1) Introduction

• Definition Of A Project
− A collection of linked activities, carried out in an organized manner, with a clearly
defined START POINT and END POINT to achieve some specific results desired to
satisfy the needs of the organization at the current time
− A group of milestones or phases, activities or tasks that support an effort to
accomplish something

• Definition Of Project Management

− A dynamic process that utilizes the appropriate resources of the organization in a
controlled and structured manner, to achieve some clearly defined objectives
identified as needs.
− is the process of Planning, Organizing, Controlling and Measuring
− It is always conducted within a defined set of constraints
− The processes are guided through five stages:
o Initiation
o planning
o executing
o controlling
o closing

• Project Vs Operations
Projects Operations
1 Definition A project is a temporary endeavour to create a unique Operations are ongoing activities that are
product, service, or result. repetitively done to produce or maintain the
project’s outcome.
2 Product Produces a unique product, service or result. Produces non-unique and repetitive results.
3 Duration Temporary – specific start and end date. A project Ongoing – have a start date but no defined end
ceases to exist after final result has been delivered. date. Operations can continue for a very long time
till there is a market demand for the product.
4 Change Brings in a significant change by introducing a new Maintain status quo. Same things are repeated
product or service in the society. every day.
5 Knowledge Generates new knowledge that was not there before Runs on existing and pre-defined knowledge that
the project started. was generated during the course of a project.
6 Risk Since they bring about a change, they are inherently Since they follow a definite and repetitive pattern,
risky. they are not as risky.
7 Closure Projects are closed when the objectives are met or Operations are closed only when there is no
terminated when it is no longer feasible to reach the foreseeable market demand.
defined objectives.
8 Benefits Projects are initiated because of various reasons – to Operations are performed to maintain a product or
earn profit, do a social service, bring in a technological to sustain a business.
change, conform to government regulations etc.
9 Timeline Projects exists while a product is being made and Operations start only after a new product or
implemented or while a new service is being designed service is launched.
and deployed.
10 Responsibility Managed by a project managers. Usually same manager Managed by an operations managers, who are
handles the project throughout its life cycle. changed periodically for multi-year operations
• Necessity Of Project Management
1) Better Planning
2) Collaboration and communication
3) Optimized resource allocation
4) Reduced costs and timely deliveries
5) Enhanced quality
6) Higher customer satisfaction
7) Increased productivity
8) Increased flexibility
9) Happy employees
10) Continuous learning

• Triple Constraints
− it’s a model of the constraints inherent in managing a project.
− Those constraints are threefold:
1) Cost: The financial constraints of a project, also known as the project budget
2) Scope: The tasks required to fulfill the project’s goals
3) Time: The schedule for the project to reach completion

− To better reflect the most crucial elements of a project, some project management
experts have included these additional limitations to the model:
1) Quality: Every project has quality criteria, regardless of whether the end delivery
has a tangible or intangible output. To control quality, project managers require a
quality management plan.
2) Risk: Risk is an unavoidable part of any project. Project managers need to assess
and come up with a risk management plan that estimates and elaborates on how
risks would be managed.
3) Benefit: Various types of benefits are profited out of projects. A project manager
ensures that the best financial benefits are available for project stakeholders.

− Let’s see how these project triangle trade-offs work with some examples.
1) Time and Scope: You can reduce your project scope to also reduce your project
duration if you’re running behind schedule. In the opposite case, you can
increase the length of your project timeline in case the project stakeholders
come up with extra project activities.
2) Cost and Scope: By reducing the project scope, you’ll need to execute fewer
tasks, which means lower costs. In the opposite case, a larger project scope
means higher costs.
3) Cost and Time: In some projects, time and cost can be directly related. For
example, the costs of renting equipment or labor are directly proportional to the
time you need them for.
 − Manage the Triple Constraint
1) Cost
o Estimate the costs for all the tasks in the project scope
o Create a project budget based on the estimated costs of the project
o Use the project budget as a cost baseline, which is employed to control
costs during project execution
o Control all project costs to keep spending under the project budget
o Adjust the project budget when necessary
2) Scope
o Use a scope management plan to clearly define what project activities will
be done
o Share the scope management plan with all stakeholders, so everybody is
on the same page
o Use change orders to avoid scope creep and keep track of all changes made
to the project scope
o Manage stakeholder’s expectations to maintain the project scope
o Use task management tools and techniques to keep track of all project
activities in the scope
3) Time
o Use a Gantt chart to visualize the project schedule, define task sequences
and monitor the duration of each task
o Create policies, procedures and documentation for planning, executing and
monitoring the project schedule
o Allocate resources effectively using a resource schedule to avoid
bottlenecks
o Compare the schedule baseline to actual progress to determine if projects
are on track

