadership comes into play. It is rightly maintained that successful project managers are managers who practice both strong management skills and effective leadership skills [9]. Such a Project Manager is better known as Project Leader. The Project Leader, with respect to an “ordinary” project manager, focuses more on guiding, motivating, mentoring and inspiring team members. Project Leaders, therefore, need to have strong leadership skills and need to know how to build a positive, productive work environment where everyone feels like part of the team [10], and there is an air of psychological safety and trust. It is quite apparent that in comparison with the project manager, the role of the Project Leader is evidently wider and inevitable more difficult because due to the dynamics of humans as individuals and groups, in the context of national, regional, and functional culture. Luckily, Performance Management Software can do a lot to help the project manager step up to be a leader of their project teams and to get the most focused, effective use of their efforts and keep the level of energy, inspiration and motivation high.

Performance Management Software
A general definition of Performance Management Software is that it “helps organizations manage employee performance”. It allows managers to set goals and objectives, track progress and give feedback [11]. Performance management software is suitable for a wide range of users, including:

1. HR Managers: For tracking performance with real-time pulse surveys, 360-degree feedback, and clear action plans [12].
2. Team Leaders: To set goals, provide feedback, and monitor team progress.
3. Project Managers: To ensure project goals are met and team members perform effectively.
4. Department Heads: For overseeing departmental performance and aligning it with organizational objectives.
5. Executive Managers: To gain a high-level view of organizational performance and make strategic decisions.

If we stick with the Performance Management Software definition, we might be fooled into thinking that Performance management software is used just to evaluate an individual employee’s job performance and therefore it is useful for general functional managerial decisions about bonuses and promotions. This would not do justice to the capabilities of Performance Management Software, and it would rob the Project Leader the opportunity to take advantage of what it can bring them to make the transition from Project Manager to Project Leader. Indeed, Performance Management Software is much more and this is quite evident, for example, from the way the Performance Management Software is advertised by two companies in this field:

• Betterworks. Betterworks is the intelligent performance management solution that empowers your people to reach their highest potential [13];
• Lattice. More productive managers, higher performing teams [14].

From many parts, there are evidences of the effectiveness of Performance Management:

• A study by McKinsey and Companyshowed that when companies prioritize employee performance, they are 4.2 times more likely to outperform their peers, furthermore they realize an average 30 percent higher revenue growth and experience attrition five percentage points lower [15].
• According to a study by Gartner, companies that focus on performance management saw a 14% increase in employee engagement and 24% jump in workforce performance [16].

In general, as well explained by Ben Goodey of Mesh AI (a Performance Management Platform company), the idea is that, “as your company and headcount grows, managing employees through spreadsheets and templates doesn’t cut it anymore. You need a systematic performance management process so your people reach goals and targets, feel engaged, and get the full support and training they need to advance in their careers [17].”   We assert that the “you” being discussed by Goodey includes Project Leaders, almost by definition.

Project Management and Artificial Intelligence
The rapid evolution of Artificial Intelligence (AI) observed during the latest years has inevitably invested also the Project Management. AI is now able to keep track of project milestones and deadlines, to allow the Project Manager (or Project Leader!) to be more confident with decision making and planning, and get more creative with resources when there is a boost in the workflow [18]. Some AI software examples with related main features are listed below:

• Forecast can predict risks and provide cost-cutting insights [19];
• Asana can provide insights for resource management and workflow optimization. It can also answer questions about ongoing projects [19];
• Wrike provides tasks prioritization recommendations and advanced insights on resource optimizations, delays and more [19];
• com allows teams to plan, track, and manage projects effortlessly thanks to features like “Automated Task Generation”, “Composing and rephrasing emails” , “Summarize complex topics and provide relevant action items” [20];
• Trello‘s AI-driven smart suggestions provide recommendations for task assignments, due dates, and task dependencies based on historical data [21];
• ClickUp‘s AI-powered algorithms can analyse data to provide insights on task prioritisation, resource allocation, and project timelines [21];
• RAIDLOG software helps project leaders identify, respond to, track, and communicate threats and opportunities as well as risk responses, with built-in AI assistance [22];
• KETO software uses embedded AI to help Portfolio Managers decide which new projects should be launched and to oversee performance of collections of projects and programs [23].

AI has, of course, also permeated performance management. One example is the company Zavvy. Its AI agent is able to suggest growth area recommendations for employees by looking at the current and next career path level, the specific competency framework for the role and department, and feedback results from the last cycles to suggest concrete action items for development [24]. The already cited Betterworks has some AI-features that, as advertised in the its website, “Enable all managers to become exceptional leaders” [13]. This is possible to the so called “Conversation AI Assist”, thanks to this module Managers learn how to express their expectations clearly and professionally and offer actionable insights to employees. This feature uses artificial intelligence to review and refine responses, adopting a professional or personal tone, and eliminating biases. The AI suggestion also includes an explanation for the suggested changes [25].

