Skilled project managers are essential to keeping projects on track. They create detailed plans covering scope, timeline, budget, and resources, and they lead teams, anticipate risks, and address issues before they escalate. Without effective project management, deliverables may fall short, morale can dip, and goals remain unmet. Having the right project managers improves project success and helps the entire business hit its goals.
This guide will walk you through the key steps, skills, and considerations needed to find a project manager who fits your unique needs, whether you’re hiring for a full-time project manager role, a specific project, or expert consulting.
Why hiring a project manager is essential for business success
Effective project management, combined with strategic planning, keeps organizations on track, meets deadlines, and ensures successful project outcomes. A skilled project manager enhances team productivity, manages risks, optimizes resources, and ensures clear communication across all stakeholders.
Hiring a project manager offers tangible benefits. With their planning and organizational expertise, project managers help businesses save time and reduce costs while delivering high-quality results. They’re adept at identifying and addressing risks, minimizing delays, and aligning projects with business goals through strong leadership and problem-solving.
Investing in project management can reduce financial losses by 28%, and 73% of organizations that apply a formal project management approach consistently meet their project goals.
Hiring demand for project managers
Demand for skilled project managers is rising across different industries as companies recognize their role in driving project success. The Project Management Institute (PMI) projects that millions of new project management positions will open worldwide yearly. This demand is driven by more complex projects, widespread use of project management practices, and a push for efficient resource use.
Industries that typically hire project managers include:
- Information technology (IT): With rapid technological shifts, IT firms rely on project managers for software development, system rollouts, and infrastructure projects.
- Construction: Large projects like commercial buildings, infrastructure, and housing depend on project managers to coordinate teams, manage timelines, and ensure regulatory and budget compliance.
- Healthcare: Project management supports healthcare operations, tech adoption, and projects related to patient care, facility expansion, and regulatory needs.
- Manufacturing: Project managers oversee product development, supply chains, and process improvement in manufacturing.
- Finance and banking: Financial institutions rely on project managers for digital updates, compliance initiatives, and restructuring projects.
- Government and non-profits: These sectors depend on project managers for public projects, policy implementation, and efficient social programs.
As companies strive to improve efficiency, meet objectives, and align projects with broader business goals, the demand for skilled project managers who can lead complex projects will grow.
Types of project managers you can hire
When hiring a project manager, it’s important to consider which type best fits your project needs and budget. From full-time staff to freelance experts, each type brings unique strengths to help address your business needs.
Full-time project managers
Full-time project managers often comprise larger companies with ongoing projects across departments. These in-house professionals oversee projects from start to finish, ensuring timelines are met, resources are optimized, and goals are achieved. They’re familiar with the company's processes, culture, and team, making them ideal for long-term or complex projects.
Freelance project managers
Freelance project managers offer a flexible, cost-effective solution for businesses with short-term or specific project needs. Hired on a project basis, they bring professional expertise without the expense of full-time staff. Freelancers are especially valuable for companies lacking in-house project management or needing specific skills for a unique project.
Project management consultants
Project management consultants are seasoned professionals contracted to provide guidance and lead major projects. They assess risks, develop strategies, and establish project management best practices. Consultants are ideal for high-stakes projects, as they bring fresh perspectives and extensive industry experience.
Specialized project managers
Certain industries require project managers with specific skills. For example, IT project managers handle software development, ensuring timely delivery and compliance with industry standards. Construction project managers oversee building projects, managing site operations, resource allocation, and regulatory compliance.
How to hire project managers in 6 steps
Hiring a project manager involves defining the project’s needs and carefully assessing candidates to find the best fit. The following hiring process will help you secure a skilled project manager who keeps projects on track, within budget, and aligned with your goals.
Step 1. Define your project needs
Start by clarifying your project’s scope, timeline, budget, and objectives. This helps you determine the experience and skills required in a project manager. Consider project complexity, industry, team size, and involved stakeholders.
Step 2. Write a clear job description
A clear job description is essential for attracting suitable candidates. Outline the main responsibilities, required qualifications, and skills. Describe the project’s goals, deliverables, and any unique challenges. Use simple language to convey the role and company culture.
Step 3. Source and screen candidates
Use various channels to find candidates, like job boards, professional networks, and referrals. Carefully review resumes, focusing on relevant experience, certifications, and project successes. Conduct initial screenings to create a shortlist.
Step 4. Conduct interviews
Plan a structured interview process to assess both technical and soft skills. Ask situational and behavioral questions to gauge problem-solving, leadership, and communication skills. Consider involving team members or stakeholders for broader perspectives.
Step 5. Check references and past projects
Verify references and review past projects. Contact previous employers or clients to understand the candidate’s work ethic and management style. Request work samples or case studies to evaluate their collaborative problem-solving and project management approach.
Step 6. Make an offer and discuss terms
Once you’ve selected a candidate, extend a fair offer. Be prepared to negotiate salary, benefits, and other terms based on their experience, market standards, and your budget. Clearly outline your organization's job responsibilities, expectations, and potential growth paths.
