B A 421B A 421Project Management and Project Management and

Planning for BusinessPlanning for Business

Instructor InformationInstructor Information

Leisha Ott

Fall 2001

Web Page: http://www.personal.psu.edu/lfm3/

This provides a link to my BA-421 Project Management Web Page.

Course InformationCourse Information

Course RequirementsCourse Requirements

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ScheduleSchedule

Final Dec 12 Exam #3 8:00 pm to 9:50 pm

This Course Will Help Prevent...This Course Will Help Prevent...A magazine recently ran a "Dilbert Quotes" contest. They were looking for people to submit quotes from their real-life Dilbert-type managers. Here are some of the submissions (Courtesy of Laugh-Of-The-Day.com):

“As of tomorrow, employees will only be able to access the building using individual security cards. Pictures will be taken next Wednesday and employees will receive their cards in two weeks.” (This was the winning entry; Fred Dales at Microsoft Corporation)

“What I need is a list of specific unknown problems we will encounter.” (Lykes Lines Shipping)

“E-mail is not to be used to pass on information or data. It should be used only for company business.” (Accounting Mgr., Electric Boat Company)

“This project is so important, we can't let things that are more important interfere with it.” (Advertising/Mktg. Mgr., UPS)

“Doing it right is no excuse for not meeting the schedule. No one will believe you solved this problem in one day! We've been working on it for months. Now, go act busy for a few weeks and I'll let you know when it's time to tell them.” (R&D Supervisor, Minnesota Mining & Manufacturing /3M Corp.)~

...and Just a Few More...and Just a Few More“Quote from the boss: ‘Teamwork is a lot of people doing what 'I' say.’ ” (Mktg. executive, Citrix Corporation)

“My sister passed away and her funeral was scheduled for Monday. When I told my boss, he said she died so that I would have to miss work on the busiest day of the year. He then asked if we could change her burial to Friday. He said, ‘That would be better for me.’ ” (Shipping Executive, FTD Florists)

“We know that communication is a problem, but the company is not going to discuss it with the employees.” (AT&T Long Lines Division)

“We recently received a memo from senior management saying, This is to inform you that a memo will be issued today regarding the subject mentioned above.” (Microsoft, Legal Affairs Division)

“This gem is the closing paragraph of a nationally-circulated memo from a large communications company: ‘Lucent Technologies is endeavorily determined to promote constant attention on current procedures of transacting business focusing emphasis on innovative ways to better, if not supersede, the expectations of quality!’ ” ~

Topic 1:Topic 1:Introduction to Project Introduction to Project

ManagementManagement

Project Management Project Management PrinciplesPrinciples

What’s a Project?What’s a Project?

An endeavor to An endeavor to accomplish a specific accomplish a specific objective through a objective through a unique set of unique set of interrelated tasks and interrelated tasks and the effective utilization the effective utilization of resourcesof resources~~

Attributes of a ProjectAttributes of a Project

Has a well-defined objectiveHas a well-defined objective Composed of a series of interdependent Composed of a series of interdependent

tasks tasks Utilizes various resourcesUtilizes various resources Has a specific time frameHas a specific time frame Has a customerHas a customer Involves a degree of Involves a degree of uncertaintyuncertainty~~

Examples of ProjectsExamples of Projects Planning a weddingPlanning a wedding

Designing and implementing a Designing and implementing a computer systemcomputer system

Hosting a holiday partyHosting a holiday party

Designing and producing a brochureDesigning and producing a brochure

Executing an environmental clean-up Executing an environmental clean-up of a contaminated siteof a contaminated site

Holding a high school reunionHolding a high school reunion

Performing a series of surgeries on an accident victimPerforming a series of surgeries on an accident victim~~

All Projects Have ConstraintsAll Projects Have Constraints

ScopeScope

CostCost

ScheduleSchedule

Customer Customer SatisfactionSatisfaction

Expect the UnexpectedExpect the Unexpected Unforeseen circumstances will Unforeseen circumstances will

almost always crop up - they may almost always crop up - they may jeopardize achievement of the jeopardize achievement of the project objective.project objective.

