chapter-1. what is a project? ? a project is a sequence of unique, complex and connected activities...
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What is a Project?A project is a sequence of unique, complex and
connected activities having one goal or purpose that must be completed by a specific time, wthin budget and according to specification.
A project is a complex, nonroutine, one-time effort limited by time, budget, resources, and performance specifications designed to meet customer needs.
Projects are ad hoc, resource-consuming activities used to implement organizational strategies, achieve enterprise goals and objectives, and contribute to the realization of the enterprise‘s mission.
PM Bok Says:A project is a temporary endeavor undertaken to create a unique product, service or result.
A Project can CreateA product that can be either a component of
another item or an end item in itself.
A capability to perform a service(e.g., a business function that supports production or distribution).
A result such as an outcome or a document (e.g., a research project that develops knowledge that can be used to determine whether a trend is present or a new process will benefit society).
Give examples:
Examples of Projects• Developing a new product or service (Why)• Effecting a change in the structure, staffing
or style of an organization• Developing or acquiring a new modified
information system (DAR satellites etc)• Constructing a building or infrastructure
(Motorway)• Implementing a new business process or
procedure (Cut down cost / material / HR)• Give examples of Projects in Pakistan / World
A „Typical“ Project Life-Cycle
8
Phase 1: Conceptual Phase 2: Planning Phase 3: Execution Phase 4: Termination
Doll
ars
of
Man
hou
rs (
leve
l of
Eff
ort
)
• Identify Need• Establish Feasibility• Identify Alternatives• Prepare Proposal• Develop Basic Budget and Schedule• Identify Project Team
• Identify Schedule• Conduct Studies and analyses• Design System• Build/test prototypes• Analyze results• Obtain approval for production
• Procure Materials• Build/ test tooling• Develop support requirements• Procure System• Verify Performance• Modify as required
• Train functional personnel• Transfer materials• Transfer responsibility• Release resources• Reassign project team members
David I. Cleland / Lewis R. Ireland, Project Management: Design and Strategic Implementation, 4th ed., p. 50.
What is Project Management?• It is the application of:
– Knowledge– Skills– Tools– Techniques – To do project activities to meet project requirements– It is accomplished through appropriate application and
integration of 47 logically grouped project management processes comprising the 5 process groups.
– What are those FIVE Process Groups?
– What are those 10 Knowledge Areas in Projects?
Mapping the Processes Initiating
P.G.
Planning
P.G.
Executing
P.G.
Controlling
P.G.
Closing
P.G.
4. Project Integration Management
4.1 Develop Project Charter
4.2 Develop Project Management Plan
4.3 Direct & Manage Project Execution
4.4 Monitor & Control Project Work
4.5 Perform Integrated Change Control
4.6 Close Project or Phase
5. Project Scope Management
5.1 Plan Scope Management
5.2 Collect Requirements5.3 Define Scope
5.4 Create WBS
5.5 Validate Scope5.6 Control Scope
6. Project Time Management
6.1 Plan Schedule Management
6.2 Define Activities6.3 Sequence Activities6.4 Estimate Activity resources
6.5 Estimate Activity Duration6.6 Develop Schedule
6.7 Control Schedule
11
Process Group
Knowledge Area
Mapping the Processes (cont.)Initiating
P.G.
Planning
P.G.
Executing
P.G.
Controlling
P.G.
Closing
P.G.
7. Project Cost Management
7.1 Plan cost management
7.2 Estimate Costs
7.3 Determine Budget
7.4 Control Costs
8. Project Quality Management
8.1 Plan Quality Management
8.2 Perform QualityAssurance
8.3 Control Quality
9. Project Human Resource Management
9.1 Plan Human Resource Management
9.2 Acquire Project Team9.3 Develop Project Team
9.4 Manage Project Team
10. Project
Communications
Management
10.1 Plan CommunicationsManagement
10.2 Management Communication
10.3 Control Communication
11. Project Risk
Management
11.1 Plan Risk Management11.2 Identify Risk11.3 Perform Qualitative Risk Analysis11.4 Perform Quantitative Risk Analysis11.5 Plan Risk Responses
11.6 Control Risks
12
Mapping the Processes (cont.)Initiating
P.G.
Planning
P.G.
Executing
P.G.
Controlling
P.G.
Closing
P.G.
12. Project
Procurement Management
12.1 Plan Procurement Management
12.2 Conduct Procurements
12.3 Control
Procurement
12.4 Close Procurement
13. Project Stakeholder
Management
13.1 Identify Stakeholders
13.2 Plan Stakeholder Management
13.3 Manage Stakeholder Engagement
13.4 Control Stakeholder Engagement
13
PM Knowledge Area
Process Group
Why Projects?To meet strategic business goals and
objectives:Strategic opportunityBusiness needsCustomer requestTechnological advanceLegal requirements
Program ManagementProgram Management is defined as 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
A program will always have projects.
Example of a Program ManagementA new communication satellite system:Designing of a satellite and ground systemConstruction of a satellite and ground stationIntegration of the systemLaunching of the satellite
What is Portfolio Management?A portfolio is a collection of projects or
programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives.
The projects or programs in the portfolio may not necessarily be interdependent or directly related.
Examples of Portfolio ManagementAn infrastructure firm that has the strategic
objective of maximizing the return on its investments may have a portfolio of:
Projects in oil & gasProjects in powerProjects in waterProjects in roadsProjects in railProjects in airports
Functions of (PMO)1. Managing shared resources2. Identifying & developing project
management methodology, best practices and standards
3. Coaching, monitoring, training and oversight
4. Monitoring compliance project audits5. Developing & managing project policies,
procedures, templates and other standard documentation?
6. Coordinating communication across projects
What is a PMOProject Management Office (PMO)
An organizational structure that standardizes the project-related governance processes and facilitates the sharing of resources, methodologies, tool and techniques.
Project Manager Focuses on a specific project objectiveControls resources to best meet project
objectivesManages the constraints (scope, schedule,
cost, risk, human resources and quality etc) of individual project
Main Functions of a Project Manager Identify stakeholders & Leadership (decision
makers: Client, Parent organization, Project Team, Publics)
Define scope of project
Develop detailed task list (work breakdown, structures)
Develop initial project management flow chart
Estimate time requirements
Identify cost estimation and budget
Identify required resources and evaluate risks
Main Functions of a Project Manager
Prepare contingency planIdentify interdependenciesIdentify and track critical milestonesSecure needed resources, manpowerParticipate in project phase reviewManage the change control processReport project status
Project VS Operations
PROJECTS OPERATIONSProjects require Project Management Operations require Business Process Management or Operations ManagementTemporary Undertakings Permanent EndeavorsTemporary Assignments Ongoing nature of OperationsProduce Unique Outputs Produce Repetitive OutputsTemporary Resourcing Permanent Resource AssignmentsExecute according to Project Management Plan Execute as per standards (SOPs)
developed for project life cycle institutionalized in product life cycle. Obtain objectives and then terminate Sustain the business Concludes when its specific objectives have been Adopt a new set of adjectives and the attained work continues
Project Vs Production Interaction
Projects can intersect with operations at various points during the product life cycle:At each closeout phaseWhen developing a new product, upgrading a
product, or expanding outputsImprovement of operations or the product
development process
Enterprise Environmental FactorsOrganizational culture, structure &
processesGovernment or industry standardsInfrastructure: Existing facilities and capital
equipmentExisting human resource Marketplace conditionsStakeholder risk tolerancePotential climatePolitical climateEstablished communication channelsCommercial databases: cost, risk study / infoProject management information systems (blog)