PROJECT

MANAGEMENT
By Francois L. Detera, MM DBA Student ADNU Graduate School

Objectives:
• Understand the difference between a project and project management • Develop a working knowledge of how to properly scope a project for success • Gain knowledge on standards of enterprise project management.

Introduction
• What is Project and Project Management • Project Differentiated from Project Management • The Project Life Cycle • Project Parameter

and according to specifications. within budget. and connected activities having one goal or purpose and that must be completed by a specific time. complex.What is Project? • A project is a sequence of unique. .

and is carried out to meet established goals within cost. .What is Project Management Project management focuses on a project-an undertaking that has a beginning and an end.

. and – Completing a PROJECT . .Project Management Defined • Project management is a set of principles and tools for – Defining – Planning – Executing – Controlling .

• Projects have a finite duration. • Projects require coordination interrelated activities. of .Project Management Criteria • Projects are oriented towards a goal. • There is something unique about every project.

S. Space Program.How did Project Management Develop? • Early 1960s in U. (Government and Industry) • Sun Tzu’s the Art of War (Military) .

Why is Project Management Important? • • • • • • Organize your approach Generate a credible schedule Track progress and control your project Identify where to focus your efforts Identify problems early – before they are crises Saves you TIME…. PLAN TO FAIL .MONEY If you fail to plan.

Project’s Three Basic Parameters • Specified level of QUALITY + • On or before the deadline (TIME) + • And within budget (COST) = SUCCESSFULLY MANAGED PROJECT .

The Origin of Projects • Projects grow out of problems or opportunities. . • A project is born when someone reacts to the level of frustration surrounding a problem or someone sees an opportunity to move into a new venture.

Project Life Cycle • Scoping or Conceiving and Defining the Project • Planning the Project/Developing the Project Plan • Launching/Implementing the Plan • Concluding/Completing and Evaluating the Project .

Five Phases of Project Management Adapted from Weiss. R. and Wysocki. Reading. 1992.W.. J.K. Definingthe Scoping the Project Project Developing the Plan Implementing the Plan Closing Out the Project/Evaluating Monitoring & Controlling . 5-Phase Project Management: A Practical Planning and Implementation Guide. MA: Addison Wesley.

Obstacles Identify the Success Criteria . Risks.Scoping the Project State the Problem /Opportunity Establish the Project Goal Define the Project Objectives List Assumptions.

Testing Your Preliminary Strategy • Market Study • Pilot Test • Computer Simulation • Using the Study Results .

Determining Alternative Course . Establishing Objectives 3. Premising 4.Basic Actions in Planning: 1. Being aware of Opportunity 2.

5. Evaluating Alternative Course 6. Selecting a Course 7. Formulating Derivative Plans-CONTROL 8. Numberizing Plans by Budgeting

Scoping Document Example
• A short, crisply phrased piece of information covering -- what is to be done -- why it is to be done -- value it provides if it is done

Do not use technical language!

Scoping Document Example
• • • • Problem/opportunity Project name, sponsor, manager Singular Project Goal Objectives that are Specific, Measurable, Assignable, Realistic, Time based (SMART) • Success criteria • Assumptions, risks, obstacles

Scope the Project: Problem/Opportunity • A statement of fact that everyone in the organization will accept as true • Should communicate why the project should be accomplished .

GOAL • A project has one primary goal: to give purpose and direction – Defines the final deliverable and outcome – States in clear terms what is to be accomplished – Is a reference point for questions about scope and purpose of the project .Define the Project .

Scope the Project – Objectives & Success Criteria • SMART Objectives – Specific – Measurable – Assignable – Realistic – Time-related • Success Criteria – Clearly states the bottom-line impact – Quantifies outcomes so success can be measured .

Scope the Project: Risks/Assumptions • Identify factors that might affect the outcome or completion of the project • Used to alert management to factors that may interfere with project work • Types of assumptions and risks – Technological – Environmental – Interpersonal – Cultural – Political .

Obstacles: . Assignable). Risks. Duration? Cost? Success Criteria (Outcomes): Assumptions. Measurable.Project Scoping Form Project Name Project Manager Team Members Problem / Opportunity (Why do this project?): Project Goal: Objectives (Specific.