Essential skills for top-performing project managers
Project managers need technical and soft skills to effectively plan, execute, and complete projects. The following skills enable them to manage resources, lead teams, and adapt to challenges to achieve expected outcomes.
Technical skills
Project managers need strong technical abilities to plan, execute, and monitor projects. Key technical skills include:
- Project management tools: Familiarity with tools like Asana, Trello, Microsoft Project, Jira, and Smartsheet is essential. Project managers use these to create plans, assign tasks, track project progress, and manage resources.
- Scheduling and time management: Successful project managers create realistic schedules, keep tasks on track, and meet deadlines. They prioritize tasks and use time effectively.
- Risk management: Identifying, assessing, and managing risks is critical to project success. Project managers should develop risk management plans and adapt when challenges arise.
- Budgeting and cost control: Skilled project managers understand budgeting and cost control, create budgets, monitor spending, and identify cost-saving opportunities.
- Data analysis and reporting: Project managers must gather and interpret data for informed decision making. They create reports that show project status, highlight issues, and provide insights.
- Resource management: Managing resources such as team members, equipment, and materials is vital. Project managers use resources efficiently and resolve related issues.
- Quality and process management: Ensuring projects meet quality standards and follow established processes is essential. Project managers should be adept at quality control, process audits, and improving project management methodologies.
Soft skills
In addition to technical expertise, project managers need soft skills to lead teams and manage complex projects:
- Communication and interpersonal skills: Project managers must communicate clearly and engage with diverse stakeholders. Strong interpersonal skills help build rapport, manage conflicts, and promote teamwork.
- Leadership and motivation: Inspiring and motivating team members is key. Project managers set clear expectations, give feedback, and foster a positive work environment.
- Problem-solving and critical thinking: Projects often encounter challenges. Project managers need problem-solving skills to analyze situations, think critically, and develop solutions.
- Adaptability and flexibility: Projects can change unexpectedly. Top project managers adjust strategies as needed while keeping goals in sight.
- Negotiation and conflict resolution: Balancing competing interests and resolving conflicts is common. Project managers use negotiation and conflict-resolution skills to find practical solutions and keep projects moving.
Writing the perfect job post to attract qualified project managers
To attract qualified project managers, your job post needs to clearly outline the role and expectations. The following guidelines will help you write a well-structured description that draws the right candidates and sets the stage for a successful project.
Guidelines for writing a project manager job description
To attract skilled project managers, make sure your job post clearly describes the role, responsibilities, and qualifications. Here are key tips:
- Job title: Use a specific title like “Senior IT Project Manager” or “Construction Project Manager” to target candidates with the right background.
- Company overview: Provide a summary of your company, its culture, and the types of projects the project manager will oversee, helping candidates determine if they’re a fit.
- Job summary: Outline the main duties and objectives of the role, mentioning key projects or focus areas the manager will handle.
- Responsibilities: Use bullet points to list primary tasks. Include technical duties (like scheduling, budgeting, risk management) and required soft skills (like team leadership and communication).
- Qualifications: Specify required education (e.g., bachelor’s degree), certifications (e.g., PMP), experience, and technical skills (like Agile or MS Project).
- Preferred skills: Note any additional skills or experience that would set a candidate apart, like industry-specific experience, language abilities, or advanced degrees.
- Benefits and compensation: Include a competitive salary range or hourly rate based on project management experience and market standards. Mention any perks or benefits your company offers.
- Application instructions: Provide clear instructions on how to apply, such as submitting a resume and cover letter by email or through an application portal.
Example project manager job post
Project manager - tech
ABC Tech Solutions seeks an experienced project manager to lead a high-impact technology implementation project for a large enterprise client. You’ll manage the project from start to finish, ensuring it’s delivered on time, within budget, and aligned with client requirements and high-quality standards.
About ABC Tech Solutions
ABC Tech Solutions is a leading technology consulting firm specializing in software development, cloud infrastructure, and digital transformation for enterprise clients. With 25 years of industry experience, we’re known for our commitment to excellence, innovation, and customer-centric solutions. We value teamwork, integrity, and a dedication to delivering outstanding results.
Responsibilities
- Develop and oversee project plans, schedules, and budgets for software and tech implementation projects
- Coordinate with developers, vendors, and cross-functional teams to ensure seamless execution
- Lead regular project meetings, providing updates and reports to stakeholders and clients
- Identify and mitigate potential risks, resolving issues proactively as they arise
- Ensure compliance with industry standards, security protocols, and client-specific requirements
- Handle all project documentation, including contracts, SLAs, and change orders
- Collaborate with technical architects, engineers, and clients to address design adjustments or technical concerns
Qualifications
- Bachelor’s degree in information technology, computer science, business, or a related field
- Minimum of 5 years of experience as a project manager in tech or software development
- Proven track record of leading successful tech projects from planning through execution
- Strong understanding of technology processes, software development life cycle (SDLC), and project management principles
- Proficiency in project management software (such as JIRA, Trello, or MS Project)
- Excellent communication, leadership, and problem-solving abilities
- Ability to work under pressure and meet tight deadlines
Preferred skills
- Experience with cloud platforms (AWS, Azure, or Google Cloud) or SaaS solutions
- Familiarity with Agile or Scrum methodologies
- PMP, Agile, or similar project management certification
ABC Tech Solutions offers competitive compensation and a comprehensive benefits package, including medical, dental, vision, 401(k), and paid time off. Salary is commensurate with experience.