• Project Life Cycles (Typical & Atypical)

1) Predictive Life Cycle / Waterfall Model / Fully Plan Driven Life Cycle
o Predictive life cycle is where you are predicting what will happen, preparing the
best plan possible accordingly and then following it.
o Since everything is decided upfront and the plan is ready, the project team puts
its best effort to ensure the plan is executed and the impact on it due to
changes is minimized.

2) Adaptive Life Cycle / Change Driven

o is more welcoming to changes.
o All project activities are performed several times delivering a small piece of the
project each time. These pieces are called increments.
o Since the life cycle is repeated several times, the changes can be easily
accommodated in the next iteration without disrupting the work. In addition to
providing an opportunity to accommodate changes, each iteration also provide
the opportunity to incorporate feedback and even change the scope of the
project.
 3) Iterative Life Cycle
o closer to predictive life cycle
o Although iterations are used to accommodate changes in scope, cost or
schedule, the project team still tries to plan as much work upfront as possible.
o It should be noted that with the iterative life cycle, the approach is to develop
the basic functionality or the minimum viability of the product in the first
iteration. The subsequent iterations can then add further product features.

4) Incremental Life Cycle

o closer to adaptive life cycle.
o Small, usable pieces of the project are delivered to the stakeholders who
provide feedback.
o It should be noted that the increments (or the small pieces of project)
produced must be combined in the final iteration to produce the final product.
o An iteration in itself could be complete but might not be of much use when it is
standalone

5) Hybrid Life Cycle

o combination of predictive and adaptive approaches

• Project Phases
1) Project Initiation
o Perform a feasibility study
o Create a project charter
o Identify key stakeholders
o Select project management tools

2) Project Planning
o Create a project plan
o Develop a resource plan
o Define goals and performance measures
o Communicate roles and responsibilities to team members
o Build out workflows
o Anticipate risks and create contingency plans

3) Project Execution
o Allocate Project resources
o Manage project resources
o Build the product or process
o Meet often and fix problems as they arise

4) Project Monitoring and Controlling

o Manage resources
o Monitor project performance
o Risk management
o Perform status meetings and reports
o Update project schedule
 o Modify project plans

5) Project Closing
o Take inventory of all deliverables
o Tie up any loose ends
o Hand the project off to the client or the team that will be managing the project’s
day-to-day operations
o Perform a post-mortem to discuss and document any learnings from the project
o Organize all project documents in a centralized location
o Communicate the success of the project to stakeholders and executives
o Celebrate project completion and acknowledge team members
o

• Stage/Phase Gate Process

− also known as the Phase Gate Process,
− technique used by project managers to assess the viability of developing a new
product and improving a process or business change.
− It is a phased approach by which is divided by different gates or decision points to
analyze the business case, resources, risks, and forecast to determine the best course
of action.
− There is a gate between every two stages where the process can be tested and
validated to determine whether the team should move to the next step or an
iteration should be applied in the current step to improve before moving to the next
one
− The stages in the Stage-Gate are Discover, Scoping, Define Business Case,
Development, Testing and Validation and Launch
1) Stage 0: Idea Generation
o the team discovers the situation or project.
o This Stage involves the research activities required to understand the case based
on clear ideas and accurate information.
o This Stage can include qualitative and quantitative research methods, market
research, ideas generation methods (i.e. mind maps, brainstorming and reversed
brainstorming) and problem exploration tools (i.e. Starbursting, SCAMPER, 5
Whys and TRIZ).

2) Stage 1: Scoping
o The team provides a clear statement of the problem.
o In this Stage, the team tries to identify whether the idea is viable and can present
a market opportunity.
o This goal can be achieved through tools such as the SWOT analysis, which helps
the team evaluate the idea based on strengths, weaknesses, opportunities, and
threats.

