1. PROJECT MANAGEMENT CONCEPTS
Lt Col L Shri Harsha, PMP

2. OBJECTIVES
Create awareness of the concepts of Project Management and its importance
Understand the various tools available to a Project Manager to perform his duties effectively
Highlight the areas of the application of these concepts during the execution of projects

3. Importance of Project Management
Getting things done in the correct manner
Planned and prioritized work distribution and accomplishment
Identification of key process bottlenecks and suggested preventive actions
Project management process improvement
Improved risk management
Standardized reports, templates, processes and lexicon

4. What is a Project ? When task(s), Has a defined objective
Has a deadline
Requires integration of knowledge and experience from various organizations
When task(s), 4 4

5. What is a Project ? How Temporary? Unique?
Has a definite beginning and end, not an on-going effort
Ceases when objectives have been attained
Team is disbanded upon project completion
Unique?
The product or service is different in some way from other product or services
Product characteristics are progressively elaborated 5 5

6. Project Characteristics
Goal (measurable/verifiable) Oriented
Finite duration with a beginning and end
Uniqueness to a great extent and related uncertainties
Coordinated undertaking of interrelated activities
Performing the activities involve resources
Resources cost money 6 6

7. How are Projects different from Operations?
Create own charter, organization,
and goals
Catalyst for change
Unique product or service
Heterogeneous teams
Start and end date
Semi-permanent charter, organization, and goals
Maintains status quo
Standard product or service
Homogeneous teams
Ongoing

8. Project Failure Poor communication Insufficient resource planning
Unrealistic schedules & poor duration estimation
Poor project requirements
Lack of stakeholder buy-in & no accountability
Undefined project success / closure criteria
Unrealistic budgets
No risk planning
Lack of change control process
Lack of executive support
Resource attrition
Lack of synchronization 8

9. Project Success Executive management support
User involvement (optimum)
Realistic expectations
Clear statement of requirements
Proper documentation
Public exposure
Competitive & Budgetary pressure 9

10. Project Life Cycle PROJECT PHASE 1 PHASE 2 PHASE 3… PHASE ‘n’
Each phase is marked by one or more tangible verification work product referred to as deliverable
The conclusion of a project phase is generally marked by a review
The phase reviews are often called phase exits, stage gates, or kill points 10

11. Typical Life Cycle of Project Controlling Processes
Executing Processes
Planning Processes
Level Of
Activity
Closing Processes
Initiating Processes
Controlling Processes
What are some examples of projects?
Phase Start
Phase Finish
Time

12. Characteristics of a Life Cycle Life Cycle of Project (Time)
Opportunity to add Value
High
Low
Cost to make change
Life Cycle of Project (Time) 12

13. Triple Constraint Theorem
Balancing SCOPE, COST and TIME within the frame work of QUALITY*
* meeting customer requirements
What are some examples of projects?
Risk and customer satisfaction are also factors that often gets included in the perspective.
Harold Kerzner 13

14. Project Management
The application of knowledge, skills, tools, and techniques to project activities in order to meet or exceed stakeholder needs and expectations 14

15. Project Stakeholders
Individuals and organizations Involved in or affected by the project outcome
Key Stakeholders : Generic
Key Stakeholders : X Firm
Project Manager
Customer/User
Performing Organization
Project Team Members
Project Management Team
Sponsors
Influencers
Project Manager
Customer / User
Project Team Members
Functional Departments
Sales, BSG, Finance
Business Partners
Subsidiaries & Sister Concerns
Vendors and Suppliers 15 15

