NOTES:

PROJECT MANAGEMENT

A PROJECT is different from other organizational efforts being undertaken by most

organizations because of the following reasons:
• It has an established objective.
• It has a defined life span with beginning and an end.
• It requires the involvement of several department and professionals.
• It is doing something that has never been done before.
• It has specific time, budget, resources, performance and value added
requirements.

Classifications of a PROJECT
Project Type Definition Examples
1. Compliance It is a “must” project to • Healthcare information
meet the new protection projects
requirements enforced • Environmental
by management itself regulations projects
and regulating bodies
like the government.
Penalties await non-
compliances.
2. Emergency It is a “must-do” project • Rebuild factory
that is required to meet damaged by fire
emergency condition. If • Renovate plant
not done will impair destroyed by a strong
operation and will not be typhoon
able to fulfill the core
competencies of the firm.
3. Mission critical It is a project to the • Construction of a data
mission of the firm. If not center for an application
accomplished shall services provider
cause immediate and • A new facility to test
unacceptable negative products
impact to the business.
4. Operational Operational project is • Six sigma projects
considered necessary in
order to give full support
to the present operations
like delivery systems
upgrading for efficiency,
product costs cutback
and performance
enhancement.
 5. Strategic It is a project that is vital • New product design
to support the long term • Development projects
mission of increasing
revenue and market
share.

Primary Goals of a PROJECT

• Conclude the project within the planned timetable.
• Complete the project within the programmed budget.
• End the project with the identical level of quality.
• Terminate the project within the detailed guidelines.
• Make the best of the task that has been given.

Advantages of Project Management

• A more resourceful handling of resources (both human and monetary resources)
as both the schedule and the budget are clear in the project plan.
• Less cost and better quality of the end product/service conveyed by executing
meticulous cost management and quality management processes.
• A better, more firm affiliation with the client and other stakeholders by employing
stakeholder management.
• An improved teamwork atmosphere because of the implementation of a formal
process to acknowledging/receiving conflicts (conflict management).
• A flattering touch of professionalism to the company leading to a healthier insight
by external organizations.

Disadvantages of Project Management

• Overhead
• Cost overhead – all actions that can outlay a sizable sum of money must be
kept aligned with the overall business strategy to make sound investments.
• Communication overhead – instead of having the information stream directly
from functional managers down to the team members and back up, it’s all
channeled through the project Manager.
• Time overhead – Project Managers can never precisely evaluate the extent of
any task, and pad their approximation so that they won’t wind up with a late
project.
• Obsession
• Methodology obsession – Project Managers become so blocked and so
defensive to their own methodology that they reject to try out with a different
one that may be quicker and superior for their existing project.
• Process obsession – Quite a few Project Managers deter the advancement
of the project with their obsession for attaching to the process. The motive
why most Project Managers think process obsession as a good practice is
because of insecurity and fear of loss of control.
• Stakeholder obsession – instead of administering the stakeholders’
expectations, requests, and interference, and focusing on getting their
 support, these Project Managers strive their best to accommodate the
stakeholders. This accommodation, which often manifests itself in gold
plating, is pricey and unnecessary. Gold-plating is the act of furnishing the
customer more than what is initially requested for.
• Non-creativity
• Technical – Project Management compels cut-off date on resources, who
have to work as speedy as they can to conclude their tasks on time. By
nature, people like to be artistic, particularly at work. However, when there’s
a Project Manager breathing down their necks all the time, their main goal is
just to finish on time so they don’t mind any longer on setting free their
creativity. This discourages the resources and unfavorably influences the
quality of the end product.
• Managerial - Project Management, by nature, imposes the routine process.
Managers, habitually leading humans, become directed by a process. Their
managerial skills decline, as there’s no requirement to hone them anymore:
the process is obvious and it should be pursued. Likewise, managers
(especially functional managers) become demoralized.

Limitations of Project Management

• Failure to “stick” with the project scope.
• Failure to completely make parallel the project objectives with the
business/organizational strategy.
• Failure to administer projects with unstipulated budget and/or schedule.
• Reliance on functional management.
• Pursuing an exclusive methodology.

The Project Manager is responsible for the following tasks:

1. describing the scope of the project accurately.
2. setting up the project schedule, and revising that schedule as it progress.
3. recommending the project cost and then administering the project to avoid cost
overruns.
4. ensuring the project team has the supplies and human resources required to get
the project done on time and on cost.
5. naming and reducing possible risks to the project timeframe and cost.
6. communicate the project's development to management.
7. guarantee the quality of the team's work and any supplies or materials used by the
team.
KEY SKILLS OF A PROJECT MANAGER
1. Organizational skill
2. Skill to develop people
3. Communication skill
4. Interpersonal skill
5. Skill to handle stress
6. Problem solving skill
7. Management and leadership skill
8. Time management skill
9. Technical skill