3) Stage 2: Build Business Case

o Once the idea is formed and there is a clear vision of the solution, the team
works to build a product definition and analysis, a business case, a project plan,
and a feasibility review.
o This business case aims to convince the different teams involved in the product
development and its viability.
o They can use tools such as the Business Model Canvas which provides a clear
vision of the product’s market values

4) Stage 3: Development
o The team applies the plan formulated during the above stages and puts it into
action by building a prototype for the product.
o This Stage’s timeline is critical to achieving six factors: specific, measurable,
actionable, realistic, and time (SMART).
o The timeline is constantly updated based on the production status.

5) Stage 4: Testing and Validation

o In this Stage, the prototype is tested, and feedback is collected to improve the
prototype. T
o he testing includes team testing for problems and issues in the product.
o Then, it goes for the field test, where consumers test the product in a beta
version and a marketing test to identify market feasibility for the product.

6) Stage 5: Launch
o Once the product passes all the stages, it moves directly to the launch stage,
where the product is introduced to the market based on a marketing strategy.
o In this Stage, the marketing team plays an essential role in creating the market
need and increasing market exposure for the product.
 − Gates
o Between every two stages, a Gate is used to validate and test the outcome of
each Stage and ensure it meets the requirements. The process at each Gate
includes three main steps
o The gates were used to decide whether to move forward or return to the
previous Stage to improve the product.
o Input: The deliveries from the previous Stage will be evaluated in this specific
Gate.
o Criteria: The metrics and the KPIs will evaluate the deliveries.
o Output: The evaluation results and the decision to move to the following Stage
or return to the previous

− Adv:
o Identification of Problems
o Assessment of Progress
o Identification of Poor Projects
o Helps Reduce Complexity

− Disadv:
o Might Limit Innovation and Creativity
o Overly Structured Process
o Oversimplification of Projects
o Some Projects Might be Incorrectly Labelled as Poor

• Role Of Project Manager

1) Activity and resource planning
2) Organizing and motivating a project team
3) Controlling time management
4) Cost estimating and developing the budget
5) Ensuring customer satisfaction
6) Analysing and managing project risk
7) Monitoring progress
8) Managing reports and necessary documentation
• Negotiations And Resolving Conflicts
− Conflicts
o a situation of competition in which the parties are aware of the incompatibility
of potential future positions and in which each party wishes to occupy a position
which is incompatible with the wishes of the other
o Can arise due to:
• Difference in Project Vision
• Lack of communication
• Different opinions on solutions
• Poor Leadership
• Group Differences

− Negotiations
o Conflict negotiation is communication focused on finding an agreement that
addresses the concerns of parties who want different outcomes.
o Common situations that involve handling conflicts in negotiation include:
• Compensation: Whether setting a salary for a new employee or entering a
contract with a vendor, finding a mutually acceptable rate often requires
negotiating between differing ideas of fair pay.
• Disputes between employees: Employees may sometimes encounter conflict
about responsibilities or work quality. Resolving these concerns through
conflict negotiation is a primary duty of many supervisors and managers.
• Disputes between a business and the public: Businesses that serve the
public sometimes need to respond to a dissatisfied customer or group of
concerned individuals. For example, a restaurant manager could enter
conflict negotiation with a dissatisfied customer to resolve an issue with a
meal.
• Disagreements during collaboration: Project teams could encounter conflict
on factors like how to use limited resources or approach a client request

− Conflict Negotiation Models

o Integrative negotiation or win-win approach
~ In this approach, both parties achieve or exceed their goals in a value-
creating process. Both parties look for solutions that benefit each side,
integrating the goals into one main approach. An added benefit of this
approach is that it creates a positive connection for future negotiations

o Distributive negotiation or win-lose approach

~ A distributive negotiation is when only one party can gain benefits. This
type of negotiation is common when there's a limited resource or the team
can only try one approach. Negotiating a specific price for a product is
often distributive negotiation, since there can be only one agreed-upon
price.
 o Lose-lose approach
~ In a lose-lose approach, neither party receives the outcome they wanted.
In some cases, each side negotiates for part of their desired goal, but they
don't get everything they expected.

o Compromise approach
~ In the compromise approach, both parties attempt to avoid a lose-lose
outcome by acknowledging they could benefit from accepting a result that
limits negative consequences.

