Using ChatGPT successfully in project management

AI is fundamentally changing project management

Artificial Intelligence (AI) has the potential to fundamentally transform both project work and project management. It helps improve internal processes, boost team productivity, and promote informed decision-making. However, AI should not replace people but support them in expanding their skills and working more efficiently. Companies that strategically implement generative AI must ensure they establish a solid foundation.

There are three approaches to integrating generative AI into business processes. One option is to apply software solutions or custom developments tailored to the specific needs of the company. However, custom developments are very costly and resource-intensive, so it may only make sense for large companies to promote such investments. When using ChatGPT in projects, a solid foundation is necessary.

Such a solid foundation focuses on five aspects – high data quality, appropriate data transformation, the establishment of data policies for the collection, storage, processing, and deletion of data, compliance with data protection regulations, and the training of necessary employee skills. Only when these aspects are successfully implemented can the AI provide regulatory-compliant strategic support for corporate goals.

What is ChatGPT?

ChatGPT, a language AI – where GPT stands for “Generative Pre-trained Transformer” – is a powerful AI chatbot that uses text and natural language processing for human-like conversation. Developed by the U.S. company OpenAI, this AI solution uses machine learning to generate and understand natural language. ChatGPT can be used to automatically create texts, answer questions, and even perform processes that would normally be handled by humans.

The concept of “Large Language Models” (LLMs) serves as its foundation. These large language models are trained with up to trillions of data points. The Transformer architecture relies on implemented Transformer architecture and deep learning to understand and generate natural language. It represents a technological breakthrough, especially in the fields of machine translation and language processing. The AI can automatically write texts, answer questions, and perform tasks typically done by humans.

The generative language AI ChatGPT undergoes a multi-stage training process. The most important learning source is the internet. The chatbot uses billions of texts from blogs, social media, and scientific databases. They serve as data collection and, thus, the first phase. To prevent noise, the data is pre-processed and formatted. The processed data is then used to train the AI to recognize patterns, relationships, and structures. This ongoing process helps optimize the results further.

Data needed by ChatGPT for project management

ChatGPT can help analyze project data. To do this, the AI application must be supplied with relevant data and information. ChatGPT can be trained on various data and formats, including project and time plans, the budget, progress tracking, team communication, and other project-related sources. Project data can be fed into ChatGPT in many ways, including text documents, spreadsheets, and other digital formats. Once the data is available, ChatGPT uses mathematical algorithms for natural language processing and machine learning to analyze the data and extract relevant insights.

Companies looking to use ChatGPT in project management should be aware that the quality of the results always depends on the quality of the data used. The data should be as accurate, relevant, and up-to-date as possible to obtain the best analysis. In the case of a software development project, for example, a project manager must provide ChatGPT with the necessary data to:

1. Establish the project schedule A project only works with a set timeframe, with a defined start and end point. All relevant data, including key milestones and deadlines, can be provided to the AI via a spreadsheet or text document.
2. Monitor the achievement of goals To verify the achievement of goals, ChatGPT needs information about the time frame in which team members complete their tasks. Project management tools like Jira or Trello can help in gathering this data.
3. Adhere to budget information If ChatGPT receives information about the available project budget, it can provide updates on budget use throughout the project. This allows tracking of how funds are invested at any given time.

With this data, ChatGPT can analyze project progress and provide the project manager with relevant insights and recommendations. On one hand, the chatbot can quickly identify potential delays, and on the other hand, it can recommend process optimizations. Budget issues can also be identified early, enabling more efficient resource allocation.

Potential improvements with ChatGPT in project management

Companies using ChatGPT in project management expect higher success rates in project execution. They hope to save time, increase productivity, and work more creatively. Overall, ChatGPT helps in the following areas, leading to improved project outcomes:

Acquisition and continuous updating of knowledge With the help of ChatGPT, project participants can acquire new knowledge and stay up to date with developments. This can be a key success factor in the ever-changing business world. ChatGPT assists in researching relevant information, providing explanations, and offering recommendations specific to the project requirements within the business context.

Brainstorming to find the best path In project management, ChatGPT can serve as a valuable sparring partner, helping to develop new ideas and proposals. This complements human creativity and enhances problem-solving capacity. ChatGPT creates high-quality SWOT analyses, decision-making schemes for the project, and provides inspiration for illustrating the project through articles, blog posts, or social media content.

