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PMACPMAC Consulting Private Limited
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Global R.E.P. PMI, USA
presentspresentspresentspresents
ADVANCED PROJECT MANAGEMENT COURSE
IN CONFORMANCE WITH LATEST PMI STANDARDS
PMBOK GUIDE-2008, FOURTH EDITION
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GOOD MORNING FOLKS!
Welcome to
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the world
of
Project Management
Latest PMI Standards
-
LATEST PMI STANDARDS!
A guide to the Project Management
Body of Knowledge (PMBOK
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Body of Knowledge (PMBOK
Guide) is a recognized standard for
the project management profession
worldwide!
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LATEST PMI STANDARDS!
The PMBOK Guide provides Knowledge, Processes, Skills, Tool and Techniques that are generally recognized good practice.
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generally recognized good practice.
Their application enhances the chances of success over a wide variety of projects.
But, all the processes may not apply uniformly to all projects. Hence, it is the RESPONSIBILITY of your organization and/or the project management team to determine what is appropriate for any given project. This is called TAILORING!
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LATEST PMI STANDARDS!
In addition to taking advantage of the
PMBOK Guide for the success of your
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PMBOK Guide for the success of your
projects, PMI also requires the practitioners
to demonstrate a commitment to ethical and
professional conduct.
Project Management Institute Code of
Ethics and Professional Conduct.
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Purpose of this Course
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To provide a proven, holistic approach to the professional of Project Management. An approach that has been globally recognized to enhance chances of success over a wide range of projects.
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Education Agenda
LEARNING OBJECTIVESUpon completion of this course, the students will:
1. Comprehend entire gamut of concepts, tools and
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1. Comprehend entire gamut of concepts, tools and
techniques, and terminology relating to the profession
of Project Management in conformance with per PMI
standards.
2. Master identification of project needs, creation of WBS
and how to plan to avoid scope creep, time and cost
overruns, or quality problems later in the project.
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Education Agenda
LEARNING OBJECTIVESUpon completion of this course, the students will:
3. Command the art of estimating project costs and
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3. Command the art of estimating project costs and
schedules using simple and proven techniques.
4. Attain expertise on meeting triple constraints,
assessing and dealing with risks, and establishing a
dependable project control and monitoring system.
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Education Agenda
LEARNING OBJECTIVESUpon completion of this course, the students will:
5. Achieve proficiency in vendor management and project
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5. Achieve proficiency in vendor management and project
closure.
6. Acquire knowledge and ability to pass PMP
examination.
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Education Agenda
WARMING UP WITH
A PROJECT FORETHOUGHT!
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A PROJECT FORETHOUGHT!
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Project forethought
Do you have a vision?
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Do you have a vision?
Your personal vision
Your functional areas vision
Your organizations vision
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Project forethought
How do you articulate it in the
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How do you articulate it in the
backdrop of todays
realities?
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Project forethought
Backdrop of todays realities?
Over capacity of production facilities
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Over capacity of production facilities
Sharp increases in the cost of material, energy, and
labor
Changing customer values and more exacting quality
requirements
Increased competition among companies in saturated
and dwindling markets
Environmental problems
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Project forethought
Backdrop of todays realities?
A need to introduce new products more rapidly
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A need to introduce new products more rapidly
A need to lower breakeven point
Globalization of markets
Social problems, economic problems, political problems
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Project forethought
How can your organization balance the need for radical
Questions to help you articulate your vision?
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What will be the new management model for tomorrow,
and how it will be different from todays?
How can your organization balance the need for radical
change with strategic continuity?
What role must managers play in the post hierarchical
organization of future?
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Project forethought
Questions to help you articulate your vision?
How can strategic thinking about the future be embedded
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How can strategic thinking about the future be embedded
within the organization?
Whom should your organization involve in the process of
developing and implementing strategy?
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Project forethought
Questions to help you articulate your vision?
How can a radically-decentralized organization be
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How can a radically-decentralized organization be
created and sustained?
As corporations and their networks become increasingly
complex, how can they be controlled?
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Project forethought
Questions to help you articulate your vision?
How can organizations shift from spreading
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How can organizations shift from spreading
information around to building knowledge?
How to discover better technologies
to increase quality of human life on earth?
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Project forethought
Articulating your vision
You can now choose with an end in mind
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It should be worthy of pursuance
Challenging and achievable
To make it happen, take up its realization as a
PROJECT
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Project forethought
Articulating your vision
You can now choose with an end in mind
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It should be worthy of pursuance
Challenging and achievable
To make it happen, take up its realization as a
PROJECT
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Project forethought
How to train and ensure competency of people to work
Questions to help you articulate your vision?
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How to train and ensure competency of people to work
together to achieve common goals?
How to make coming generation better equipped to
succeed in life?
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Project forethought
Realizing vision
Needs and aspirations of people
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Needs and aspirations of people
are the reasons for organized effort
in society.
Projects have been taken up since
earliest civilizations to fulfill them.
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Project forethought
Projects make it possibleProducts
Services
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Needs
Aspirations
Visions
Strategies
Projects
Services
Infrastructure
Monuments
Space research
War victories
Entertainment
Media
Earnings
Growth
Etc.
Operations provide us benefits of the
product of the project on ongoing basis
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Fundamental
PM Basics
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Fundamental
Concepts
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We begin our discussion on fundamental
concepts under three broad headings:
PM Basics: Fundamental Concepts
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1. Project Management Framework
2. Project Life Cycle and Organization
3. Project Management Processes
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PM Basics: Fundamental Concepts
PROJECT MANAGEMENT FRAMEWORK
What is a project?
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Projects vs. Operations!
Projects and Strategic Planning!
What is Project Management?
What is a Program?
What is a Portfolio?
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PM Basics: Fundamental Concepts
PROJECT MANAGEMENT FRAMEWORK
Relationships among Project Management,
Program Management, and Portfolio
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Program Management, and Portfolio
Management!
What is a PMO?
Role of a Project Manager!
PMBOK Guide!
Enterprise Environmental Factors!
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PM Basics
A Project is A TEMPORARY ENDEAVOR
What is a project?
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A Project is A TEMPORARY ENDEAVOR
undertaken to create A UNIQUE PRODUCT,
SERVICE, OR RESULT!
Lets understand the definition
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PM Basics
- What do we mean by the word
TEMPORARY?
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- What do we mean by the words A UNIQUE
PRODUCT, SERVICE, OR RESULT!
- We would also discuss on a very
important terms called Progressive
Elaboration!Lets understand the definition
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Temporary means:
PM Basics: Understanding Project Characteristics
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Temporary means:
- Definite beginning
- Definite end
- With defined project objectives
(scope, time, cost, and quality)
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Project end IS REACHED when:
PM Basics: Understanding Project Characteristics
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Project end IS REACHED when:
1) Its objectives are met, or
2) It becomes clear that the project objectives
will or can not be met, or
3) The need for the project no longer exists.
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Temporary does not
PM Basics: Understanding Project Characteristics
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Temporary does not
necessarily meanShort in duration!
Projects can last for several years!!
Government of Indias E-governance project is
A multi-year project.
All that temporary means is that
project duration is finite, not ongoing.
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Temporary does not mean
PM Basics: Understanding Project Characteristics
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The product of the project will also be temporary.
Most projects are done to produce products,
service or result that is long lasting.
Examples
a bridge, a dam,
a building, a monument, a park
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Temporary nature
PM Basics: Understanding Project Characteristics
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Temporary nature
Some projects produce a product or service for a
particular occasion. Examples: Olympics, Fashion show, Grammy awards
Certain others cater to an opportunity or
market window that is short in durationExamples: Sale Campaigns for Christmas, Diwali, Pongal, IId, etc
PROJECT TEAMS ARE FORMED AS IT BEGINS AND
DISBANDED AS IT COMPLETES
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Unique product, service, or result
PM Basics: Understanding Project Characteristics
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Unique product, service, or result
Projects involve creating a product, service,
or result that has not been done exactly the
same way before EVEN IF YOU HAVE BEEN
DOING SAME CATEGORY OF PROJECTS
MANY TIMES OVER!