• Project Management In Various Organization Structures

− Each project structure framework is determined by the authority, roles, and
responsibilities of the team members within the existing organizational structure.
− Because no two projects are alike, no organizational structure will be exactly the
same.

1) Functional Project Organizational Structure

o organizes its hierarchy around traditionally functioning departments.
o A functional manager heads each department and reports to an executive.
o These functional managers — not other staff — coordinate the project, and
they select team members from each department to support the project, in
addition to their functional responsibilities.

o
2) Projectized Organizational Structure
o A projectized or project-based organizational structure creates a dedicated
project division within an organization.
o The project coordination operates vertically under this division.
o Project managers maintain sole authority for the project and are assigned
dedicated staff who work toward project goals.

3) Matrix Organizational Structure

o is set up on a grid to demonstrate staff reporting patterns to more than one
authority.
o It is a hybrid of functional and projectized organizational structures, and
project managers share authority with other program managers in this
structure.

o Depending on the decision-making capacity of the project manager, a matrix

structure is one of three subtypes:

i. weak,
~ is similar to the functional organization structure, in which
coordination occurs horizontally among staff without a designated
project manager.
~ The primary difference between a weak matrix and a functional
structure is that the staff across departments, rather than the
functional managers, coordinate the project (but the functional
manager maintains decision-making authority).

~
ii. Balanced
~ project manager also holds a staff position and does not utilize
the project manager role to its full capacity.
~ The project manager still has little authority over project
decisions, budget, staff, etc., and primarily serves as the point
of contact and coordinator

iii. Strong
~ is most similar to a projectized organizational structure.
~ In it, a dedicated project manager falls under a functional project
management department, has dedicated cross-functional staff, and is
supported by a manager of all the project managers.
~ This subtype offers the project manager the most authority as they
work across a matrixed environment.

~
• PM knowledge areas as per Project Management Institute (PMI)
− According to PMI, project management knowledge areas are an identified area of
project management defined by its knowledge requirements and described in terms
of its component processes, practices, inputs, outputs, tools, and techniques
− There are 10 project management knowledge areas as per PMI.
1) Integration Management: The processes and activities to identify, define,
combine, unify and coordinate the various processes and project management
activities within the Project Management Process Groups

2) Scope Management: The processes required to ensure that the project includes
all the work required, and only the work required

3) Schedule Management: The processes required to manage the timely

completion of the project

4) Cost Management: The processes involved in planning, estimating, budgeting,

financing, funding, managing and controlling costs so that the project can be
completed within the approved budget

5) Quality Management: The processes for incorporating quality policies into all
aspects of the project management process
6) Resource Management: The processes to identify, acquire and manage
resources needed for successful completion of the project

7) Communications Management: The processes that enable timely and

appropriate planning, collection, creation, distribution, storage, retrieval,
management, control, monitoring and ultimate disposition of project
information

8) Risk Management: The processes of conducting risk management planning,

identification, analysis, response planning, response implementation and
monitoring risk on a project

9) Procurement Management: The processes necessary to purchase or acquire

products, services or results needed from outside the project team

10) Stakeholder Management: The processes required to identify the people,

groups or organizations that could impact or be impacted by the project, to
analyze stakeholder expectations and their impact on the project and to
develop appropriate management strategies for effectively engaging
stakeholders in project decisions and execution
2) Initiating Projects
• How To Get A Project Started
− Selecting project strategically
o The constraints of the organization force choices in all areas of operation,
including project selection.
o There simply isn’t enough of what is needed to go around and undertake every
potential project.

o Techniques:
• Financial Analysis
i. ROI
~ ROI is a direct measure of the return of capital produced by a
project relative to the amount of capital spent on or invested in a
project. ROI is calculated with the following equation:
~ ROI = (Gain from Investment – Investment Cost) / Investment Cost
~ The higher the return on investment, the more desirable the
project.
ii. Payback Period
~ of a project examines how long a project will take in order to
recover the amount of capital invested.
~ simplest calculation for payback period is to divide the amount of
capital invested in the project by the amount generated (or saved)
by the project per period of time (months, years, etc.).
~ Using payback period, the project with the shortest time to recover
invested capital should be selected.

