Tathagat Varma

Tathagat Varma Session 2/12: 21-May-2010

  Add more people?   Buy more time?   Offshore?   Do Agile?   Buy the latest and greatest tool?   New ‘silver bullet’?

  Project Management has some answers   However, no moneyback guarantees

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  A Project is a temporary endeavor undertaken to create a unique product, service or result  Temporary doesn’t mean short duration  Temporary doesn’t apply to product, service or

result created by a project

  Every project creates a unique product, service or result, though repetitive elements may be present in some project deliverables

  A project can involve single person, an organizational unit, or multiple such units

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  Developing a new product or service   Effecting a change in the structure,

staffing, or style of an organization   Developing or acquiring a new or

modified information system   Constructing a building or

infrastructure   Implement a new business procedure   Etc.

  An ongoing work effort is generally a repetitive process because it follows an organization’s existing procedures.   In contrast, because of the unique nature of projects,

there may be uncertainties about the products, services, or results that the project creates.

  Project tasks can be new to a project team, which necessitates more dedicated planning than other routine work.

  In addition, projects are undertaken at all organizational levels. A project can involve a single person, a single organizational unit, or multiple organizational units.

Project Operations

Definition Projects typically create new product, service or result for an organization

Perform the ongoing execution of activities that produce the same product or provide the repetitive service

Tenure Temporary / one-time Permanent / ongoing

Result / output

Unique Repetitive

Nature of tasks

Typically involve creating a new result and could entail uncertainties

Basically the same set of tasks according to standards institutionalized in a project lifecycle

Management Project Management Business Process Management or Operations Management

Termination Terminates when project’s objectives are met

Does not terminate when its current objectives are met but instead follow new directions to support the organization’s strategic plans 4/17/11 6

  Loksabha Elections 2009   Bata wants to enter new market for Rs. 5,000+ shoes   Times of India for 21-May-2010   Organizing IPL3   Prepare and declare Infosys quarterly results   Planning family weekend outing   Running an Air Traffic Control (ATC) tower   Catching Veerapan task force   Bangalore Metro   Submit a monthly finance report   Production of Maruthi 800 cars   Hiring for next project   Tata Nano   Tonight’s home dinner   File your annual taxes

  Project Management is the application of knowledge, skills, tools, and techniques to project activities to meet project requirements.

  Managing a project typically includes   Identifying requirements   Addressing various needs, concerns and expectation of

stakeholders   Balancing the competing project constraints like

o  Scope, o  Quality, o  Schedule, o  Budget, o  Resources and o  Risk

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  A Program is defined as a group of projects related through the common outcome or collective capability. If the relationship between projects is only that of a shared client, seller, technology or resource, the effort should be managed as a portfolio of projects rather than a program   Programs may include elements of related work

outside the scope of the discrete projects in the program

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  Program Management is centralized coordinated management of a program to achieve program’s strategic objectives and benefits that are not available from managing the sub-projects individually

  Program Management focuses on the project interdependencies and helps to determine the optimal approach for managing them. Action related to these interdependencies may include:   Resolve resource constraints and/or conflicts that affect

multiple projects within the system   Align organizational/strategic direction that affects project and

program goals and objectives   Resolve issues and change management within a shared

governance structure

  A Portfolio refers to a collection of projects and programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives.  The projects and programs of the portfolio

may not necessarily be interdependent or directly related.

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  Portfolio Management refers to the centralized management of one or more portfolios, which includes identifying, prioritizing, authorizing, managing, and controlling projects, programs, and other related work, to achieve specific strategic business objectives. It focuses on ensuring that projects and programs are reviewed to prioritize resource allocation, and that the management of the portfolio is consistent with and aligned to organizational strategies.

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Projects Programs Portfolios

Scope Projects have defined objectives. Scope is progressively elaborated throughout the project lifecycle

Programs have a larger scope and provide more significant benefits

Portfolios have a business scope that changes with strategic goals of the organization

Change Project managers expect change and implement processes to keep change managed and controlled

Program manager must expect change from both inside and outside the program and be prepared to manage it

Portfolio managers continually monitor changes in the broad environment

Planning Project managers progressively elaborate high-level information into detailed plans throughout the project life cycle

Program managers develop overall program plan and create high-level plans to guide detailed planning at the component level

Portfolio managers create and maintain necessary processes and communication relative to the aggregate portfolio

Management Project managers manage the project team to meet the project objectives

Program managers manage the program staff and the project managers; they provide vision and overall leadership

Portfolio managers may manage or coordinate portfolio management staff

Success Success is measured by product and project quality, timeliness, budget compliance, and degree of customer satisfaction

Success is measured by the degree to which the program satisfies the needs and benefits for which it was undertaken

Success is measured in terms of aggregate performance of portfolio components

Monitoring Project managers monitor and control the work of producing the products, services or results that the project was undertaken to product