Different CLIENTS, REQUIREMENTS, LOCATIONS,
etc.
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A project can create:
1. A product (component of another item or end
PM Basics: Comprehending Project
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1. A product (component of another item or end
item).
2. A service (a business function to support
production or logistics).
3. A result (an outcome or document, such as
R&D project develops Knowledge,
Market Survey).
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Progressive elaboration
PM Basics: Understanding Project Characteristics
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is critical to project success
Progressive means proceeding in steps,
continuing steadily with increment.
Elaboration means worked out with care
and detail, developed thoroughly
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WHY Progressive elaboration?
PM Basics: Understanding Project Characteristics
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WHY Progressive elaboration? Because projects are temporary and unique!
Example: Project scope is high-level in the beginning. It
becomes more detailed as project team
progresses and develops better understanding
of project objectives and deliverables.
Many people confuse it with scope creep that happens
due to poor scope definition, poor WBS formation and
Uncontrolled changes.
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Each projects product is unique.Hence, its characteristics
PM Basics: Understanding Project Characteristics
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Hence, its characteristics
THAT DISTINGUISH ITmust be
PROGRESSIVELY ELABORATED!
Thats why so much emphasis on processes called:
- Identify stakeholders (during initiation)
- Collect requirements (during planning)
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Progressive elaboration
is critical to project success!
PM Basics: Understanding Project Characteristics
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The distinguishing characteristics
Broadly defined early in the project
More explicit and detailed as project
progressesTHEN, PROJECT TEAM BEGINS TO GRASP THEM
BETTER
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PRODUCT SCOPE
Product Scope and Project Scope
PROJECT SCOPE
PM Basics: Progressively elaborated
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Functions and
features characterizing
the product or service.
COMPLETION
Measured against
product requirements
The work required to
be performed to deliver
a product bearing
specified functions and
features.
COMPLETION
Measured against
project management
plan
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PM Basics: Understanding Project Characteristics
Sample
Progressive
Elaboration
ABC CARGO
LOGON PROJECT
BASIC
DESIGN (H) HARDWARE FABRICATION
SITE
OPERATIONS
Project
Management PURCHASE
SOFTWARE
SPECS (L)
L 0
L 1
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DESIGN (H) OPERATIONS Management
DESIGN
(J)
DRAWINGS
(K)PART B
DRAWINGS
(P)
FINALINSTALLATION
(Y)
TEST
(Z)
SOFTWARE
PART A
DESIGN
(I)
DRAWINGS
(O)
SPECS (L)
ASSEMBLY
(U)
PART A
TEST
(W)
ASSEMBLY
(V)
TEST
(X)
PART B
PURCHASE
(N)
DELIVERY
(S)
PURCHASE
(M)
DELIVERY
(R)
PURCHASE
(Q)
DELIVERY
(T)
WORK
PAKCAGES
(H)
through
(Z)
L 2
L 3
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PM Basics
Projects Vs. Operations
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Projects Vs. Operations
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What do organizations do?
PM Basics: Projects vs. Operational Work
1.
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ORGANIZATIONS
PERFORM WORK
to accomplish
a set of defined objectives
1.
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PM Basics: Projects vs. Operational Work
Work can be categorized as
2.
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Work can be categorized as
either
PROJECTS OPERATIONSor
Sometimes they overlap!
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PM Basics: Projects vs. Operational Work
What is common to projects and operations?
3.
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Performed by people
Limited by Constraints, including
resource constraint
Planned, executed, monitored and controlled
Performed to achieve organizational objectives
Or strategic plans
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PM Basics: Projects vs. Operational Work
Projects are temporary
PROJECTS OPERATIONS
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Operations are ongoing
and repetitive.
The purpose of an
ongoing operation is to
sustain the business.
Operations adopt new
set of objectives and the
work continues.
Projects are temporary
and unique.
The purpose of a project
is to attain its objective
and then terminate.
The project concludes
when its specified
objectives have been
achieved.
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PM Basics
Remember:
1. Operations produce same product until the product
becomes obsolete.
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becomes obsolete.
2. Within the life cycle of a product, projects can intersect
with operations at various points:
a) During improving productivity/process,
b) Developing new product or upgrading a product
c) Expanding outputs
d) At each closeout phase or until divestment of the
product, there can be many projects!
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PM Basics
Remember:
3. At each point, deliverables and knowledge are
transferred between projects and operations. Why?
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transferred between projects and operations. Why?
Answer: For implementation of the delivered work!
4. How it happens?
Answer: It happens in two way!
a) Transfer of project resources to operations
toward the end of the project.
b) Transfer of operational resources to the project
at the start.
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Operation examples
Manufacturing operations
PM Basics: Comprehending Project Examples
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Manufacturing operations
Production operations
Usage of the product of a project, such as a software application, or using network infrastructure
Accounting operations
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Project examples
Developing a new product or service
PM Basics: Comprehending Project Examples
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Developing a new product or service
Starting a new business, or expansion of the existing one
Installing a new facility/ infrastructure
Increasing productivity
Increasing market share
Increasing profitability
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Project examples
Cost reduction (operation and maintenance)
PM Basics: Comprehending Project Examples
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Cost reduction (operation and maintenance)
R & D projects
Technology up-gradation/ new technology projects
Pharmaceutical projects
Organizational Change management projects (work environment, performance management, organization structure, training, etc.)
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Projects and Strategic Planning
PM Basics: Projects and Strategic Planning
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Projects and Strategic Planning
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Projects are are a means to achieve Strategic Plan of an organization!
PM Basics: Projects implement strategy
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One or more of the following Strategic Considerations give rise to projects:1) Market demand2) Customer request3) Strategic opportunity/Business Need4) Technological advance5) Legal requirements
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PM Basics: Projects implement strategy
Hence, Projects (within programs or
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portfolios) are a means by which we
achieve organizational goals and
objectives within the context of strategic
plan!
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Projects are
PM Basics: Projects encompass entire organization
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are
-Taken up at all organizational levels
- May require few persons to thousands
- May be undertaken within an organization or involve many outside organizations
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YET
Worldwide concern
PM Basics: Hey! Its important
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YETIt is concerning to note
that
only about 34% of all the projects undertaken globally
SUCCEED!
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Worldwide concern
This only means that the concept
PM Basics: Hey! Its important
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of
Managing Projects Effectively is
poorly understood.
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Addressing the concern
To master
PM Basics: Hey! Its important
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To master
the concepts, tools, and techniquesfor
Managing Projects Successfullylets first
understand the genesis of PROJECTS!
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What
PM Basics
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What
is
Project Management
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PM Basics : Defining Project Management
What is Project Management?
PROJECT MANAGEMENT IS
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PROJECT MANAGEMENT IS
The application of KNOWLEDGE,
SKILLS, TOOLS AND TECHNIQUES
to project activities to meet the
Project Requirements!
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PM Basics
What is Project Management?
The project management is accomplished through
application and integration of the 42 logically grouped
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application and integration of the 42 logically grouped
Project Management Processes comprising 5 Process
Groups
Initiating
Planning
Executing
Monitoring and Controlling
Closing
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THE GIST
Managing a project consists of 3 main items:
Identifying requirements!
1
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Identifying requirements!
Addressing the various Needs,
Concerns, and Expectations
of the stakeholders-
as the project is planned
and executed!
2
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THE GIST
Managing a project consists of 3 main items:
Balancing competing project constraints,
3
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Balancing competing project constraints,
such as:
a) Scope,
b) Schedule,
c) Budget,
d) Quality,
e) Resources, and
f) Risk.
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PM Basics: Managing a project REQUIRES
Iteration of many of the processes within
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project management
Progressive elaboration in a project throughout the
Projects life cycle
The more a project management team learns about a project,
the better the team can manage to greater level of detail
Because of the existence of and necessity for
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HOW TO manage the TRIPLE CONSTRAINTS
PM Basics: Triple Constraints
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Q
Time
Scope
Cost
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Dimensions of TRIPLE CONSTRAINTS
PM Basics: Triple Constraints
Time
CostScope
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Customer satisfaction
CostScope
Risk Quality
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PM Basics: Program, Portfolio
- What is a program?
