Transcript pptx - jimakers.com

Chapter 1
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Understand why project management is
becoming such a powerful and popular practice
in business.
Recognize the basic properties of projects,
including their definition.
Understand why effective project management
is such a challenge.
Differentiate between project management
practices and more traditional, processoriented business functions.
Recognize the key motivators that are pushing
companies to adopt project management
practices.
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Understand and explain the project life cycle,
its stages, and the activities that typically occur
at each stage in the project.
Understand the concept of project “success,”
including various definitions of success, as well
as the alternative models of success.
Understand the purpose of project
management maturity models and the process
of benchmarking in organizations.
Identify the relevant maturity stages that
organizations go through to become proficient
in their use of project management techniques.
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Examples of projects
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Chunnel between England and France
Introduce Windows 7
Passing a college course
Olympics
These are examples of project management used to;
improve operations, respond rapidly to changes, achieve
breakthroughs, streamline development, manage the
rising challenges
A critical component of successful organizations and
employees today
“Projects, rather than repetitive tasks, are now the basis for
most value-added in business”
-Tom Peters
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Considered to be any series of activities and
task that:
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Are complex, one-time processes
Developed to resolve a clear goal or set of goals
Consume resources; time, money, people, etc.
Constrained by budget, schedule and resources
Are customer focused
A project is a temporary endeavor undertaken
to create a unique product, service, or result.
-PMBOK® Guide –Fourth Edition
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A project can be considered any series of
activities and tasks that have:
 Specific objectives to be completed within
certain specifications,
 Defined start and end dates,
 Funding limits,
 Human and nonhuman resources, and
 Multifunctional focus.
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Ad-hoc endeavors with a clear life cycle.
Predetermined timeline
Clear beginning and end
Building blocks in the design and execution of
organizational strategies.
Responsible for the newest and most improved
products, services, and organizational
processes.
Provide a philosophy and strategy for the
management of change.
Project management entails crossing functional
and organizational boundaries.
Interrelated Tasks
Involve People
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The traditional management functions of
planning, organizing, motivation, directing,
and control apply to project management.
The principal outcomes of a project are the
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satisfaction of customer requirements
within the constraints of technical, cost, and
schedule objectives.
Projects are terminated upon successful
completion of performance objectives.
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Fixed Budget
Unique and Specific Deliverable (Product, Service, or Result)
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Process
Ongoing, day-to-day
activities to produce
goods and services
Use existing systems,
properties, and
capabilities
Typically repetitive
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Project
Takes place outside
the normal, processoriented world
Unique and separate
from routine, processdriven work
Continually evolving
A project is a temporary endeavor undertaken to
create a unique product, service, or result.
-PMBOK® Guide
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The purpose of
operational tasks is
to carry out dayto-day activities
and sustain the
business while the
purpose of a
project is to meet
specific objectives.
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Process (day-to-day activity)
Project (unique activity)
1. Repeated process or product
1. New process or product
2. Several objectives
2. One objective
3. On-going
3. One shot – limited life
4. More homogeneous
4. More heterogeneous
5. Systems in place
5. Systems must be created
6. Performance, cost, & time known
6. Performance, cost & time less
certain
7. Part of the line organization
7. Outside of line organization
8. Bastions of established practice
8. Violates established practice
9. Supports status quo
9. Upsets status quo
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To help organizations achieve their strategic
goals.
Due to pressures organizations find
themselves facing:
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Shortened product life cycles.
Narrow product launch windows.
Increasingly complex and technical products.
Emergence of global markets.
Economic period marked by low inflation.
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The person responsible for meeting the project
objectives.
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Skilled in areas of
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Leadership
Planning
Interpersonal skills
Communication
Conflict negotiation
Presentation skills
Risk taking
Time management
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Role functions
Provide leadership
Provide motivation
Facilitate the work
Maintain focus
Maintain commitment
Influence the
organization
◦ Use resources
efficiently
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Initiate the Project
Develop Project Management Plan
Direct and Manage Project Execution
Monitor and Control Project Work
Perform Integrated Change Control
Close Project
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Hard Skills
Soft Skills
Managing technical issues
Planning
Contracting
Budgeting
Measuring performance
Monitoring project quality
Analyzing risks
Communicating
Negotiating
Leadership
Problem solving
Conflict resolution
Team building
Political and cultural awareness
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What are your strengths and weaknesses?
Are you a leader or a manager?
Are you proactive or reactive?
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“Project management is the process of the
application of knowledge, skills, tools, and
techniques to project activities to meet project
requirements.”
- PMBOK® Guide –Fourth Edition)
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It is accomplished through the application and
integration of the project management process of
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Initiating
Planning
Executing
Monitoring
Controlling
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Initiating
Planning
Controlling
Executing
Closing
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Innovative, produces new ideas and new
products
Geared toward accomplishing a specific goal
Provides known dedicated resources
Aimed at customer satisfaction
Side note:
◦ Can be used to find future company leaders: Will
show a persons ability to manage both technical
and human challenges
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Won’t work on our projects
Too time consuming
Just busy work
Too complicated
Rigid/inflexible technique
Cost too much
Not necessary, we’re doing okay without it
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Program is “a group of related projects
managed in a coordinated way to obtain
benefits and control not available from
managing them individually.”
