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PROJECT MANAGEMENT
Overview and Concepts
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OUT LINE FOR TODAY
What is a project? What is Project Management?
The Context for Project Management The Project Management Process Knowledge areas for project
management
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Motto
Professional Project Managementmakes the difference between success
and failure in all our engagements
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Project ManagementA project is a temporary endeavour undertaken to create a
unique product or service:Temporary means that every project has a definite beginningand a definite end.Unique means that the product or service is different in somedistinguishing way from all similar products or services.
Distinguish between projects and operations:operations are ongoing and repetitiveprojects are temporary and unique
Projects are usually performed by teams:
clearly defined team and individual rolesopen and effective communicationsvisible rewards for good performance, pressure to improvepoor performance
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Operations and Projects
Operations and projects share many
characteristics: Performed by people. Constrained by limited resources. Planned, executed, and controlled.
Operations may include activities such as:
Financial management and control Continuous manufacture Product distribution
Projects may include activities such as: Developing a new product or service.
Effecting a change in structure, staffing, or style of anorganization. Developing or acquiring a new or modified information
system.
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Projects are Temporary Temporary means that every project has a
definite beginning and a definite end.
The end is reached: When the projects objectives have been achieved, or
When it becomes clear that the project objectives will
not or cannot be met and the project is terminated. Temporary does not necessarily mean short induration: many projects last for several years.
The duration of a project is finite: projects are not ongoing efforts.
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The Product of a Project is
Unique A product or service may be unique even if the category it belongsto is large.
For example, many thousands of office buildings have beendeveloped, but each individual facility is uniquedifferent
owner, different design, different location, differentcontractors, and so on.
Because the product of each project is unique, thecharacteristics that distinguish the product or service must beprogressively elaborated.
Progressively means proceeding in steps; continuing steadilyby increments
Elaborated means worked out with care and detail; developedthoroughly
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What is Project Management?
Project management is the application of knowledge, skills,tools, and techniques to project activities in order to meetor exceed stakeholder needs and expectations from aproject
Meeting stakeholder needs and expectations involvesbalancing competing demands among:
Scope, time, cost, and quality. Stakeholders with differing needs and expectations.
Identified requirements (needs) and unidentified requirements (expectations).
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Project management consists of
Roles
Who isresponsible?
1
2
7
8
3
Processes
Work Products
What to deliver?
Techniques
How to produce?
Hints &Tips
How to produce?
Guiding
Principles
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News flash
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Stages of PM
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The Triple Constraint of ProjectManagement
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Managing triple constraint
1. Builds the dashboard you use for controlling the project.
2. Without this dashboard, you have no way of knowing where the project iscurrently headed, how far off course it is, or what action to take to get it back
on course.
3. If you neglect this function, you and all project stakeholders are subject tounhappy surprises.
4. Uncontrolled projects rarely reach their goal.
Manage the Triple Constraint
Delivery
(Performance)
Cost
(Budget)
Time
(Schedule)
Client
Agreement
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The Context for Project
Management The Project Life Cycle Project Stakeholders
Organizational Influences Key General Management Skills
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The Project Life Cycle
The project life cycle serves to define thebeginning and the end of a project
The life cycle is normally divided into anumber of phases
Each project phase is marked bycompletion of one or more deliverables A deliverable is a tangible, verifiable work
product such as a
feasibility study, a detail design, or a workingprototype
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A Generic Life Cycle
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Project Stakeholders Project stakeholders are individuals and
organizations who are actively involved in theproject, or whose interests may be positively ornegatively affected as a result of project executionor successful project completion
The project management team must identify thestakeholders, determine what their needs andexpectations are, and then manage and influencethose expectations to ensure a successful project
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Key Stakeholders
Key stakeholders on every project include: Project manager
the individual responsible for managing the project.
Customer the individual or organization who will use the project
product
Performing organization the enterprise whose employees are most directly involved
in doing the work of the project.
Sponsor the individual or group within the performing organization
who provides the financial resources, in cash or in kind, forthe project.