- What is a portfolio?
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- What is a portfolio?
- Relationships among project
management, program management,
and portfolio management!
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PM Basics: Project Management Context
Wider Perspective of Project Management
Project Management exists in a broader canvas:
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Project Management exists in a broader canvas:
Program Management
Portfolio Management
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Project Management exists in
a broader context governed by
PM Basics: Fundamental concepts
70
a broader context governed by
Program and Portfolio Management!
Organizational Strategies and Priorities
are linked and have relationships
- Between portfolios and programs,
- Between programs and individual projects!
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Organizational Planning decides prioritization
among the projects, having regard to:
PM Basics: Program, Portfolio
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- Strategic plan
- Funding
- RiskThis means finds and support for component projects
is provided on the basis of risk categories, specific
lines of business, or general type of projects ( internal
process improvement or infrastructure projects).
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What is a program?
PM Basics: Program, Portfolio
A program is a group of related projects
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A program is a group of related projects
managed in a coordinated way to obtain
benefits and control not available from
managing them individually!
Programs may include elements of related work
outside the scope of the discrete projects in the
program.
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PM Basics: Project Management Context
Strategic plan
Generally,
there is a hierarchy of
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Portfolio
Program
Project
Subproject
In this hierarchy, a program
consists of several associated
projects that will contribute to
the accomplishment of
a STRATEGIC PLAN!
-
Space program
Airplane program
Poverty alleviation
PM Basics: Project Management Context
Strategic plan
Portfolio
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Poverty alleviation
program
Subprojects
OFTEN OUTSOURCED Externally, or Internally (to other
unit) on the basis:
- Single phase, HR Skill requirement, Technology
Program
Project A Project B Project C
Subproject Subproject
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PM Basics: Project Management Context
A PROGRAM
1) extends over a longer period of time horizon.
2) consists of several parallel or sequential work efforts
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2) consists of several parallel or sequential work efforts
that are coordinated toward program goals.
3) time scale for projects tends to be shorter, and projects
are often the individual work efforts of a program.
Urban Development
Program
Housing rehabJob & Skill
Training
Small business
Consulting
Assistance
Projects
Program
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PM Basics: Project Management Context
Typical Aircraft
Weapons System
Development
Program
Senior
Management
Integration
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Program
Management
Aerodynamics
project
Aerodynamics
project
Structures
Project
Structures
Project
Propulsion
Project
Propulsion
Project
Avionics
Project
Avionics
Project
Comptroller Comptroller Processing
Data
Processing
Field
Support
Integration
&
Testing
Procurement
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PM Basics: Project Management Context
Programs also entail
a series of
Cyclical
undertakings
Fund Raising
Program
of Helpage India
Publishing
India Today
Magazine
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Project 1
Membership drive
Project 2
Advertising
Project 3
Corporate Appeal
Project n
A
series
of
Discrete
Projects
Project 1
Issue January
Project 2
Issue February
Project 3
Issue March
Project n
Issue every month
A
program
where
general
operations
become
MBO
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PM Basics: Project Management Context
DYNAMICS OF
Portfolio and
Portfolio
Management
Portfolio Management
1. Maximize the value of portfolio by careful scrutiny of
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1. Maximize the value of portfolio by careful scrutiny of
the Proposed Projects and Programs for being
taken within the Portfolio.
2. Timely exclusion of the projects not meeting
Portfolios Strategic Business Objectives.
3. Balance the portfolio AMONG Incremental &
Radical investments AND for efficient utilization of
resources.
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Relationships Among Project Management, Program Management and Portfolio Management!
Highest Level Portfolio
Lower Level Portfolios Higher Level Programs Projects
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Higher Level Programs
Projects
Low Level Programs
Projects
Lower Level Programs Projects
Projects
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Comparison Project Management, Program Management and Portfolio Management!
Item Projects Programs Portfolios
Scope Defined objectives, progressively elaborated
Larger scope, more
significant benefits
Scope changes with
strategic goals
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Change Project Managers expect change, monitor &
control them.
Program Managers
must expect change
from inside & outside
program, and
manage.
Portfolio Managers
continually monitor
changes in broad
environment.
Planning Project Managers progressively elaborate
hi-level info into detailed
plans throughout project
life cycle
Program Managers
develop overall
program plan, create
hi-level plans for
guiding detailed
planning at
component level
Portfolio Managers
develop and maintain
relevant processes
and communication
at total portfolio level.
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Comparison Project Management, Program Management and Portfolio Management!
Item Projects Programs Portfolios
Management Project Managers manage the project team
for meeting project
Program Managers
manage program
staff and project
Manage portfolio
management staff.
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for meeting project
objectives.
staff and project
managers. Provide
overall leadership
and vision.
Success Success criteria: product & project quality, time
and cost and degree of
customer satisfaction.
Success criteria:
degree to which
program satisfies
needs.
Success criteria:
aggregate
performance and
value indicators.
MonitoringProject Manager
monitors & controls the
project work
Program Manager
monitors and
controls program
components
Portfolio Manager
monitors aggregate
performance and
value indicators
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PM Basics: Project Management Context
Project Management Office
An organizational unit to centralize and coordinate
management of projects under its domain.
PMO
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management of projects under its domain.
At minimum, PMO provides Project Management
Support Functions:
1. Training
2. Software
3. Standardized policies & procedures
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PM Basics: Project Management Context
PMO
Advanced PMOs:
Can get delegated authority to act as integral
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Can get delegated authority to act as integral
stakeholder and key decision-maker during initiation
of each project.
Can have authority to Recommend or Terminate
projects TO KEEP BUSINESS OBJECTIVES
CONSISTENT.
Be involved in selection, management and
redeployment of shared/dedicated project staff.
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PM Basics: Functions of PMO
1) Administer shared and coordinated resources across
all projects.
2) Identify and deploy PM Methodology/Bests Practices/
84
2) Identify and deploy PM Methodology/Bests Practices/
Standards.
3) Clearinghouse and management of project policies,
procedures, templates, and other shared documents.
4) Central repository/management for shared & unique
risks for all projects.
5) Central office for operation/management of PM Tools
(enterprise pm software).
6) Mentoring of Project Managers.
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PM Basics: Functions of PMO
7) Central coordination of communication across all
projects.
8) Central coordination of overall project quality standards
85
8) Central coordination of overall project quality standards
between PM & other quality staff (internal or external),
or standards organization.
9) Central monitoring: all project timelines and budgets at
enterprise level!
What is the difference between the role of a
Project Manager and a PMO?
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PM Basics: Functions of PMO
Role Differences:
1) Project Mangier focuses on specified project objectives.
86
1) Project Mangier focuses on specified project objectives.
PMO manages major program scope changes that
(opportunities to better achieve business objectives).
2) Project manager controls assigned project resources.
PMO optimizes use of shared resources across all
projects.
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PM Basics: Functions of PMO
Role Differences:
3) Project Manager manages constraints of the project.
87
3) Project Manager manages constraints of the project.
PMO manages constraints among all projects at the
enterprise level. PMO manages the methodologies,
standards, overall risk/opportunity, and
interdependences among Projects at the enterprise
level!
-
PM Basic: Role of a Project Manager
Role
The project manager is a person assigned by the
performing organization to achieve project
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performing organization to achieve project
objectives!
Role of project manager is different from the role of a
functional manager or operations manager.
- functional manager is responsible for providing
oversight for and administrative area.
- operations manager is responsible for a facet of core
business.
-
PM Basic: Role of a Project Manager
Reporting- depends on the organizational structure!!
1) May report to functional manager (functional, matrix
organizations).
89
organizations).
2) A project manager may one of many other project
managers who report to a program or portfolio manager!