Program managers monitor the progress of program components to ensure the overall goals, schedules, budget, and benefits of the program will be met

Portfolio managers monitor aggregate performance and value indicators

  A PMO is an organizational body assigned various responsibilities related to the centralized and coordinated management of those projects under its domain

  Responsibilities can range from providing project management support to actually being responsible for the direct management of project

  Project supported or administered by PMO may not be related, other than being managed together

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  Primary functions:  Managing shared resources across all projects

administered by PMO  Identify and develop PM methodology, best

practices and standards  Coaching, mentoring, training and oversight  Monitor compliance with PM standard

policies, etc.  Develop and manage project policies, etc.  Coordinate communication across projects

  PMs and PMOs pursue different objectives and, as such, are driven by different requirements. All of these efforts, however, are aligned with the strategic needs of the organization. Differences:   PM focuses on the specified project objectives, while the PMO

manages major program scope changes which may be seen as potential opportunities to better achieve business objectives

  PM controls the assigned project resources to best meet project objectives while the PMO optimizes the use of shared organizational resources across all projects

  PM manages the constraints (scope, schedule, cost, and quality, etc.) of the individual projects while the PMO manages the methodologies, standards, overall risk/productivity, and independencies among projects at the enterprise level

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  As a discipline, Project Management developed from several fields of application including construction, engineering, and defense activity.[8]

  Two forefathers of project management are Henry Gantt, called the father of planning and control techniques[9], who is famous for his use of the Gantt chart as a project management tool; and Henri Fayol for his creation of the 5 management functions which form the foundation of the body of knowledge associated with project and program management.[10] Both Gantt and Fayol were students of Frederick Winslow Taylor's theories of scientific management. His work is the forerunner to modern project management tools including work breakdown structure (WBS) and resource allocation.

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  The 1950s marked the beginning of the modern Project Management era. Project management became recognized as a distinct discipline arising from the management discipline.[11] In the United States, prior to the 1950s, projects were managed on an ad hoc basis using mostly Gantt Charts, and informal techniques and tools. At that time, two mathematical project-scheduling models were developed. The "Critical Path Method" (CPM) was developed as a joint venture between DuPont Corporation and Remington Rand Corporation for managing plant maintenance projects. And the "Program Evaluation and Review Technique" or PERT, was developed by Booz-Allen & Hamilton as part of the United States Navy's (in conjunction with the Lockheed Corporation) Polaris missile submarine program;[12] These mathematical techniques quickly spread into many private enterprises.

  At the same time, as project-scheduling models were being developed, technology for project cost estimating, cost management, and engineering economics was evolving, with pioneering work by Hans Lang and others. In 1956, the American Association of Cost Engineers (now AACE International; the Association for the Advancement of Cost Engineering) was formed by early practitioners of project management and the associated specialties of planning and scheduling, cost estimating, and cost/schedule control (project control). AACE continued its pioneering work and in 2006 released the first integrated process for portfolio, program and project management (Total Cost Management Framework).

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  The International Project Management Association (IPMA) was founded in Europe in 1967,[13] as a federation of several national project management associations. IPMA maintains its federal structure today and now includes member associations on every continent except Antarctica. IPMA offers a Four Level Certification program based on the IPMA Competence Baseline (ICB).[14] The ICB covers technical competences, contextual competences, and behavioral competences.

  In 1969, the Project Management Institute (PMI) was formed in the USA.[15] PMI publishes A Guide to the Project Management Body of Knowledge (PMBOK Guide), which describes project management practices that are common to "most projects, most of the time."

Framework / approach

Lifecycle

Organization Structure

Leadership Styles

Team formation

Planning

Scheduling

Execution

Monitoring & Control

Closure

  PMI / PMBoK   PRINCE2   CMMI   Critical Chain Project Management

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  PRINCE2 is a structured method for effective project management. It is a "de facto" standard used extensively within UK government and within both UK and international industry. It is a public domain method offering best practice guidance on project management.

  PRINCE2 adopts three principles of good project management   A project is a finite process, with a start date and an end

date   Projects must be controlled to be successful   All parties must be clear about

o Why the project is needed o What is to be achieved o How the outcome will be achieved o What their responsibilities are

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  “A management environment that is created for the purpose of delivering one or more business products according to a specified Business Case”

  “A temporary organisation that is needed to produce a unique and pre-determined outcome or result at a pre-specified time using predetermined resources”

  A project has a number of characteristics:   Finite and defined lifespan - the project is covered by a plan

showing the date when it is expected to start and the date when it is expected to finish;

  Defined and measurable business products - a set of pre-defined products which must be delivered to the Customer;

  Corresponding set of activities - A set of planned activities which will deliver the products, including management and technical activities;

  Defined amount of resources - an agreed amount of resource which can be used to develop the products;

  Organization structure - a defined hierarchy and reporting structure set up specifically for the project.

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4/17/11 Yahoo! Presentation, Confidential 29