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Project Management

Lecture#01

Presented by: Umer Ghauri

Umer Ghauri

Education


Master of Science (Project Management) – KTH (Royal
Institute of Technology), Stockholm, Sweden.
Master of Business Administration (MIS) – SZABIST,
Pakistan.
Bachelor of Science (Computer Sciences) – SZABIST,
Pakistan.
Master’s Thesis: The Role of Effective
Leadership in Managing Innovation and
Change.
 Also published as a book.


ISBN-10 3844386076
ISBN-13 9783844386073

The Royal Institute of Technology .

) .Umer Ghauri  Experience      Permanent Faculty (Air University) Business Analyst/Operations Manager (Sofnix Pvt Ltd) Assistant Manager Operations (Kestral Trading) BSS Engineer /Regional Manager (Nokia/Telenor) Team Lead (Technical Support) (Medical Transcription & Billing Corp.

.

Contents of the Lecture  Introduction      Introduce yourself. Who are you? Your goals Your plans about achieving those goals. . One thing no one knows about you.

*Also .Try to Solve this Puzzle!!  Place 10 balls in 5 lines in such a way that each line has exactly 4 balls on it. you’ll get a special bonus mark if you’re a Black Sabbath or Metallica fan.!! =) .

You will not be punished for this! There is no such thing as a stupid question or discussion and I am very patient with students. Do ask questions or bring up relevant points for discussion in the classroom. If you are having comprehension problems. inform me immediately. Do not hesitate otherwise it may be too late for me to help you. analytical. Listening is the basis for comprehension which is the prerequisite for performing well in this course. critical and creative in your approach to learning project management! .Rules for PM Course Participants: The DO‘s Do listen to my lectures very attentively and carefully. Be inquisitive.

in class! Some good advice for you: Read from the beginning of the course and NOT towards the end! You won‘t regret it. or at all. . It is the basic requirement for comprehending project management and for you to perform well in this demanding course! Please note that using only my PowerPoint slides for your exam preparation is NOT sufficient! YOU MAY FAIL IF YOU DO SO! The questions in your midterm and final examinations may relate to material contained in the recommended course text books and handouts which may not have been discussed in detail.Rules for PM Course Participants: The DO‘s Do read the prescribed course literature.

Our department is striving hard to continuously and significantly improve the quality of all its undergraduate and graduate level courses and your critical feedback and constructive criticism in this connection is always welcome and very valuable to us. You can also contact me at my tel. .com Do fill out the anonymous course evaluation form which will be distributed to all MPM participants at the end of the semester. extension 511 or by eMail at omarghauri@gmail.30 AM onwards) . if you have a course-related problem or problems and seek counseling. individually or as a group. I‘m usually in my office from Mondays to Fridays (9.Rules for PM Course Participants: The DO‘s Do visit me at my office in the China Block building.

funerals. are your issues. If you are absent in my class. I don‘t care what events in your personal or professional lives prevent you from coming to my class. . outside the 15-minute customary pause. engagements. you‘ll simply be marked absent. Course participants who are late will be marked absent! Don‘t ask me to mark you present if you are going to be absent in that class. Visiting family and friends. hospitalizations. Period! Don‘t come to class just to get marked present and then wander of to the canteen for gossip. not mine.Rules for PM Course Participants: The DONT‘s Don‘t be late to class. weddings.30 PM sharp and not a second later! Two roll calls will be taken (at the beginning of class and after the break). Anyone doing this will have their attendance revoked.30 PM means 11. meals or refreshments. 11. official committments etc. or leave the campus.

You are only hurting yourself and your colleagues. As educated adults. If making or answering calls is so important to you. but do not come to my class! Don‘t chit-chat among yourselves.Rules for PM Course Participants: The DONT‘s Don‘t use cell phones in my class. They must be switched OFF prior to entering the classroom and no SMS messages may be sent while the class is in progress! Do not run in and out for making or answering calls. distract the attention of other MPM participants or behave immaturely in the class. Such behaviour distracts the class and disrupts my presentation. not me. stay at your home or office and do them there. I expect you all without exception to behave as such from the minute you enter my class to the minute you leave it! .

