Program Management vs Project Management: Definition & Differences Explained in 2024

Key Takeaways: Program Management vs Project Management

  • The main difference between program management and project management is that the former involves managing multiple related projects, whereas the latter usually refers to a singular project at a time.
  • This means that program managers oversee multiple related projects with a unified goal, whereas project managers focus on single projects or a project portfolio, depending on their experience.
  • A project manager often reports to a program manager. A program manager reports to key stakeholders.

Facts & Expert Analysis About Project vs Program Management Differences:

  • Progression: A project manager with experience in portfolio management can progress to a program manager position, but that’s not the only route.
  • Certification: You can become a certified project and program manager through a range of courses provided by the Project Management Institute. 
  • Well paid: Program and project managers can expect to earn an average salary of more than $100,000 in the United States. 1

Program management and project management may sound similar, but there are many differences. To improve your understanding of each practice, we’ve compiled this program management vs project management comparison, including the responsibilities program and project managers can expect to have.

Though the two practices differ, you’ll be pleased to hear that the best project management software solutions offer tools for both program and project management. By the end of this guide, you’ll know how to become a program or project manager, the type of salary you can expect from each role and more. 

If you’re totally new to project management, it would be a good idea to read our project management guide for beginners, as it’s packed with useful information and practical steps to improve your knowledge. We know you’re eager to learn, so let’s get started.

What Is Program Management?

Program management involves managing multiple closely related projects. Universal strategic objectives are put in place to help team members follow best practices across the entire program life cycle. Traditionally, program managers are put in place to oversee all related projects and to ensure all individual projects are in sync and not delaying program completion. 

As part of effective program management, it’s essential to have a centralized document that clearly outlines company-wide expectations. It should cover everything from resource management to budget management and include key milestones and timelines for the entire program.

Though program management involves overseeing multiple projects, it differs from portfolio management, as the latter involves managing unrelated projects. Many people confuse the two. To help familiarize yourself with the differences, we recommend checking out our portfolio management guide.

Program Management Examples

An example of program management is property renovations within a single housing block. Each home may require different repairs and renovations, which you could consider individual projects. The program encompasses the overall renovation objective and the strategic process of completing each project to finish the program successfully. 

What Is Program Management vs Project Management?

Project and program management sound similar and often overlap, but they’re different. One could argue that a program manager ranks higher in the hierarchy; however, becoming a program manager isn’t always the natural progression for project managers. You can learn more about the project manager career path in our “Is Project Management a Good Career?” article.

program project management
There are several levels to project management, with each one entailing different
but equally important responsibilities. 

Project managers may prefer a more hands-on approach to managing projects. They get to break down objectives into tasks, work closely with the project team and create a project plan that helps them reach their final goals. For some project managers, working on larger projects is more desirable than moving into a program management role.

Program managers, on the other hand, may be more analytical and enjoy building relationships with various teams and high-level stakeholders. Their job is to ensure each department is moving forward smoothly and that the company as a whole is on course to meet the objective. They also enjoy managing high-level risks and issues and developing a plan to overcome them.

Project vs Program Management Differences

In this section, we will compare what programs and projects entail rather than the roles of each specific type of manager. This will help you see how they differ from each other.

Program Management Includes:

  • Fluid deadlines
  • Dependencies for a group of projects
  • Budgets across all projects
  • Company culture permeating programs and individual projects
  • Company-wide documentation that supports each project manager within their role

Project Management Includes:

  • A group of defined tasks, often with fixed deadlines
  • Tasks and dependencies, plus milestones for task completion
  • Resources for a single project and team support
  • A defined budget for a single project

Program Manager vs Project Manager

To help you gain a better understanding of the day-to-day responsibilities of project managers and program managers, we’ll break them down a little further in the table below. 

Program Manager Project Manager
Manages project managers Manages a project team
Creates company-wide best practices Creates tasks to help complete a project
Responsible for overseeing all budgets Uses the budget the project manager allocates to them
Creates KPIs (key performance indicators) Creates project milestones
Reports to key stakeholders Reports to the program manager

What Does a Program Manager Do?

We’ll now break down the workload for a program management professional. 

