Project management

Smart way of handling your business

Level 1

AgendaIntroductionsCourse ObjectiveUnit 1: Introduction to Project

ManagementUnit 2: Project DefinitionUnit 3: Project Planning

IntroductionsWhat is your Project Management

Experience?What types of projects will you be involved

in?What would you like to get out of the course?

Course Objectives What is project management? What are the qualities of an effective project manager? Important to know Nine knowledge areas of project

management and how they can be applied to your project. What are the phases of a project and what deliverables are

expected? Identify a project’s key stakeholders What are the different types of business cases and how to create

a Statement of Work. What is risk management and change control? How to organize project activities by creating a Work

Breakdown Structure? Create a network diagram to track your project’s progress. Budgeting and estimating techniques.

Reference MaterialProject Management

The Complete Idiot’s GuideYour Project Management Coach

Introduction to Project Management

Introduction to Project ManagementProject FailuresProject SuccessesWhat is Project Management?Key Functional Areas of Project ManagementProject Life Cycle

Project FailureIdentify reasons that project fail

Reasons for Project Failure

1. Poor project and program management2. Lack of executive-level support3. No linkage to the business strategy4. Wrong team members5. No measures for evaluating the success of the

project6. No risk management7. Inability to manage change

Project Success Criteria

On timeOn budgetMeeting the goals that have been agreed

upon

Iron Triangle(Triple Constraint)

Pick Any Two

What is a Project?Temporary with specific start and end datesUniqueProgress elaboration

Who is a Project Manager?

Ultimately responsible for the Project’s Success

Plan and ActFocus on the project’s endBe a manager & leader

Seven Traits of Good Project Managers

Trait 1Enthusiasm for the project

Trait 2Ability to manage and change effectively

Trait 3A tolerant attitude toward ambiguity

Trait 4Team – building and negotiating skills

Seven Traits of Good Project ManagersTrait 5

A customer-first orientation

Trait 6Adherence to the priorities of business

Trait 7Knowledge of the industry or technology

12 Golden Rules for Project Success

With interest and love towards your workRule #1

Gain consensus on project outcome

Rule #2Build the best team possible

Rule #3Develop a comprehensive, viable plan and keep it up-to-date.

Rule #4Determine how much stuff you really need to get things done.



Have a realistic schedule

Rule #6 Don’t try to do more than what can be doneRule #7 Remember that people count..

Rule #8 Gain the formal and ongoing support of management and stakeholders.



Must be willing to change and adapt

Rule #10 Keep others informed of what you’re up to.Rule #11 Must be willing to try new things.

Rule #12 Must become a leader

Project Management

Project ManagementThe “application of knowledge, skills, tools and

techniques to project activities to meet project requirements.”

Nine Knowledge areas

Integration ManagementFitting everything togetherPlanningProject Changes

Project Scope ManagementClear scope statementPrevent scope creep

Project Time ManagementTime and Schedule

PlanningManaging

Project Cost ManagementManage costs

Out of your controlCompleting projects

Project Quality ManagementPlanning qualityEnforcing qualityChecking quality control

Project Human Resource ManagementOrganizational planningStaff acquisitionMaking a team

Project Communications ManagementCommunication plan

Project Risk ManagementRisk management plan

Project Procurement ManagementAcquisition and contract management

Project Life Cycle

Project Definition PhaseInitiate the projectIdentify the Project ManagerDevelop the Project CharterConduct a Feasibility StudyDefine Planning PhaseSign off on the Project Charter

Project Planning PhaseOrganize and staff the projectDevelop a Project PlanSign off on the Project Plan

Project Execution PhaseExecute the Project PlanManage the Project PlanImplement the project’s resultsSign off on project’s completion

Project Close-out PhaseDocument the lessons learned during the

projectAfter-implementation reviewProvide performance feedbackClose-out contractsComplete administrative close-outDeliver project completion report

Project Life Cycle Flow

Know

Problem Space

Partial Answer

Partial Answer Solutio

n Space

Don’t Know

Don’t Know

Know

HOW

WHAT

Project Definition

Project Planning

Execution

ReviewWhat is Project Management?Key Functional AreasProject life cycle

Project Definition

Project Definition Stakeholder IdentificationBusiness CaseRiskConstraints

Stakeholder Identification

Stakeholder definitionKey stakeholders to identify

Project sponsorCustomerProject teamFunctional managers

Communicate with everyoneManage conflicts in priorities

The CustomerUses the product or servicesMay be internal or externalProvides requirementsMay have multiple categories

Project SponsorAlso shares responsibility for project success Has authority to make decisions and may

provide fundingOvercome political and organizational

obstacles

Steering CommitteeGroup of stakeholders who approve and

agree on:Project scopeScheduleBudgetsPlans Changes

Working CommitteeLine managers who are responsible for

delivering business results once the project is completed

Functional ManagersMay manage or supply people that work on

the teamNeed to be communicated withNeed their commitment to the project

ActivityRead case studyIdentify stakeholders

Project sponsorCustomer(s)Functional ManagersSteering committeeWorking committee

Business Case

Reasons why the project is undertakenOptions that were consideredBenefits that are hoped to be realizedHigh-level risksHigh-level costs & scheduleCost/benefit analysis

Feasibility StudyA general estimate used to determine

whether a particular project should be pursued.

