UNIT-I

CONCEPT OF PROJECT
“A project in business and science is a collaborative enterprise, frequently involving research or design, that is carefully planned to achieve a particular aim.” The word project comes from the Latin word projectum from the Latin verb proicere, "to throw something forwards" which in turn comes from pro-, which denotes something that precedes the action of the next part of the word in time (paralleling the Greek πρό) and iacere, "to throw". The word "project" thus actually originally meant "something that comes before anything else happens".

Specific uses School and university
At school and university, a project is a research assignment given to a student which generally requires a larger amount of effort and more independent work than is involved in a normal essay assignment. It requires students to undertake their own fact-finding and analysis, either from library/internet research or from gathering data empirically. The written report that comes from the project is usually in the form of a dissertation, which will contain sections on the project's inception, methods of inquiry, analysis, findings and conclusions.[2]

Engineering project
The engineering project is a particular type of technological system, embedded in the context of technological systems in general[3]. Engineering projects are, in many countries, specifically defined by legislation, which requires that such projects should be carried out by registered engineers and/or registered engineering companies. That is, companies with license to carry out such works as design and construction of buildings, power plants, industrial facilities, installation and erection of electrical grid networks, transportation infrastructure and the like. The scope of the project is specified on a contract between the owner

and the engineering and construction parties. As a rule, an engineering project is broken down into design and construction phases. The outputs of the design process are drawings, calculations, and all other design documentation necessary to carry out the next phase.

Examples of notable projects1) Human Genome Project which mapped the human genome 2) Manhattan Project, which developed the first nuclear weapon 3) Polaris missile project: an ICBM control-system 4) Project Apollo, which landed humans on the moon

5) Soviet atomic bomb project 6) Soviet manned lunar projects and programs

CATEGORIES OF PROJECTS
No Conclusions Can Be Drawn Concerning the Proposed Project Categories: Table 1, from the 2003 paper referenced earlier and used in the survey questionnaire, shows the proposed project categories and sub-categories. These are based primarily on the nature of the end results to be produced by each project. The survey objectives in this regard were to test the validity of this classification method and to discover what, if any, other methods are in widespread use in various countries. The online questionnaire enabled the responder to select one of five terms for each category and sub-category name from a drop-down list that included these choices (within the country from which the responder is reporting): • Universally accepted and used • Widely accepted and used • Accepted and used by some practitioners • Rarely accepted and used • Never accepted and used. Spaces for an alternative name and for comments and each item were also provided. Because of the small number of responses from each country, ranging from 1 to a maximum of 7, it is not possible to draw any valid conclusions regarding 1) how widespread the use is of the proposed categories, 2) the
Project Categories:
Each having similar life cycle phases and a unique project management process 1. Aerospace/Defense Projects 1.1 Defense systems 1.2 Space 1.3 Military operations

Examples

New weapon system; major system upgrade. Satellite development/launch; space station mod. Task force invasion

2. Business & Organization Change Projects 2.1 Acquisition/Merger 2.2 Management process improvement 2.3 New business venture 2.4 Organization re-structuring 2.5 Legal proceeding 3. Communication Systems Projects 3.1 Network communications systems 3.2 Switching communications systems

Acquire and integrate competing company. Major improvement in project management. Form and launch new company. Consolidate divisions and downsize company.

Microwave communications network. 3rd generation wireless communication system.

