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Project Management 1. What is Project Management

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1 Project Management 1. What is Project Management

2 Week 1

3 Turn your phones off Picture by Mike Licht, NotionsCapital.com

4 Welcome 2 parts Intro – who am I, what we’ll be doing this semester, assessments About projects – The Project Management Framework

5 First 1st Form into 12 Groups

6 Revision Groups

7 Second 2nd Your motivation

8 Who wants to be a project manager?

9 Why?

10 Who wants to work with a project manager?

11 When? Where? How?

12 A walk through the course outline
Photo by Tricky at flickr

13 The textbook Gray, C., & Larson, E. (2006). Project management – The managerial process (3rd ed.). NY: McGraw-Hill G791p3     

14 Project Management Framework
Weeks 1 – 3 Project Management Framework Project Selection and Portfolio Management Project Management Plans 4 – 6 Managing Project Change Project Marketing Project Leadership 7 – 9 Managing Project Teams Project Conflict Management Performance Management 10 – 12 Global IT Project Management Current Issues in Project Management Week 13 Revision

15 Assessment Task Release Date Due Date Weighting Task Type Tutorial Participation Weekly Weeks 1-11 10% A Team Project Proposal (Stage-1) Week 2 Week 5, Wednesday 20th August 4pm Team Project Proposal (Stage-2) Week 8, Wednesday 10th September 4pm 15% Team Report Week 7 Week 11, Wednesday 1st October 4pm Final Examination End of semester 50% B

16 This is the notes View > Notes Page

17 The Project Management Framework
Week 1 The Project Management Framework

18 8 things you want to know What is a Project? Process Groups
The Triple Constraint What is Project Management? The Project Manager Importance of Project Management Project Management Framework Integrated Approach

19 All projects have a beginning, a middle and an end.
1. What is a Project? Beginning Middle End Def: A temporary endeavor undertaken to accomplish a unique purpose needs Major Characteristics of a Project: Established objectives Defined life span with a beginning and end Across-organizational participation New or unique Specific time, cost, and performance requirements All projects have a beginning, a middle and an end.

20 “A temporary endeavor undertaken to accomplish a unique purpose”
Beginning Middle End A definition: “A temporary endeavor undertaken to accomplish a unique purpose”

21 Typically 189% over budget
1994 31% Critical Failures 53% Challenged 16% Success Not even completed Typically 189% over budget OTOBOS Source: CHAOS Report 1995 by the Standish Group Access it here: Since 1995 several subsequent versions have been published. Project performance has improved… incrementally.. Over the subsequent decade. There is still significant improvement opportunities for the IT projects industry. What do you think is going wrong at your workplace? What can be done to improve things? The 1995 Standish (CHAOS) report found the following factors common to successful projects1. User Involvement 15.9% 2. Executive Management Support 13.9% 3. Clear Statement of Requirements 13.0% 4. Proper Planning 9.6% 5. Realistic Expectations 8.2% 6. Smaller Project Milestones 7.7% 7. Competent Staff 7.2% 8. Ownership 5.3% 9. Clear Vision & Objectives 2.9% 10. Hard-Working, Focused Staff 2.4% Other 13.9% Source: CHAOS Report 1995 by the Standish Group Access it here: 1 2 3 4 5 6 7 8

22 More & more IT projects are starting each year
1998 200K 2001 300K 2002 500K 2007 ?? More & more IT projects are starting each year

23 A target outcome A defined life span Cross organisational participation New or unique Time, Cost and performance requirements Projects have a common set of characteristics which can also be defined by what they are not

24 A target outcome A defined life span Cross organisational participation New or unique Time, Cost and performance requirements Projects have a common set of characteristics which can also be defined by what they are not

25 What a project isn’t Explorations Go on indefinitely
One team or one person working alone Creating the same thing multiple times No constraints on time, cost or performance

26 Projects v Not Projects
Routine, Repetitive Work Taking class notes Daily entering sales receipts into the accounting ledger Responding to a supply-chain request Practicing scales on the piano Routine manufacture of an Apple iPod Attaching tags on a manufactured product Projects Writing a term paper Setting up a sales kiosk for a professional accounting meeting Developing a supply-chain information system Writing a new piano piece Designing an iPod that is approximately 2 X 4 inches, interfaces with PC, and stores 10,000 songs Wire-tag projects for GE and Wal-Mart

27 All projects typically go through these five processes
Process Groups Initiate Plan Monitor & Control Implement Close All projects typically go through these five processes

28 Step 1 Step 2 Step 3 Result activity inputs outputs
Def: A process is a series of actions directed toward a particular result Project management can be viewed as a number of interlinked processes Process groups include: Initiating processes Planning processes Executing processes Monitoring and controlling processes Closing processes A process is a series of actions directed towards a particular result.