  • Program governance: Program managers document and promote the company culture and approach to projects, outlining key expectations. 
  • Create KPIs: Managers implement key performance indicators that teams can work towards and that can be used to analyze the health of the program.
  • Liaise with stakeholders: Program managers are the central point of contact for key stakeholders, and they communicate project progress.
  • Support project managers: Program managerswork closely with each project manager and ensure they have the right tools and resources to complete the project.
  • Assess risks: Identifying potential risks that could cause roadblocks for the program is a key responsibility of program managers. They also create a strategy to overcome risks in order to keep the project moving forward.
  • Work with budgets: A program will have a defined budget, which will need to be split across each project. The program manager ensures each division has the right spend to fulfill the work. They also try to ensure the program avoids overspending. 
  • Make adjustments: Not all projects move at the same pace. A program manager needs to assess where they can reposition resources and make adjustments so any projects that are behind can catch up.
program-manager
The program manager has plenty to juggle throughout the program life cycle.

Average Salary of a Program Manager in the US

According to Zip Recruiter, a program manager can expect to earn around $107,000 per year. 2 Some companies will pay more, especially if you have plenty of experience in the field. 

What Does a Project Manager Do?

Below is a more detailed overview of a project management professional’s responsibilities. They’ll differ depending on who you work for and the project goal, but the information below will give you a comprehensive overview of what to expect.

  • Create project timelines: Project managers create an overview of when the project should commence, key points of the project and the intended deadline.
  • Create tasks: Managers are responsible for breaking down the overall project objective into a group of tasks that need to be completed.
  • Add priorities: Identifying which tasks are the most important and which you need to complete first in order to move on to other tasks within the project is a key part of being a project manager.
  • Assign tasks: Managers ensure the right team member is working on the right tasks. They also set deadlines to ensure the task is completed on time and in line with the project timeline.
  • Manage workloads: Leaders assess all team member workloads and readjust task management to ensure nobody is over- or underworked.
  • Highlight milestones: Project managers create clear milestones that the team can work towards during key moments throughout the project.
  • Manage morale: Managers support team members through check-ins and meetings and ensure everyone is in the best frame of mind in order to focus on the work and deliver the project.
project manager
Project managers are the heartbeat of the projects they manage.

Average Salary of a Project Manager in the US

The average salary for a project manager in the United States on Zip Recruiter is around $103,000 per year. 1 Some companies pay as much as $162,000 per year, but that will largely come down to your experience and the size of the organization looking to employ a project manager.

Other Comparisons

Project management and program management are not the only closely linked roles. People often confuse other roles as well, such as portfolio and product management, as they sound similar and have overlapping responsibilities. Let’s quickly break them down so you understand the differences.

Portfolio Management vs Project vs Program

Where project managers focus on a single project and a program manager’s responsibilities are spread across several related projects, portfolio management blends the two together. A portfolio manager is an experienced project manager who can work on several unrelated projects simultaneously.

Product Management vs Project vs Program

A product manager is different from other managers in that their role is to ensure the successful building and delivery of a specific product, such as a piece of hardware. Their responsibilities are to ensure the teams execute what the stakeholders ask of them, analyze how to deliver the product to market and ensure the stakeholders are happy with the final outcome.

You can learn more about the role of a product owner in our product owner career path and product owner vs project manager guides.

Final Thoughts

That brings this comparison to a close. Remember, a program manager is essential for unifying project teams and creating a strong code of conduct that helps the company succeed. Project managers are equally important because without them, projects would veer off path and critical work would not be completed.

Because program and project managers work with many different people and have a multitude of responsibilities, it’s a good idea to use a project and program management software platform to help keep track of everything. We recommend checking out our review of monday.com, as it has all the essential tools you would need to create project schedules and reach project goals. 

Did you find this guide useful? Which other areas of project management would you like us to explain? What is your dream project management role? Let us know in the comments. Thanks for reading.

FAQ: Project vs Program Management Definition

  • Program management involves managing multiple related projects to achieve an overall goal, while project management is the process of managing a single project that doesn’t necessarily need to be part of a unified program.

  • In theory, yes. The natural progression for a project manager would be to oversee a program comprising multiple projects. This would entail more responsibilities and a higher average salary.

  • On average, a project manager can expect to earn $103,000 per year. 1 Program manager roles pay an average salary of $107,000 per year. [2]

  • Project managers focus on overseeing project constraints (tasks, budgets, resources), whereas a PMO tends to oversee best practices, potential risks and project management methodologies.

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Sources:

  1. How much does a Project Manager make? — Zip Recruiter
  2. How much does a Program Manager make? — Zip Recruiter

The post Program Management vs Project Management: Definition & Differences Explained in 2024 appeared first on Cloudwards.

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