2. Planning the Project • Planning the Three Project Parameters • Planning the Quality Dimensions • Planning the Time Dimension/Scheduling • Planning the Cost Dimension/Budgeting • Assigning Responsibility .

Project Planning Defined • PLANNING in organizations and public policy is both the organizational process of creating and maintaining a plan. • PROJECT PLANNING is part of project management. and the psychological process of thinking about the activities required to create a desired future on some scale. which relates to the use of schedules such as Gantt charts to plan and subsequently report progress within the project environment. .

for control involves keeping activities on course by correcting deviations from plans.” .Essentials of Planning: “Planning and control are especially inseparable-the Siamese twins of Management.” “Unplanned action cannot be controlled.

To offset uncertainty and change To focus attention on objectives To gain economical operation To facilitate control .

PLANNING THE PROJECT • Planning the Time Dimension ▫ The duration of each step ▫ The earliest time at which a step may be started ▫ The latest time by which a step may be started .2.

R.Scoping the Project Project Developing the Plan Launching the Plan Closing Out the Project Monitoring & Controlling Adapted from Weiss.K. 5-Phase Project Management: A Practical Planning and Implementation Guide. and Wysocki. J. Five Phases of Project Management .. MA: Addison Wesley. 1992. Reading.W.

Identify Project Tasks (WBS) Estimate Task Duration Determine Resource Requirements Prepare the Project Proposal Construct/Analyze Project Network Developing The Plan .

Planning the Project: Work Breakdown Structure (WBS) • A WBS is the functional decomposition of a system • Breaks the project into chunks of work at a level of detail that meets planning and scheduling needs .

WBS Completeness • • • • • • Status/completion are measurable Clearly defined start/end events Activity has a deliverable Time/cost easily estimated Activity duration within acceptable limits Work assignments are independent .

Responsibility Matrix • Creates accountability by assigning each task to a person Task Joe Mary Renee Activity 1 x Activity 2 Activity 3 x x .

Tools in Project Planning 1. Events are represented by circles 2. Activities are represented by arrows connecting the events 3. GANTT CHART 2. PERT Diagram (Program Evaluation and Review Technique) 1. . Non-activities connecting two events are shown as dotted line arrows.

PERT DIAGRAM EVENT ACTIVITY EVENT PRECEDING ACTIVITYSTART EVENT FOLLOWINGACTIVITY/ FINISH EVENT .

Planning the Cost Dimension Typical Cost Components: 1.SUPPLIES – cost of tools. 5.GENERAL AND ADMINISTRATIVE – cost of management and support services 7.MATERIALS – item/s purchased 4. office supplies.EQUIPMENT RENTAL – equipment necessary for the project 6. etc.LABOR – wages paid 2. PROFIT (If Applicable) – reward given for successfully completing the project .OVERHEAD – cost of payroll taxes and fringe benefits 3.

“Fudge factors” built into internal support group estimates 6. The impact of inflation on long term projects 2. Failure to obtain firm price commitments from suppliers and subcontractors 4. Estimates based on different methods of cost analysis .Potential Budget Problems 1. The impact of currency exchange rates on international projects 3. Poorly prepared work breakdowns structures that lead to incomplete budgets 5.

3. Implementing the Plan • What Happens in the implementing stage? • Controlling Work in Progress • Providing Feedback • Negotiating for Materials. Supplies and Services • Ten Guidelines for Effective Negotiation • Resolving Differences .

Negotiating for materials. Controlling work in progress 2. Resolving differences . suppliers and services 4.What Happens in the implementing stage? • Key Duties during implementation: 1. Providing Feedback 3.

Controlling Work in Progress 1. Budget Control Charts . Control Point Identification Charts b. Project Control Charts c. ESTABLISHING STANDARDS: a. Milestone Charts d.

Interim Progress Review c. Testing d. TAKING CORRECTIVE ACTION . Inspection b.Controlling Work in Progress 2. MONITORING PERFORMANCE a. Auditing 3.