• Strategic Alignment
~ When an organization has clearly defined strategic objectives, projects
should be selected to help further, or deepen, that strategy

• Problem Solving
~ concept of using projects to solve organizational problems. When this is
the case, projects are selected to remove hindrance and impediments to
smooth, efficient, organizational operations.

• Taking Advantage of Opportunities

~ Opportunities can be identified to further a number of different
organizational goals, from increasing profits to entering new markets or
developing new products and services

• Fulfilling Requirements
~ Industry, regulatory, and market conditions often create changing
requirements. When this is the case, new organizational projects are
sometimes the best way to go about fulfilling new requirements.
 • Time Frame
~ If deciding ‘what’ is a question of ‘when’, then the time frame for a
project should be the main point of consideration in selection. This can
be considered in two ways; time of implementation and total project life
cycle time.
i. Time of implementation looks at when significant portions of the
project are to be implemented. For example, are the
organizational resources required for a project available when the
project is planned for. Feasibility is another consideration; a local
sports organization in Austria would be better off implementing a
project to plan a triathlon to take place in summer, rather than in
winter.
ii. Total project life cycle time considers the total time of the project
from selection and initiation to final closing and shut-down. This
type of time frame is considered if there is a limited period of time
available for the undertaking of a project.

• Weighted Scoring Model

~ useful when the decision on project selection comes down to not one,
but several factors. In this case, a weighted scoring model (AKA
Decision Matrix) can be the best tool to examine, rate, and select among
multiple options.
~ A weighted scoring model is developed by determining which factors
are important to an organization in project selection. Those factors are
then assigned a relative level of importance or value (weight). Then, the
factors are examined and rated for each available project option under
consideration, with the rating multiplied by the relative weight of the
factor. The project with the highest total score is the one selected.

− Strategic Alignment of Projects

▪ Strategic alignment usually includes some financial goals, but it might also
include business drivers such as market share or improving distribution
efficiency.
▪ Strategic goals might include things like customer satisfaction or improving
quality
▪ Benefits:
• Project Success Rate
• Focus on Value Creation
• Stronger Executive Sponsorship (Align your projects to the strategic
goals of your execs)
• Eliminate Waste
• Secure the PMO (project management office)
• Clearer resource allocation decisions
• Stronger benefits realization
• Better project team focus
 ▪ Criteria framework for strategic project selection

− Project selection models (Numeric and Non-numeric)

o Criteria for Project Selection Models

o Non-Numeric
i. The Sacred Cow
o The project is created as an immediate result of this bland approach for
investigating whatever the boss has proposed.
o The sacredness of the project reflects the fact that it will be continued until
ended or until the boss himself announces the failure of the idea & ends it

ii. The Operating Necessity

o Project necessary to keep the system running

iii. The Competitive Necessity

o Project necessary to keep current competitive position in market
o Precedence is taken by the operating necessity projects over competitive
necessity projects regarding investment

iv. The Product Line Extension

o a project considered for development & distribution of new products will be
evaluated on the basis of the extent to which it suits the company’s current
product lines, fortify a weak line, fills a gap, or enhanced the line in a new &
desirable direction
o In certain cases, careful evaluations of profitability are not needed.
o The decision-makers can perform actions on the basis of their belief about
the probable influence of the addition of the new product to the line over
the entire performance of the system

v. Comparative Benefit Model

o If there are several projects that are being considered by the organization, a
subset of projects is selected by the senior management of the organization
which can provide the most benefits to the company
o There is no formal method of selection of projects in the organization but it
is the perception of the selection committee members that certain projects
will benefit the company more than the others even they lack the suitable
way to specify or measure the proposed benefit

vi. Q-Sort Model

o according to their relative merits, the projects are first divided into three
groups which are Good, Fair and Poor.
o The main group is further subdivided into the two types of fair-minus and
fair-plus if any group has more than eight members.
o The projects within each type are ranked from best to worst when all types
have eight or fewer members.
o Again, relative merit provides the basis for determining the order.
o The specific criterion is used by the ‘rater’ to rank each project or he may
merely use general entire judgment
o Numeric
i. Payback Period
o The initial fixed investment in the project divided by the forecasted annual
net cash inflows from the project is referred to as the payback period for the
project.
o The number of years needed by the project to refund its initial fixed
investment is reflected in the ratio of these quantities.