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PM Basic: Role of a Project Manager
Success
In addition to area-specific skills and general management
proficiencies, a project manager needs to have three
90
proficiencies, a project manager needs to have three
Characteristics for effective project management:
1. Knowledge (about project management knowledge).
2. Performance (what he/she is able to accomplish by
using project management knowledge).
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PM Basic: Role of a Project Manager
Success
For effective project management, the project manager is
supposed to possess following characteristics:
91
supposed to possess following characteristics:
3. Personal (personal effectiveness-attitudes, core
personality traits, and leadership-ability to guide the
project team for success while balancing project
constraints
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Project Management Body of Knowledge
The PMBOK is the standard for managing:
1. MOST PROJECT,
92
1. MOST PROJECT,
2. MOST OF THE TIMES,
3. ACROSS MANY INDUSTIRES
THIS STANDARD DEFINES:
- The project management processes (42)
- The tools and techniques of each process
Used to manage a project toward a successful
completion!
-
Project Management Body of Knowledge
THIS STANDARD:
- IS unique to the project management
93
- IS unique to the project management
- HAS interrelationships to other project management
disciplines such as program management and
portfolio management!
Note: this standard does not address all the details
of every topic! It contains processes generally
recognized as good practice applicable to single
projects!!
-
Project Management Body of Knowledge
THIS STANDARD:
Note: this standard does not address all the details
of every topic! It contains processes generally
94
of every topic! It contains processes generally
recognized as good practice applicable to single
projects!!
Projects are done in a broader context of program
and portfolio management. Other standards may also
be consulted to gain the broader view:
-The Standard For Program Management
-The Standard For Portfolio Management
-
Project Management Body of Knowledge
THIS STANDARD:
Note: this standard does not address all the details
of every topic! It contains processes generally
95
of every topic! It contains processes generally
recognized as good practice applicable to single
projects!!
Other standards may also be consulted to gain the
broader view:
- Organizational Project Management Maturity Model
(OPM3) for assess project management process
capabilities.
-
Enterprise Environmental Factors
We need to consider all the external and internal factors
that surround our project!
WHY?
96
WHY?
Answer
They may enhance or constraint project
management options! They may have a positive or
negative influence on the outcome!! Remember this.
You will agree when you see what all are these factors.
-
Enterprise Environmental Factors
factors 1) Organization culture, structure, and processes
2) Market conditions
97
2) Market conditions
3) Government or industry standards
4) Stakeholder risk tolerances
5) Infrastructure
6) Existing human resources and their special skills
7) Personnel administration (staffing, retention, training
8) Work authorization system
-
Enterprise Environmental Factors
factors 9) Political climate
10) Organizations established communication channels
98
10) Organizations established communication channels
11) Commercial databases
12) PMIS (project management information system)
PMIS- an automated tool. Examples:
- scheduling software tool
- a configuration management system
- an information collection and distribution system
- web interfaces to other online automated systems
-
Project Life Cycle and Organization
1) The Project Life Cycle and Project Phases
99
1) The Project Life Cycle and Project Phases
2) Project Stakeholders
3) Organizational Influences
-
Project Life Cycle and Organization
The Project Life Cycle
10
0
The Project Life Cycle
and
Project Phases
-
Project Life Cycle and Organization
What is a project life cycle?
A project life cycle is a collection of generally sequential
10
1
A project life cycle is a collection of generally sequential
and sometimes overleaping project phases!
What leads to deciding their number and names?
Management and control needs of the organization or
Organizations involved in the project determine names
and numbers of the project phases! The industry,
the technology, and unique aspects of the organization!
-
PM Basics : Project Life Cycle and Project Phases
Project Projects are unique
undertakings.
Involve a degree of
10
2
Phase 1 Phase 2 Phase 3 Involve a degree of
uncertainty.
Hence, each project is divided into several phases
for better management control and providing for
links to the ongoing operations.
Together, the project phases are called the Project
Life Cycle.
-
Project phases: Sequential Logic
Project
Deliverable I Deliverable II Deliverable n
Makes sure proper
definition of the
projects product
10
3
Deliverable I Deliverable II Deliverable n
Each phase marked by completion of one or more
deliverables.
Takes its name from the item/items, it has to deliver-the
primary phase deliverable.
Output of Preceding phase is input to Succeeding phase
-
Project phases: What is a deliverable?
DELIVERABLE
is
10
4
is
A TANGIBLE, VERIFIABLE WORK PRODUCT
EXAMPLES
1. A specification,
2. Feasibility report,
3. Detailed design document, or
4. A working prototype
-
End products or
the components of
Deliverables of the
Project management
Project phases: Types of deliverables
1.
Product deliverables
2.
Project Management Deliverables
10
5
Deliverables, and therefore phases, are part of a
sequential process designed to ascertain proper control
of the project and to accomplish the intended Product/
Service that is the objective of the project.
the components of
end products
for which the project is
undertaken
Project management
process(charter, scope statement,
plan, baseline, etc.)
-
PM Basics : Project Phases and Project Life Cycle
Phases can be further subdivided into subphases
Project Size, complexity, level of risk,
and cash flow constraints
10
6
Phase 3 Phase 2 Phase 1
Subphase
Subphase
Subphase
and cash flow constraints
decide further division of
phases into subphases.
Each subphase is aligned with
defined deliverable (s) for
monitoring and control, and
are related to primary phase
deliverable.
-
PM Basics : Phase End Review
Project
Requirements Design Deliverable
n
Completion of each phase
marked by review of:
1) Key deliverable,
10
7
Design n
Determine
- Should project continue
into phase.
- Find out errors cost
effectively, and correct
them if necessary.
1) Key deliverable,
2) Project performance to date
R R
Phase end review = R
phase exits
stage gates
kill points
-
PM Basics : Fast-tracking Phases
Starting activities of next phase without closing the current
phase! Examples abound:
Often, the management review is conducted to decide
Beware!
10
8
Often, the management review is conducted to decide
beginning activities of next phase before the current
one is closed.
Most IT projects use an iterative cycle in which more
than one phase are undertaken at the same time:
Requirements for a module are collected and analyzed
prior to the design and construction the module.
Requirements of another module are collected while
analysis of previous module is underway!
-
PM Basics : Project Phases
Common characteristics of phases
1. When they are sequential
10
9
a) at the close transfer of work product
b) phase end review (called phase exit,
milestones, phase gates, decision gates, or
kill points)
2. The work has distinct focus in each phase and involves
different organizations and skill sets.
-
PM Basics : Project Phases
Common characteristics of phases
2. The primary deliverable requires an extra degree of
11
0
2. The primary deliverable requires an extra degree of
control for success
3. The repetition of process across all 5 process groups
provides that additional degree of control and defines
boundaries of the phase!
-
PM Basics : Project Phases
Project phases vital points
Many projects may have similar phases, few are
11
1
Many projects may have similar phases, few are
identical.
2. Some projects may have just one phase. Single phase
project.
3. Others may have multiple phases.
-
PM Basics : Project Phases
Project phases vital points
4. There is no rigid, single way to define ideal structure for
a project. Industry common practices. Some
11
2
a project. Industry common practices. Some
organizations own way of defining phases.
Example: Feasibility Study
- A routine pre-project work OR
- First phase of the project OR
- A separate stand-alone project
-
Typical Sequence of Phases in a PLC
Phases FINALINITIAL INTERMEDIATE
Inputs Idea Resources
11
3
Project
Deliverable
Project
Management
Outputs
Charter
Scope
Statement
Plan
Baseline
Progress
Acceptance
Approval
Handover
PRODUCT
Each phase is formally initiated to keep focus on project
objectives!
-
PM Basics: Project Life Cycle
Project Life Cycle
Project life cycle (PLC) defines what one needs to do
to do the work on the project
11
4
to do the work on the project
Construction PLC
Feasibility, planning, design, product, turnover, and
startup.
Information systems PLC
Requirements analysis, high-level design, detailed
design, coding, testing, installation, conversion, and
operation.