Business Goals & ObjectivesNeed to understand:

Goals (the need for the project and the measurable benefits)

ScopeTime to completeEstimates of timeline, resource requirements

and costs

SMART goalsS – SpecificM – MeasurableA – Agreed uponR – RealisticT – Time related

Statement of Work (SOW)Purpose statementScope statementProject deliverablesGoals & objectivesCost and schedule estimatesStakeholdersChain of commandBenefits and risksAssumptions and constraintsCommunication plan

ActivityCreate a SOW for the case study

PurposeScopeProject deliverablesGoals and objectivesCost and schedule estimates

Risk management

IdentifySources of risk

Funding Time Staffing Customer relations Project size and/or complexity Overall structure Organizational resistance External factors

Risk Analysis ProbabilityImpactOverall exposure = probability X impact

Risk PlanAcceptAvoidMitigation Contingency with triggerTransfer

Risk Track and ControlRisk log

Review and update regularlyAssign ownership to risk

ConstraintsReal-world limitsTypical constraints:

BudgetSchedulePeopleReal worldFacilities and equipment

ActivityIdentify the risks and constraints in the case

study

ReviewProject Definition

Stakeholder identificationBusiness CaseRiskConstraints

Project planning

Project PlanningWork Breakdown StructureNetwork diagrammingSchedulingBudgeting

Work Breakdown Structure (WBS)

Breaks large project into manageable unitsTotal projectSubprojectsMilestones (completion of an important set of

work packages)Major activities (summary tasks)Work packages (tasks, activities, work

elements)

WBS Helps to:

Identify all work needing to be done Logically organize work so that is can be

scheduledAssign work to team membersIdentify resources neededCommunicate what has to be doneOrganize work using milestones

WBS1. Break work into independent work packages

that can be sequenced, assigned, scheduled and monitored

2. Define the work package at the appropriate level of detail

3. Integrate the work packages into a total system4. Present in a format easily communicated to

people. Each work package must have a deliverable and a time for completing that deliverable

5. Verify the work packages will meet the goals and objectives of the project

Work PackagesWay of managing the project by breaking it

downHelp determine skills required and amount of

resources neededCommunicate work that needs to be doneWork sequences are identified and

understood

WBS tipsDeliverables should be clearly statedAll work in the same package should occur at

the same timeA work package should only include related

work elements

ActivityList all work packages required for the case

study

Network Diagrams

Logical representations of scheduled project activities

Define the sequence of work in a projectDrawn from left to rightReflect the chronological order of the

activities

WBS and Network DiagramWBS: what needs to be doneNetwork Diagram: shows the workflow, not

just the work

PrecedencePrecedence defines the sequencing orderHow work elements are related to one

another in the plan

Concurrent (Parallel) activitiesMany activities can be done at the same time

as long as resources are available

Network Diagram rulesBoxes hold description of each taskLines connect activities to one anotherActivities are laid out horizontal from left

to rightParallel activities are in the same columnPrecedence is shown by drawing lines

from activity to activityOne activity may depend on the completion of

multiple other activities

Lead and LagLead – amount of time that precedes the start

of work on another activityLag – amount of time after one activity is

started or finished before the next activity can be started or finished

Other network diagramsPERT – Performance Evaluation and Review

TechniqueBetter for software-oriented projectsUses 3 time estimates to determine most

probableCPM – Critical Path Method

Better for construction type projectsOne time estimate

ActivityCreate a network diagram from the WBS for

the case study

Scheduling

1. Establish scheduling assumptions2. Estimate the resources, effort and

duration• Effort – time that it takes to work on the

activity• Duration – the time to complete the activity

3. Determine calendar dates for activities4. Adjust individual resource assignments5. Chart final schedule

Estimating TimeHave people who are doing the work provide

the estimatesGet an expert’s estimateFind a similar taskLook for relationship between activity and

time (parametric estimate)Educated guess

PERT EstimatingOptimistic estimate (OD)Most likely (MLD)Pessimistic estimate (PD)Expected = [OD + 4(MLD) +PD] / 6

ContingencyDon’t pad estimates

Will never get good estimatesAdds expense and time

Add contingency as an activityTypically 10-15%

Critical Path & Float

Critical PathSequence of tasks that forms the longest

duration of the projectFloat

Amount of time that an activity may be delayed from its earliest possible start date without delaying the project finish date

Latest possible finish date – earliest possible start – duration = total float

Normalizing the ScheduleAssign people to the scheduleStart with the critical path first, non-critical

tasks second

Loading and LevelingResource Load – the amount of work that is

assigned to a resourceResource Leveling – redistribution to even

out the distribution of work across all resources

Scheduling TipsEnsure that learning time is identifiedEnsure that administration time is includedBe aware that resources seldom work 100%

of the time on one project

Activity Create a schedule for the case study

Budgeting

Budget = People + Resources + Time

Budgeting LevelsBallpark EstimateRough Order of MagnitudeDetailed Estimate

Direct & Indirect CostsDirect costs

Directly attributed to the project

Indirect costsShared amongst other projects

Types of BudgetingBottom-upTop-DownPhased

Contingency Reserve10-15% of budget is normalDon’t pad but manage the contingency

ActivityBuild a budget for the case study

ReviewProject Planning

WBSNetwork DiagramsSchedulingBudgeting

Wrap-upEvaluationsNext Course

Principles and Practices part 2 Leadership Operating guidelines Project teams Communication plan Procurement management Quality management Monitoring and controlling Close-out activities Common project problems

Project management

Leadership & Management

Transcript of Project management