Project Management Introduction

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 Project Management Introduction Summary

• Project
• Why do we need to manage
projects?
• Stakeholders
• Project Management Expectation vs
Reality
• Project Management Styles
• Project Management and Project
Manager
• OPM
• Operation
• Program
• Portfolio

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 What is Project?

- Is a temporary endeavor with a beginning and an end.

- Creates a unique product, service, or result
Example of projects:
- Developing a new product or service
- Build a new house
- Implement a core network
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 Where projects come from?

Reasons to initiate a project:

1. From outside of the organization Outside
• Customer needs; market demands
• Regulator and social requirements;
2. From inside of the organization
• Business strategy or technology
advancement Inside
• Improve or fix products, processes, or
services.

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 Why organizations initiate a project?
Value
• The worth, importance, or usefulness
of something.
• Different stakeholders perceive value
in different ways. Customers can
define value as the ability to use
specific features or functions of a
product.
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• Busniess value: Organizations can
focus on business value as
determined with financial metrics,
such as the benefits less the cost of
achieving those benefits.
• Societal value: can include the
contribution to groups of people,
communities, or the environment.
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 Why do we need to manage project?

Scope

Risk Schedule

Stakeholder
Satisfaction

Resource Budget

Quality

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 Who are Stakeholders?

• A stakeholder is someone whose

interest may be positively or
negatively impacted by the project.
• Key stakeholders
– The project manager
– Customer
– Performing organization
– Project Team
– Project Management Team
– Sponsor
– Project Management Office
– Other influencers

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 Project Management Expectation vs Reality

Plan

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 Management Styles

Predictive/Sequential

Overlap

Iterative/Incremtal

Adaptive/agile

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 Project Management Body of Knowledge

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 What is Project Management?

Project management
• Project teams can achieve the
outcomes using a broad range of
approaches (e.g., predictive, hybrid,
and adaptive).
• Project management is the application
of knowledge, skills, tools, and
techniques to project activities to
meet the project requirements.
• Project management refers to guiding
the project work to deliver the
intended outcomes.

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 Project Team & Project Manager

Project team
• A set of individuals performing the
work of the project to achieve its
objectives.
Project Manager
• The person assigned by the
performing organization to lead the
team that is responsible for achieving
the project objective.
• Applies project management
knowledge and uses personal and
leadership skills to achieve project
success.

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System for Value Delivery

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 Creating value

Organizations create value for

stakeholders. Examples :
• Creating a new product, service, or
result that meets the needs of
customers or end users;
• Creating positive social or
environmental contributions;
• Improving efficiency, productivity,
effectiveness, or responsiveness;
• Enabling the changes needed to
facilitate organizational transition to
its desired future state; and
• Sustaining benefits enabled by
previous programs, projects, or
business operations

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 System for Value delivery
• A collection of strategic business activities aimed at building, sustaining, and/or
advancing an organization.
• Portfolios, programs, projects, products, and operations can all be part of an
organization’s system for value delivery.

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 Program & Portfolio

Program
• A group of related projects,
subprograms, and program activities
managed in a coordinated way to
obtain benefits not available from
managing them individually
Portfolio
• Projects, programs, subportfolios,
and operations managed as a group
to achieve strategic objectives

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 Components' relationship

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 Project, Program, Portfolio Comparison
Project Program Portfolio
Objective Achieves the Harmonizes its Aligns portfolio
organizational goals program with organizational
components and strategies by
controls prioritizing the
interdependencies work, selecting the
in order to realize right program/
specific benefits project....

Success measured Product, and The ability to The aggregate

by project quality, deliver its itended investmenet
timelines, budget, benefits to an performance and
compliance, and organization benefit relization of
degree of customer the portfolio
satisfaction

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 Outcome, Benefits & Value Comparison

Term Definition Example

Outputs Specialized product/ deliverable New sales system

Outcomes The end result or consequence of a Sales order are processed more
process or a project. quickly with few error

Benefits The outcomes create benefits, which Costs are reduced by 10%, sale
are gains realized by the organization. order are +15%, revenue +10%

Values Benefits, in turn, create value, which Smooth customer experience.

is something of worth, importance, or “Value is in the eye of the
usefulness. Buyer, not Seller”.

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Project Management Influences

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 Project Influencial Factors

Influences

EEFs OPA

Processes, Corporate
External Internal Procedures Knowledge
and Policies Base

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 1. Enterprise Environmental Factors (EEF)

Internal External
• Organizational culture, structure and • Marketplace conditions;
governance • Social and cultural
• Geographic distribution of facilities • Legal
and resources; • Commercial database
• Infrastructure • Academic research
• Project management information • Government or industry standards
system • Political climate;
• Existing human resources
• Company work authorization systems;

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 Organizational Structures

• The structural model used by an

organization will have a huge impact
on how project managers interact
with team members and
stakeholders.
• Types of organization structure
– Projectized
– Functional
– Matrix
• Strong Matrix
• Weak Matrix
• Balanced Matrix
– Composite

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 Projectized

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 Functional

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 Matrix: Strong matrix

An organization is said to have a

strong matrix when the project
manager's authority is higher than
that of the functional manager.

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 Matrix: Weak matrix

• The project manager’s role in a weak

matrix (or in a functional
organization) might be more of a:
• Project Expediter: acts primarily as a
staff assistant and communication
coordinator, and cannot make or
enforce decisions.
• Project Coordinator: similar to the
project expediter except the
coordinator has some power to make
decisions, some authority, and
reports to higher-level manager.

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 Matrix: Balanced matrix

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 Advantages & Disadvantages

• Functional • Projectized
Advantages Disadvantages Advantages Disadvantages
• Clear career • More than one • Efficient project • Lack of
paths in boss for project organization professionalism
specialization team members • Project loyalty in specialization
areas • Resource • Simplified areas
• Team members allocation is communications • No “home”
report to one challenging when projects
supervisor • Potential for are completed
• Easier specialist conflict • Duplication of
• Management between facilities and job
functional and functions
project
managers

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 Advantages & Disadvantages

• Matrix
Advantages Disadvantages
• Improved project manager control • More than one boss for project team
over resources members
• Project objectives are supported in • Resource allocation is challenging
the organization • Potential for conflict between
• More support from functional functional and project managers
organization

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 Composite
• Most modern organizations involve all these structures at various levels. It is a
combination of all the other types of organizations.

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 Project Management Office (PMO)
• An organizational structure that standardizes the project-related governance
processes and facilitates the sharing of resources, methodologies, tools, and
techniques
• A primary function of a PMO is to support project managers in a variety of ways,
there are several types of PMOs:

Type of PMO Supportive Controlling Directive

Degree of Control Low Moderate High
Roles and Supplying Compliance to Directly managing
responsibility templates, best specific templates, the projects.
practices, training, forms, and tools; Project managers
access to and conformance are assigned by and
information, and to governance report to the PMO.
lessons learned frameworks.
from other projects.

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 2. Organizational Process Assets (OPA)

• Include any process assets (artifact, practice, or knowledge…) from any or all of the
performing organizations involved in the project that can be used to execute or
govern the project.
• OPAs are internal to the organization, the project team members may be able to
update and add to the organizational process assets as necessary throughout the
project.

Processes, Procedures and Policies Corporate Knowledge Base

• Policies • Financial databases
• Processes • Historical information
• Procedure • Lessons learned
• Issue and defect databases

Not updated as part of the project work. Updated throughout the project

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