MODULE 1 Part 1

Project Management and

Economy- Introduction
Expected Outcomes
After completing this module, you should be able to describe:
a. The classification of project type
b. Characteristics of a project
 Management for engineers

• Management for engineers divided by;

– Engineering and technology management
– Project management
– Operation management

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• Engineering and technology management (research and development,
innovation, utilizing product life cycle – look at the size, price offer etc.)
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– Project management (from market need – design concept –
development – maximizing life cycle – commissioning)
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– Operation management (utilizing man, machine, material and
method)
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• Let’s talk about the different of project / program / routine in
any engineering activities

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 What is a Project?
Project Defined
A complex, non-routine, one-time effort limited by time,
budget, resources, and performance specifications designed
to meet customer needs (develop SAMSUNG S8, bridge from
Ubai to Tjg. Selangor)

Project Scope
The work that needs to be accomplished to deliver a product, service, or
result with the specified features and functions (must ready for public)
 Major Characteristics of a Project
– Has an established objective (in ½ year)
– Has a defined life span with a beginning and an end (in market before
newer apple product)
– Requires across-the-organizational participation (marketing, eng.,
mfg. etc)

Note8
 Major Characteristics of a Project
– Involves doing something never been done before (Note8)

– Has specific time, cost, and performance requirements (price

RM2700)
 Programs versus Projects
Program Defined
– A series of coordinated, related, multiple projects that continue
over an extended time and are intended to achieve a goal (bigger
perspective)
– A higher level group of projects targeted
at a common goal (Note8 – require R&D, mfg., eng.)
– Example:
• Project: completion of a Note8 platform in android platform.
• Program: completion of all (a)6GB RAM and (b)64/128/256 GB microSD
card slot for Note8 data storage / process.
Comparison of Routine Work with Projects
Taking class notes
Attaching tags on a
manufactured product Daily entering sales
receipts into the
accounting ledger

Routine, Repetitive
Work

Routine manufacture of Responding to a supply-

an Apple iPod chain request

Practicing scales on the

piano
Comparison of Routine Work with Projects
Wire-tag projects for GE
Designing an iPod that is and
approximately 2 X 4 Wal-Mart Writing a term paper
inches, interfaces with
PC, and
stores 10,000 songs

Projects

Setting up a sales kiosk

Design a new die / jig for a professional
fixture accounting meeting

Developing a supply-
chain information system
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 The Challenge of Project / Engineering
Management
• The Project Manager
– Manages temporary, non-repetitive activities and frequently acts
independently of the formal organization.
• Marshals resources for the project.
• Is linked directly to the customer interface.
• Provides direction, coordination, and integration
to the project team.
• Is responsible for performance and success of the project.
– Must induce the right people at the right time to address the right
issues and make the right decisions.
The Importance of Project/ Engineering
Management
• Factors leading to the increased use of project management:
– Compression of the product life cycle
– Knowledge explosion (internet, e-comm)
– Triple bottom line (optimizing planet, people, profit)
– Corporate downsizing (more contract, outsource compare to
permanent)
– Increased customer focus (offer what people want)
– Small projects represent big problems (android platform was
used for tv, washing machine, mobile instead of micro
controller, symbian etc.)
Normal Project Life Cycle

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Normal Project Life Cycle by effort
Compression of the product life cycle

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Knowledge explosion (internet, e-comm)

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Corporate downsizing (more contract, outsource)

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 Summary
From the discussion;
• Project has different characteristic comparing to routine works
• The management know-how is critical during overall product
life cycle
• There is a need to manage technology, project and operation

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