Project team members the people doing the work on the project to realise a
product
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Influence of OrganizationalStructure on Projects
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Organizational Influences
Conduct of Projects is influenced by: Organizational Structure
range from fully functional to totally project oriented
Organizational Culture Conservative or Aggressive Participative or Authoritarian
Organizational Systems
Suitability of support functions such as finance,human resource management or strategic planningfor project work
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10 Reasons Why Projects
Fail
Source:Gartner Group, July
1998 and Accenture analysis
C f P P j
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31% of all new software developmentprojects are cancelled beforecompletion
53% of projects cost >189% of originalestimates
16.2% of software projects completedon time and on budget
Average overrun is 222% of originalestimates
Source: Standish Group, 1995
Costs of Poor Project
Management
A survey on overall applicationsdevelopment projects revealed:
46% of IT projects were"challenged" (completed overbudget and past the originaldeadline).
6% of projects succeeded.
28% of projects failed.
Source:Standish Group, 1998
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Influencing the organization
Ability to get things done Requires an understanding of both the
formal and informal structures of all thestakeholders
An understanding the mechanics of power
and politics
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Project Management Process
The purpose of the Projectmanagement process is to identify,
establish, and coordinate andmonitor activities, tasks, andresources necessary for a project to
produce a product and/or servicemeeting the agreed requirements.
f j
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Outcomes of ProjectManagement
As a result of successful implementation of theprocess: the scope of the work for the project will be defined; the feasibility of achieving the goals of the project with
available resources and constraints will be evaluated;
the tasks and resources necessary to complete thework will be sized and estimated; interfaces between elements in the project, and with
other projects and organizational units, will be identifiedand monitored;
plans for execution of the project will be developed and
implemented; progress of the project will be monitored and reported; actions to correct deviations from the plan and to
prevent recurrence of problems identified in the project,will be taken when project targets are not achieved.
l d f j
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Knowledge Areas for ProjectManagement
Project Integration Management Project Scope Management
Project Time Management Project Cost Management Project Quality Management Project Human Resource Management
Project Communications Management Project Risk Management Project Procurement Management
A F k f P j
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A Framework for ProjectManagement
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Project Integration Management
Describes the processes required to ensure that the various
elements of the project are properly coordinated. Tradeoffs among competing objectives and alternatives
to meet or exceed stake holders needs or expectations
Consists of project plan development
Integrating and co-ordinating all project plans to create aconsistent, coherent document
project plan execution
Carryout the project plan by performing the activitiesincluded therein
overall change control.
Co-ordinating the changes across the entire project
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These processes interact with each other and with the
processes in the other knowledge areas as well. Eachprocess may involve effort from one or more
individuals or groups of individuals, based on the needs ofthe project.
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Project Scope Management Describes the processes required to ensure that
the project includes all the work required, and onlythe work required, to complete the projectsuccessfully.
Consists of initiation
Authorizing the project phase scope planningDeveloping a written scope statement as the basis for future
project decisions
scope definitionSubdividing the project deliverables into smaller, more manageable
components scope verificationFormalizing the acceptance of the project scope
scope change control.Controlling the changes to project scope
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Project Time Management
Describes the processes required toensure timely completion of theproject.
Consists of activity definition
activity sequencing
activity duration estimating
schedule development
schedule control
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Activity Definitionidentifying the specificactivities that must be performed to produce thevarious project deliverables.
(b)Activity Sequencingidentifying anddocumenting interactivity dependencies.
(c)Activity Duration Estimatingestimatingthe number of work periods that will be needed
to complete individual activities. (d) Schedule Developmentanalyzing activitysequences, activity durations, and resourcerequirements to create the project schedule.
(e) Schedule Controlcontrolling changes tothe project schedule.
P j C M
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Project Cost Management Describes the processes required to ensure that
the project is completed within the approvedbudget.