29 Figure 1.1 Project Life Cycle (Gray & Larson, 2006, p6)

30

31 PMI and the PMBOK PMP certification Google PMBOK.pdf

32 Project Management Organisation
Head office Number of members PMI USA 240,000 IPMA Europe 30,000 APM UK 15,000 AIPM Australia 7,100 There are alternatives to PMI Numbers from Craig Brown (Sept 2007)

33 Also known as the IRON TRIANGLE
3. The Triple Constraint Time Scope Cost Every project is constrained by: Scope What work will be done as part of the project? What unique product, service, or result does the customer or sponsor expect from the project? Time How long should it take to complete the project? What is the project’s schedule? Cost What should it cost to complete the project? What is the project’s budget? Also known as the IRON TRIANGLE

34 Project manager’s duty to balance the three often competing goals
May be good enough to hit the target, or range of triple constraint goals Important to determine which aspects of the triple constraint are most important “Quadruple constraint” includes quality as well as scope, time, and cost Figure 1.1 Triple Constraint of Project Management (Schwalbe, 2006, p8)

35 The Quadruple Constraint
Quality Time Scope Cost Every project is constrained by: Scope What work will be done as part of the project? What unique product, service, or result does the customer or sponsor expect from the project? Time How long should it take to complete the project? What is the project’s schedule? Cost What should it cost to complete the project? What is the project’s budget? Warning: Quality has many definitions

36 4. What is Project Management?
Advantages of Project Management Better control of financial, physical, and human resources Improved customer relations Shorter development times Lower costs Higher quality and increased reliability Higher profit margins Improved productivity Better internal coordination Def: Project Management is … “the application of knowledge, skills, tools and techniques to project activities to meet project requirements” (PMI, 2004, p8). Challenge of Project Management: Managing temporary, non-repetitive activities and often acting independent of the organization Getting right people, right time to address the right issues and make the right decisions Duties of Project Managers: Gather resources for the project Linked to the customer interface Provides direction, coordination, and integration to the project team Responsible for performance and success of the project

37

38 5. The Project Manager Week 6 – Leading Teams Week 7 – Managing Teams

39 Suggested Skills: Communication skills: listening, persuading
Organizational skills: planning, goal-setting, analyzing Team Building skills: understanding, motivation, Leadership skills: sets example, energetic, vision, delegates, positive Coping skills: flexibility, creativity, patience, persistence Technological skills: experience, knowledge (Schwalbe, 2006, p17)

40 (Schwalbe, 2006, p22)

41 6. Importance of Project Management
Increased use of Project Management Compressed product life cycle Global competition Knowledge explosion Corporate downsizing Increased customer focus Development of Third World and closed economies

42 7. Project Management Framework
Integration Management Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Describe key competencies that project managers must develop: Core function areas lead to specific project objectives (scope, time, cost, and quality) Facilitating function areas are the means for achieving project objectives (human resources, communication, risk, and procurement management) Knowledge function (project integration management) influences and is influenced by all other areas The PMBOK’s 9 Knowledge areas

43 Figure 1.2 Project Management Framework (Schwalbe, 2006, p9)

44 Why would a team member be a stakeholder?
8. Integrated Approach Stakeholders are people involved in or affected by project activities Stakeholders include: Project sponsor Project manager Project team Support staff Customers Suppliers Opponents to the project Why would a team member be a stakeholder?

