Project MGT CH 1&2
Project MGT CH 1&2
and
Management
Oda Bultum University
Course Instructor:- Debela Bonsa
(Ass. prof)
Course Content
An Overview of Project Pricing and Estimating
Management Trade-off Analysis in a
Project Management Growth: Project Environment
Concepts and Definitions Risk Management
Organizational Structures Strategic Planning for
Time Management Excellence in Project
Special Topics in project Management
management Modern Developments in
Project Scheduling Techniques Project Management
Project Planning Quality Management
1.1 PROJECT MANAGEMENT DEFINED
A project is defined as a sequence of unique, complex,
and connected activities having one goal or purpose and
that must be completed by a specific time, within budget,
and according to specification.
A project is a proposal consisting of collection of
activities performed to achieve a specific purpose so as
to get benefits that exceed costs.
A project is a temporary endeavor, having a defined
beginning and end/
Project is undertaken to meet unique goals and
objectives, usually to bring about beneficial change or
added value (PMI).
1.2 Features of a project
Unique: accomplishment of specific purpose
Specific Deliverable
Specific Due Date
Multidisciplinary
Complex
Conflict
Part of Programs
Needs capital and commitment of other resources
Collection of activities that generates benefits in the long
run
Has limited estimated life
Associated with risk and uncertainty
Project Parameters
There are five parameters that constrain the operation of every project:
Scope
Quality
Cost
Time
Resources
These constraints are interdependent set implying that a change in one can
cause a change in another to restore the equilibrium of the project.
Scope
It is a statement that defines the boundaries of the project.
It tells not only what will be done but also what will not be done.
In the information systems industry, scope is often referred to as a
functional specification.
In the engineering profession, it is generally called a statement of work.
It is not secret that scope can change. We do not know how or when, but it
will change.
Detecting that change and deciding how to accommodate it in the project
plan are major challenges for the project manager.
Continued…
Quality
Two types of quality are part of every project.
The first is product quality. This refers to the quality of the deliverable from
the project.
The second type of quality is process quality, which is the quality of the
project management process itself. The focus on how well the project
management process works and how can it be improved.
Not only does quality contribute to customer satisfaction, it helps
organizations use their resources more effectively and efficiently by
reducing waste and rework.
Cost
The money spend for doing the project is another variable that defines the
project.
It is best thought of as the budget that has been established for the project.
This is particularly important for projects that create deliverables that are
sold either commercially or to an external customer.
Cost is a major consideration throughout the project management cycle.
Continued…
Time
The customer specifies a timeframe or deadline date within which project
must be completed.
To a certain extent, cost and time are inversely related to one another. The
time a project takes to be completed can be reduced, but cost increases as a
result.
Time is an interesting resource. It can't be inventoried. It is consumed
whether we use it or not. The objective for the project manager is to use
the future time allotted to the project in the most effective and productive
ways possible.
Resources
Resources are assets, such as people, equipment, physical facilities, or
inventory that have limited availabilities, can be scheduled, or can be leased
from an outside party.
Some are fixed; others are variable only in the long term.
In any case, they are central to the scheduling of project activities and the
orderly completion of the project.
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
By Debela B
1.4 Phases in Project management
Defining
We need to determine what the customer wants/in
case of development projects, we need to know what
the community/public wants
We do this by identifying:
Requirements
Identifying Stakeholders
Identifying Problems
Identifying Deliverables
Setting Success criteria
Determining project Scope
Risks
Probability of occurrence
Impact of the risk
Planning
We know what we want
Now, we figure out how to do the work required
We do this by:
setting overall goal, project purpose
Identifying activities: work breakdown structure (WBS)
Identifying dependencies between activities
Estimating activity duration
Estimating activity resource requirements
Scheduling activities (start date, duration)
Execution
We have a detailed work plan
Now, we get the work underway
We do this by:
Choosing participants
Making participants available for the project
Assigning work to participants
Organizing participants into team(s)
Providing resources to the team(s)
Establish constraints and freedoms for the team(s)
Motivate the team and getting project activities executed
Monitoring & Evaluation
Monitoring involves reviewing the progress of the project
It involves taking concurrent correction to keep the project on
truck and we must ensure we are making adequate progress
We do this by:
Interviewing and observing progress reports
Providing mechanisms for requesting changes
Continually updating plans (e.g. schedules)
Evaluation involves post-implementation review to correct if
there are significant deviations or to take lessons for future
projects.