Many students do nothing until the last day before the submission deadline and then run frantically to me at the eleventh hour complaining about the problems they are having in getting the required information. From nothing comes nothing – if your work is crap. Start work immediately after receiving your topics. Tough! You should have started work promptly and then you wouldn‘t need to stress yourself out.Rules for PM Course Participants: The DONT‘s Don‘t procrastinate on your weekly class assignments. . Dear. Don‘t pester me for more marks. I evaluate my students objectively and actually devote considerable time to read line by line through each examination paper and class assignment. My usual response: Tough. be prepared to get a crappy evaluation from me! And don‘t whine about it.

If the student also misses the repeat examination. I will schedule a single repeat examination. Setting repeat examinations is a big nuisance for me and some marks are normally deducted by our department as a disincentive for being absent! In the event that PM participants have missed out on their examinations due to compelling circumstances. but NO second or third repeats. It is the responsibility of the PM participants concerned to immediately contact me if they have missed out on a weekly assignment or examination! Do so as soon as possible. he or she will be considered as having scored zero marks which will be final.Rules for Course Participants: The DONT‘s Don‘t miss out on your weekly assignments and examinations. .

ZERO TOLERANCE! . in full or in part. you may have your paper cancelled by the department or. NO CHEATING & PLAGIARISM! If I find that your class assignments have. you may lose a percentage of your marks. midterm or final examinations. at the very least. I routinely check to ensure that written material submitted to me for evaluation is not plagiarized.Rules for PM Course Participants: The DONT‘s Don‘t cheat in the sessional. If caught. I will give you zero marks and reassign you another topic. been plagiarized or copypasted from the World Wide Web without referencing. We at AU have the technical means for ensuring this and we don‘t hesitate to use it.

It is the WORST thing you can do in my class – apart from outright misbehaviour and cheating / plagiarism. . marks will be heavily deducted and your precious GPA will drop like a stone from the sky.Rules for PM Course Participants: The DONT‘s Don‘t follow the „rote“ (Learning by Memorization) approach which you may have grown accustomed to since your schooldays. DO NOT reproduce the contents of the slides in any of your weekly assignments or in any examination. In case of reproduction. My PowerPoint slides are meant to serve as a subject guideline only and are NOT meant to be memorized.

Look at Projects in Their Broader Context! Mittelalterlicher Stadt am Fluss – Karl Friedrich Schinkel. 1815 .

C – 479 B.The Essence of Knowledge Is Having It To Apply It (Chinese Philiosopher Confucious) 551 B.C .

6th edition. Gray & Erik W. Cleland & Lewis R. Larson MGraw Hill. Mantel. 2002 ISBN: 0-07-139310-2 Project Management: The Managerial Process Clifford F.Recommended Course Text Books Project Management: Strategic Design and implementation David I. Jr. 2006 ISBN: 0-07-060093-7 Project Management: A Managerial Approach Jack R. John Wiley & Sons. 4th edition. Meredith & Samuel J. Ireland McGraw Hill. 2006 ISBN: 0-471-74277-5 . 3rd edition.

Assessment of Course Participants (The A-Student) The “A“-Student demonstrates a very high level of motivation to learn project management. Punctual and attentive. . The “A“-Students confidently acquire a holistic perspective and in-depth knowledge of project management concepts. are creative. bright. he or she is an avid reader and grasps the subject matter easily. and have the ability to easily apply the theoretical knowledge they acquired from their teacher to real-life case situations which are presented to them in class or which they encounter at their workplaces. display excellent analytical and critical thinking skills. The „A“-Student is also inquisitive and often likes to discuss in detail issues raised by the teacher who finds it a pleasure and an inspiration to work with such students. ambitious and hardworking.

For example. . but they encounter difficulty in applying their knowledge to real-life situations. They may also not properly comprehend the holistic perspective of project management on which this course is based. average students may understand the underlying concepts of project management and they may have familiarized themselves with most or all important aspects of the subject. Shortcomings may arise in different ways. though. does exhibit some noticeable qualitative deficiencies.Assessment of Course Participants (The Average Student) The “average“student is generally a good student whose work .

