PROJECT MANAGEMENT
CONTEXT
WHAT IS A PROJECT?
 a temporary endeavor undertaken to create a
unique product, service, or result.
- indicates that a project has a definite
beginning and end
- does not necessarily mean the duration of the
project is short (engagement & longevity)
- most projects are undertaken to create a
lasting outcome
 creates a unique product, service, or result
(tangible or intangible).
 undertaken at all organizational levels
- can involve a single individual or multiple
individuals, a single organizational unit, or
multiple organizational units from multiple
organizations.
WHAT IS PROJECT MANAGEMENT?
 the application of knowledge, skills, tools, and
techniques to project activities to meet the project
requirements.
 guided and directed by organizational strategies
(alignment is key!).
- projects adapt when there are changes to
business direction.
 accomplished through the appropriate application
and integration of the project management
processes (PM Process) identified for the
project:
- Initiating
- Planning
- Executing
- Monitoring & Controlling
- Closing
4 CATEGORIES OF THE PROJECT INITIATION
1. Meet regulatory, legal or social requirements.
2. Implement or change business or technological
strategies.
3. Satisfy stakeholder requests or needs
4. Create, improve or fix products, processes or
services.
PROJECTS CAN CREATE:
1. A product that can be either a component of
another item, an enhancement of an item, or an
end item in itself;
2. A service or a capability to perform a service
(e.g., a business function that supports
production or distribution);
3. An improvement in the existing product or
service lines (e.g., A Six Sigma project
undertaken to reduce defects); or
4. A result, such as an outcome or document (e.g.,
a research project that develops knowledge that
can be used to determine whether a trend exists
or a new process will benefit society).
EXAMPLES OF PROJECTS:
1. Developing a new product, service, or result;
2. Effecting a change in the structure, processes,
staffing, or style of an organization;
3. Developing or acquiring a new or modified
information system (hardware or software);
4. Conducting a research effort whose outcome will
be aptly recorded;
5. Constructing a building, industrial plant, or
infrastructure; or
6. Implementing, improving, or enhancing existing
business processes and procedures.
PROJECT, PROGRAM, PORTFOLIO, PROCESS
PROGRAM - a group of related projects, subsidiary
programs, and program activities managed in a
coordinated manner to obtain benefits not available
from managing them individually. Programs are not
large projects (“megaproject”).
PROGRAM MGT - the application of
knowledge, skills, and principles to a program
to achieve the program objectives and to
obtain benefits and control not available by
managing program components individually.
PORTFOLIO - projects, programs, subsidiary
portfolios, and operations managed as a group to
achieve strategic objectives.
PORTFOLIO MGT - centralized
management of one or more portfolios to
achieve strategic objectives. The programs or
projects of the portfolio may not necessarily
be interdependent or directly related.
PROCESS (OPERATIONS) - area that is outside the
scope of formal project management which is
concerned with the ongoing production of goods
and/or services; ongoing endeavors that produce
repetitive outputs, with resources assigned to do
basically the same set of tasks according to the
standards institutionalized in a product life cycle.
OPERATIONS MGT - responsible for
overseeing, directing, and controlling
business operations; evolve to support the
day-to-day business, and are necessary to
achieve strategic and tactical goals of the
business.
ORGANIZATIONAL PROJECT MANAGEMENT
 A framework in which portfolio, program, and
project management are integrated with
organizational enablers in order to achieve
strategic objectives.
 Purpose is to ensure that the organization
undertakes the right projects and allocates
critical resources appropriately and ensure that
all levels in the organization understand the
strategic vision
PROJECT MANAGEMENT OFFICE (PMO)
 A management structure that standardizes the
project-related governance processes and
facilitates the sharing of resources,
methodologies, tools, and techniques.
 The responsibilities of a PMO can range from
providing project management support functions
to actually being responsible for the direct
management of one or more projects.
CAN BE:
 SUPPORTIVE - provide a consultative role to
projects by supplying templates, best practices,
training, access to information and lessons
learned from other projects. This type of PMO
serves as a project repository. The degree of
control provided by the PMO is low.
 CONTROLLING - provide support and require
compliance through various means. Compliance
may involve adopting project management
frameworks or methodologies, using specific
templates, forms and tools, or conformance to
governance. The degree of control provided by
the PMO is moderate.
 DIRECTIVE - take control of the projects by
directly managing the projects. The degree of
control provided by the PMO is high.
PROJECT-BASED ORGANIZATION (PBO)  When we, as project managers, focus on
delivering business value as we deliver projects,
 Refer to various organizational forms that create
our discipline will become more and more
temporary systems for carrying out their work
valuable to the organizations we serve.
 can also refer to “project work streams”
 As we focus on the customer, delivering business
 the use of PBOs may diminish the hierarchy and
value will be the most important aspect of project
bureaucracy inside the organizations as the
management.
success of the work is measured by the final
result rather than by position or politics Project Management is about customer-
obsession.
BUSINESS VALUE
Putting the customers at the heart of what we do.
The ability to deliver business value is the true
success measure of Project Management. INFLUENCES TO PROJECT MANAGEMENT