-PMBOK® Guide –Fourth Edition
Common
Objective
Program
Project 1
Project 2
Project 3
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Process
Management
Project
Management
Program
Management
Portfolio
Management
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Conceptualization - the development of the
initial goal and technical specifications.
Planning – all detailed specifications,
schedules, schematics, and plans are
developed.
Execution – the actual “work” of the project is
performed.
Termination – project is transferred to the
customer, resources reassigned, project is
closed out.
Collectively, these four phases make up the generic
project life cycle.
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Conceptualization
Termination
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Select Project
Define Scope
Develop Project Relationship
Perform Needs Analysis
Define Requirements
Create Project Charter
Analyze Benefit-to-Cost Ratio
Determine Net Present Value and Internal
Rate of Return
Get Project Approval
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Develop Specifications
Design Reviews
Write Standard of Work (SOW)
Build a Schedule
Develop Work Breakdown Structure (WBS)
Allocate Resources
Build the Team
Configure the Budget
Plan for Procurement
Assess Change Control Process
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Update Requirements
Manage Change Control
Delegate the Work
Manage the Team
Monitor the Project
Complete Tasks
Analyze Variances
Report Status
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Deliver Product
Document Lessons Learned
Make Payments
Verify Customer Satisfaction
Celebrate
Recognize and Reward Team Members
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A project life cycle is “a collection of generally
sequential and sometimes overlapping project
phases whose name and number are determined by
the management and control needs of the
organization.”
-PMBOK® Guide
–Fourth Edition
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Man Hours
Conceptualization
Planning
Execution
Termination
Fig 1.3 Project Life Cycle Stages
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Client Interest
Project Stake $
Resources
Creativity
Uncertainty
Conceptualization
Planning
Execution
Termination
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Quadruple
Client
Budget
Acceptance
Success
Schedule
Performance
Managing
project
constraints
involves a
constantly
changing
balance.
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Remember:
94.35% of
all statistics
are
fabricated
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Software & hardware projects fail at a 65% rate
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Over half of all IT projects become runaways
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Up to 75% of all software projects are cancelled
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Only 2.5% of global businesses achieve 100% project
success
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Average success of business-critical application
development projects is 35%
We should not overestimate the benefits to be gained from project
management while underestimating the commitment required to
make it work.
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List four factors that contribute to the
success or failure of a project.
Succeed
Fail
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Sound project management
processes
Projects tied to the
organization’s strategic and
business goals
Senior management
commitment and support
Detailed requirements
Skilled and appropriately
aligned team members
Clearly defined roles and
responsibilities
Realistic schedule
Succeed
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Lack of project
requirements
Lack of defined or clear and
concise requirements
Lack of senior management
sponsorship and
commitment
Inadequate project planning
Absences of user
involvement through out
the project
Lack of business ownership
Fail
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Clear understanding of the goals and
objectives
Clear understanding of the customer
requirements
Involvement of clients and management
Realistic estimates and schedules
Day-to-day control of the project
Effective communication
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Importance
Most
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Preparing for
The Future
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Project
Efficiency
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Impact on
Customer
3
Business
Success
Least
Short term
Long term
Time
Project
Completion
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Allows organizations to benchmark the best
practices of successful project management firms
Shows a relative assessment of an organizations
project management development
Project management maturity models (rubric
style) see Table 1.3 page 21
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Center for business practices
Kerzner’s project management maturity model
ESI International’s project framework
SEI’s capability maturity model integration
Rubric – categorizes the specific level of performance
expected for several levels of quality.
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Personnel Development for
Projects
Networking Between
Projects
Project Scheduling
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2.5
2
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1
0.5
0
Project Stakeholder
Management
Structural Support for
Project Management
Portfolio Management
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Coaching, Auditing and
Evaluating Proejcts
Control Practices
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a useful way to
display
multivariate
observations
the length of each
ray is made
proportional to the
size of that
variable
a.k.a a Radar Chart
can be easily
created in MS Excel
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FIGURE 1.11 Organization of Textbook
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1.
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What are some of the principle reasons why project management
has become such a popular business tool in recent years?
What do you see as being the primary challenges to introducing a
project management philosophy to most organizations? That is,
why is it difficult to shift to a project-based approach in many
companies?
What are the advantages and disadvantages to using project
management?
What are the key characteristics all projects possess?
Describe the basic elements of the project life cycle. Why is an
understanding of the life cycle relevant for our understanding of
projects?
Think of a successful project and an unsuccessful project with
which you are familiar. What would you say distinguishes the two,
both in terms of the process used to develop them and their
outcomes?
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Consider the Expedition Everest case: What are the elements in Disney’s
approach to developing their theme rides that you find particularly
impressive? How can a firm like Disney balance the need for efficiency
and smooth development of projects with the desire to be innovative and
creative? Based on this case, what principles appear to guide their
development process?
Consider the six criteria for successful IT projects. Why is IT project
success often so difficult to assess? Make a case for some set of factors
being more important than others.
As organizations seek to become better at managing projects, they often
engage in benchmarking with other companies in similar industries.
Discuss the concept of benchmarking. What are its goals? How does
benchmarking work?
Explain the concept of a project management maturity model. What
purpose does it serve?
Compare and contrast the four project management maturity models
shown in Table 1.3.
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