Support in administrative project tasks Every project requires detailed documentation, including the creation of agendas and task lists, as well as the development of meeting minutes. This improves communication within the project. Additionally, the AI application can be used to create personalized emails and templates. On the other hand, ChatGPT can help identify and reduce potential project risks early on.

Content generation for various purposes The ChatGPT application generates content such as communication of project goals and results, writing articles and posts for digital media, and developing training materials. ChatGPT not only creates entire text blocks but also develops complete text structures and collects inspiration for headlines. It also takes over time-consuming research tasks.

Additional assistance in project management In addition to tasks directly related to the project, ChatGPT provides valuable auxiliary functions that support project success. Typical applications in this area include proofreading and editing content, adapting existing content for different target audiences, translating content into other languages, and summarizing information.

The quality of ChatGPT’s results always depends on the precise formulation of the so-called “prompts” – the input commands. The more accurate a prompt formulated by the project manager or team member, the more precise and valuable the results provided by the AI application will be. Here are a few useful tips for formulating a prompt for ChatGPT:

• A prompt for ChatGPT should be clear and precise. Avoid ambiguities or unclear formulations.
• Context is important for creating a prompt. To receive an accurate answer, the information must be placed in the correct context.
• Writing prompts is an ongoing process, optimized through experimentation and continuous adjustments.
• The so-called “Few-Shot Prompting” links a request with specific examples. This type of prompt can be compared to a crash course for ChatGPT.
• In “Role Prompting,” the request is placed in a specific context by assigning the AI a particular role or perspective.
• “Chain-of-Thought Prompting” instructs ChatGPT to pursue a train of thought or idea from a previous request.

There are also things to avoid when creating a ChatGPT prompt. This includes the use of jargon or slang, as there is an increased risk that ChatGPT will not understand the content. Also, avoid short closed-ended questions or overly general formulations.

Additional support from ChatGPT in project management

ChatGPT is widely recognized today as a valuable tool that can be used as an assistant in project management. ChatGPT has various impacts on project management. The following list shows the tasks ChatGPT can perform in project management, demonstrating its versatility. The key applications are listed below:

ChatGPT supports project managers in planning and resource management A project manager’s central task is to break down an entire project into smaller parts, which are later assigned to the project team with descriptions, deadlines, instructions, and requirements. With a single command, ChatGPT generates these accompanying documents.

ChatGPT makes task assignment easier If project leaders are unsure which person is best suited for a task, ChatGPT can help. Project leaders can provide the AI application with all qualifications and experiences of a person and ask which task that person is best suited for. Project managers can then assign each team member the appropriate task.

ChatGPT answers questions in no time In project management and dealing with various assigned tasks, each team member may have questions that need to be answered quickly. Usually, however, there is often no expert available to answer the question promptly. In such cases, ChatGPT can provide the answer – regardless of the question.

ChatGPT can be helpful in analytical forecasts Project managers often need to forecast various facts about their project. If they omit facts, the forecast may fail, negatively affecting the team’s performance and reputation. ChatGPT can generate analytical forecasts to determine delays, project status, and resource requirements.

The above facts show how valuable ChatGPT can be as an assistant in project management. Project management involves numerous tasks – especially planning, organizing, monitoring, and controlling projects to achieve specific goals. To consider these aspects, ChatGPT provides all information in real-time. Project managers can access time and budget plans and resource allocation with the help of ChatGPT.

Strengths and weaknesses of ChatGPT

Currently, the ChatGPT AI application has both strengths and weaknesses. Among its greatest strengths are its meaningful reference to conversation, near-perfect language, and immense knowledge. However, it is also true that ChatGPT is only as good as the data it is fed. It is unable to make judgments, think independently, or develop a unique perspective – abilities that will remain exclusive to humans in the future. Various studies have unequivocally proven that the use of AI can increase the efficiency and quality of project execution. A direct comparison of strengths and weaknesses shows what makes the AI application stand out:

Unresolved questions regarding AI applications still include data protection and data security, which have yet to be clearly defined. Additionally, questions about who bears responsibility for incorrect information generated by AI applications in the workplace remain open. Moreover, ethical issues – particularly regarding AI applications in the medical field – are still unresolved, as are trademark and copyright issues.

