Fundamentals of Project Management

1. Fundamentals of Project Management Chapter-1

2. What is a Project? ?

3. What is a Project? • A project is a sequence of unique, complex and connected activities having one goal or purpose that must be completed by a specific time, wthin budget and according to specification. • A project is a complex, nonroutine, one-time effort limited by time, budget, resources, and performance specifications designed to meet customer needs. • Projects are ad hoc, resource-consuming activities used to implement organizational strategies, achieve enterprise goals and objectives, and contribute to the realization of the enterprise‘s mission.

4. PM Bok Says: • A project is a temporary endeavor undertaken to create a unique product, service or result.

5. 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., a business function that supports production or distribution). • A result such as an outcome or a document (e.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). Give examples:

6. Examples of Projects • Developing a new product or service (Why) • Effecting a change in the structure, staffing or style of an organization • Developing or acquiring a new modified information system (DAR satellites etc) • Constructing a building or infrastructure (Motorway) • Implementing a new business process or procedure (Cut down cost / material / HR) • Give examples of Projects in Pakistan / World

7. Thinking Process • What should be done before launching a project?

8. A „Typical“ Project Life-Cycle Phase 4: Termination Phase 2: Planning Phase 3: Execution Phase 1: Conceptual Dollars of Manhours (level of Effort) • Procure Materials • Build/ test tooling • Develop support • requirements • Procure System • Verify Performance • Modify as required • Train functional • personnel • Transfer materials • Transfer • responsibility • Release resources • Reassign project • team members • Identify Schedule • Conduct Studies and • analyses • Design System • Build/test prototypes • Analyze results • Obtain approval for • production • Identify Need • Establish Feasibility • Identify Alternatives • Prepare Proposal • Develop Basic • Budget and Schedule • Identify Project Team David I. Cleland / Lewis R. Ireland, Project Management: Design and Strategic Implementation, 4th ed., p. 50.

9. The Project Boundaries

10. What is Project Management? • It is the application of: • Knowledge • Skills • Tools • Techniques • To do project activities to meet project requirements • It is accomplished through appropriate application and integration of 47 logically grouped project management processes comprising the 5 process groups. • What are those FIVE Process Groups? • What are those 10 Knowledge Areas in Projects?

11. Mapping the Processes Process Group Knowledge Area

12. Mapping the Processes (cont.)

13. Mapping the Processes (cont.) Process Group PM Knowledge Area

14. Contribution from Waqas Qazi (MPM-2011A)

15. Why Projects? Tomeet strategic business goals and objectives: Strategic opportunity Business needs Customer request Technological advance Legal requirements

16. Relationship Between • Project Management • Program Management • Portfolio Management

17. 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.

18. Example of a 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

19. What is Portfolio Management? • A portfolio is a collection of projects or programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives. • The projects or programs in the portfolio may not necessarily be interdependent or directly related.

20. Examples of Portfolio Management An infrastructure firm that has the strategic objective of maximizing the return on its investments may have a portfolio of: • Projects in oil & gas • Projects in power • Projects in water • Projects in roads • Projects in rail • Projects in airports

21. Functions of (PMO) • Managing shared resources • Identifying & developing project management methodology, best practices and standards • Coaching, monitoring, training and oversight • Monitoring compliance project audits • Developing & managing project policies, procedures, templates and other standard documentation? • Coordinating communication across projects

22. Project Manager • Focuses on a specific project objective • Controls resources to best meet project objectives • Manages the constraints (scope, schedule, cost, risk, human resources and quality etc) of individual project

23. Main Functions of a Project Manager • Identify stakeholders & Leadership (decision makers: Client, Parent organization, Project Team, Publics) • Define scope of project • Evaluate project requirements • Develop detailed task list (work breakdown, structures) • Develop initial project management flow chart • Estimate time requirements • Identify cost estimation and budget • Identify required resources and evaluate risks

24. Main Functions of a Project Manager • Prepare contingency plan • Identify interdependencies • Identify and track critical milestones • Secure needed resources, manpower • Participate in project phase review • Manage the change control process • Report project status

25. Project Management Vs Operation Management • How they are different? • When do they interact?

26. Project VS Operations PROJECTSOPERATIONS Projects require Project Management Operations require Business Process Management or Operations Management Temporary Undertakings Permanent Endeavors Temporary Assignments Ongoing nature of Operations Produce Unique Outputs Produce Repetitive Outputs Temporary Resourcing Permanent Resource Assignments Execute according to Project Management Plan Execute as per standards (SOPs) developed for project life cycle institutionalized in product life cycle. Obtain objectives and then terminate Sustain the business Concludes when its specific objectives have been Adopt a new set of adjectives and the attained work continues

27. Project Vs Production Interaction • Projects can intersect with operations at various points during the product life cycle: • At each closeout phase • When developing a new product, upgrading a product, or expanding outputs • Improvement of operations or the product development process

28. Enterprise Environmental Factors • Organizational culture, structure & processes • Government or industry standards • Infrastructure: Existing facilities and capital equipment • Existing human resource • Marketplace conditions • Stakeholder risk tolerance • Potential climate • Political climate • Established communication channels • Commercial databases: cost, risk study / info • Project management information systems (blog)

29. Organizational Process Assets • What is SWOT?

30. Thank you,Any Questions?