1. Tourism Economics TRM 490 Dr. Zongqing Zhou Chapter 9: Analysis of Tourism Projects

2. Chapter 9: Analysis of Tourism Projects (1) Definition: A project is a series of activities and tasks that have specific objectives, with defined start and end dates. –Many projects have funding limitations –A project consumes resources such as people, equipment, facilities, materials, money, information, and technology. Goals of Tourism Projects: Maximizing profits and minimizing risks and cost. Method of project management: system analysis used in complex businesses and military. System analysis: is the branch of electrical engineering that characterizes electrical systems and their properties. However, it is often applied to non-electrical systems. It is both a planning and decision-making tool. In other word, it is a systematic investigation of a real or planned system to determine the functions of the system and how they relate to each other and to any other system. The goal of the system analysis: Through careful control over the timing and sequencing of events in order to ensure that these events are kept on paths that reach predetermined goals at specific times, and follow in the order that promotes maximum efficiency.

3. Chapter 9: Analysis of Tourism Projects (2) A system: Any organized assembly of resources and procedures united and regulated by interaction or interdependence to accomplish a set of specific functions. PERT: Program Evaluation and Review Technique is one of the tools for system analysis (see Handout; also see link01 and link02link01link02

4. Chapter 9: Analysis of Tourism Projects (3) Project management –Making better use of existing resources by getting work to flow both horizontally and vertically within a company. –the application of knowledge, skills, tools and techniques to a broad range of activities in order to meet the requirements of the particular project. –A project is a temporary endeavor undertaken to achieve a particular aim. –Project management knowledge and practices are best described in terms of their component processes. –These processes can be placed into five Process Groups: Initiating, Planning, Executing, Controlling and Closing. –and nine Knowledge Areas – Project Integration Management, Project Scope Management, Project Time Management, Project Cost Management, Project Quality Management, Project Human Resource Management, Project Communications Management, Project Risk Management, and Project Procurement Management.

5. Chapter 9: Analysis of Tourism Projects Project management consists of two phases –Planning –Monitoring (see Fig. 9-3, p.170) Benefits of project management –Since it is planned, it is possible to measure accomplishments; accountability –Early identification of problems –Achieve a meaningful trade-off among competing resources. Project Manager: the manager of a group who shoulders the responsibility for a project, not a function to ensure proper communication and coordination of activities horizontally between the line organizations.

6. Chapter 9: Analysis of Tourism Projects When do we need project management –When the job is complex and large.

7. Chapter 9: Analysis of Tourism Projects (4) Characteristics of a project: project Specific objectives resources consumption Facilities Materials Money Information Technology Well-defined start and end dates