Consists of resource planning
determining what resources (people, equipment, materials) andwhat quantities of each should be used to perform projectactivities.
cost estimating
developing an approximation (estimate) of the costs of theresources needed to complete project activities.
cost budgeting Allocating the overall cost estimate to individual work activities
cost control
Controlling changes to the project budget
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Project Quality Management
Describes the processes required to ensure thatthe project will satisfy the needs for which it wasundertaken.
Consists of
quality planning
Identifying relevant quality standards
quality assurance
Planned and systematic activities implemented within the
quality system quality control.
Monitoring specific project results
P j t H R
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Project Human ResourceManagement
Describes the processes required to make themost effective use of the people involved with theproject
Consists of organizational planning
Identifying, documenting and assigning project roles andresponsibilities
staff acquisition Getting the human resource needed, assigned to and working
on the project
team development. Developing individual and group competencies to enhance projectperformance
P j t C i ti
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Project CommunicationsManagement
Describes the processes required to ensuretimely and appropriate generation,collection, dissemination, storage, and
ultimate disposition of project information Consists of communications planning
information distribution
performance reporting
administrative closure.
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Communications Planningdetermining theinformation and communications needs of thestakeholders: who needs what information,
when they will need it, and how it will be givento them. Information Distributionmaking needed
information available to project stakeholders in atimely manner.
Performance Reportingcollecting anddisseminating performance information. Thisincludes status reporting, progressmeasurement, and forecasting.
Administrative Closuregenerating,gathering, and disseminating information toformalize a phase or project completion.
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Communicating is a broader subject and involves asubstantial body of knowledge that is not unique to theproject context. For example:
Sender-receiver modelsfeedback loops, barriers tocommunications, etc.
Choice of mediawhen to communicate in writingversus when tocommunicate orally, when to write an informal memoversus when to write a formal report, etc.
Writing styleactive versus passive voice, sentencestructure, word choice, etc.
Presentation techniquesbody language, design ofvisual aids, etc.
Meeting management techniquespreparing anagenda, dealing with conflict, etc.
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Project Risk Management
Describes the processes concerned withidentifying, analyzing, and responding to projectrisk
Risk Management Planningdeciding how to approach andplan the risk
management activities for a project. Risk Identificationdetermining which risks might affect theproject and
documenting their characteristics. Qualitative Risk Analysisperforming a qualitative analysis
of risks and conditions to prioritize their effects on project objectives. Quantitative Risk Analysismeasuring the probability and
consequences of
risks and estimating their implications for project objectives.
Project Procurement
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Project ProcurementManagement
Describes the processes required toacquire goods and services from outsidethe performing organization
Consists of procurement planning solicitation planning
source selection
contract administration contract close-out
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Project management plan
Project
Definition
ProjectPlan
Procedures
and Tools
Other
Supporting
Plans
Project Management PlanSections:1. Background
2. Objectives
3. Scope
4. Deliverables
5. Approach
6. Risks
7. Assumptions
8. Constraints9. External Dependencies
10. Critical Success Factors
11. Equipment and Facilities Needs
12. Client Responsibilities
Subordinated Work Products
Project Management Tools Issue Resolution Procedure
Data / Document Management
Procedures
Other Project Procedures
Subordinated Work Products
Start-Up Plan
Configuration Management Plan
Subcontractor Management Plan
Acceptance Plan Communication Management Plan
Quality Plan
Risk Management Plan
Training Plan
Project Completion Plan
Performance Measurement Plan
Update Plan
Detail Level Sections:
1. Product/Work Breakdown
Structure
2. Project Dependency
Diagram
3. Project Schedule
4. Project Organization
5. Staffing Profile
6. Project Budget7. Payment Schedule
Top Level Sections:
1. Product/Work Breakdown
Structure
2. Project Dependency Diagram
3. Project Schedule
4. Project Organization
5. Staffing Profile6. Project Budget
7. Payment Schedule
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Summary
Project Management Introduction What is a project?
What is Project Management?
The Context for Project Management The Project Management Process
Knowledge areas for project
management
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introduction to project
Exercise
Take a few minutes to write downanswers to:
What are the main ideas I havelearned today?
What am I still confused about, or
dont understand?