The challenge facing the project The challenge facing the project manager is to prevent, anticipate, manager is to prevent, anticipate, and/or overcome such and/or overcome such circumstances.circumstances.~~

The Project Life CycleThe Project Life CycleProjects are “born” when Projects are “born” when

a need is identified by a need is identified by the customerthe customer

Project life cycles vary in Project life cycles vary in length, from a few length, from a few weeks to several yearsweeks to several years

Not all projects formally Not all projects formally go through all four go through all four phases of the project phases of the project life cyclelife cycle~~

Time

Effort

IdentifyNeed

Propose Perform Terminate

Phases of the Project Life Cycle Phases of the Project Life Cycle Phase I: Identify the NeedPhase I: Identify the Need

The first phase involves the The first phase involves the identification of a need, problem, or identification of a need, problem, or opportunityopportunity

– The need and requirements are usually written The need and requirements are usually written by the customer into a document called a by the customer into a document called a request for proposal (RFP) request for proposal (RFP) ~~

The second phase is the development of The second phase is the development of a proposed solution to the need or a proposed solution to the need or problemproblem

– This phase results in the submission of a This phase results in the submission of a proposalproposal

– The customer and the winning contractor The customer and the winning contractor negotiate and sign a contract (agreement) negotiate and sign a contract (agreement) ~~

Phases of the Project Life Cycle Phases of the Project Life Cycle Phase II: Propose a SolutionPhase II: Propose a Solution

Phases of the Project Life Cycle Phases of the Project Life Cycle Phase III: Perform the ProjectPhase III: Perform the Project

TheThe third phase isthird phase is performing the performing the projectproject

– Different types of resources are utilizedDifferent types of resources are utilized– Results in the accomplishment of the project Results in the accomplishment of the project

objectiveobjective~~

Phases of the Project Life Cycle Phases of the Project Life Cycle Phase IV: TerminatePhase IV: Terminate

TheThe final phasefinal phase is terminating the is terminating the projectproject

– Perform close-out activitiesPerform close-out activities– Evaluate performanceEvaluate performance– Invite customer feedbackInvite customer feedback~~

The Project Management ProcessThe Project Management Process

The project management process The project management process meansmeans planning the work and planning the work and then working the planthen working the plan~~

Planning the WorkPlanning the Work

Clearly define the project objective Clearly define the project objective Divide and subdivide the projectDivide and subdivide the project

– Work Breakdown Structure p 12 - 13Work Breakdown Structure p 12 - 13 Define the specific activities that Define the specific activities that

need to be performedneed to be performed Graphically portray the activities in Graphically portray the activities in

a network diagrama network diagram p 14 - 15p 14 - 15

Planning the Work (Cont.)Planning the Work (Cont.)

Make a time estimateMake a time estimate– Project Schedule p. 16Project Schedule p. 16

Make a cost estimateMake a cost estimate Calculate a project schedule and Calculate a project schedule and

budgetbudget– Cumulative Budgeted Cost Curve p. 17Cumulative Budgeted Cost Curve p. 17

Working the PlanWorking the Plan Establish a baseline planEstablish a baseline plan Monitor progressMonitor progress Measure actual progress and Measure actual progress and

compare it to planned progresscompare it to planned progress– Cumulative BUDGETED Cost Curve .vs. Cumulative BUDGETED Cost Curve .vs. – Cumulative ACTUAL Cost CurveCumulative ACTUAL Cost Curve

Take CORRECTIVE ACTION if Take CORRECTIVE ACTION if the project is behind schedule, the project is behind schedule, overrunning the budget, or not overrunning the budget, or not meeting technical specificationsmeeting technical specifications

Benefits of Project ManagementBenefits of Project Management Satisfied customersSatisfied customers Additional businessAdditional business Expansion of career Expansion of career

opportunities opportunities Satisfaction of being on a Satisfaction of being on a

winning team winning team Improved knowledge and Improved knowledge and

skillsskills~~