16. Project Management Concept
Program – Consists of a group of projects supporting broad, general goals and managed in a coordinated way
Project Portfolio Management Collection of projects or programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives
Subprojects – Components of a project that are often contracted out
Project Management Office (PMO)
A PMO sometimes also referred as Program Management Office is an organization to centralize and coordinate the management of projects under its domain
Related Endeavors Certain types of endeavors are closely related to projects. There is often a hierarchy of strategic plan, program, project, and subproject, in which a program consisting of several associated projects will contribute to the achievement of a strategic plan. These related undertakings are described below.
Programs A program is a group of projects managed in a coordinated way to obtain benefits not available from managing them individually. Many programs also include elements of ongoing operations.
For example:
The “XYZ airplane program” includes either the project or projects to design and develop the aircraft, as well as the ongoing manufacturing and support of that craft in the field
Many electronics firms have program managers who are responsible for both individual product releases (projects) and the coordination of multiple releases over time (an ongoing operation)
Programs may also involve a series of repetitive or cyclical undertakings; for example:
Utilities often speak of an annual “construction program,” a regular, ongoing operation that involves many projects
Many nonprofit organizations have a “fundraising program,” an ongoing effort to obtain financial support that often involves a series of discrete projects, such as a membership drive or an auction
Subprojects Projects are frequently divided into more manageable components or subprojects. Subprojects are often contracted to an external enterprise or to another functional unit in the performing organization.
Subprojects based on the project process, such as a single phase. Subprojects according to human resource skill requirements, such as the installation of plumbing or electrical fixtures on a construction project.
Subprojects involving technology, such as automated testing of computer programs on a software development projects. Subprojects are typically referred to as projects and managed as such.
Project Portfolio Management Project portfolio management refers to the selection and support of projects or program investments. These investments in projects and programs are guided by the organization’s strategic plan and available resources. Organizations manage their portfolios based on specific goals. With Portfolio Management organizations can maximize the value of the portfolio by careful examination of various projects or programs for inclusion in portfolio and timely exclusion of projects not meeting the portfolio’s strategic objectives.
Project Management Office
A project management office (PMO) is an organizational unit to centralize and coordinate the management of projects under its domain. A PMO can also be referred to as a “program management office,” “project office,” or “program office.” A PMO oversees the management of projects, programs, or a combination of both. The projects supported or administered by the PMO may not be related other than by being managed together. Some PMOs, however, do coordinate and manage related projects. In many organizations, those projects are indeed grouped or are related in some manner based on the way the PMO will coordinate and manage those projects. The PMO focuses on the coordinated planning, prioritization and execution of
projects and subprojects that are tied to the parent organization’s or client’s overall business objectives.

17. Project Management Office Support
Shared and coordinated resources
Identification and development of project management methodology, best practices, and standards
Clearinghouse and management for project policies, procedures, templates, and other shared documentation
Central office for operation and management of project
tools
Central coordination of communication management
across projects
Coordination of overall project quality standards
Related Endeavors Certain types of endeavors are closely related to projects. There is often a hierarchy of strategic plan, program, project, and subproject, in which a program consisting of several associated projects will contribute to the achievement of a strategic plan. These related undertakings are described below.
Programs A program is a group of projects managed in a coordinated way to obtain benefits not available from managing them individually. Many programs also include elements of ongoing operations.
For example:
The “XYZ airplane program” includes either the project or projects to design and develop the aircraft, as well as the ongoing manufacturing and support of that craft in the field
Many electronics firms have program managers who are responsible for both individual product releases (projects) and the coordination of multiple releases over time (an ongoing operation)
Programs may also involve a series of repetitive or cyclical undertakings; for example:
Utilities often speak of an annual “construction program,” a regular, ongoing operation that involves many projects
Many nonprofit organizations have a “fundraising program,” an ongoing effort to obtain financial support that often involves a series of discrete projects, such as a membership drive or an auction
Subprojects Projects are frequently divided into more manageable components or subprojects. Subprojects are often contracted to an external enterprise or to another functional unit in the performing organization.
Subprojects based on the project process, such as a single phase. Subprojects according to human resource skill requirements, such as the installation of plumbing or electrical fixtures on a construction project.
Subprojects involving technology, such as automated testing of computer programs on a software development projects. Subprojects are typically referred to as projects and managed as such.
Project Portfolio Management Project portfolio management refers to the selection and support of projects or program investments. These investments in projects and programs are guided by the organization’s strategic plan and available resources. Organizations manage their portfolios based on specific goals. With Portfolio Management organizations can maximize the value of the portfolio by careful examination of various projects or programs for inclusion in portfolio and timely exclusion of projects not meeting the portfolio’s strategic objectives.
Project Management Office
A project management office (PMO) is an organizational unit to centralize and coordinate the management of projects under its domain. A PMO can also be referred to as a “program management office,” “project office,” or “program office.” A PMO oversees the management of projects, programs, or a combination of both. The projects supported or administered by the PMO may not be related other than by being managed together. Some PMOs, however, do coordinate and manage related projects. In many organizations, those projects are indeed grouped or are related in some manner based on the way the PMO will coordinate and manage those projects. The PMO focuses on the coordinated planning, prioritization and execution of
projects and subprojects that are tied to the parent organization’s or client’s overall business objectives. 17