4. Event Projects

gas. 5. New gas-fired power generation plant.3 Economic development 10. S.2 Live play or music event 9. creating an organizational entity to operate and maintain the facility. New earth-moving machine.4 Medical 10. Chemical waste cleanup.1 Information technology hardware 9. Research and Development Projects 10. pipeline.1 Facility decommissioning 5. PROJECT DEVELOPMENT CYCLE It is important to keep in mind that good projects don’t happen by accident. Facilities Projects 5.4 Facility design/procurement/construction Civil Energy Environmental High rise Industrial Commercial Residential Ships Closure of nuclear power station. New cholesterol-lowering drug. power generation and distribution). as part of the project. office building. telecommunications.2 National events 2004 Summer Olympics. New housing sub-division. Determine the possibility of life on Mars. Determine best crop for sub-Sahara Africa. Flood control dam.5 Service (financial. Demolition of high rise building. irrigation) People and process intensive projects in developing countries funded by The World Bank.3 Health 7.2 Industrial 10.6 Small-scale enterprise 7. One should be encouraged to select topics that are neither .2 TV segment 8. Media & Entertainment Projects 8. 2006 World Cup Match.1 Motion picture 8. Super Bowl. 40 story office building. other) New motion picture (film or digital).) 7. and government agencies. Product and Service Development Projects 9. New life insurance/annuity offering. 8. water supply and sewage.4 Pharmaceutical product/process 9. Step 1—Define the project: This initial step involves determining the boundaries of the project as well as identifying how the project relates to the overall curriculum. There are many steps along the way that help to ensure a quality presentation.1 International events 4. Facility Projects as they may include. regional development banks.2 Education 7.3 Consumer product/process 9. highway interchange. and lending agencies impose their project life cycle and reporting requirements.5 Scientific Measure changes in the ozone layer. New opera premiere New desk-top computer. Process plant maintenance turnaround. or passenger ship 6.4.1 Agriculture/rural development 7. container. Conversion of plant for new products/markets. New manufacturing plant. (Information system hardware is considered to be in the product development category. 10.2 Facility demolition 5. 2004 Political Conventions. Test new treatment for breast cancer. New shopping center.5 Population 7. International Development Projects 7. coal.3 Facility maintenance and modification 5. other UN.7 Infrastructure: energy (oil. 2005 U. New TV episode.4 Nutrition 7. New tanker.1 Environmental 10. US AID. How to reduce pollutant emission. and Capital/civil works intensive projects— often somewhat different from 5. New automobile. Information Systems (Software) Projects New project management information system. UNIDO. transportation.2 Industrial product/process 9. urbanization. industrial. new food product.

draw a diagram. and books. In the process. computer files. video tapes. or use a software program such as Inspiration to organize their ideas. their family. text. It is important to guide students to select project resources based on the informational value they will add. Step 6—Present the project: This phase of the project is very important. students will design their project using digital media tools such as video. Therefore. project management team will need to spend some time selecting the notes. audio tapes. journals. encyclopedias. sound. Step 8—Implement the project: In this final step implementation of the project work takes place.too broad nor too narrow in focus. and not simply because they are glitzy or look cool. students will review their project and make changes to improve it. magazines. students will understand how successful they were in communicating with their audience. Step 7—Revise the project: Based on the feedback received from instructors and peers. . and animation. but is often overlooked. students are ready to produce a storyboard or flowchart of their project. Step 4—Design the project: At this point. graphics. Students take great pride in projects they create. They can create an outline. data. These may include resource CDs. identification of the traditional and unconventional sources of information about the project takes place. Step 5—Develop the project: In this step. and Web links they will include in their project. Step 3—Organize resources: Once resources have been collected. or other members of the community. Web sites. it is important that they be allowed to present their project to audiences such as their class. Step 2—Locate resources: In this phase.

organizing. however technically that is actually a higher level construction: a group of related and somehow interdependent engineering projects. . It is sometimes conflated with program management. securing and managing resources to bring about the successful completion of specific project goals and objectives.PROJECT DEVELOPMENT CYCLE TYPICAL DEVELOPMENT PHASES OF AN ENNGINEERING PROJECT CONCEPT OF PROJECT MANAGEMENT: Project management is the discipline of planning.

Project management has been practiced since early civilization. . and heavy defense activity. ii) time. having a defined beginning and end (usually constrained by date. and as such requires the development of distinct technical skills and the adoption of separate management. among those for example Vitruvius (1st century BC). His work is the forerunner to modern project management tools including work breakdown structure (WBS) and resource allocation. Christopher Wren (1632–1723) . The secondary—and more ambitious—challenge is: 1) To optimize the allocation 2) integration of inputs necessary to meet pre-defined objectives. Project Management developed from several fields of application including civil construction. The temporary nature of projects stands in contrast to business as usual (or operations). The primary challenge of project management is: 1) To achieve all of the engineering project goals and 2) Objectives while honoring the preconceived project constraints.[8] Two forefathers of project management are Henry Gantt. permanent or semi-permanent functional work to produce products or services. and iii) budget.[3] which are repetitive. called the father of planning and control techniques. Until 1900 civil engineering projects were generally managed by creative architects and engineers themselves.[1] undertaken to meet unique goals and objectives. and Henri Fayol for his creation of the 5 management functions which form the foundation of the body of knowledge associated with project and program management. Typical constraints are i)scope.[2] usually to bring about beneficial change or added value. engineering.[9] who is famous for his use of the Gantt chart as a project management tool.A project is a temporary endeavor.[6] It was in the 1950s that organizations started to systematically apply project management tools and techniques to complex engineering projects. but can be by funding or deliverables).[10] Both Gantt and Fayol were students of Frederick Winslow Taylor's theories of scientific management. Thomas Telford (1757–1834) and Isambard Kingdom Brunel (1806–1859). the management of these two systems is often found to be quite different.[7] As a discipline. In practice.

