Chapter :2

PROJECT CYCLE

oncepts & principles

09/09/2023 1
Project Cycle Management

•Project Cycle Management

(PCM) is a process in planning,
guiding/coaching, monitoring and
evaluating to achieve Project
goals and objectives according to
timeline and resources identified.

09/09/2023 2
Steps in PCM
Project/Problem
Identification

Project Cycle Project

Project
Management Formulation and
Monitoring &
Preparation
Evaluation

Project
Implementation
09/09/2023 3
 Tools used in PCM
 Strength, Weakness, Opportunity, Threat, (SWOT)

 Problem Tree Analysis (PTA)

 Rapid Rural Appraisal (RRA)
 Participatory Rural Appraisal (PRA)
 Fishbone Analysis (FA)
 Force Field Analysis (FF)
 Spider Diagram (SD)

09/09/2023 4
 PROJECT CYCLE

Meaning and definition of project cycle

•Project cycle is a phase by phase
definition of a project from its start to
completion.
•Number of phases within the project
varies as the project sponsors
requirements or as project fields’
requirements.
09/09/2023 5
 A generally accepted project cycle

09/09/2023 6
 World Bank Project Life Cycle
• Identification
• Preparation
• Appraisal
• Approval
• Implementation
• Completion
• Evaluation

09/09/2023 7
AFRICAN DEVELOPMENT BANK

09/09/2023 8
 UNIDO’s recommended Project Cycle

• UNIDO has established a project cycle comprising three

distinct phases.
The pre – investment
The investment and
The operational phases

09/09/2023 9
Pre-investment phase
• Project identification (Opportunity study)
• Pre-selection (Pre-feasibility study)
• Preparation (feasibility study)
• Appraisal (Appraisal report)

09/09/2023 10
2.Investment phase:

• The investment or implementation phase of a project

provides wide scope for consultancy and engineering work.
• Establishing the legal, financial and organizational basis
• Technology acquisition and transfer
•  Detailed engineering design and contracting
•   Acquisition of land, construction work and installation.
•  Pre-production marketing
•  Recruitment and training of personnel.
•  Plant commissioning and start-up.

09/09/2023 11
Operating Phase

• considered from both a short and a long-term

viewpoint.

09/09/2023 12