ChatGPT helps all direct project participants

The use of AI applications in project management presents new challenges for all project participants, depending on their roles. External service providers can also benefit from using the ChatGPT AI application. A modern project manager should be well-versed in AI and develop an understanding of AI applications. They should also be aware that AI continues to develop technically, so it is essential to stay current. To clarify the potential of ChatGPT, the following details the application’s possibilities concerning specific project roles:

Applications of ChatGPT – Project Manager The project manager benefits in multiple ways from using ChatGPT. It helps automate repetitive tasks, analyze and summarize data faster, assist with risk minimization, reduce project costs, and shorten project timelines. Completed projects can be analyzed with ChatGPT to uncover optimization potential.

Applications of ChatGPT – Project Team Members ChatGPT supports project team members by freeing up personal time. It is also a valuable assistant in identifying important tasks, allowing team members to focus on these activities and prioritize them. Repetitive tasks can be fully automated, allowing employees to concentrate on more important matters.

Applications of ChatGPT – CEO The CEO of the project-executing company also benefits. They receive regular, automatically generated reports on the current project status whenever needed. ChatGPT identifies project risks and informs the CEO if projects are at risk. Additionally, the CEO benefits from ChatGPT’s ability to analyze completed projects and provide optimization suggestions.

Applications of ChatGPT – External Service Providers, Freelancers External service providers or freelancers contributing to the project can benefit from ChatGPT by automating tasks and speeding up work. This allows them to better plan their available resources without being pressed for time. ChatGPT also enables them to contribute their ideas to the project and collaborate more efficiently.

The many applications of ChatGPT in project management demonstrate that the AI application is advantageous for efficient project execution. Nevertheless, it cannot replace humans in project management. AI cannot develop emotions, empathy, or morals, which are essential for successful project execution. These qualities influence social dynamics and collaboration within the project. ChatGPT is intended to help project managers and team members complete their work more efficiently and save time. They should leverage AI support to increase efficiency and stay ahead of the competition.

Optimal project planning with ChatGPT – A general example

When used correctly, the ChatGPT AI application can be a valuable tool in project planning. A project can be implemented successfully in nine steps. The following explains the sequence in more detail:

Step 1: Define the goal In this first step, the goals that the project aims to achieve are defined. Goals are divided into formal goals – defining the “why” – and material goals – defining the “what.” ChatGPT assists in setting goals based on the SMART criteria. SMART stands for “specific, measurable, achievable, relevant, time-bound,” making goals verifiable.

Step 2: Phase planning Every project is divided into different phases that build on each other and must occur in the correct sequence. ChatGPT assists in automatically creating the phase plan, which is structured as a table and includes all relevant phases the project must go through. This includes naming the different phases and describing the activities that must be completed in each phase.

Step 3: Break down into subprojects and work packages The third step is structure planning, dividing the phase plan into several subprojects or work packages. By entering the correct prompt, ChatGPT automatically develops a small-scale plan. The result is a detailed structure plan presented in a clear table format, listing the individual subcategories and work packages with their associated tasks.

Step 4: Establish the schedule After structure planning comes schedule planning, which determines the project’s timeline. ChatGPT organizes the phases into a logically structured timeline so that each project team member knows which tasks to complete and in what order. Each step in the timeline is supplemented with details about the upcoming tasks. This schedule also provides a real-time overview of the project’s status.

Steps 5 – 7: Detailed scheduling, resource, and cost planning Following the schedule planning, task-specific scheduling is done, where each project task is assigned a time estimate (in weeks). ChatGPT can provide realistic time estimates, and these times are considered realistic. The results can be extended by estimating the required resources and expected costs. ChatGPT delivers reliable results.

Step 8: Create a stakeholder list ChatGPT also assists in creating a list of stakeholders involved in the project. The AI application identifies typical stakeholders and suggests how they can be involved in the project. At this stage, communication channels may be defined, and user tests or alignment of project goals with corporate goals are considered.

Step 9: Conduct a risk analysis Every project must deal with risks. Delays, security issues, technical problems, and data protection issues are common. ChatGPT can identify potential risks and provide solutions for how to address them.

This process shows that the AI application can provide valuable input in each of these steps. The quality of the output depends on the precision of the prompts given to ChatGPT, which should include both the content and the desired output format.