o
o This method supposes that the cash inflows will die-hard to the minimum
extent to pay back the investment, and any cash inflows outside the payback
period are ignored.
o This method also functions as an inadequate representative for the risk. The
company faces less risk when it recovers the initial investment fast.

ii. Average Rate of Return

o ratio of the average annual profit (either after or before taxes) to the
average or initial investment in the project is referred to as the average rate
of return.
o mostly misunderstood as the reciprocal of the payback period.

− None of the two above mentioned evaluation methods are effective for project
selection, though the payback period is frequently used and exhibits reasonable
value for decisions related to cash budgeting.
− These two models have a major advantage in the shape of simplicity, but none of
them cover the important concept of the time value of money

iii. Discounted Cash Flow (Net Present Value (NPV) method)

o also called the Net Present Value (NPV) method.
o The net present value of all cash flows is determined by discounting them by
the required rate of return in this method

o
 o

iv. Internal Rate of Return (IRR)

o If there are two sets expected cash flows, one for expected cash inflows and
other for expected cash outflows then the Internal Rate of Return is the
discount rate that equalizes the present value of the two sets of flows
o If Rt is the forecasted cash inflow for period t and At is a forecasted cash
outflow in the period t the internal rate of return is the value of k (value
found by trial & error) that satisfies the following equation

v. Profitability Index
o net present value of all future expected cash flows divided by the initial
investment is referred to as the profitability index.
o The profitability index is also called the benefit-cost ratio.
o The project may be accepted if this ratio is higher than 1.0

vi. Other Profitability Models

o The models just explained have different variations that fall into the
following three groups:
▪ Those that further split the net cash flow into components that make up
the net flow
▪ Those that contain particular terms to acquaint risk (uncertainty) into
the assessment
▪ Those that widen the analysis to view impacts that the project can have
on activities or projects in the company
− Project portfolio management process
o The centralized management of processes, methods, and technologies used by
project management teams to oversee and evaluate existing or proposed
projects, based on several criteria
o PM process consists of five steps that ensure high-level alignment remains both
across the portfolio and throughout the PPM lifecycle.

i. Determine business objectives.

In order to settle on the projects that work for your organization, teams
need to be on the same page. One of the most popular ways to create that
alignment is to develop a strategy map that outlines exactly what the
business objectives are and how team members should prioritize them.

ii. Collect and research information on potential projects.

Compile a list of ideas for potential projects and research those ideas. Some
sources of inspiration might include ideas from team members, customer
feedback, or particular regulatory requirements. Then put together some
high-level details on those ideas, like potential resource requirements.

iii. Narrow your list and select the best projects.

The high-level data from the previous step will give you the tools to choose
the projects that best align with your business objectives. Use that data to
define a projects’ differentiators and craft a tentative portfolio that will likely
maximize your return while balancing risk.

iv. Validate portfolio feasibility and initiate projects.

Next, you’ll need to validate the portfolio of projects against their feasibility
and available resources. Expand on the high-level data that’s already been
collected and create a more realistic picture of the resources necessary to
complete a project and what potential setbacks might be. If the project still
seems feasible, you can commit resources and move forward.

v. Manage and monitor the portfolio.

Once projects begin, you and your team will need to manage them, keeping
an eye on performance and recalibrating as necessary. That might mean
handling issues like re-scoping, reallocating resources, and regularly
reviewing the portfolio as a whole.