45 Sponsor & Supporters Project Team Suppliers Customers Opponents

46 The PMBOK’s 9 Knowledge areas
Integration Management Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Describe key competencies that project managers must develop: Core function areas lead to specific project objectives (scope, time, cost, and quality) Facilitating function areas are the means for achieving project objectives (human resources, communication, risk, and procurement management) Knowledge function (project integration management) influences and is influenced by all other areas The PMBOK’s 9 Knowledge areas

47 Time Management Integration Management Time Management Cost Management
Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Cost Management Consists of preparing and managing the budget for the project Processes include: cost estimating cost budgeting cost control Outputs include: cost estimates, baseline budget, earned value calculations Time Management

48 Cost management Integration Management Time Management Cost Management
Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Time Management Estimating work completion time, developing project schedule, and ensuring timely completion of the project Processes include: activity definition activity sequencing activity resource estimating activity duration estimating schedule development schedule control Outputs include: network diagram, Gantt chart, critical path etc… Cost management

49 Scope Management Integration Management Time Management
Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Scope Management Involves defining and managing all the work required to complete the project successfully Processes include: scope planning scope definition creating the WBS scope verification scope control Outputs include: project charter, scope statement, WBS etc… Scope Management

50 Quality Management Integration Management Time Management
Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Quality Management Ensures that the project will satisfy the stated or implied needs for which it was undertaken Processes include: quality planning quality assurance quality control Outputs include: quality assurance plan, standards etc… Quality Management

51 The first four knowledge areas are Core Functions
Remember this? The first four knowledge areas are Core Functions

52 The next four knowledge areas are Facilitating Processes
Integration Management Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management The next four knowledge areas are Facilitating Processes

53 HR Management Integration Management Time Management Cost Management
Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Human Resource Management Concerned with making effective use of the people involved with the project Processes include: human resource planning acquiring the project team developing the project team managing the project team Outputs include: project organization charts, staffing management plan, resource histogram etc… HR Management

54 Risk Management Integration Management Time Management Cost Management
Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Risk Management Identifying, analyzing, and responding to risks related to the project Processes include: risk management planning risk identification qualitative risk analysis quantitative risk analysis risk response planning risk monitoring and control Outputs include: risk management plan, contingency plans etc… Risk Management

55 Communications Management
Integration Management Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Communications Management Involves generating, collecting and storing project information Processes include: communications planning information distribution performance reporting managing stakeholders Outputs include: communications management plan, status reports, performance reports etc… Communications Management

56 Procurement Management
Integration Management Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Procurement Management Involves acquiring goods and services for a project from outside the organization Processes include: planning purchases and acquisitions planning contracting requesting seller responses selecting sellers administering the contract closing the contract Outputs include: contract, statement of work etc… Procurement Management

57 Procurement Management
HR Management Contract staff ? Procurement Management What knowledge area do contract labourers fall into?

58 Integration Management – pulling it all together
Time Management Cost Management Scope Management Quality Management HR Management Risk Management Communication Management Procurement Management Project Integration Management Involves coordinating all the other knowledge areas throughout a project’s life cycle. Processes include: develop project charter develop the preliminary project scope statement develop the project management plan direct and manage project execution monitor and control the project work perform integrated change control close the project Outputs include: project plan, change control system etc… Integration Management – pulling it all together

59 What if it’s not Integrated?
Scope Management Time Management Cost Management Integration Management Quality Management HR Management Problems resulting from the use of piecemeal Project Management Systems Do not tie together the overall strategies of the firm Fail to prioritize selection of projects by their importance of their contribution to the firm Not integrated throughout project life cycle Do not match project planning and controls with organizational culture to make appropriate adjustments in support of project Procurement Management Communication Management Risk Management

60 In Integrated process management systems all the parts are inter-related, a change in one of the parts will influence the whole. Mission, objectives and strategies are set to meet the needs of the customer. External environmental factors: political, social, economic and technological Internal environmental factors: strengths and weaknesses such as management, facilities, financial conditions etc. Figure 1.2 Integrated Management of Projects (Gray & Larson, 2006, p13)

61 Which ones are most important for projects?
Technical skills People Skills Budgeting, Scheduling, Documenting Leading, Motivating, Listening, Empathising Which ones are most important for projects?

62 Figure 1.3 Technical and Sociocultural Dimensions of Project Management (Gray & Larson, 2006, p13)

63 Title page pic care of dbking & CC @ Flickr
BetterProjects.net Title page pic care of dbking & Flickr


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