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Project Management Training

Krakatau Steel 08 10 February 2012

Scope of Project Management Training


Strategy
Strategic Recommen Translation Portfolio dation Principles

Strategic Portfolio Management

Result and Benefit Realization

Portfolio Management

Portfolio Strategic Initiatives

Program Management

Project Management

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Overview Project Management

Learning Objectives
Understand the growing need for better project management, especially for information technology projects. Explain what a project is

Describe project management and discuss key elements of the project management framework Understand the role of the project manager

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Motivation for Studying Project Management


Projects have a terrible track record.
Standish Group study (CHAOS) found that only 16.2 percent of IT projects were successful in meeting scope, time, and cost goals. Over 31 percent of IT projects were canceled before completion, costing over $81 billion in the U.S. alone.*
*The Standish Group, The CHAOS Report (www.standishgroup.com) Another reference is Johnson, Jim, CHAOS: The Dollar Drain of IT Project Failures, Application Development Trends

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Advantages of Using Formal Project Management


Better control of financial, physical, and human resources. Improved customer relations. Shorter development times. Lower costs. Higher quality and increased reliability. Higher profit margins. Improved productivity. Better internal coordination. Higher worker morale (less stress).
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What is a Project?
Start Stop A unique and One-time event Has a define start and end dates (temporary) Has a measurable and quantifiable deliverables
WORK BREAKDOWN STRUCTURE
SISTEM CC & B
Project Definition Tender Proccess

Constraint by budget and resources limited Time People Machines Materials Money
Initiating Processe s

Planning Processes

Controlling Processes

Executing Processes

Scope Statement Development Planning Activity

RFP Development
Product Study & Survey

Closing Processes

Communication Plan Procurement Plan

Product Requirement & Specification

Technical Requirement

Human Resources Plan

Project Organizing & Staffing

Installation Hardware & Software

Organization Plan
Staffing & Recruitment

Customisation & Integration Cut over & Launching Non-Technical Requirement

Kick-off Meeting

Legal & Administration Evaluation Criteria Terms of Payment Training Define Scope of Work

Definable things to do

Vendor Invitation

Initiated, planned, executed, controlled and close out Has a specific objective to be completed within certain specification

Solicitation Process

Vendor Proposals Acceptance

Proposal Clarifications
Proposal Negotiation Vendor Selection Activity

Contract
Vendor Asignment Administration & Legal

Task list WBS

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Project
A temporary endeavor undertaken to accomplish a unique purpose. A complex, no routine, one-time effort to create a product or service limited by time, budget, and specifications.

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Examples of Projects
A help desk or technical worker replaces laptops for a small department.

A small software development team adds a new feature to an internal software application.
A college campus upgrades its technology infrastructure to provide wireless Internet access. Upgrade production pipeline Implement IT initiatives, such as EIS, SAP, dl project Product development, from initiation until product launching
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Team Exercise
List 5 projects you ever involve 5 minutes exercise

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Attributes of a project
A project has a unique purpose. A project is temporary. A project requires resources, often from various areas. A project should have a primary sponsor or customer. A project involves uncertainty.

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Project and Program Managers


Project managers work with project sponsors, project teams, and other people involved in projects to meet project goals. Program: A group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually.* Program managers oversee programs and often act as bosses for project managers.

*PMI, A Guide to the Project Management Body of Knowledge (PMBOK Guide) (2004), p. 16.

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The Triple Constraint


Every project is constrained in different ways by its: Scope goals: What work will be done? Time goals: How long should it take to complete? Cost goals: What should it cost?

It is the project managers duty to balance these three often-competing goals.

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Project Management
The application of knowledge, skills, tools, and techniques to a defined set of activities in order to meet or exceed stakeholder needs and expectations from a project.

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Project Management
The application of Skill, Knowledge, Tools & Techniques

To manage project activities in order to meet or exceed stakeholder needs & expectations

To provide project teams with a process that helps them coordinate their efforts

To manage ongoing operations by using management by Projects approach

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Project Management Framework

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Project Stakeholders
Stakeholders are the people involved in or affected by project activities. Stakeholders include:
Project sponsor Project manager Project team Support staff Customers Users Suppliers Opponents to the project
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Team Exercise
Pick one project from your 5 project list and define who are the stakeholders of that project ? 5 minutes exercise

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Nine Project Management Knowledge Areas


Knowledge areas describe the key competencies that project managers must develop Four core knowledge areas lead to specific project objectives (scope, time, cost, and quality). Four facilitating knowledge areas are the means through which the project objectives are achieved (human resources, communication, risk, and procurement management). One knowledge area (project integration management) affects and is affected by all of the other knowledge areas. All knowledge areas are important!
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9 Knowledge Areas of Project Management


1. Project Integration Management
Project Plan Development Project Plan Execution Integrated Change Control

2.

Project Scope Management


Initiation Scope Planning Scope Definition Scope Verification Scope Change Control

3.

Project Time Management


Activity Definition Activity Sequencing Activity Duration Estimating Schedule Development Schedule control

4.

Project Cost Management


Resource Planning Cost Estimating Cost Budgeting Cost Control

5.

Project Quality Management


Quality Planning Quality Assurance Quality Control

6.

Project Human Resources Management


Organizational Planning Staff Acquisition Team Development

7.

Project Communication Management


Communications Planning Information Distribution Performance Reporting Administrative Closure

8.

Project Risk Management


Risk Management Planning Risk Identification Qualitative Risk Analysis Quantitative Risk Analysis Risk Response Planning Risk Monitoring & Control

9.