-
PM Basics : Project Phases and Project Life Cycle
BSES
Project
Requirements Test Turnover Build Design Project
Management
11
5
Management
Project life cycle
defines start and finish of the project
determines transactional actions at the start and finish
of the project
START FINISHPLC Characteristics
-
Uncertainty and risk are highest in the beginning.
PM Basics : Project life cycle characteristics
11
6
The chances of successfully completing the project
are therefore lowest at the start.
But as we proceed, the uncertainty, risk become
progressively reduced, and our chances of
successfully completing the project become
progressively brighter
-
Project life cycle characteristics
PM Basics : Project Phases and Project Life Cycle
11
7Life Cycle of Project (Time)
High
LowAmount at Stake
Uncertainty of Success AND RISK
-
The cardinal principle
Stakeholders ability to influence the final
Project life cycle characteristics
PM Basics : Project Phases and Project Life Cycle
11
8
Stakeholders ability to influence the final characteristics the product of the project is highest only in the beginning .
As project proceeds, it gets diminished progressively and then the cost of any change, or correction becomes very high.
This lays stress proper scope definition to avoid later surprises .
-
PM Basics : Project Phases and Project Life Cycle
Project life cycle characteristicsPLC Characteristics
opportunity to add High
Opportunity to add value
11
9
opportunity to add
value highest at the
start and lowest at
the end.
Cost of change
lowest at the start
and highest at the
end
Low
High
Cost of change
Opportunity to add value
Time
Project life cycle
-
COST TO CORRECTION
PM Basics : Project Phases and Project Life Cycle
Project life cycle characteristics
12
0Life Cycle of Project (Time)
High
Low
Requirements / Architecture / Detailed Design / Construction Maintenance.
COST TO CORRECTION
-
PM Basics : Project Phases and Project Life Cycle
Project life cycle Example:
BSES Project
12
1
BSES
Project
Requirements Test Turnover Build Design Project
Management
Project life cycle
All the project phases of a project together determine
the project life cycle!
-
EXAMPLE 1: Project life cycle and project phases
CONSTRUCTION PROJECTS
Full
operation
Engineering and
major contracts
let
P
e
r
c
e
n
t
a
g
e
c
o
m
p
l
e
t
e
Synthetic
Yarn Project
12
2
Life cycle stages
Stage I Stage II Stage III Stage IV
Installation
substantially
complete
let
Project
GO
decision
P
e
r
c
e
n
t
a
g
e
c
o
m
p
l
e
t
e
Yarn Project
Stage handoffs
-
Operations and
production
Support
EVALUATE IDENTITY
Deploy
TestEvaluation
Unit Requirements
EXAMPLE 2: Project life cycle and project phases
SOFTWARE PROJECTS
12
3 CONSTRUCT DESIGN
Software
Development
Logical Design
Physical
Design
Final Design
First Build
Second Build
Third Build
Proof of
ConceptConceptual
Design
Evaluation
Evaluation
Risk AnalysisBusiness
Requirements
System Requirements
subsystem Requirements
Unit Requirements
-
APharmaceutical PROJECT
Drug Discovery
Project
Process Development
Formulation Stability
EXAMPLE 2: Project life cycle and project phases
12
4
A
P
P
R
O
V
A
L
Post
Registration
ActivityDrug
Sourcing
Screening
Lead
Identified
Preclinical
IND
Workup
File
IND
Patent Process
File
IND
Metabolism
Toxicology
Phase-I
Clinical
Tests
Phase-II
Clinical
Tests
Phase-III
Clinical
Tests
Ten Plus Years
Preclinical
Discovery Screening DevelopmentRegistration(s)
Workup
Post
Submission
Activity
-
Project Life Cycle
Most projects are linked to the ongoing operations
of the performing organization
12
5
of the performing organization
Projects are authorized only after due feasibility
study (or preliminary plan/ equivalent analysis),
which may be taken as a separate project.
This sometimes requires extra phases to develop
and test a prototype before initiating a project for
developing the final product.
Certain internal service projects are initiated
informally.
-
Project Life Cycle: Phase-to-phase relationships
Sequential relationship
Overlapping relationship (another phase can start
12
6
Overlapping relationship (another phase can start
before completion of another one. Fast tracking.
Increases risk and rework. Used for schedule
compression.
Iterative relationship (only one phase is planned at
any given time and the planning for the next is done
as work progresses on the current phase and
deliverables. Useful in undefined, uncertain, or rapidly
changing environments. Research projects.
-
PM Basics: Project Life Cycle and Product life Cycle
Project life cycle defines start and finish of a project with intermediate
phases. Product life cycle is a broader concept. It begins with business
plan, through idea, to product, ongoing operations and ends with product
divestment. Project life cycle is but a phase of product life cycle!
12
7
Feasibility Product development Operations Disposal
Operation and support
Maintenance and supportRe
q
u
i
r
e
m
e
n
t
s
D
e
s
i
g
n
C
o
n
s
t
r
u
c
t
T
e
s
t
a
n
d
i
n
s
t
a
l
l
Project Life Cycle
Product life cycle
divestment. Project life cycle is but a phase of product life cycle!
-
Relationship between Project and Product Life Cycle
We must take care to distinguish project life cycle from the product life
cycle, and understand how fast the product will become obsolete, in
view of the technological advances and stiff competition! The design
should withstand longer stay.
12
8
DIVESTMENTProject
Lifecycle FINALINITIAL INTERMEDIATE
Business
plan
PRODUCT
LIFE
CYCLE ID
E
A
OPRNS DIV
OPERATIONS
UPGRADE
PRODUCT
should withstand longer stay.
-
PM Basics : Project Management Life Cycle
Project Management Life Cycle
Project management life cycle (PMLC) defines
12
9
Project management life cycle (PMLC) defines what one needs to do to manage the
projectPHASE OF PROJECT MANAGEMENT LIFE CYCLE
Initiating, planning, executing, monitoring and controlling, and closing.
Define Goal Plan
project
Execute
plan
Evaluate
project
Close
project
-
Project Stakeholders
Individuals and organizations
PM Basics: Project Stakeholders
13
0
Actively involved in the project OR
Whose interests may be positively or negatively
affected by the performance or completion of the
project.
Stakeholders may exert influence over the project, its
deliverables, and the project team members!
-
KEY POINT
The project Manager MUST
PM Basics: Project Stakeholders
13
1
identify all internal and external stakeholders!
determine their requirements and expectations!!
manage the influence of the various stakeholders in
relation to project requirements to ensure successful
outcome!!!
-
Examples of stakeholders
Customers/users
Sponsor
PM Basics: Project Stakeholders
13
2
Sponsor
Portfolio managers/portfolio review board
Program managers
Project management office
Project managers
Project team
Functional managers
Operations management
Sellers/business partners
-
Key Project Stakeholders
Government SuppliersPerforming
Sponsor
13
3
Government
Customers/
user
Suppliers
Sub Contractors
Performing
organizationTop
Management Boss
Internal Users
Functional department
personnel
Project Staff Team members
Project Manager
PMO
INFUENCERS
in Customer
organization
Influencers
-
Project
sponsor PROJECT
PM Basics: Project Stakeholders
Relationship between stakeholders and the project
13
4
Project stakeholders
Project team
Project
Management Team
Project
Manager
sponsor PROJECT
-
PM Basics: Project Stakeholders
Stakeholders responsibility and project outcomes
Stakeholders Responsibility and
authority Project outcomes
13
5
authority
Varying levels
Changes over the course of
project life cycle
Occasional contributions in
surveys to focus groups to full
project sponsorship (financial /
political support)
Project outcomes
DAMAGING
Project outcomes
HIGHLY
POSITIVE
-
Stakeholders responsibility and project outcomes
Stakeholders Responsibility
PM Basics: Project Stakeholders
13
6
Stakeholders Responsibility
and authority
Project Managers
who ignore stakeholdersDAMAGING
Project
outcomes
DAMAGING
-
Positive stakeholders
Positive / Negative Stakeholders
Negative stakeholders
PM Basics: Project Stakeholders
13
7
Positive stakeholders
Those who would benefit
from the project
Community Business leaders gain
from an industrial project as they
find economic benefit for the
community from projects success
- Rs. 100 million Reliance Power
Project in Dadri, U.P. hailed by Amar
Singh Group of Ruling Party.