The project development stages: Major process groups generally include: 1) Initiation 2) Planning or development 3) Production or execution 4) Monitoring and controlling 5) Closing In project environments with a significant exploratory element (e.)Research and development). and a control system. Regardless of the methodology or terminology used. An example is the Stage-Gate model .g.Processes Traditionally. project management includes a number of elements: four to five process groups. these stages may be supplemented with decision points (go/no go decisions) at which the project's continuation is debated and decided. the same basic project management processes will be used.

it is unlikely that the project will be successful in meeting the business’ needs. If this stage is not performed well.Initiation Initiating Process Group Processes[19] The initiation processes determine the nature and scope of the project[21]. The key project controls needed here are an understanding of the business environment and making sure that all necessary controls are incorporated into the project. Any deficiencies should be reported and a .

and support personnel for the project Project charter including costs. Estimating time and cost for activities.g. tasks. As with the Initiation process group. Risk planning. Identifying deliverables and creating the work breakdown structure.recommendation should be made to fix them. Developing the budget. Developing the scope statement. Developing the schedule. deliverables. Additional processes. Selecting the planning team. Estimating the resource requirements for the activities. The main purpose is to plan time. and schedule Planning and design Planning Process Group Activities[19] After the initiation stage. including users. such as planning for communications and for scope management. determining . cost and resources adequately to estimate the work needed and to effectively manage risk during project execution. Gaining formal approval to begin work. the project is planned to an appropriate level of detail. by level of detail or rolling wave). The initiation stage should include a plan that encompasses the following areas: Analyzing the business needs/requirements in measurable goals Reviewing of the current operations Financial analysis of the costs and benefits including a budget Stakeholder analysis. a failure to adequately plan greatly reduces the project's chances of successfully accomplishing its goals. Identifying the activities needed to complete those deliverables and networking the activities in their logical sequence. Project planning generally consists of[22] Determining how to plan (e. identifying roles and responsibilities.

Execution process involves coordinating people and resources. For new product development projects. Executing Executing Process Group Processes[19] Executing consists of the processes used to complete the work defined in the project management plan to accomplish the project's requirements.what to purchase for the project and holding a kick-off meeting are also generally advisable. The deliverables are produced as outputs from the processes performed as defined in the project management plan. as well as integrating and performing the activities of the project in accordance with the project management plan. and may help to inform the planning team when identifying deliverables and planning activities. Monitoring and controlling . conceptual design of the operation of the final product may be performed concurrent with the project planning activities.

Influencing the factors that could circumvent integrated change control so only approved changes are implemented In multi-phase projects. Identify corrective actions to address issues and risks properly (How can we get on track again). when necessary. to control the execution of the project. and it includes:[20] Continuing support of end users Correction of errors Updates of the software over time . the monitoring and control process also provides feedback between project phases. scope. The key benefit is that project performance is observed and measured regularly to identify variances from the project management plan. etc.) against the project management plan and the project performance baseline (where we should be).Monitoring and controlling consists of those processes performed to observe project execution so that potential problems can be identified in a timely manner and corrective action can be taken. in order to implement corrective or preventive actions to bring the project into compliance with the project management plan. Monitoring the project variables (cost. Project Maintenance is an ongoing process. Monitoring and Controlling Process Group Processes[19] Monitoring and Controlling includes:[23] Measuring the ongoing project activities ('where we are'). effort.

