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IMPORTANCE OF PROJECT MANAGEMENT

The importance of project management is huge we can describe the things of the importance in the following two categories. These are: MICRO IMPORTANCE:

Compression of product life cycle; To face global competition; Increase in customer focus; Knowledge explosion; Corporate downsizing; Rapid development of third world and closed economy; Small projects represent big problem.

MACRO IMPORTANCE:

Project management is indispensable for economic development and growth of a country or an entrepreneur; Project management ensures effective and efficient resources utilization and management; Project management leads to GDP growth; Project management leads to increase of per capita income and standard of living. Project management leads to optimum use of available resources; Project management helps to overcome the time and cost overrun; Project management should commensurate with national development strategy. Five years plans are prepared for the development of the country and the project must be similar with the plan; Project management involve substantial outlay with long term effort; Cost of prediction error is vary high which may lead to bankruptcy and threaten the existence of project; Project management is the key to cost management of producing goods and services;

Project management is a pre-condition of getting assistance and loan; Project management helps to achieve self-reliance in the country; Project management is the base to implement the national development strategy; Project management is also a pre-condition of transfer of technology; Project management leads to a balanced growth of agriculture and industry; It is helpful towards exploration of resources ( say gas, oil); It brings not only economic growth but also honor and prestige of a nation. Achieve economic prosperity of a country will lead to a capacity to render financial assistance to other poor and least developed country; It also helps in cross-cultivation of cultural heritage and characteristic; It creates worldwide understanding, co-operation and fellow filly.

Strength Abundance of Natural Resources Natural gas: There are about 23 gas fields, most of them in eastern Bangladesh. produces about 900 mcf of gas per day Manpower adoptability Receptiveness: Industries, industrial and construction material Communication infrastructure: Being a delta, Bangladesh is a network of waterways of roughly 8550 km. There is over 2800 km of railway line and about 11000 km of paved road. It is jocundly said

Banking Sector Performance, Regulation and Bank Supervision Bangladesh Bank (BB) continued to focus on strengthening the financial system and improving functioning of the various segments Banking Sector Performance The banking sector of Bangladesh comprises of four categories of scheduled banks Writing-off Bad Debts To impede unnecessarily and artificially inflated size of balance sheet, uniform guidelines of write-off has been introduced in 2003 Money and wages: The Bangladeshi currency is called Taka and is divided into 1.00 paisa. US$ is approximately Taka 69.08 (Aug.09) . Government and administration Local Government: Annual development program: Presence of National Executive Council (NEC): Technical assistance aid: Foreign delegations Local consultants group: Presence of Ngos: Export Promotion Zone

WEAKNESS
Problems in Human Resource Development: Health Care Challenges: Providing Nutrition and Basic Care: Serious brain drain: In every year. we get meritorious students hut we can not keep them in our country because of our faint socio-economic framework. Poor and very inadequate technical base: Very poor project planning: Inadequacy of research: Absence of Business ethics:

We have lack of Business ethics Business man like to do anything which can bring money. For doing this, they careless about quality, legality or law of the country. Imbalance between direct and indirect taxes : In our country direct tax is about 157 and indirect tax is about 85%. But the scenario should be opposite. This happened because we have mentality of evading tax. Very less contribution of service sector to GDP. Hardly it is 8% of GDP in our country but In America it is about 60%. Size of Market & Buying Capacities : Though population is large but market size is small, Because vast of people live under poverty line who have not capacity to fulfill their bare physical need. Irrational fiscal Policy: Tax, law & other incentives regarding Investment, export & import policies, industrial policies etc. Most of the policies are merely good sounding word but implementation is less. Inefficient monitoring and banking policy: Interest rate UPS & down frequently, not effective monitoring system for the credit seeker thats why default of bank loan has become a culture in our country. Inadequacy of basic, heavy and mother industry : Lack of proper project implementation: Improper nature of contract: Inadequacy of Infrastructure Facility:

Corruption: Low savings and GDP ratio:

OPP
Agriculture Raw jute, tea, tobacco, vegetables, spices and tropical fruits are the key potential products. Agriculture is the biggest private sector operation contributing 22% of GDP and sector also accommodate around 48.1% of labor force Agro-based Industry Contribution of Ready Made Garments Industry to the Economy: Natural Gas The Non-Traditional Items of Bangladesh Tourism in Bangladesh Pharmaceuticals have a potential for Bangladesh Air Transportation In air transport, the government has given provisional domestic air transport operating license to six private companies for STOL Services. Seven airports have been refurbished to cater to their needs. international air & cargo transport in the private sector is now allowed for operation in Bangladesh. Electronics Bangladeshs experience in basic electronics spans over two decades. In recent years. European and Asian electronic firms have established technical collaboration with their Bangladeshi counterparts to produce some electronic goods at competitive prices. This has tremendous potentiality for expansion. Information Technology Computer software development , data entry & data processing scientific human resource development; speedy communication;

global accountability; tissue culture; animal cloning; increasing awareness about human rights; market economy based on efficiency and quality;

THREATS