Not surprisingly. They usually find it highly challenging to apply the concepts and material they were exposed to in this course. I try to avoid this type of student like the plague! . disinterest in attending class and listening to the lectures. among other irritants. unwillingness to read the recommended project management course literature and do his or her assignments. chatting and eagerness to run outside the lecture hall. constant fidgeting.Assessment of Course Participants (The Horror Student) These students are a BIG PAIN in my A**! Typical qualities of a “horror“ student are. poor command over the English language. both in class examinations and at their workplaces. these students have great difficulty grasping the subject course material – or may have understood virtually nothing of it at all by the end of semester. and a tendency to rote learn.

Terminology .

Ed. 2004. p.. service.What is a Project? (Definition #1) A project is a temporary endeavour undertaken to create a unique product. or (Guide to the Project Management – Body of Knowledge. result the Project Management Institute. 5) rd . 3 .

2002. complex and connected activities having one goal or purpose that must be completed by a specific time. John Wiley & Sons.65) .What is a Project? (Definition #2) A project is a sequence of unique. within budget and according to specification (Robert Wysocki / Robert Beck Jr. Crane: Effective Project Management. p. / Daniel B.

What is a Project? (Definition #3) A project is a complex. and performance specifications designed to meet customer needs (Clifford F. budget. one-time effort limited by time. Gray / Erik W. Larson. nonroutine.. p. ed. 2. Project Management: The Managerial Process. resources. 15) .

so as to achieve unitary. Turner. to undertake a unique scope of work of given specification.R. beneficial change. 1992) . objectives Mcgraw Hill: New York. within constraints of cost and time. The Handbook of Project-Based Management: Improving Processes for Achieving Your Strategic Objectives. through the delivery of quantified and qualitative (J. material and financial resources are organized in a novel way.What is a Project? (Definition #4) A project is an endeavour in which human.

10) . achieve enterprise goals and objectives. Ireland. p. Project Management: Design and Strategic Implementation. resourceconsuming activities used to implement organizational strategies. 4th ed. and contribute to the realization of the enterprise‘s mission (David I..What is a Project? (Definition #5) Projects are ad hoc. Cleland / Lewis R.

and be in a position to manage the implementation of the subproject work effectively and efficiently. costs. schedules.What are Subprojects? Subprojects are smaller. more manageable components of larger. analogous to the main project in which they are integrated. their own scope. Subprojects are comprised of project team members and are headed by subproject managers who. . similar to the project manager. communication and other requisite skills. more complex projects Subprojects have their own goals and outputs or deliverables which together constitute the final deliverable. Subprojects have. must have excellent decision-making. human resources. risks etc.

and which all had to be integrated and coordinated within the framework of the overall olympic project. in their own right. . each of which could be considered as subprojects. Facilities Accommodation Cultural Olympiad Sponsorship Management Transport Pre-Games Training Media Facilities and Coordination IT-Projects Telecommunications Opening and Closing Ceremonies Security Arrangements Public Relations Medical Care Financing The Sydney Olympic Games 2000 was a highly complex project which comprised several distinct work areas.Subprojects Example: The Sydney Olympic Games 2000 Events Human Resources and Volunteers Test Games and Trial Events Venues.

What is a Program? Immunization Immunization S PL LE ES EX XA AM MP E Poverty Poverty Alleviation Alleviation OF F O A programme is basically a group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually Afforestation Afforestation Primary Primary Education Education Promotion Promotion Electrification Electrification Project D Project A Project B Program X Project E Space Space Exploration Exploration Urban Urban Regeneration Regeneration Water Water Resource Resource Development Development Project C Project F Weaponization Weaponization S MM ME ES OG GR RA AM PR RO P Privatization Privatization .

Program Management Program Management is defined as a group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually. Programs may include elements of related work outside the scope of the discrete projects in the program A program will always have projects. .

Example of a Program Project Projectfor forUpgrading UpgradingEquipment Equipment A CAPITAL INVESTMENT PROGRAMME may comprise following projects Project Projectfor forTraining TrainingPersonnel Personnel Project Projectfor forExpanding Expanding Production ProductionLines Lines Project Projectfor forAcquiring AcquiringLarge-Scale Large-Scale Funding Funding .

Example of Program Management A new communication satellite system:  Designing of a satellite and ground system  Construction of a satellite and ground station  Integration of the system  Launching of the satellite .

