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Project Management vs. Operations Management vs.

Service Management

It is easy to get confused between projects and operations


because they share some characteristics, such as:

• Performed by People
• Both are performed by people, sometimes even the same people
PROJECTS • Planned
OPERATIONS
• Both require planning • Managed
• Budget, resources &
• Both require oversight and management oversight and management timelines

• Both operate and are constrained by a fixed amount of budget,


resources, and timelines

Project Management Operations Management Service Management

Unique & Temporary Permanent & Ongoing Transactional These common characteristics make
Ongoing Budget to Run the Ongoing Budget to Run Normal
people confused. However, the
Fixed One Time Budget
Business Services
differences between projects and
New Business Objective No New Products Produced No New Products Produced operations can be clarified.
Creates a Unique Product, Same Product, Aim to Keep the
Defined Services
Service or Result System Running

More Risk – First Time Initiative Fewer Risks - Repeated Low/No Risk

Outcome/Performance
Efficiency Intensive Service Intensive
Intensive
PROJECT REQUESTS OPERATIONS REQUESTS SERVICE REQUESTS

“A temporary endeavor, with a definite Operations are permanent in nature. They are “A request from a user for information,
beginning and end, undertaken to create a ongoing activities and follow an organization’s advice, a standard change, or access to a
unique product, service, or result.” PMI 1.2 procedures to produce repetitive results, with service.” ITIL
resources assigned to do the same set of tasks
and produce a standard output.

1. A project is temporary in that it has a 1. An ongoing work effort is generally a The purpose of the service request
defined beginning and end in time, and repetitive process because it follows an management practice is to support the
therefore defined scope and resources. organization’s existing procedures. agreed quality of a service by handling all
• Once the final deliverable is achieved • Operations do not produce new pre-defined, user-initiated service
the project will cease to exist because things, but they are necessary to requests in an effective and user-friendly
its objective has been achieved. maintain and sustain the system manner.
DEFINITION

• A project has a definitive start and • The ongoing execution of activities


Often, users will require support from
end: It cannot continue forever. that produce the same result or
the service provider in order to fully take
• Resources, both people and financial, product repetitively
advantage of the products and services
assigned to a project are temporary. • Operations are used to run regular on offer. A service request is defined as a
The budget is limited. People are not business models, achieve the goals of request from a user or a user’s
permanently assigned and once the the business, and support the authorized representative that initiates a
project is complete, they continue business. service action which has been agreed as
with their previous assignment. 2. In the life of a product, there will be a normal part of service delivery.
2. A project is unique in that it is not a many projects to improve the product
routine operation, but a specific set of (e.g. new features, enhancements) and Service requests are not used in response
operations designed to accomplish a these projects will come and go as to a failure or degradation of service
single goal. The project produces a needed. (which are handled as incidents).
unique product, service, or result. • The ongoing development of the
(source:
• construction-related: a physical product will continue as usual,
https://www.bmc.com/blogs/itil-service-
structure although there will be refinements
request-management/)
• research-related: a report that will be included in the product
• service-related: a call center throughout development.
3. Day-to-day operations are documented in
Once a project is complete the products, an operation manual
services or results are transitioned to 4. Day-to-day operations automated to as
operations. great a degree as possible
PROJECT REQUESTS OPERATIONS REQUESTS SERVICE REQUESTS

N/A A request for a service delivery


ITS PMO Projects:
These are any types of projects that require technology. Such action.
projects should be submitted and managed via the ITS PMO process. • Example: Setting up single sign
These projects include, but are not limited to: on for a new application.

• Project Review Committee (PRC) Any technology project that:


A request for information.
1 - involves ITS and/or impact multiple units within Gonzaga
• A user needs more information
University or
to utilize a service, for example,
2 - align with two or more of the criteria below, independent of
“How do I grant access to our
the funding source
department SharePoint site?”
o Projects that are greater than $10,000.00 including
software costs, hardware costs, human resource costs
A request for provision of a resource
(internal and consultants) and ongoing costs (scale)
or service
EXAMPLES OF WORK

o Projects that are greater than 40 hours of IT effort


• Issuing a university owned asset
(scale)
such as a laptop.
o 2 or more University departments (scope and
complexity)
A request for access to a resource or
o Impact to University community (impact and strategic
service
alignment)
 Impacts multiple stakeholders • User requests access to Sitecore
 Area(s) impacted needs immediate and to edit the website
prioritized effort Feedback, compliment, and
 Protects University reputation & standing complaints
 Directly drives forward or supports the
University strategy • User submits feedback
• ITS Infrastructure Project - ITS for improvement of IT (complaint or compliment) on a
infrastructure service delivery or to “keep the lights on”. new website or a change made
Infrastructure in an information technology (IT) context refers to to Banner.
an enterprise's entire collection of hardware, software,
networks, data centers, facilities and related equipment used to (source:
develop, test, operate, monitor, manage and/or support https://www.bmc.com/blogs/itil-
information technology services. service-request-management/)
• Department Technology Project – Projects not meeting the
PROJECT MANAGERS OPERATIONS OR FUNCTIONAL MANAGERS SERVICE OWNER