Negative stakeholders
Those who see negative
outcomes from projects
success
Environmental activists may see
projects success leading to
environmental hazards.
-
THE CHALLENGE
Stakeholder Management
PM Basics: Project Stakeholders
13
8
THE CHALLENGEStakeholders have differing needs,
perspectives, and expectations to be
managed by the project manager.
-
Stakeholder expectations: differing objectives
MARKETING DEPT.
High features
TECHNICAL DEPT.
State-of-Art MANAGEMENT
13
9
PRODUCT
of
PROJECT
State-of-Art
Technology,
low cost of
operation
CUSTOMER
Cheaper and
Long lasting
SOCIETY
Comfortable and
Eco-friendly
GOVERNMENT
Satisfying
Government
pollution and
safety norms
MANAGEMENT
profitable
FINANCE
Low cost of
procurement
-
Stakeholder Management
CONCURRENT ENGINEERING
PM Basics: Project Stakeholders
14
0
provides
Solution to the problem of
differing stakeholder needs, perspectives,
and expectations.
CONCURRENT ENGINEERING
-
Stakeholder Management
CONCURRENT ENGINEERING
PM Basics: Project Stakeholders
14
1
It refers to the combined early efforts of
CONCURRENT ENGINEERING
That final
product of
the project
satisfies
everyone
designers
developers
producers
salesperson, and
other stakeholders
To ensure
-
Identify stakeholders
Assess their knowledge and skills
Stakeholder Management
PM Basics: Project Stakeholders
14
2
Assess their knowledge and skills
Analyze the project to make sure their needs will
be met
Get and keep them involved through assigning
them work, using them as experts, reporting to
them, involving them in changes and the creation
of lessons learned
Get them to sign-off and obtain their formal
acceptance
-
Managing Stakeholders
Resolving stakeholder conflicts is major task on the
project. You have to continuously find ways to satisfy
PM Basics: Project Stakeholders
14
3
project. You have to continuously find ways to satisfy
their needs.
In general, differences between and among
stakeholders should be resolved in favor of the
customer!
But remember, not to disregard needs and expectations
of other stakeholders.
In fact, it is your major challenge to find appropriate
resolutions to such differences!!
-
PM Basics: organizational influences
Organizational influences on the project
14
4
PROJECTcorporations
Healthcare
Institutions
Other
Organizations
-
PM Basics: organizational influences
Organizational influences on the project
Maturity of the organization with respect to
14
5
organizational SYSTEMS
organizational CULTURE and STYLES
organizational STRCUTURE
role of PMO in ORGANIZATIONAL STRUCTURES
PROJECT MANAGEMENT SYSTEM
Maturity of the organization with respect to
its:
-
PM Basics: organizational influences
Organizational influences on the project
organizational SYSTEMS
14
6
organizational SYSTEMS
Project-based
Non-project-based
-
Organizational influences on the project
PM Basics: organizational influences
organizational SYSTEMS
14
7
derive their revenue from performing projects
engineering/ consultant/ architectural / construction
companies, government contractors
Project-based
organizational SYSTEMS
-
PM Basics: organizational influences
Organizational influences on the project
organizational SYSTEMS
14
8
adopted management by projects
like their financial system account, track, and report on
multiple, simultaneous projects
try to have project management systems
generally do not have adequate PM Systems
organizational SYSTEMS
Non-project-based
-
PM Basics: organizational influences
Performance of workOrganizational
Culture
14
9
organizational CULTURE and STYLES
Values, norms, beliefs, and expectations
(shared within organization)
Work ethics and work hours
Policies and procedures
View of authority relationships
-
IMPACT OF ORGANIZATIONAL INFLUENCES on the success of the project
Organization culture can be entrepreneurial, aggressive, participatory, rigid hierarchical, fraught with infighting and politics, friendly and human-
centered, etc.
15
0
centered, etc.
1) Pepsi has a culture that is aggressive, your
high-risk approach is welcome there.
2) Century Cotton Mill has rigid hierarchical culture,
your participatory style will not work there.
3) HCL Corporation has participatory culture, it can not
accommodate anybodys authoritarian style.
REAL LIFE EXAMPLES
-
PM Basics: organizational influences
organizational STRCUTURE
Constraints the availability
15
1
Constraints the availability
of
resourcesresources
Functional to Projectized
Functional
MATRIXWeak matrix
Balanced matrix
Strong matrix
Projectized
-
Impact of organizational structure
Tell me what type of organizational structure you are working in
and I will tell you how much you will SUCCEED as a Project Manager !
15
2
Organizational structure that has served ongoing
organizations for ages is no longer suitable for
performing projects !!
As Project Manager, you are responsible for managing
the project and if you do not have authority to make
resources available, you will fail miserably !!!
-
Impact of organizational structure
FORMS OF ORGANIZATIONAL STRUCTURE
WEAK
MATRIX
15
3
Functional
MATRIX
BALANCED
MATRIX
STRONG
MATRIX
PROJECTIZED
COMPOSITE
-
Functional Structure
MOST COMMON / TRADITIONAL FORM
15
4
Organization is structured by functions:
Marketing, Engineering, Manufacturing, Finance, HR.
Each one works
as separate entity
with managers and subordinates.
-
Functional Structure
organizational STRCUTURE Functional
CEOProject
coordination
Staff engaged
in project work
15
5
CEO
Functional
Manager A
Functional
Manager C
Functional
Manager B
Staff
Staff
Staff Staff
Staff
Staff Staff
Staff
Staff
coordination
EXAMPLE
A PRODUCT
DEVELOPMENT
PROJECT
Design phase
called design
project by
engineering
department
Communication
through heads
of departments
only
-
Functional Structure
ADVANTAGES
1) Easier management of
functional specialists.
DISADVANTAGES
1) More emphasis on
functional specialty to
15
6
2) Team members report
to only one supervisor.
3) Similar resources are
centralized to function,
companies are grouped
by functions/specialties.
4) Clearly defined career
path in the functional
area.
2) Project Manager has no
detriment of the project.
2) Project Manager has no
authority.Power with
FMs.
3) Scope of the project
limited to functional
boundary.
4) No career in project
management.
-
Projectized Structure
PROJECTIZED ORGANIZATIONS ARE
JUST OPPOSITE OF FUNCTIONAL:
15
7
JUST OPPOSITE OF FUNCTIONAL:
All organization is by projects.
The project manager has
total control of projects.
Team members are collocated
Most organizations resources assigned to project work
-
Projectized Structure
organizational STRCUTURE
CEOProject
coordination
Staff engaged
in project work
Projectized
15
8
CEO
Project
Manager A
Project
Manager C
Project
Manager B
Staff
Staff
Staff Staff
Staff
Staff Staff
Staff
Staff
coordination
IDEAL
Project Manager
Sole Authority
Departments
report directly to
the Project
Manager or
provide support
services
-
Projectized Structure
ADVANTAGES
1) Project manager has
ultimate authority over
DISADVANTAGES
1) No home for project
team members when
15
9
ultimate authority over
the project.
2) Loyalty to the project.
3) More effective
communication than
functional.
4) Team members are
collocated
team members when
project is completed.
2) Less efficient resource
utilization, though efficient
project organization.
3) Lack of professionalism
in disciplines.
4) Duplication of facilities
and job functions.
-
Matrix Structure
SINCE BOTH FUNTIONAL AND PROJECTIZED HAVE STRENGTHS
AND WEAKNESSES, we need to maximize strengths and
weaknesses.
16
0
weaknesses.
MATRIX: best of both organizational structures.
Employees in a matrix organization report to
one FM and at least one PM.
PM and FM together conduct performance
review of the employees.