To apply, please send your resume and cover letter to careers@abctechsolutions.com with “Project Manager - Tech” in the subject line.
The most important project manager interview questions
Asking the right interview questions is essential to finding a project manager who can handle complex projects and manage teams effectively. The following questions will help you assess a candidate’s experience, technical skills, and ability to navigate challenges.
1. Describe a complex project you managed and the challenges you faced.
This question reveals the candidate’s experience, problem-solving skills, and approach to obstacles. Look for specific examples of their project planning, execution, and adaptability in difficult situations.
2. How do you prioritize tasks and handle conflicting deadlines?
Effective project managers must be skilled in prioritization, time management, and multitasking. Their response should demonstrate strong organizational skills, strategies for stakeholder management, and effective task delegation.
3. What project management methods do you know, and which do you prefer?
This question assesses the candidate's technical knowledge of Agile, Scrum, and Waterfall methods. Their answer should show familiarity with these methods and the ability to select the best approach based on project requirements.
4. How do you communicate and work with cross-functional teams?
Clear communication and teamwork are essential for project managers. Look for examples of how the candidate shares updates, resolves conflicts, and keeps the team aligned with common goals.
5. Tell me about a time you dealt with a difficult stakeholder or team member.
This question gauges the candidate’s emotional intelligence, conflict resolution abilities, and professionalism. Notice how they managed the situation, maintained professionalism, and worked toward a constructive solution.
Project manager rates and hiring costs
Knowing hiring costs helps you plan a realistic budget for this critical role, whether you're considering hourly or full-time compensation. Below is a breakdown of project manager costs based on different factors.
Average hourly rates
Hourly rates for project managers vary widely based on experience, industry, and project complexity. Entry-level project managers (1–3 years of experience) typically charge $25–$50 per hour. Mid-level managers (4–7 years) usually charge $50–$100 per hour. For highly experienced project managers (8+ years) with specialized skills, rates range from $100 to $200+ per hour, especially for complex IT, construction, or engineering projects. Freelancers typically charge hourly rates and may also negotiate payment terms such as upfront deposits, milestone payments, or hourly billing to match the project’s scope and requirements.
Full-time salaries
Full-time project manager salaries vary by location, industry, company size, and qualifications. In the U.S., the average annual salary is around $75,000. Salaries range from $50,000 for entry-level job roles to over $120,000 for experienced managers in high-paying fields like technology or finance. In addition to base salaries, full-time project managers often receive benefits such as paid time off (PTO), health insurance, retirement plans, and, in some cases, stock options, especially in larger companies or tech-focused industries.
Additional costs to consider
When budgeting for a project manager, remember there are costs beyond salary or hourly rates. These may include:
- Training and certifications: Many companies cover the cost of certifications like PMP to keep skills current.
- Project management tools: Project managers often need software for task management, resource allocation, budgeting, and reporting, which may have recurring costs.
- Onboarding and administrative expenses: Hiring a project manager includes recruitment, background checks, onboarding, and setting up their workspace and equipment.
- Travel and expense reimbursements: Some projects require travel, which includes costs for transportation, lodging, and meals.
By factoring in these additional costs, companies can plan and budget effectively to ensure project managers have the resources needed to succeed.
Common mistakes to avoid when hiring a project manager
It’s essential to approach the hiring process with clarity and care to hire a project manager who truly drives results. Mistakes during the hiring process can lead to delays, budget overruns, and team misalignment. Below is a breakdown of common mistakes employers make when hiring project managers.
Vague project objectives
A common mistake when hiring a project manager is failing to set clear goals. Without a well-defined scope, timeline, budget, and outcomes, even the best project manager can struggle to keep the project on track. Unclear or shifting goals can lead to mixed priorities, scope creep, and poor resource use, risking the project’s success.
Ignoring soft skills
While technical skills are essential, overlooking a candidate’s soft skills can be costly. A project manager requires strong communication, interpersonal, and leadership skills to manage diverse teams, stakeholders, and conflicts. Those with solid soft skills motivate others and manage expectations, bringing people together to achieve project goals.
Skipping reference checks
In a rush to fill a role, some companies skip the crucial step of checking references. This can result in hiring someone who lacks the experience or skills needed for complex projects. By verifying references, companies gain insights into a candidate’s past work, reliability, and ability to deliver results, making for a more informed hiring decision.
Key takeaways of hiring the right project manager
With their expertise in planning, execution, and team leadership, a good project manager helps keep projects on schedule, within budget, and up to high standards. Begin by identifying your requirements and understanding the types of project managers. Identify whether you need to hire a freelance project manager or a full-time employee, prepare structured interviews, and avoid common pitfalls to increase the success of your new hire.
Don’t let poor project management limit your business. Platforms like Arc offer access to pre-vetted project managers, helping you save on hiring time and costs while connecting with top talent for your needs.