The project manager is the person Operations management is concerned with The service owner is accountable for the delivery of
assigned by the organization to the ongoing production of goods and/or a specific IT service and responsible to the customer
lead the team that is responsible services. It ensures that the business for the initiation, transition and ongoing
for achieving the project operations continue efficiently by using the maintenance and support of a service.
objectives. (PMI) optimal resources needed to meet
customer demands. It is concerned with The service owner is responsible for continual
At a high level, a project improvement and management of change affecting
managing processes (PMI)
manager is responsible for the service under their care. The service owner is a
planning, executing, and closing An operations manager oversees the primary stakeholder in all of the underlying IT
ROLES & RESPONSIBILITIES

projects. Typically, these projects business processes to ensure the business is processes which enable or support the service they
have a set start and end date, running as smoothly and efficiently as own.
with a defined scope and set of possible. Operations Managers are a key
resources that must be allocated part of any management team, as they Working with business relationship management to
to bring about project oversee the various departments in an understand and translate customer requirements
completion. It is the job of the organization and help them coordinate with into activities, and to ensure the ongoing service
project manager to coordinate one another to work towards shared delivery and support meet agreed customer
these resources in order to business goals. requirements.
execute the tasks needed to Service owners represent the service across the
complete the project within time An operations manager’s role is ongoing.
organization and serve as the point of escalation for
and budget constraints. major incidents relating to the service.
A project manager’s At a high level, the service owner is responsible for
role regarding a specific project is representing the service across the organization by
temporary – only for the duration ensuring consistent, appropriate communication
of the project. with customers for service-related inquires and
issues, assisting in defining service models and in
assessing the impact of new services or changes to
existing services through the service portfolio
management process, and working to identify
improvement opportunities to the service.
PROJECT MANAGERS OPERATIONS OR FUNCTIONAL MANAGERS SERVICE OWNERS

Responsible for the budget of the project Responsible for the budget of a whole N/A
that he/she is currently working on. It department and the cost associated with it. It
BUDGET

includes revenue that is generated during the includes salaries, costs of managing and
tenure of the project. maintaining their workplace, etc.

Responsible for making sure that the project Day-to-day management responsibilities, The expectations of users regarding
he is managing is on time. It includes and many of those tasks will take place in fulfilment times and costs should be clearly
business as usual schedule.
SCHEDULE

responsibilities like determining a delivery set, based on what the organization can
date, planning milestones and realistically deliver.
tracking progress. In short, he/she ensures
that all tasks stay on track and within
budget.

Accountable for overseeing the Responsibilities include recruiting team N/A


performance of their teammates on the members into the department,
project work that they are managing. If a onboarding new staff, and allotting people
STAFF MANAGEMENT

team member is a poor performer, it is the to projects according to their skills and
PM’s job to report performance issues to abilities. They are also responsible
the project sponsor and to the team for reviewing leave requests, dealing with
member’s supervisor. It is absences and other HR duties.
the responsibility of the operational
manager of that team member
to address the performance issue.
Project Management and Operations Management Intersection Points:

There are instances when projects and project


Project Manager Operations Manager
management intersect with operations and
operations management. This can occur most
commonly when a need arises to significantly change Manage Teams Manage People
a component of business operations then the change
will often be managed as a project. Once the project Oversees Daily
Plan and Define Projects
has delivered the change, operations will resume Operations
focus on maintaining, operating, and supporting the
Coordinate and Oversee Identifying and
products or services produced as a result of the
Execution of Projects Addressing Problems
project. In addition, Project managers and operations
often collaborate at a project’s closeout phase to Developing Operational
Manage the Schedule
begin transitioning responsibility of any ongoing Policies and Procedures
maintenance and operations associated with the
product or service. Manage the Budget
Ensuring Regulatory
Compliance

Measure and Report Managing the budgeting,


Progress planning and reporting

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