-
Matrix Structure
Matrix organizations are of three types:
16
1
WEAK
MATRIX
BALANCED
MATRIX
STRONG
MATRIX
-
Matrix Structure
Weak matrix (more like functional)- Here, the balance
of power rests with the FM and PM is merely an
expeditor or coordinator.
WEAK
MATRIX
16
2
expeditor or coordinator.
Project expeditor acts mainly as a staff assistant and
coordinates communication. Project expeditor can not
make or enforce any decisions.
Project coordinator has some power to make
decisions and reports to higher level manager than
expeditor.
-
Matrix Structure
organizational STRCUTURE
CEO
Staff engaged
in project work
Weak matrix
16
3Staff
Project
coordination
CEO
Functional
Manager A
Functional
Manager C
Functional
Manager B
Staff
Staff
Staff Staff
Staff
Staff Staff Staff
-
Matrix Structure
BALANCED
MATRIX
Balanced matrix- The power is balanced between
project manager and functional manager.
16
4
project manager and functional manager.
Each manager has responsibility for his/her part of the
project or organization, and people get assigned to
projects based on the needs of the project, not
strengths or weakness of the managers position.
Most organizations are Balanced Matrix these
days!
-
Matrix Structure
organizational STRCUTURE
CEO
Staff engaged
in project work
Balanced matrix
16
5
Project
coordination
CEO
Functional
Manager A
Functional
Manager C
Functional
Manager B
Staff
Project Manager
Staff Staff
Staff
Staff Staff
Staff
Staff
-
Matrix Structure
STRONG
MATRIX
16
6
Strong matrix is more like projectized.
Here,
The balance of power rests with
The project manager
not
The functional manager.
-
Matrix Structure
organizational STRCUTURE Strong matrix
CEO
Staff engaged
in project work
16
7
Project
coordination
CEO
Functional
Manager A
Functional
Manager C
Functional
Manager B
Staff
Staff
Staff Staff
Staff
Staff Staff
Staff
Staff
Manager of
Project Managers
Project
Manager
Project
Manager
Project
Manager
-
Matrix Structure
RELEVANCE FOR PROJECTS
Highly visible project Not cost effective as
ADVANTAGES DISADVANTAGES
16
8
Highly visible project
objectives.
Improved PM control
over resources.
More support from
functions.
Maximum utilization of
scarce resources.
Better coordination.
Not cost effective as
more administrative
personnel are
needed.
More than one boss for
project team.
More complex to
monitor and control.
-
Matrix Structure
Better information flow
(both horizontal and
Tougher problems with
resource allocation.
ADVANTAGES DISADVANTAGES
16
9
(both horizontal and
vertical) than functional.
Team members
maintain a home, they
continue to belong to
their respective
departments unlike
projectized.
resource allocation.
Requires extensive
policies and procedures.
FMs may have differing
priorities than PMs.
Higher potential for
conflicts and duplication
of efforts.
-
Composite Structure
organizational STRCUTURE Composite organization
CEO
Staff engaged
in project work
Project Y
17
0
Project X
coordination
CEO
Functional
Manager A
Functional
Manager C
Functional
Manager B
Staff
Staff
Staff Staff
Staff
Staff Staff
Staff
Staff
Manager of
Project Managers
Project
Manager
Project
Manager
Project
Manager
Project Y
Coordination
Staff
Staff
-
Functional
Matrix
Weak Balanced Strong
Projectized
Structure
Features
Organizational structure influences on project
17
1
Weak Balanced Strong
Project
Manager
Power
Little or none Limited Low to
Moderate Moderate
to High
FULL
AUTHORITY
Resource
Availability
Little or none Limited Moderate Moderate
to High
ALMOST
TOTAL
Budget
Control
Functional
Manager
Functional Mixed Project
Manager Manager
Project
Manager
Role of Project
Manager
Part time Part time Full time Full time
On projects on projects on projects
FULL TIME ON
PROJECTS
Administrative
Staff
Part time on Part time Full time Full time
On projects on projects on projects
FULL TIME ON
PROJECTS
Features
-
Organization Process Assets
1. Corporate Knowledgebase
OPAs help us throughout the project!
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2
1. Corporate Knowledgebase
2. Policies, Processes and Procedures
-
Organization Process Assets
1. Corporate Knowledgebase
OPAs help us throughout the project!
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3
1. Corporate Knowledgebase
- Historical information from previous projects
- Lessons learned from previous projects
Project files, process measurement databases, issue and
defect management databases, configuration
management databases, versioning and rebaselining info,
Financial databases, overruns, etc.
-
Organization Process Assets
2. Policies and Procedures
OPAs help us throughout the project!
- organization's policy and procedures for conducting work
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4
- organization's policy and procedures for conducting work
Organizational standards, policies, standard product and
project lifecycles, quality policy and procedures, work
instructions, performance measurement criteria, proposal
evaluation criteria, Templates (WBS, Network Diagram,
Contract Templates), ethics policy, project management
policy, Guidelines/criteria for tailoring, Project Closure
Guidelines/Requirements..
-
Organization Process Assets
2. Policies and Procedures
OPAs help us throughout the project!
- organization's policy and procedures for conducting work
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5
- organization's policy and procedures for conducting work
Issue and defect management procedures,
Procedures for prioritizing, approving and issuing work
instructions, Change Control Procedures, Risk Control
Procedures, Financial Control Procedures,
Organizational Communication Requirements.
-
PM Basics
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6
Project Management Processes
-
PM Basics: Project Management Knowledge Areas
PM Basics: Last Leg!
The Project Management Processes
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7
The Project Management Processes
But, before we master its concepts, we
need to know the knowledge areas
which contribute
as building blocks of the
Project Management Process Groups!
-
PM Basics: Project Management Knowledge Areas
Project Management
Knowledge Areas
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8
Knowledge Areas
Describe Project Management Knowledge and Practice in
terms of THEIR COMPONENT PROCESSES.
9 Knowledge Areas!
-
PM Basics: Project Management Knowledge Areas
o Integration
o Scope WHY
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9
o Scope
o Time
o Cost
o Quality
o Human Resource
o Communications
o Risk
o Procurement
WHY
NINEKNOWLEDGE
AREAS?
-
Supports various elements
of project management which
Project Integration Management
PM Basics: Project Management Knowledge Areas
Develop Project Charter
Develop Project Management Plan
Direct and Manage project
execution
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0
of project management which
are identified, defined,
Combined and coordinated
To ensure project includes
all the work required and
Only the Work needed to
complete project
Successfully
Project Scope Management
execution
Monitor and control project work
Perform Integrate change control
Close project or phase
Collect requirements
Define scope
Create WBS
Verify scope
Control scope
-
To ensure timely completion
Project Time Management
PM Basics: Project Management Knowledge Areas
Define Activities
Sequence Activities
Estimate Activity Resources
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1
To ensure timely completion
of the project
Planning, controlling, and
managing costs so
that project is completed
within approved Budget
Project Cost Management
Estimate Activity Resources
Estimate Activity Durations
Develop Schedule
Control Schedule
Estimate Costs
Determine budget
Control Costs
-
To ensure project will satisfy
Project Quality Management
PM Basics: Project Management Knowledge Areas
Plan Quality
Perform Quality Assurance
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2
To ensure project will satisfy
NEEDS for which it was
undertaken
To make most effective
use of people involved
with the project
Project HR Management
Perform Quality Assurance
Perform Quality Control
Develop Human Resource plan
Acquire project team
Develop project team
Manage project team
-
To ENSURE TIMELY and
APPROPRIATE generation,
Project Com. Management
PM Basics: Project Management Knowledge Areas
Identify Stakeholders
Plan Communications
Distribute Information
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3
APPROPRIATE generation,
collection, dissemination, Storage
and disposition of the
PROJECT INFORMATION
Concerned with
identifying, analyzing, and
responding to project risks
Project Risk Management
Distribute Information
Manage stakeholders expectations
Report Performance
Plan Risk Management
Identify Risks
Perform Qualitative risk analysis
Perform Quantitative risk analysis
Plan Risk responses
Monitor and control Risks
-
To acquire material, goods
Project Procurement
Management
PM Basics: Project Management Knowledge Areas
Plan procurements
Conduct procurements
Administer procurements
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4
To acquire material, goods
and services outside
performing organization
To meet project scope
Administer procurements
Close procurements
-
PM Basics
So, here we come!