When the changes accumulate. value engineering and impacts from third parties. material availability. the work scope may change. This is referred to as Change Management. Closing Closing Process Group Processes. more specifically. Change is a normal and expected part of the construction process. This phase consists of:[20] .” The requirement for providing them is a norm in construction contracts. any change that modifies the tangible portions of the finished work. The record is made on the contract documents – usually. to name a few. “as built. the design drawings. the change normally needs to be documented to show what was actually constructed.Monitoring and Controlling cycle In this stage. differing site conditions. the forecasted result may not justify the original proposed investment in the project. Administrative activities include the archiving of the files and documenting lessons learned. Beyond executing the change in the field. Hence. auditors should pay attention to how effectively and quickly user problems are resolved. contractor-requested changes. Over the course of any construction project. When changes are introduced to the project. or more simply. but not necessarily limited to. It is important not to lose sight of the initial goals and targets of the projects. The end product of this effort is what the industry terms as-built drawings.[19] Closing includes the formal acceptance of the project and the ending thereof. Changes can be the result of necessary design modifications. the viability of the project has to be re-assessed. the owner usually requires a final record to show all changes or.

aims.Project close: Finalize all activities across all of the process groups to formally close the project or a project phase Contract closure: Complete and settle each contract (including the resolution of any open items) and close each contract applicable to the project or project phase. ideas. TOOLS AND TECHNIQUES MANAGEMENT OF PROJECT Here are examples and explanations of four commonly used tools in project planning and project management.som BF C Project brainstorming and initial concepts.op * . Additionally and separately see business process modelling and quality management. and Gantt Charts. Matrix key: B = BrainstormingF = Fishbone/Ishikawa DiagramsC = Critical Path Analysis Flow DiagramsG = Gantt Charts *** . summarised as a basic guide in the matrix below. namely: Brainstorming. Fishbone Diagrams. structures. especially causal and hidden factors * * * * * ** * * * . Critical Path Analysis Flow Diagrams. The tools here each have their strengths and particular purposes.m ** . etc Gathering and identifying all elements. which contain related tools and methods aside from the main project management models shown below.

the first stages of the brainstorming process is ideally a free-thinking and . See the brainstorming method in detail and explained separately. progress reports. because it many other useful applications outside of project management.costings.non-sequential.* Scheduling and timescales * * * * * * * * * Identifying and sequencing parallel and interdependent activities and stages * Financials . revenues. Unlike most project management skills and methods. updates. etc ** Monitoring. presentations. forecasting. diagnosis and solutions * * * * * * * * * * * * * * 'Snapshot' or 'map' overview . etc brainstorming Brainstorming is usually the first crucial creative stage of the project management and project planning process. problem identification. variances. reporting * Troubleshooting. non-scheduled Format for communications. profits. budgets.

fishbone diagrams Fishbone diagrams are chiefly used in quality management fault-detection. Consequently this stage of the project planning process can benefit from being facilitated by a team member able to manage such a session. especially in manufacturing and production. Ishikawa's diagram became known as a fishbone diagram. resources areas. Fishbone diagrams are very good for identifying hidden factors which can be significant in enabling larger activities. because it looks like a fishbone: . Fishbone diagrams are not good for scheduling or showing interdependent time-critical factors. for example during brainstorming.random technique. or parts of a process. notably when gathering and organising factors. a Japanese professor specialising in industrial quality management and engineering who devised the technique in the 1960s. Fishbone diagrams are also called 'cause and effect diagrams' and Ishikawa diagrams. Consequently it can be overlooked or underutilized because it not a natural approach for many people whose mains strengths are in systems and processes. obviously. specifically to help very organised people to think randomly and creatively. but the model is also very useful in project management planning and task management generally. and in business process improvement. Within project management fishbone diagrams are useful for early planning. after Kaoru Ishikawa (1915-89).

The diagram above is a very simple one. Typically fishbone diagrams have six or more main bones feeding into the spine. Other main category factors can include Environment. rather than taking a standard set of category headings and hoping that it fits.especially for 'mapping' an entire operation. etc. The 'Problem' term is used in fault diagnosis and in quality . At a simple level the fishbone diagram is a very effective planning model and tool . Legal. Systems. Where a fishbone diagram is used for project planning of course the 'Effect' is shown as an aim or outcome or result. not a problem. Management. however it is important that your chosen structure is right for your own situation. Various standard category sets exist for different industrial applications. Training. The categories used in a fishbone diagram should be whatever makes sense for the project.