Project Procurement Management


Procurement Planning Solicitation Planning Solicitation Source Selection Contract Administration Contract Closeout

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Project Management Tools and Techniques


Project management tools and techniques assist project managers and their teams in various aspects of project management. Specific tools and techniques include:
Project charters, scope statements, and WBS (scope). Gantt charts, network diagrams, critical path analyses, critical chain scheduling (time). Cost estimates and earned value management (cost).

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Project Portfolio Management


Many organizations support an emerging business strategy of project portfolio management:
Organizations group and manage projects as a portfolio of investments that contribute to the entire enterprises success.

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Project Success Factors*


1. Executive support 2. User involvement 3. Experienced project manager 4. Clear business objectives 5. Minimized scope 6. Standard software infrastructure 7. Firm basic requirements 8. Formal methodology 9. Reliable estimates 10.Other criteria, such as small milestones, proper planning, competent staff, and ownership

*The Standish Group, Extreme CHAOS (2001).


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The Role of the Project Manager


Job descriptions vary, but most include responsibilities such as planning, scheduling, coordinating, and working with people to achieve project goals.

Remember that 97 percent of successful projects were led by experienced project managers.

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Fifteen Project Management Job Functions*


Define scope of project. Identify stakeholders, decision-makers, and escalation procedures. Develop detailed task list (work breakdown structures). Estimate time requirements. Develop initial project management flow chart. Identify required resources and budget. Evaluate project requirements. Identify and evaluate risks. Prepare contingency plan. Identify interdependencies. Identify and track critical milestones. Participate in project phase review. Secure needed resources. Manage the change control process. Report project status.

*Northwest Center for Emerging Technologies, Building a Foundation for Tomorrow: Skills Standards for Information Technology, Belleview, WA.
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Suggested Skills for Project Managers


Project managers need a wide variety of skills. They should: Be comfortable with change. Understand the organizations they work in and with. Lead teams to accomplish project goals.

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Suggested Skills for Project Managers


Project managers need both hard and soft skills. Hard skills include product knowledge and knowing how to use various project management tools and techniques. Soft skills include being able to work with various types of people.

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Suggested Skills for Project Managers


Communication skills: Listens, persuades. Organizational skills: Plans, sets goals, analyzes. Team-building skills: Shows empathy, motivates, promotes esprit de corps. Leadership skills: Sets examples, provides vision (big picture), delegates, positive, energetic. Coping skills: Flexible, creative, patient, persistent. Technology skills: Experience, project knowledge.

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Media Snapshot Good Project Management Skills


Leadership and professionalism are crucial. Know what your sponsor expects from the project, and learn from your mistakes. Trust your team and delegate decisions. Know the business. Stand up for yourself. Be a team player. Stay organized and dont be overly emotional. Work on projects and for people you believe in. Think outside the box. There is some luck involved in project management, and you should always aim high.

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Most Significant Characteristics of Effective and Ineffective Project Managers


Effective Project Managers Leadership by example Visionary Technically competent Decisive Good communicator Good motivator Stands up to upper management when necessary Supports team members Encourages new ideas Ineffective Project Managers Sets bad example Not self-assured Lacks technical expertise Poor communicator Poor motivator

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Importance of Leadership Skills


Effective project managers provide leadership by example.

A leader focuses on long-term goals and bigpicture objectives while inspiring people to reach those goals.
A manager deals with the day-to-day details of meeting specific goals. Project managers often take on both leader and manager roles.
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Sample Gantt Chart


Work Breakdown Structure (WBS)

The WBS is shown on the left, and each tasks start and finish dates are shown on the right. First used in 1917, early Gantt charts were drawn by hand.
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Sample Network Diagram

Each box is a project task from the WBS. Arrows show dependencies between tasks. The bolded tasks are on the critical path. If any task on the critical path takes longer to complete than planned, the whole project will slip unless something is done. Network diagrams were first used in 1958 on the Navy Polaris project before project management software was available.
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Project Management Office (PMO)


A PMO is an organizational group responsible for coordinating the project management function throughout an organization. Possible goals include: Collect, organize, and integrate project data for the entire organization. Develop and maintain templates for project documents. Develop or coordinate training in various project management topics. Develop and provide a formal career path for project managers. Provide project management consulting services. Provide a structure to house project managers while they are acting in those roles or are between projects.
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Project Management Software


Enterprise PM software integrates information from multiple projects to show the status of active, approved, and future projects across an entire organization. It also provides links to more detailed information on each project. Many managers like to see status in color red, yellow, and green.

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Sample Enterprise Project Management Tool

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Project Management Certification


PMI provides certification as a Project Management Professional (PMP). A PMP has documented sufficient project experience, agreed to follow a code of ethics, and passed the PMP exam. The number of people earning PMP certification is increasing quickly. PMI and other organizations are offering new certification programs (see Appendix B).

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Growth in PMP Certification, 1993-2003


80,000 70,000 60,000
52,443 76,550

# PMPs

50,000 40,000 30,000 20,000 10,000 0


1,000 1,900 2,800 4,400 10,086 6,415 18,184 27,052 40,343

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Year

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Global Project Management Organization

Project Management Institute - USA Project Managem ent Institute

AIPM Australia Institute of Project Management

International Project Management Association (EU)

Association of Project Management (UK)

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Other PM Model
Circular Model DOD STD 2167 Waterfall Model Spiral Model Vee Model

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Thank You

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