We will now deal with
18
5
We will now deal with
Project Management Processes
Project Processes
Process Groups
Process Interactions
Customizing Process Interactions
Mapping of Project Management Processes
Just a foundation
talk
at the outset!
-
PM Basics: Project Management Processes
Project Team must:
1) Select right processes within the process groups.
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6
1) Select right processes within the process groups.
2) Use defined approach to adapt product specs and
plans to fulfill PROJECT and PRODUCT
Requirements.
3) Adhere to the requirements to fulfill the needs,
wants, and expectations of the stakeholders.
4) Balance competing demands of Scope, Time,
Cost, Quality, Resources, and risk to accomplish
a quality product, service, or result.
-
PM Basics: Project Management Processes
We will discuss about what is required to:
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7
We will discuss about what is required to:
1) Initiate
2) Plan
3) Execute
4) Monitor and control, and
5) Close a project.
-
PM Basics: Project Management Processes
What is a process?
Project Processes
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8
A set of
interrelated
actions
&
activities
To accomplish
A
pre-specified
set
of products,
services, or
results
PERFORMED
-
PM Basics: Project Management Processes
Project processes are performed by the project team
and consist of two main categories:
1)
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9
Project
Processes
Project
Management
Processes
Product-oriented
Processes
1)
2)
-
PM Basics: Project Management Processes
1) Are common to most projects most of the
time.
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0
2) Are related with each other by their
performance for an integrated purpose of
initiating, planning, executing, monitoring and
controlling, and closing a project!
3) These processes interact with each other in
complex ways (discussed a little later).
-
PM Basics: Product-oriented Processes
1) Specify and create projects product.
2) Are typically defined by the respective
project life cycle.
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1
project life cycle.
3) Vary by application area!
Both project management processes and product-oriented
processes overlap throughout the project.
Example: You can not define the project scope without
basic knowledge of how to create the concerned product!
-
PM Basics: Project Processes
Project management
is an integrative effortA change in scope
Always Though, it may or
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2
Scope, Time,
Cost,
Quality, Risk, etc.
Any action or lack
of it in one area
affects other areas
Project cost
Always
affects
Though, it may or
may not affect
product quality
or morale of the
team
-
PM Basics: Project Processes SOME TRUTHS!
Project processes interactions require trade
offs among project objectives (scope, time,cost, and performance).
19
3
cost, and performance).
Enhancing performance in one area leads to
scarifying SOMETHING in another area.
Hence, project objectives are called triple
constraints shown through a triangle with its
sides or corners representing each constraint
(we have already discussed it).
-
PM Basics: PM Process Groups
Initiating
Process Group
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4
Process Group
Authorizes the project or phase
-
PM Basics: PM Process Groups
Planning
Process Group
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5
Process Group
1) Establish the scope of the project,
2) Refine the objectives,
3) Define the course of action for attaining the
objectives.
-
PM Basics: PM Process Groups
Executing
Process Group
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6
Complete the work defined in the project
management plan to satisfy the project
specifications! Coordinates people and resources.
-
PM Basics: PM Process Groups
Monitoring & Controlling
Process Group
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7
Process Group
- Track, review, and regulate the progress and
performance of the project.
- Manage changes to the project management
plan
-
PM Basics: PM Process Groups
Closing
Process Group
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8
- Finalize all activities across all Process
Groups to formally close the project or phase.
- Brings it to an orderly end.
-
PM Basics: Project Management Process Groups
Project Management Process Groups
INTERACTIONS
Initiating
Process
Planning
Process
Charter PM process groups are
linked by their outputs.
Output of one is input to
another .
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9
Executing
Process
Closing
Process
Controlling
Process
Project
Plan Recommended
Corrective
actions
Work results
Implemented
Corrective actions
For Project
Plan updates
Correctly
Produced
deliverables
for formal
acceptance
-
Project Process Groups Interactions: HIGH LEVEL
SOWCulture, PMIS, HR Pool
Defined work processes, Knowledge base
Organization
Environmental factors
Project Initiator
of SponsorINITIATINGProcess Group
CONTRACT
Project Charter
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0
Organizational
Process assets
Customer
PLANNING
Process Group
EXECUTING
Process Group
MONITORING &
CONTROLLING
Process Group
CLOSING
Process Group
Project PLAN
Deliverables
APPROVED DELIVERABLESFinal product
Administrative & contract closure
Org. process assets updates
-
PM Basics: Project Management Process Groups
Project Management Process Groups
overlapping in a phase
Executing
Process
Group
Controlling
Process
Group
Closing
Process
Group
PM process groups
overlap and occur at
various levels of intensity
throughout each Project
Phase.
L
e
v
e
l
o
f
a
c
t
i
v
i
t
y Initiating
Process
Group
Planning
Process
Group
20
1
Phase.
They are not one-time,
discrete events!
time
L
e
v
e
l
o
f
a
c
t
i
v
i
t
y
Phase
Start
Phase
Finish
Closing
Process
Initiating
Process
Planning
Process
Executing
process
Controlling
Process
Group Group
-
PM Basics: Project Management Process Groups
Closing one phase offers input to initiating the next phase!
Project Management Process Groups
cross phases
Design phase Execution phaseOutput:
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2
Later
Phases
Execution phase
Prior
Phases
Output:
Design document
requiring customer
acceptance
Output:
Design
document
Serves as
product
description
for
Execution
phase
-
PM Basics: Project Management Processes
Project Management Process Groups
Why repeat initiation process at the beginning of each phase?
20
3
1) Well, it keeps the project focused on the business
need for which it has been taken up!
2) It helps you halt the project if the project is not likely
to satisfy the business need!
3) It helps you halt the project if the business need
does not exist any more!
-
PM Basics: Project Management Process Groups
Project Management Process Groups
PM Process Groups
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4
PM Process Groups
Controlling
Processes Initiating
Processes
Planning processes
Executing processes
-
Project boundaries
Project boundaries
PM Basics: Project Management Process Groups
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5
Project boundaries
Controlling
ProcessesInitiating
Processes
Planning processes
Executing processes
Project
Inputs
Project
Initiator
Sponsor
Project
Deliverables
Project
Records
End
User
Process
Assets
-
INITIATING PROCESSES
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6
INITIATION PROCESS GROUP
INTEGRATION
COMMUNICATION
Develop
Project Charter
Identify
stakeholders
Planning
process group
Executing
process group
Monitoring &
controlling
process
group
-
INITIATING PROCESS GROUP
THE PURPOSE
Facilitates formal authorization to begin a new
20
7
Facilitates formal authorization to begin a new
project or phase.
Done outside the projects scope of control.
Business needs or requirements are documented.
Normally the feasibility is established by evaluating
various alternatives and choosing the best one.
-
INITIATING PROCESS GROUP
WHAT IS DONE HERE?
Clear descriptions of project objectives are developed,
noting down the reasons for selecting the project to
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8
noting down the reasons for selecting the project to
best satisfy the requirements Such decision also gives us basic description of
1) project scope
2) deliverables
3) forecast of resources
4) high-level constraints, assumptions, risks
-
INITIATING PROCESS GROUP
VERY IMPORTANT
Involving stakeholders during initiation
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9
Involving stakeholders during initiation
1) develops Shared Ownership,
2) enhances Chances of Deliverable
Acceptance, And
3) Customer/other stakeholders
Satisfaction!
-
INITIATING PROCESS GROUP
Simply put, this process group
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0
1. Authorizes/starts a project or phase
2. Defines projects purpose
3. Identifies objectives
4. Empowers project manager to
start the project
Please remember this!
-
PLANNING processes
Are used to plan and manage a successful project
Purpose of Planning Processes:
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1
Are used to plan and manage a successful project
Help gather information from many sources for
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