A critical path analysis is normally shown as a flow diagram. whose format is linear (organised in a line). especially where a big project may contain hundreds or thousands of connected elements. but it's a very logical and effective method for planning and managing complex projects. . which is common in specialised quality management areas. Critical Path Analysis is also called Critical Path Method . and the critical path analysis diagram are similar to the even more complex diagrams used on business process modelling within areas of business planning and and business process improvement.and the terms are commonly abbreviated.management problem-solving. but any project of considerable size and complexity. and specifically a time-line. Some fishbone diagrams can become very complex indeed. particularly when timings and interdependency issues are crucial. This model. PERT is not normally relevant in simple projects. to CPA and CPM. such as those mentioned here. A commonly used tool within Critical Path Analysis is PERT (Program/Programme/Project Evaluation and Review Technique) which is a specialised method for identifying related and interdependent activities and events. project critical path analysis (flow diagram or chart) 'Critical Path Analysis' sounds very complicated.it's the same thing . especially where systems are computerised. PERT analysis commonly feeds into Critical Path Analysis and to other broader project management systems. can benefit from the detailed analysis enabled by PERT methods.

As an example. the project is a simple one . This is how to create a Critical Path Analysis. Critical Path Analysis flow diagrams also enable costings and budgeting. They also enable a plan to be scheduled according to a timescale. The toast needs to be toasting while the sausages are frying. and one after the other. Certain tasks must be started before others. grill bacon and tomatoes. Normal business projects would see the analysis extending several times wider than this example. and they also help planners to identify causal elements.Critical Path Analysis flow diagrams are very good for showing interdependent factors whose timings overlap or coincide. Timescales and costs can be applied to each activity and resource.and crucially they are interdependent. The eggs need to be fried last. again for example: Assemble crockery and utensils. It is possible to use MS Excel or a similar spreadsheet to create . serve. and certain tasks must be completed in order for others to begin. if you tried to make a fried breakfast by doing one task at a time. and at the same time the bacon and sausages are under the grill. Here's the Critical Path Analysis for making a fried breakfast: This Critical Path Analysis example below shows just a few activities over a few minutes. Note that some of these activities must happen in parallel . although not quite so easily as fishbone diagrams (below).making a fried breakfast. fry sausages and eggs. and the time line would be based on weeks or months. prepare equipment. lay table. although not quite as easily as Gantt charts (below). things would go wrong. First note down all the issues (resources and activities in a rough order). assemble ingredients. make toast. That is to say. A Critical Path Analysis is a diagrammatical representation of what needs done and when. warm plates. The plates need to be warming while other activities are going on.

a Critical Path Analysis.can put 90% of the thinking and structure in place. Beware however of spending weeks on the intricacies of computer modelling. which allows financial totals and time totals to be planned and tracked.) project critical path analysis flow diagram example . Various specialised project management software enable the same thing. a carefully hand drawn diagram .which requires no computer training at all . (See the details about the most incredible planning and communications tool ever invented. and available for just a tiny fraction of the price of all the alternatives. when in the early stages especially.

or for . The Gantt Chart is named after US engineer and consultant Henry Gantt (18611919) who devised the technique in the 1910s.gantt charts Gantt Charts (commonly wrongly called gant charts) are extremely useful project management tools. Gantt charts are excellent models for scheduling and for budgeting. and for reporting and presenting and communicating project plans and progress easily and quickly. but as a rule Gantt Charts are not as good as a Critical Path Analysis Flow Diagram for identifying and showing interdependent factors.

. Gantt Charts are probably the most flexible and useful of all project management tools. and almost certainly for large complex projects. intense. etc. etc.) You can schedule review and insert break points. so you may need both tools. as a Critical Path Analysis will do. watching brief.'mapping' a plan from and/or into all of its detailed causal or contributing elements. delegated and left-to-run. but normally you would use weeks. averages. Costs columns can show plan and actuals and variances. A Gantt chart like this can be used to keep track of progress for each activity and how the costs are running. You can construct a Gantt Chart using MSExcel or a similar spreadsheet. ratios. that you need. You can move the time blocks around to report on actuals versus planned. Create a timeline for the duration of the project (the breakfast example shows minutes. or for very big long-term projects. especially at the planning stage. At the end of each line you can show as many cost columns for the activities as you need. gantt chart example . but remember they do not very easily or obviously show the importance and inter-dependence of related parallel activities. and to re-schedule. and they won't obviously show the necessity to complete one task before another can begin. and to create new plan updates. You can colour code the time blocks to denote type of activity (for example. The breakfast example shows just the capital cost of the consumable items and a revenue cost for labour and fuel. Every activity has a separate line. directly managed. and calculate whatever totals. months).