The way to transition to Project Leader – Conclusions
Returning to the distinction between Project Manager and Project Leader it is interesting to read what written by Jeannette Collazo, CEO of Lurdez Consulting Group (a boutique information technology project management firm), on Forbes [26]: “Project leaders go beyond the mechanics of managing a project. They face the challenge of being strategists, setting a project’s direction, aligning people and motivating the team… Project leaders, like project managers, want to reach milestones, but they also want to find ways to improve team performance and set team goals. In that sense, they create an atmosphere that brings out the best in their employees. Project leaders are focused on lifting every team member up; they are more empathetic and friendly, and they aim to connect with the project team on a personal level…Project managers direct team members and assign them different tasks depending on the issues and necessities that may arise during a project.” Leadership skills can be learned and leadership qualities can be developed [9], through experience and practice. From a project manager perspective, Performance Management Software even with AI, can definitely guide and support the work of a Project Leader, because it will allow to better know the team members and ultimately to better and to dynamically engage with them for project success.

Luigi Morsa, Ph.D.

Luigi Morsa (Ph.D.) is an Aerospace Engineer and Project Manager working in the Aircraft Industry in Germany. The passion for project management has led Luigi to contribute to two books by Dr. Harold Kerzner, the pioneer and globally recognized expert in project management.

Luigi wrote two case studies about the Aircraft industry for Project Management Case Studies, 5th and 6th Editions (Wiley, 2017, 2022), two sections (Open Innovation in Action; The Project Manager’s Role in Developing Innovation Skills and Ideas in People) and the chapter “Innovation Management Software” for Innovation Project Management 1st and 2nd editions (Wiley, 2019, 2023). He wrote with Richard Maltzman, PMP and Master Lecturer at Boston University Metropolitan College, the chapter “10 Lessons Learnt from Irresponsibility in Project Management” for the book De Gruyter Handbook of Responsible Project Management (De Gruyter, 2023).

In 2018, Luigi was a speaker at the Project Management Institute EMEA Congress (Berlin) to discuss the complexity of the aircraft industry market, with particular emphasis on the relationship between product and customer needs. He has presented at the 18th Annual Project Management in Practice Conference (Boston, 2024) the latest achievements of the Artificial Intelligence software in Project/Innovation Management.

Luigi has been contributor for the International Institute of Learning Blog since 2019 with articles that cover themes related to Employee Engagement, Innovation, Team Management, Risk Management, Conflict Management, Agile, AI.

Richard Maltzman, PMP

Richard Maltzman considers himself a ‘pracademic’ – currently (and for the past 10 years or so) Master Lecturer at Boston University, an author, and a consultant, providing clients with deep learning experiences and improved results. Richard “retired” from a 40-year career in telecom, mainly in engineering and project management. At the University level, and in consulting, his focus is always on converting weaknesses into strengths while teaching clients/students how to apply learned skills to everyday situations. In 2010, he co-founded EarthPM, LLC, a company devoted to integrating sustainability thinking into project management. His integration of a holistic, global view of project management has resulted in international consulting and worldwide speaking engagements (Costa Rica, South Africa, Malaysia, China, Mexico, Canada, India, Italy, The Netherlands) in which the focus is the long-term success of projects, with an eye towards ecological and social systems. His blog at PMI’s projectmanagement.com (People, Planet, Profits, and Projects) site has become very popular, and he has also started a podcast, “B’yond PM” on Spotify.

A co-author of seven books on project leadership, including the recent Great Meetings Build Great Teams, and the upcoming GreenPMO, He is a former VP of Professional Development for PMI Mass Bay (the Boston area PMI Chapter), and was on the Review Committee for the 7th Edition PMBOK® Guide, helping to assure that sustainability thinking finally made it into the Standard and the Body of Knowledge.

References

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• Amy Nichol Smith, Rachel Williams, Jeff Weide, “Best Project Management Software Of 2024”, forbes.com, Sep 28, 2024.
• Anne Kinsey, “What Are the Benefits of Using Project Management Tools?”,bizfluent.com, 12 Jun 2019.
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• Robert Sher, “When Should Your Company Develop Its Own Software?”, Harvard Business Review, December 7, 2021.
• “What is a UserForm in Excel?”, teachexcel.com, 2024.
• Kumar, V. S. “Essential leadership skills for project managers”. Paper presented at PMI® Global Congress 2009—North America, Orlando, FL. Newtown Square, PA: Project Management Institute.
• “How to Become an Effective Project Leader for Your Team”, clickup.com, January 19, 2024.
• Lauren Holznienkemper, Cassie Bottorff, “Best Performance Management Software Of 2024”, forbes.com, Mar 13, 2024.
• Nina Quist, “10 Best Performance Management Software in 2024”, eletive.com, October 11, 2024.
• betterworks.com.
• lattice.com.
• Simon Gallot Lavallée, Andrea Pedroni, Asmus Komm, Amaia Noguera Lasa, “In the spotlight:  Performance management that puts people first”, mckinsey.com,May 15, 2024.
• “Redefine Performance Management to Drive Impact”, gartner.com, November 30, 2020.
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• raidlog.com
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• support.betterworks.com -> Conversation-AI-Assist
• Jeannette Collazo, “Five Differences Between A Project Manager And A Project Leader”, forbes.com, Apr 14, 2022.