Closing
Refers to completion of all activities
The result should be that
All overall goals are satisfied
All conditions of satisfaction are met
All deliverables are ready for use
We do this by:
Obtaining client acceptance
Deploying deliverables
Performing post implementation analysis
How did we do?
Why do projects fail?
We need to ask these important
questions:
What kind of failure was it?
e.g. incomplete, unreliable, off-schedule/budget
Who was responsible?
What happened?
What did not happen?
Which process(es) broke down?
What deliverables (s)/feature(s) failed?
Reasons for project failure
These reasons seem to blame the staff:
Poor plan
Uncommitted or demotivated staff
Weak, antagonistic, unreliable staff
Gold-plated features or documentation
These reasons seem to blame the customer or upper
management:
Unrealistic schedules
Unrealistic expectations
Incorrect requirements
Continued…
These reasons seem to blame the project manager:
Poor planning
Insufficient risk management
Insufficient quality assurance
Inadequate support
Reluctance to follow up the project implemetation
Who is really responsible for these problems?
The project manager
1.5 Skill Requirements for Effective Project
Management
Conflict Resolution
Creativity and Flexibility
Ability to Adjust to Change
Good Planning
Negotiation
win-win versus win-lose
1.6 A project manager’s role
A major role of a project manager (PM) is to ensure that
the project succeeds
To a lesser degree, this is also a role for other stakeholders
Therefore, the PM is responsible (if not to blame) when
these problems occur
A project manager must remain unbiased
Customers or upper management may ask for unrealistic
features and/or schedules
It is not a project manager’s role to make such schedules work,
by pushing teams harder
Project management careers
A PM is someone with years of experience
This is usually someone who…
has experienced successful projects
has experienced failed projects
has excellent organizational skills
has excellent communication skills
is a strong leader
1.7 Benefits of Project Management
1. Clear Objective
2. Risk Assessment
3. Milestones
4. Resource Allocation
5. Task Dependencies
6. Communication
7. Avoid Scope Creep
8. Client Appreciation
9. Your team will know what’s going on and what is expected of
them. With clear objectives, scheduled milestones and a detailed
task list , there should be no confusion about who is to do what.
Chapter Two
PDM
Evaluation Implementation
Project design matrix
Narrative summary Objectively Means of Important
verifiable verification assumption
indicators
Overall objective
Project purpose
outputs
Purpose/Immediate • 10% increase in annual export • Governmental export reports. • Political stability.
Objective: volume within the next 5 years. • Sample surveys among • Adequate institutional
• 10% annual increase in export fishermen, exporters, sales funding, Interest and
1. To minimize post
value within the next 5 years. outlets and customers. determination.
harvest losses and • 8% annual increase of fish • Sample household surveys. • Sufficient stakeholder
improve quality and supply/production in domestic interest.
safety of fish products market within the next 5 years.
to acceptable
standards.
Results - an example
Logical framework matrix
Post harvest losses
Project Sources of
Indicators Assumptions
description verification
Results/Outputs/ • 8% increase in ISO 9000 certificated • ISO registration • sufficient financial
Deliverables: fish processing facilities within the next reports. and human capacity to
1.1 Improved fish 5 years. • Govt. statistics. support development.
handling. • 750 trained and certified fishers before • Govt. tax • Level of increased
the year 2009. authorities. income is sufficient to
• 7% increase in average income of make a significant
small and medium sized fishery difference in fishery
businesses in the next 3 years. businesses.
• 7% increase in the volume of fish in
the next 3 years.
Sources of
Project description Indicators Assumptions
verification