Business value is the net benefit that will be realized ORGANIZATIONAL INFLUENCES
by the customer of a project, and can be measured in
I. ENTERPRISE ENVIRONMENTAL FACTORS
either monetary or non-monetary terms.
(EEFs)
HOW TO DELIVER BUSINESS VALUE (CYCLE) environment outside of the project, i.e. conditions,
not under the control of the project team
1. Understand the vision. The vision should
 INTERNAL
include a high-level view of the scope of the
1. Organizational culture, structure, and
project and, more importantly, the reason the
governance
project was created
2. Communication
2. Be clear about the business value of the
3. Geographic distribution of facilities and
project. It is critical for the organization to identify
resources
the value the project will deliver and how it will be
4. Infrastructure
measured during the project.
5. Information technology software
3. Evangelize the vision and business value to
6. Resource availability (including HR)
the project team. If the project team can
7. Employee capability
understand the vision and business value of
 EXTERNAL
the project, they will “yearn” for the ability to
1. Marketplace conditions
deliver that business value to the customer.
2. Social and cultural influences and issues
4. Foster a team environment to effectively
3. Legal restrictions
deliver value. The project manager must serve
4. Commercial databases
the team and remove any roadblocks in their
5. Academic research
way so that team efficiency thrives.
6. Government or industry standards
5. Measure the realization of the business value.
7. Financial considerations
The project manager is responsible for reporting
8. Physical environmental elements
on the progress of a project.
 ORGANIZATIONAL CULTURAL NORMS  ORGANIZATIONAL STRUCTURES
Organization – systematic arrangement of 1. Functional
entities (persons and/or departments) aimed  A hierarchy where each employee has
at accomplishing a purpose, which may one clear superior
involve undertaking projects.  Staff members are grouped by specialty,
Cultural Norms – refers to the organization’s such as production, marketing,
cultures and styles, which develop over time, engineering, and accounting at the top
and may include: level
1. Shared visions, mission, values, beliefs, 2. Matrix
and expectations;  A hierarchy where employees may have
2. Regulations, policies, methods, and multiple superiors
procedures;  A blend of functional and projectized
3. Motivation and reward systems; characteristics
4. Risk tolerance; 3. Project Based
5. View of leadership, hierarchy, and  Employees are organized “per project”
authority relationships; and may report to multiple project
6. Code of conduct, work ethic, and work managers
hours; and  Project Managers have the most
7. Operating environments. independence and authority
 COMMINICATION
Formal and Informal Communication – II. ORGANIZATIONAL PROCESS ASSETS
Stakeholders and project team members can (OPAs)
use electronic communications (including e-  Internal to the organization
mail, texting, instant messaging, social  Plans, processes, policies, procedures, and
media, video and web conferencing, and knowledge bases
other forms of electronic media)  Corporate Knowledge Base - the organizational
knowledge base for storing and retrieving
In the light of globalization, understanding the impact information, such as:
of cultural influences is critical in projects involving - Guidelines and criteria for customizations or
diverse organizations and locations around the world. “tailoring”
- Specific organizational standards such as
Culture becomes a critical factor in defining project policies
success, and multicultural competence becomes - Product and project life cycles, and methods
critical for the project manager. and procedures
- Issue and defect management procedures
- Pre-approved supplier lists and other
contractual agreements
 - Change control procedures
- Traceability matrices
CUSTOMER & USER
- Financial controls procedures
- General Templates - customers are the persons or organizations
who will approve and manage the project’s
PROJECT STAKEHOLDERS
product, service, or result
STAKEHOLDER - users are the persons or organizations who
 an individual, group, or organization who may will use the project’s product, service, or
affect, be affected by, or perceive itself to be result
affected by a decision, activity, or outcome of a - can be external or internal to the project
project. manager’s organization
 include all members of the project team as well
SELLERS
as all interested entities that are internal or
external to the organization. - also called vendors, suppliers, or contractors,

 the project manager should manage the are external companies that enter into a

influences of these various stakeholders in contractual agreement to provide

relation to the project requirements to ensure a components or services necessary for the

successful outcome. project

 they can influence project objectives and results BUSINESS PARTNERS

STAKEHOLDER IDENTIFICATION - external organizations that have a special

 a continuous process throughout the entire relationship with the enterprise, sometimes

project life cycle that involves identifying attained through a certification process

stakeholders, understanding their relative degree - provide specialized expertise or fill a

of influence on a project, and balancing their specified role such as installation,

demands, needs, and expectations are critical to customization, training, or support.

