PRINCIPLES OF PROJECT MANAGEMENT

~ The Project Management Process (PMP)

Main Objective of PMP:
Plan and execute the work plan to accomplish client’s needs ~ as per
project scope & specifications, on time and within budget;
The Process Involves several key tangible steps:-
1) Definition of project objective:- agreed by both client & team/
organization implementing project;
2) Development of work breakdown structure (WBS):- sub-division of
the project into specific “work packages”, including responsible
body/ entity to implement or oversee implementation;
3) Create a graphical outline of the sequence of main activities to
achieve the project’s objective, referred to as a “network diagram” ;
this usually includes the timeline/ duration of the activity & the
responsible body for implementation.
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 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Management Process (PMP)
Cont’d.
4) Determine the duration (estimate) for each activity, the level of
resources required for each activity(quality & quantity) and a cost
estimate for each activity;
5) Calculate an overall project schedule & budget, to determine
whether objective can be achieved within the required time, the
allotted budget and the available resources (as per the client’s
stipulations).
Note: if the calculations do not fit within the client’s stipulations,
adjustments must be made until an agreeable & achievable plan is
developed;
This approach is generally referred to as “Front-End Planning”; The plan
also referred to as a “baseline plan”
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 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Management Process (PMP)
Project Planning:
Establishes what needs to be done, by whom, when, how long it takes &
how much it will cost?
Plan can be presented in tabular or graphical format;
Generally must include:
• Start & completion dates for each activity;
• Resource allocations;
• Budget for each activity & the cumulative budget;

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 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Management Process (PMP)
Note: Project Monitoring & Control:
1. once project starts, it is necessary to develop an effective
monitoring system ~ to ensure implementation of the baseplan, as
per the planned schedule! (planned v. actual completion);
2. This helps to implement early & proper project control ~ to minimize
the need for costly adjustments to the plan.
“If you don’t measure it, you can’t / may not be able control it!”
3. Monitoring involves setting targets and measuring actual progress
and comparing such to the planned progress on a regular basis.
4. It permits & helps to identify/ implement early corrective actions.
FINALLY:
TERMINATING the Project:~ involves Evaluating / Reviewing
performances in previous stages/phases & identifying lessons learnt
for application in similar future projects. 4
 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Management Process (PMP)
Global Project Management
Issues to consider:
• Cultural differences & customs
• Local Social & economic conditions ~ e.g. Security, “boom” vs.
Recession?, health & education standards, etc.
• Technological differences (Low vs. Modern)
• Language differences
• Currency fluctuations
• Laws/ Regulations ~ e.g. labour & environmental laws;
• Institutional & organizational capacities (State & non-State agencies)
• Local social & political relations
• Political & economic relations between/ among countries
• Existing Fiscal/ financial policies & regulations, etc. 5
Principles of Project Management

NEEDS IDENTIFICATION & PROPOSAL

SOLICITATION
 PRINCIPLES OF PROJECT MANAGEMENT
Project Identification Phase ~ NEEDS IDENTIFICATION
Main objectives:
1. Identifying Needs & selecting solutions & priorities;
2. Developing a RFP;
3. Soliciting Proposals from Contractors/ Consultants

Needs identification as a process!

• may require extensive analysis, consultation among stakeholders or even research/
investigative work and pilot projects;
• It involves prioritizing needs, which requires/ uses decision support tools/systems to
improve the decision-making process: ~
 to select the needs/business opportunities which may bear the greatest overall
returns or benefits to the targeted beneficiaries/ Client;

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 PRINCIPLES OF PROJECT MANAGEMENT
NEEDS IDENTIFICATION
Project Selection: involves
• Evaluating various needs or opportunities;
• Deciding which of these should move forward as a project;
• Weighing the benefits & consequences (costs/risks), Advantages VS.
Disadvantages; the risk factors/hazards involved in each opportunity;
 Some of these [benefits, costs, risks] may be quantitative or
qualitative in nature, tangible and intangible, measurable &/ or
difficult to measure; [discuss/ give examples]
RISK = the possibility of an undesired event occurring, which can result
in some loss. Need to assess the level of risk:-
 Likelihood of the event occurring (e.g. Low, medium, high);
 The potential impact, if the event occurs (e.g. Low, medium, high).

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 PRINCIPLES OF PROJECT MANAGEMENT
NEEDS IDENTIFICATION
Key steps in Project selection:
1. Develop a set of criteria (performance measures & indicators) for
monitoring & evaluation purposes, which can indicate/verify
accomplishment of key project objectives (quantitative &/ or
qualitative); [examples]
2. List key reasonable assumptions for each opportunity/ project idea;
3. Gather relevant data & information for each identified opportunity/
project idea ~ to help decision-making; {what types of information/
examples?}
4. Analyze data & information and Evaluate/ compare outputs ~ for
each & among options/opportunities using the set criteria;
5. Seek consensus within team/ group in process of evaluation,
prioritization & selection;
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PRINCIPLES OF PROJECT MANAGEMENT
NEEDS IDENTIFICATION
“Village Project”!!
 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Management Process (PMP)
Graded Assignment:
1. “Planning and communication are critical to
successful Project Management”; (~ < 1 page)
2. Project Team Building and Effectiveness is not a
critical factor for successful Project Management!
(~ <1 page)
Discuss & Explain each statement? Also see chaps. 11
& 12(text) for reference.
Due : next week (30/9/10).
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 PRINCIPLES OF PROJECT MANAGEMENT
~ The Project Cycle

NEXT SESSION (CHAP. 2): CONTINUATION:-

EXAMINE THE PHASES & ELEMENTS OF THE PROJECT LIFE
CYCLE AND THE MANAGEMENT PROCESSES INVOLVED.

HOMEWORK: forward READING:

CHAP 2; also,
• Preparing a request for proposal;
• Soliciting proposals from potential contractors/
consultants;
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 PRINCIPLES OF PROJECT MANAGEMENT

REFERENCE:
CHAP. 1 & 2
Gido, J. and Clements, J., Successful Project
Management, 4thEdition, Thomson-South Cengage
Learning;
ISBN: 978-0-324-22428-3

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PRINCIPLES OF PROJECT MANAGEMENT
~ NEEDS IDENTIFICATION

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