.Programmes & Projects: Similarities  Programmes and projects have goals and objectives which define their purpose of existence  Programmes and projects have life-spans defining a starting and ending point in time  Programmes and projects consume resources and necessarily incur a cost  Programmes and projects require application of a methodo-logy and must be managed properly to bolster their chances of success  Programmes and projects aim at helping organizations achieve their mission and adding value to them.

a programme must integrate and maintain the operationality of that output for a specified period of time .Programmes & Projects: Differences X Programmes may have multiple overarching goals whereas projects have one prime goal X A programme has a comparatively longer life-span. and obviously costs more than the combination of all the projects which constitute it X A programme is inherently more complex than a constituting project – it has a broader scope and may require extensive coordination between its various constituting projects X Whereas a project results in the creation of an output and is then ended.

etc. complexity. Projects usually differ in their type. Some portfolios may be quite large. and implementation Portfolios are dynamic. planning. time requirement. comprising dozens or hundreds of single projects. goals and objectives and add value to them . cost. Their composition will change over time as some projects end or are prematurely terminated and new projects are added A major challenge for organizations is to devise a system for identifying. priority.The Project Portfolio The project portfolio is the set of projects which an organization is undertaking. selecting and monitoring projects which are aligned with its mission.and consume a large chunk of an organization‘s resources The projects comprising the portfolio may be in various stages of initiation. risk level.

.What is a Project? A project is a sequence of unique. service or result. within budget and according to specification. complex and connected activities having one goal or purpose that must be completed by a specific time. A project is a temporary endeavor undertaken to create a unique product.

.g. a research project that develops knowledge that can be used to determine whether a trend is present or a new process will benefit society). a business function that supports production or distribution)  A result such as an outcome or a document (e.A Project Can Create  A product that can be either a component of another item or an end item in itself  A capability to perform a service(e.g...

 End is reached when    Objectives have been achieved When objectives will not or cannot be met Need for the project does no longer exist  Specific   Time. Cost and Performance requirements. service or result A defined lifespan with a beginning and an end. What can be the duration of a project? What about the outcome of a project? .Main Features of a Project  An  established objective. To create a unique product.

Why Projects?  To meet strategic business goals and objectives  Strategic opportunity  Business needs  Customer request  Technological advance  Legal requirements .

 Preparing a report of monthly sales figures.  . is a project.Types of Projects  Large or Small Installing a new subway system.  Rearranging the furniture and equipment in your office.   Involving many people or just You Training all 10. which may cost more than $1 billion and take 10 – 15 years to complete.000 employees of your organization. which may take you one day to complete.

 Having a dinner party for 15 people  blood .Types of Projects  Defined by a legal contractor or informal agreement A signed contract between you and a customer that requires you to build a house.   Business-related or Personal Conducting your company’s annual drive.  An informal promise you make to install a new software package on your colleague’s computer.

 .  Implementing a new business process or procedure.  Developing or acquiring a new modified information system. (Why)  Effecting a change in the structure.  Organizing an annual dinner party for your employees.Examples of Projects Developing a new product or service. workshop or seminar. staffing or style of an organization.  Etc.  Constructing a building or infrastructure.  Organizing a fun fair.

 Need for accurate and consistent status information *Source: The Standish Group® .Why do we care?  Projects over budget and behind schedule*  70% of IT projects finish over budget and behind schedule.  52% finish at 189% of their initial budget.  18% are simply never completed.

And sometimes. Its sad.. but true .

But Why do Projects Fail?          Poorly defined project scope Inadequate risk management Failure to identify key assumptions Lack of effective communication at all levels Lack of detailed documentation Failure to track progress Lack of planning Inaccurate time and effort estimates Cultural differences in global projects. .

What is Project Management?

The process of successfully guiding a project
from its beginning through its execution to its
closure.

It is the application of:
 Knowledge
 Skills
 Tools
 Techniques
 To

do project activities to meet project
requirements

What is Project Management?

A
method
and
a
set
of
techniques
based
on
the
accepted
principles
of
management
used
for
planning,
estimating
and
controlling work activities to
reach
a desired end result on
(Robert K. Wysocki / Robert Beck Jr. / David B. Crane, Effective Project
2. ed., John Wiley &
Sons, 2002, p. 79). and
timeManagement,
– within
budget
according to specification

What is Project Management?