the success of the project ORGANIZATIONAL GROUPS

KINDS OF STAKEHOLDERS - internal stakeholders who are affected by the

SPONSOR activities of the project team.

- these groups support the business
- the person or group who provides environment where projects are executed,
resources and support for the project and is and are therefore affected by the activities of
accountable for enabling success. the project.
- can be external or internal to the project FUNCTIONAL MANAGERS
manager’s organization. - individuals who play a management role
- Acts as the “escalation path” within an administrative or functional area of
the business
 - may provide subject matter expertise or their 5. Processes and procedures for the
function may provide services to the project communication of information;
6. Project decision-making processes;
OTHER STAKEHOLDERS
7. Guidelines for aligning project governance and
- additional stakeholders, such as organizational strategy;
procurement entities, financial institutions, 8. Project life cycle approach;
government regulators, subject matter 9. Process for stage gate or phase reviews;
experts, consultants, and others, may have a 10. Process for review and approval for changes to
financial interest in the project, contribute budget, scope, quality, and schedule which are
inputs to the project, or have an interest in the beyond the authority of the project manager; and
outcome of the project 11. Process to align internal stakeholders with project
process requirements.
PROJECT GOVERNANCE
PROJECT LIFE CYCLE
 An oversight function that is aligned with the
organization’s governance model and that GENERIC PROJECT LIFE CYCLE
encompasses the project life cycle.
 Generic life cycle structure is often referred to
 Provides the project manager and team with
when communicating with upper management or
structure, processes, decision-making models
other entities less familiar with the details of the
and tools for managing the project, while
project
supporting and controlling the project for
 Independent from the life cycle of the product
successful delivery
produced by or modified by the project
 Includes a framework for making project
decisions; defines roles, responsibilities, and
accountabilities for the success of the project;
and determines the effectiveness of the project
manager
ELEMENTS IN THE PROJECT GOVERNANCE
FRAMEWORK
1. Project success and deliverable acceptance
criteria; 2.
2. Process to identify, escalate, and resolve issues
that arise during the project;
3. Relationship among the project team,
organizational groups, and external stakeholders;
4. Project organization chart that identifies project
roles;
PROJECT PHASES 2. OVERLAPPING
- phase starts prior to completion of the
 This refers to a collection of logically related
previous one.
project activities that culminates in the
- an example of the schedule compression
completion of one or more deliverables.
technique called fast tracking.
 Used when the nature of the work to be
performed is unique to a portion of the project, APPROACHES
and are typically linked to the development of a
 PREDICTIVE
specific major deliverable.
- Waterfall
 Allows the project to be segmented into logical
- the project scope, time, and cost are
subsets for ease of management, planning, and
determined in the early phases.
control.
- ideal when the result to be delivered is clear.
CHARACTERISTICS OF A PROFECT PHASE  ITERATICE
- repeats one or more project activities as the
1. The work has a distinct focus that differs from any
project team’s understanding of the project
other phase. This often involves different
evolves.
organizations, locations, and skill sets.
 INCREMENTAL
2. Achieving the primary deliverable or objective of
- subsequently adds / improves the
the phase requires controls or processes unique
functionality of the desired result.
to the phase or its activities.
- can have ‘partial delivery’ of result.
3. The closure of a phase ends with some form of
 ADAPTIVE
transfer or hand-off of the work product produced
- Agile or Change-driven
as the phase deliverable.
- intended to respond to high levels of change
- This point may be referred to as a stage gate,
and ongoing stakeholder involvement.
milestone, phase review, phase gate or kill
- can be iterative and incremental.
point.
 HYBRID

 There is no single ideal structure that will - combination of predictive and adaptive

apply to all projects.

 Although industry common practices will often
lead to the use of a preferred structure, projects
in the same industry—or even in the same
organization—may have significant variation.

TRANSITION FROM ONE PROJECT PHASE TO

ANOTHER

1. SEQUENTIAL - phase starts only when the

previous phase is complete.