Project Management

Unit 1Fundamental Concepts

Definition of A Project

A temporary endeavor undertaken to create a unique product or service (PMBOK®).

A planned effort leading to the delivery of a unique product or service, meeting or exceeding the customer expectations, within the agreed upon cost and timeframe.

Key Features Temporary (a beginning and end) Unique product or service Progressive Elaboration (developing in

steps..example :project scope. Planned, executed, and controlled Aimed at meeting or exceeding

customer expectations Limited resources (Time, Cost, and …)

available

Discuss

Give an example of project where you were involved. Does it satisfy the definition components of

a Project ?

Why Project Management For SUCCESSFUL projects. A successful project is one that:

Contains all the features agreed upon Is within the accepted time frame Is within budget Meets customer expectation Leaves behind a motivated productive team No “surprises” throughout Is reasonably resilient to “unknown” factors Integrates required outside component(s) to

make it “complete” Follows a pre-defined process to “bind” all factors

together leading to synergy.

Kno

wle

dge

Are

asScope

Time Cost

Quality

Human ResourcesCommunication

Risk

Procurement

Known Causes of Project Failure Some Major Known Causes

Changing requirements Incomplete requirements Inadequate planning Unrealistic customer expectations Lack of customer involvement Inadequate resources Uncontrolled quality problems Adoption of new technology Inaccurate estimates Ineffective project control (risk, issue, change

management)

Project Success

Project Success involves Effective Planning Execution as per plan Controlling during execution

Other two complementary phase groups Initiating Closing

Project Constraints

Time Scope

Cost

Exercise

Distinguish among PROJECT OPERATION PROGRAM : Groups of projects

Project Management Process Groups Initiating Planning Executing Monitoring & Controlling Closing(Information flow within these process

groups: Refer PMBOK® Figure 3-4)

Project Lifecycle A project may go through a set of

phases through its lifecycle. Phases dependent on the type of project Example : Feasibility, Planning and

Design, Construction, Turnover and Startup phases in Construction Industry

Each phase may have one or more of the processes associated.

Taken from PMBOK

Project Stakeholders

All individuals who are involved in various project phases who may influence the course of action

anytime during the projectExample:

Process Groups Initiation:

Acknowledges that a project or a phase can start.

Commitment to putting resources in action for the project

Planning: Very important, since all subsequent

processes depend on the planning processes. Encompasses all knowledge areas.

Executing Translates plans into actions Costs are highest during the execution

phase Monitoring & Controlling

Monitoring the performance parameters throughout to make sure the project is close to what was planned

Corrective actions for variances Closing

Formal acceptance Lessons learnt for future reference

Types of Organization Structures Functional Projectized Matrix

Functional Organizations

A number of departments Hierarchical structure within a

department Projects spanning across multiple

function areas are divided, and then worked upon

Little authority for Project Manager.

Taken from PMBOK

Projectized Organizations

Everything revolves around a project. Project Manager has the highest

authority in these organizations. Each project has its own team members

and staff assigned to it.

Taken from PMBOK

Matrix Organizations

Features of both Functional and Projectized organizations.

Project Manager at same level as the Functional Manager.

Employees report to Functional Manager AND Project Manager.

Refer Figures 2-9, 2-10, 2-11.

Influence of Org Structure

Taken from PMBOK