18. Project Management Philosophy
The “Golden Rule” of Project Management is three words:
Plan
Organize
Control 18 18

19. Project Initiation 19 19

20. Project Initiation Conduct Project Selection Methods Define Scope
Document Project Risks, Assumptions, and Constraints
Identify and Perform Stakeholder Analysis
Develop Project Charter
Obtain Project Charter Approval 20

21. Project Charter – Project Managers
Responsibilities
Define goals, objective, milestones
Determine requirements
Determine ground rules and assumptions
Identify time, cost and performance constraints
Determine operating procedures, administrative policies
Identify reporting requirements 21

22. Goals vs. Objective
Goals are broad Objectives are narrow Goals are general intentions Objectives are precise Goals are intangible Objectives are tangible Goals are abstract Objectives are concrete Goals can't be validated as is Objectives can be validated 22

23. Objectives are SMART Specific Measurable Assignable Realistic
Time related 23

24. Managing Stakeholder Expectations
Shareholder
Employee
What is my role and the job/task specifications in this project?
What learning opportunity/new skill will I get from this project?
Organization
When can I get the product out?
What is the quantum of work involved?
How many people would this project need (skill level)?
What would be their utilization/availability on this project?
How much would the cost/ investment for resources be?
When can I get the product?
What are the features that exists (that I want eliminated now)?
What are the additional feature desired?
How much I would have to pay?
Customer
What is the company doing to minimize overheads & maximize profits?
What are the efforts and direction for new avenues of business this year?
How does this company compare with and stay ahead of competition? 24 24

25. Project Planning 25 25

26. Project Planning Develop Project Scope Define Project Phases
Develop WBS
Define Activity List & Sequence Activities
Create Project Network Diagram
Perform Critical Path Analysis
Perform Cost Estimation
Perform Resource Planning 26 26

27. Key Tasks Create RAM Identify Project Risks and develop Risk Reponses
Plan Project Team Organization
Create RAM
Identify Project Risks and develop Risk Reponses
Develop Project Management Plan
Baseline the Project Management Plan
Setting up Change Control Mechanism 27 27

28. Benefit of Planning Plan Do/Undo/Redo Plan Execute Complete Start28 28

29. Project Scope
What is the WORK we are supposed to do to deliver the final service / product to the customer?
What are some examples of projects? 29 29

30. The features and functionalities that categorize a product or service
Product Scope
The features and functionalities that categorize a product or service
What are some examples of projects? 30 30

31. 4 Commandments for Good Project Scope
Written
Well defined
Clearly understood
Achievable
What are some examples of projects? 31 31

32. Create Work Breakdown Structure
Highest level: refers to the entire project
Second level: breaks the project into its major sub- projects/phases
Third level:
Identify the deliverables for each subproject/phase
Identify the activities and tasks that are required to produce each deliverables
Lowest level breakup called work packages can be scheduled, cost estimated, monitored and controlled
Identifies track able units of work which are assigned to individual members of the project team 32 32

33. WBS Example 33

34. Schedule Management Create the Activity List
State the Activity Relationships
State the Resource Requirements
Estimate the Activity Duration
Create Project Schedule
Templates are great time savers for creation of the activity list. 34 34

35. Prepare Network Diagram
Project schedule network diagrams are schematic displays
of the project’s schedule activities and the logical
relationships among them, also referred to as
dependencies. 35 35

36. Precedence Diagramming Method (PDM)
Also known as Activity on Nodes (AON) 36 36

37. Arrow Diagramming Method (ADM)
Also known as Activity on Arrow (AOA) 37 37

38. Cost Estimating
Developing an approximation of the costs of the resources needed to complete project activities. 38 38

39. Cost Estimating Analogous estimating Bottom Up Estimating
Parametric Estimating 39 39

40. Customer Relations Develop Communication Ensure Timely Participation
Include the Customer on the Project Team
Develop Trust and Confidence

41. Team Requirements Skills needed ? Individuals identified ?
When are they needed ?
Where are they ?
Training needed ?
Interpersonal compatibility ? 41 41

42. Risk Identification Technical Financial Socio-Economic
Project management
Technical, quality, performance risks : caused by a reliance on unproven technology and/or unrealistic performance goals.
Project management risks : caused by resource conflicts, incompatible goals and/or inadequate funding
External risks : caused by dependencies on external agency / regulatory issues / weather driven reasons
Contractual 42