Prepare 2. Listen 4.10 Guidelines for Effective Negotiation 1. Avoid ultimatums 10. Set realistic deadlines . Make good trade-offs (avoid giving something for nothing) 8. Be quick to apologize 9. Take Notes 5. Help the other party 7. Be Creative 6. Minimize perceptual differences 3.

Resolving Differences • DEMANDING • PROBLEM SOLVING • BARGAINING • GIVING IN .

Providing Feedback INTENTIONS ACTIONS RESULTS FEEDBACK .

a discussion between two parties with a goal of reaching agreement on issues that separate them when neither party has the power/ Desire to use its power to force an action.Negotiating for Materials. . Supplies and Services Negotiation takes up as much as 20% of manager’s time.

Completing the Project BRINGING THE PROJECT TO A SUCCESSFUL COMPLETION .

4. Documentation requirements were provided. An evaluation review was conducted. 2. The client agrees that the quality specifications of the project parameters were met. 3. The criteria (pre-determined) for judging performance were all met.INDICATORS: (Client Acceptance) 1. .

Project Management Softwares • PDCA-Cycle • PRINCE 2 • ADPM • Project Memory Jogger .

Shewhart cycle Description The plan–do–check–act cycle (Figure 1) is a four-step model for carrying out change. Just as a circle has no end. the PDCA cycle should be repeated again and again for continuous improvement. plan–do–study–act (PDSA) cycle.Plan–Do–Check–Act Cycle Also called: PDCA. . Deming cycle.

Recognize an opportunity and plan a change. Study/Act. Do. . If you were successful. analyze the results and identify what you’ve learned. Act. Review the test. Use what you learned to plan new improvements. incorporate what you learned from the test into wider changes. Test the change. beginning the cycle again. Take action based on what you learned in the study step: If the change did not work. go through the cycle again with a different plan. Carry out a small-scale study.Plan-Do-Check-Act Procedure Plan.

PRINCE2 (Projects in Controlled Environments) was first developed in 1989 as a standard for IT project management by the UK government. PRINCE2 is a process-based approach for project planning. The method is the de-facto standard for project management in the UK and is practiced worldwide. providing an easily tailored and scalable project planning methodology for the management of all types of projects. .

it completely clarifies people's roles in projects. sets up appropriate controls. it embodies and codifies much of project management best practice. and so on. schedule and scope. makes sure that project risk is actively managed. establishes baseline costs.PRINCE2 (an increasingly widespread UK government standard which stands for "PRojects IN Controlled Environments"). ensures that lines of communication are clear. PRINCE2 is powerful that during the planning. In this. .

AdPM METHOD Project managers are typically taskoriented people with a strong sense of urgency and a keen focus on getting started and finishing. Not too surprisingly. In AdPM™ Methodology. . the inclination of most PMs is to skip strategic project planning and start work. We use those outcomes to build an achievement network that makes all our deliverables crystal clear. PMs were taught of planning techniques that unearth measurable business outcomes.

The Project Memory Jogger .

you'll kill me! -.somewhat less than ideal project manager If I get in my way."ideal" project manager If you get in my way.tough project manager (eats glass.suicidal project manager .somewhat misguided project manager If I get in your way. I'll kill you! -. etc.dyslexic. I'll kill you! -. -.) If get kill in will way I you. I'll kill you! -.messianic project mgr Get away. I'll kill us all! -. functionally illiterate project manager I am the way! Kill me if you can! -. cats.Joke Break: Types of Project Managers If you get in my way.

who cares? -weak.every project manager to date. lackluster project manager If I kill me. I'll get in your way. -. —Source unknown . so what? If you get in my way. -.pragmatic project manager If we get in each others' way.thoughtful but ineffective project manager If I kill you I'll get in your way. who will get killed? – An utterly confused manager Kill me. -. you'll get your way. it's the only way. uninspired.project manager who has trouble dealing with the obvious If you kill me.If you kill me. -.

Rule for ultimate Success in life: Never tell everything you know. .

Standards for Enterprise Project Management • Introduction • Project Authorization and Initiation • Project Analysis and Planning • Project Closure .

THANK YOU .