I welcome suggestions of particularly good systems. PROJECT ORGANIZATION TYPES: The way projects are structured is directly related to the way the entire organization is structured.A wide range of computerised systems/software now exists for project management and planning. etc. especially if inexpensive or free. Project planning tools naturally become used also for subsequent project reporting. and you will make life easier for everyone if you use formats that people recognize and find familiar.. so it's a good idea to seek local relevant advice and examples of best practice before deciding the best computerised project management system(s) for your own situation. with lots of scope for improvement and development. All the resources needed for the project team . and new methods continue to be developed. presentations. It is an area of high innovation. There are three major organization structures to manage work and people. Functionally Based In a functional organization. Many organizations develop or specify particular computerised tools. a project team is staffed with people from the same department.

let’s say that a large project needed resources from the Finance. A second way that a project is staffed in a functional organization is by executing portions of a project in one functional organization at a time. but it is more typical that they would have support responsibilities that could impact their ability to meet project deadlines. They may be assigned to other projects. For instance. it’s possible to form functional departments within the project team. If you need IT. since all of the staff needed for your project will come from the same functional organization. and a clear focus. Another disadvantage is that project team members may have other responsibilities in the functional organization since they may not be needed full-time on a project. they would all be available from within the Finance Division. since scarce resources must be duplicated on different projects. The IT Department would work on its piece. the project resources come from the Finance Division. all of the independent solutions would be integrated into one final solution. which could duplicate a central Human Resources Department. The Finance Department would work on its piece. since the project manager is also the functional manager. if the project is related to the finance function.come from the functional organization. a large project may have its own Human Resources staff. Project Based When projects are large enough. may have difficulty acquiring specialty IT resources such as Database Administrators. the project would be broken down by organizational unit and each unit would do its own part relatively independently. You also do not need to negotiate with other organizations for resources. There can also be concerns . for instance. Other advantages of this organization are that the team members are usually familiar with each other. For example. At the end. For instance. A Finance project with an IT component. IT and Manufacturing departments. The team members also tend to bring applicable business knowledge of the project. Purchasing. This is especially practical when a large program has hundreds of people assigned over a long period of time. since they all work in the same area. The biggest advantage of functionally based projects is that there is usually clear authority. One disadvantage is duplication of resources. In a functional organization. A major disadvantage of the functional organization is that your functional area may not have all of the specialists needed to work on a project. since the only people available will work in their own functional department. since the project managers tend to also be the functional managers. Advantages include clear authority. finance and legal resources. The Manufacturing and Purchasing Departments would work on its pieces. since everyone on the team has only the project for his primary responsibility.

For instance. the people still have jobs within the functional department. while working for one or two project managers from other departments. It becomes more important for staff members to develop strong time management skills to ensure that they fulfill the work expectations of multiple managers. This organization also requires communication and cooperation between multiple functional and project managers that all need time from the same resources. 0 1 2 3 0 1 Founder & Related Links . but be assigned to a project in another department that needs legal expertise. For instance. especially scarce specialty skills that cannot be fully utilized by only one project. Matrix Based Matrix organizations allow functional departments to focus on their specific business competencies and allow projects to be staffed with specialists from throughout the organization. In a functional organization. It is common for people to report to one person in the functional organization. Some people might report to functional manager for whom little work is done.about how to reallocate people and resources when projects are completed. Database Administrators may all report to one functional department. The main disadvantage is that the reporting relationships are complex. In a project-based organization it is not so clear where everyone is reassigned when the project is completed. while actually working for one or more project managers. but can be fully leveraged by working on multiple projects. data modeling specialists may not be utilized full-time on a project. but would be allocated out to work on various projects in other departments. The main advantage of the matrix organization is the efficient allocation of all resources. The matrix-based organization is also the most flexible when dealing with changing business needs and priorities. A Legal resource might report to the Legal Department.

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