Unique process, consisting of a set of
coordinated and controlled activities
with start and finish dates,
undertaken to achieve an objective
conforming to specific requirements, including the constraints of
time, cost and resources
[ISO 9001:2000]

. 4) . Scheduling and Controlling.. Inc. organizing. 7. John Wiley & Sons. 2001. Project Management: A Systems Approach to Planing. directing.What is Project Management? „Project management is the planning. and controlling of company resources for a relatively short-term objective that has been established to complete specific goals and objectives. p.“ (Harold Kerzner. New York et. al. ed.

technological and others – which are characterized by a high and increasing degree of complexity. market. dynamism and uncertainty.Essential Functions of Project Management Project Management helps organizations tackle the pressure of change in environments – global. regulatory. social. . political. economic.

Essential Functions of Project Management Project Management offers a focused. an important indispensible for “strategic an tool” organization’s . realization and therewith its of its goals. systematic. hence. integrated and processdriven framework of application of an organization’s resources for effective and efficient projects. objectives and mission. It is.

steering the project in the right direction and effectively stakeholders and managing complexity.Essential Functions of Project Management Project about Management leadership. is primarily integrating work occurring in all project areas. Specialized technical tasks and the tools used in project management often the prime focus of interest by .

that what works well in one project situation may not at all work well in another. though. “best in of diverse It should be kept in mind. Use good judgement and always be cognizant of the context-sensitivity of .Essential Functions of Project Management Project Management practices” experience based with teaches on years projects fields across the globe.

is offer a systematic but flexible framework which can increase the chances of the project . that it achieves its goal within time and allocated budget to the satisfaction of all stakeholders concerned. What Project Management essentially does.Essential Functions of Project Management Using Project Management is no guarantee that the project will be sucessful – i. though.e.

it would be an error of judgment to apply the full gamut of project management processes and tools to a project which can probably be successfully managed .Essential Functions of Project Management The intensity with which Project Management is applied must be proportional to the need and complexity of that project. Just as one wouldn’t commission a bazooka or a flame thrower to kill a cockroach.

Project Management is an evolving .e.e. unidentified requirements) from a given project within the constraints of scope.Essential Functions of Project Management Project Management seeks at least to meet . cost. the identi-fied requirements) as well as stakeholder expecta-tions (i.and pre-ferably to exceed stakeholder needs (i. time and quality.

 The benefits have been proven – it saves time and money – and generates a more successful outcome…. . If guidelines are followed.Benefits of Project Management  Project management was developed to save time by properly planning a project and considering all relevant factors which may affect its outcome.

you’re WRONG!! Go online. .History of Project Management If you think I’m going to tell you a flashy story while you can conveniently sleep in the class. You should at least know how it all started. Google “History of Project Management” and read it YOURSELF.

How does PM benefit you?        You will have goal clarity and measurement Your resources will be coordinated Your risks will be identified and managed You will increase the possibility of time saving You will increase the possibility of cost saving You will increase the possibility of achieving the agreed outcome You will increase the possibility to deliver projects successfully. .

Project Lifecycle Management  Is a methodology for the preparation. key documents and decision options) . implementation and evaluation of projects based on the principles of the logical framework approach  It describes management activities and decisionmaking procedures used during the life cycle of a project (key tasks. roles and responsibilities.

Project Lifecycle Management Is useful in designing. implementing and monitoring a plan or a project  A clear concise visual presentation of all the key components of a plan and a basis for monitoring  It clarifies:      How the project will work What it is going to achieve What factors relate to its success How progress will be measured .

The project lifecycle .

1. Project Initiation .

Project Planning .2.

Project Execution .3.

4. Project Closure .

Role of a Project Manager The role of a project manager is affected by the one-shot nature of the project  The role of a project manager is difficult when team members are still linked to their permanent work areas    Members may be assigned to several projects simultaneously Managers must rely on their communication skills and powers of persuasion .

Project Manager Attributes         Leader & manager Facilitator. chaos. coordinator Communicator Credibility: Technical/ Administrative Work under pressure Goal-oriented Innovator Versatilist      Knowledgeable about the organization Political sensitivity Conflict: sense. resolve Can deal with stress. ambiguity Planning and followthrough . confront.