1. P ROJECT MANAGEMENT Inna Vasiljeva Ryan Chase Konstantin Lizunov

2. P ROJECT M ANAGEMENT Traditionally has been associated with POM. New way of managing activities that has a particular relevance for operations. Project- A temporary endeavor undertaken to create a “unique” product or service. Definite beginning and ending. Results in unique product or service.

3. E XAMPLES OF P ROJECTS Building the Ataturk Bridge of Istanbul Computer system design Movie making Planning a military invasion Installation of equipment

4. T YPES OF P ROJECTS Individual- writing a paper, taking a exam Group- Preparing a presentation with 2-3 people Organization- Launching of a new product Multi organization- Government agreements Global Projects- Space exploration

5. D EFINITION Project management can be defined as planning, organizing, coordinating, leading, and controlling resources to accomplish the project objectives. Plan the work Work the plan

6. A SPECTS OF P ROJECTS Project manager- Coordinates the efforts of people coming from a variety of functional areas. Project Management System- The organizational structure used by the project manager to get things done. Project team- Group of people working independently with required skills to accomplish the project. Teamwork- Cooperative effort by members of a team to accomplish the project objectives.

7. M ANAGERS FUNCTIONAL MANAGER PROJECT MANAGER  Clear chains of authority - Quasi-permanent relationship - Can direct  Often operates in matrix structure with low authority - Temporary, shared relationships - Often must motivate positively  Established organization  Developing and changing organization  Long-term relationship  Short-term relationships  Directs a small set of skills  Directs a diverse set of skills

8. C RITICAL S UCCESS F ACTORS Are defined as elements that have to be done well in order for the activity to succeed. Goal definition- defined goals, scope, and requirements. Top management support- Continued involvement, support from top. User involvement- client consultation Project manager- competence, on site Project team, manpower, accurate estimates, control consultants, problem recognition

9. L IFE C YCLE OF A P ROJECT 1) Project Identification 2) Project Appraisal 3) Project Selection 4) Project Implementation Project Completeion Form leader Define scope and reference Work breakdown structure Scheduling Time Cost tradeoffs

10. T HE T OWN C OMMISSION OF B ORNOVA M UNICIPALITY HAS DECIDED TO BUILD A BOTANICAL GARDEN AND PICNIC AREA IN THE HEART OF THE TOWN FOR THE RECREATION OF ITS CITIZENS. T HE PRECEDENCE TABLE FOR ALL THE ACTIVITIES REQUIRED TO CONSTRUCT THIS AREA SUCCESSFULLY IS GIVEN AT THE BOTTOM OF THIS QUESTION. Example

11. 1.F IND C RITICAL P ATH AND P ROJECT T IME. 2.W HAT IS THE PROBABILITY T HE T OWN C OMMISSION WILL FINISH THE PROJECT IN 20 DAYS OR LESS ? 3.W HAT DATE RESULTS IN A 99% PROBABILITY COMPLETION ?

12. O BJECTIVES AND T RADEOFFS 12 Meet the specifications Stay within the budget

13. U SE OF P ROJECT M ANAGEMENT C ONCEPTS Scheduling is only part of a complete approach to project management Tradeoffs between sophistication and cost of methods Choice between PERT and CPM Project management software 13

14. M AIN BENEFITS FROM U SING P ROJECT MANAGEMENT Helps focusing on outcomes (the benefits) of a project rather than products or outputs Keeping a project on track Can help to reduce the risk of a completing project not on time Controlling budget

15. B ENEFITS OF CPM/PERT Useful at many stages of project management Mathematically simple Give critical path and slack time Provide project documentation Useful in monitoring costs 15 How long will the entire project take to be completed? What are the risks involved? Which are the critical activities or tasks in the project which could delay the entire project if they were not completed on time? Is the project on schedule, behind schedule or ahead of schedule? If the project has to be finished earlier than planned, what is the best way to do this at the least cost? CPM/PERT can answer the following important questions:

16. L IMITATIONS TO CPM/PERT Clearly defined, independent and stable activities Specified precedence relationships Over emphasis on critical paths Deterministic CPM model Activity time estimates are subjective and depend on judgment PERT assumes a beta distribution for these time estimates, but the actual distribution may be different PERT consistently underestimates the expected project completion time due to alternate paths becoming critical 16

17. 17 C OMPUTER S OFTWARE FOR P ROJECT M ANAGEMENT Microsoft Project (Microsoft Corp.) MacProject (Claris Corp.) PowerProject (ASTA Development Inc.) Primavera Project Planner (Primavera) Project Scheduler (Scitor Corp.) Project Workbench (ABT Corp.)