43. Risk Response Plan Avoid Mitigate Transfer Accept with contingency
without contingency
Share
Enhance
Exploit

44. Project Management Plan
Project scope management plan
Schedule management plan
Staffing management plan
Communication management plan
Risk management plan
Procurement management plan
Milestone list
Resource calendar
Schedule baseline
Cost baseline
Risk register
Project Baselines
The baseline is the plan against which all project progress will be measured
The baseline is set at the end of the planning phase.
Base Lining Process
Communicate the setting of the baseline to all groups that are impacted.
Distribute approved plans and supporting assumptions in accordance with project framework decisions
Archive a copy of the schedule and resource plans along with the assumptions
Ensure that any contracts with suppliers and customers are consistent with the baseline
Change Baseline
Once set, it should not be easily changed
The baseline plan can only be changed after:
Major events which cause change have been identified and communicated
Impact of changes has been approved 44 44

45. Project Execution

46. Project Execution
Project Execution process requires the project manager and the project team to perform multiple actions to execute the project management plan to accomplish the work defined in the project scope statement.
Project Execution
Project Execution process requires the project manager and
the project team to perform multiple actions to execute the project management
plan to accomplish the work defined in the project scope statement. Some of those
actions are:
• Perform activities to accomplish project objectives
• Expend effort and spend funds to accomplish the project objectives
• Staff, train, and manage the project team members assigned to the project
• Obtain quotations, bids, offers, or proposals as appropriate
• Select sellers by choosing from among potential sellers
• Obtain, manage, and use resources including materials, tools, equipment, and
facilities
• Implement the planned methods and standards
• Create, control, verify, and validate project deliverables
• Manage risks and implement risk response activities
• Manage sellers
• Adapt approved changes into the project’s scope, plans, and environment
• Establish and manage project communication channels, both external and
internal to the project team
• Collect project data and report cost, schedule, technical and quality progress,
and status information to facilitate forecasting
• Collect and document lessons learned, and implement approved process
improvement activities. 46 46

47. Project Execution - Major Activities
Expend effort and spend funds to accomplish the project objectives
Staff, train, and manage the project team members assigned to the project
Obtain quotations, bids, offers, or proposals as appropriate
Select sellers by choosing from among potential sellers
Obtain, manage, and use resources including materials, tools, equipment, and facilities
Implement the planned methods and standards 47 47

48. Project Execution - Major Activities (Cont)
Create, control, verify, and validate project deliverables
• Manage sellers
• Adapt approved changes into the project’s scope, plans, and
environment
Establish and manage project communication channels, both external and internal to the project team
• Collect project data and report cost, schedule, technical and quality progress, and status information to facilitate forecasting
• Collect and document lessons learned, and implement approved process improvement activities 48 48

49. Project Controlling 49 49

50. Project Controlling
The Monitor and Control Project Work process is performed to monitor project processes associated with initiating, planning, executing, and closing. 50 50

51. Project Controlling Data Collection & Status Reporting
Project Monitoring & Tracking
Earned Value Analysis
Variance Analysis 51 51

52. Benefits of Tracking the Project
Provides clear indication of progress
Keeps everyone informed
Encourages the addressing of problems
Provides credible completion estimates 52 52

53. Basic Elements of Control System
A project plan: Scope, schedule, estimates
A monitoring system which measures performance against plan
A reporting system which identifies deviations from the plan
A system which communicates deviations to the right people
Corrective actions
Forecasting the project outcome 53 53

54. Elements of Schedule Control
Establish the baseline (estimate)
Measure variation from baseline
Take corrective action 54 54

55. 4 Key Questions to be asked Did the task start? If yes, on what date?
Schedule Tracking
4 Key Questions to be asked
Did the task start?
If yes, on what date?
What date will the task finish?
If finished, on what date did it finish? 55 55

56. Project Closure 56 56

57. Project Closure
The Close Project process involves performing the project closure portion of the project management plan 57 57

58. Project Closure – Major Activities
Obtain Client Acceptance
Shut down project operations
Create Project Closure Document
Learn from the project experience – Lessons Learned
Release resources
Handover to the Support / Operations Team 58 58

59. Perform a Closeout Review
A close out review should highlight both what went right and what went wrong
Both are essential for continuous improvement
Exploit the successes and identify the elements which contributed to the success
Avoid the problems in the future and identify processes that need to be defined, redefined and improved
Key Learning's can be valuable for the next project 59 59

60. Project Management - Getting Things Done
Less overall project cost
Timely project completion
Effective use of resources
Improved risk management
Identification of key process bottlenecks and suggested preventive actions
Higher quality of the final product
Standardized reports, templates, processes and lexicon 60 60

61. Thank you