− Project sponsor and creating charter

o Project Sponsor
• A project sponsor is a person or group who owns the project and provides
resources and support for the project, program or portfolio in order to
enable its success.
• While they don’t manage the day-to-day operations of a project, they are
above the project manager in terms of the project hierarchy. Most likely, the
project sponsor has been involved with the project from the very beginning.
They were the ones who helped conceive it and advocated for it.
 • Reponsibilites:
~ Vision
 Makes sure the business case is valid and in step with the business
proposition
 Aligns project with business strategy, goals and objectives
 Stays informed of project events to keep the project viable
 Defines the criteria for project success and how it fits with the
overall business
~ Governance
 Ensures project is properly launched and initiated
 Maintains organizational priorities throughout the project
 Offers support for project organization
 Defines project roles and reporting structure
 Acts as an escalation point for issues when something is beyond
the project manager’s control
 Gets financial resources
 Decision-maker for progress and phases of the project
~ Values & Benefits
 Makes sure that risks and changes are managed
 Helps to ensure control and review of processes
 Oversees the delivery of project value
 Evaluate status and progress
 Approves deliverables
 Helps with decision-making
 Responsible for project quality throughout project
phases

o Project Charter
• A project charter is the statement of scope, objectives and people who are
participating in a project.
• It begins the process of defining the roles and responsibilities of those
participants and outlines the objectives and goals of the project.
• The charter also identifies the main stakeholders and defines the authority
of the project manager at the outset of the project plan.

• To create a Project Charter:

i. State the Project Information
~ include your project’s general information, such as its name,
description and who are the project sponsor, project manager, team
members and stakeholders.

ii. Define Project Team Roles & Responsibilities

~ document who are your team members and what their roles and
responsibilities are.
 ~ You should also identify the main stakeholders. (It’s always crucial to
note the stakeholders in any project for they’re the ones who you’ll be
reporting to and, in a sense, managing their expectations)

iii. Identify Project Goals and Project Objectives

~ Project goals are the high-level benefits that the project should
generate, w
~ project objectives are the specific milestones or steps that are needed
to complete them.

iv. Present a Business Case

~ A project charter needs a business case because it essentially states
the reasons for undertaking the project.
~ It helps project managers explain what are the business needs that the
project will meet and what are the expected financial benefits and
return on investment for project stakeholders.
~ A good way to sell the project is to have a sense of what good the
project will bring to sponsors and stakeholders.

v. Outline the Project Scope

~ The scope is the boundaries of your project, such as its start date and
when it concludes.
~ What are the in-scope items, such as those parts of the project process
as opposed to tasks or actions that lay outside the step-by-step
process of the project
~ Outline your key project deliverables and milestones. Later, during the
planning phase, you’ll need to create a scope statement that describes
the project scope in more depth.

vi. Create a Project Timeline

~ A project timeline is a simplified version of your project schedule.
~ This project timeline should show key deliverables, milestones and
project stages so that stakeholders understand the big picture.

vii. Build the Project Budget

~ you want to get a ballpark figure on what project costs you expect.
~ Define the budget for the project and who will have spending
authority.
~ Include the estimated costs for the tasks you’ve defined, but be aware
that new project requirements and tasks will require adjustment of
this budget.

viii. Note Key Assumptions & Constraints

~ It’s important to write down all the assumptions or constraints that
can have an impact on the development or execution of your project
plan.
 ~ Noting key assumptions is very important for stakeholder
management, as setting clear expectations is key to success.
~ You also want to have at least an outline of how you’re going to deal
with project constraints. If you don’t cover it now, you’ll have to play
catch-up later.

ix. Log Key Project Risks

~ Identify all potential risks that could arise in the project so you’re not
taken by surprise. Here you’ll want to highlight the most probable or
impactful risks so that stakeholders are aware of them early on.
~ This should be followed up by a risk register and risk management plan
in your project plan, where you detail how you’ll resolve those risks
and who on the team is responsible for catching and fixing them.

x. Define Project Requirements and Success Criteria

~ The project management team and project stakeholders must reach an
agreement in terms of success criteria.
~ The most common aspects to determine project success are the triple
constraint elements, time, cost and scope.
~ But depending on the project, there can be many project requirements
such as risk tolerance levels and quality standards.

o Project proposal.
• Project proposal is a project management document that’s used to define the
objectives and requirements of a project.
• It helps organizations and external project stakeholders agree on an initial
project planning framework.
• main purpose is to get buy-in from decision-makers.
• outlines your project’s core value proposition.
• It sells value to both internal and external project stakeholders.
• The intent of the proposal is to grab stakeholder and project sponsor attention.
• Once you have people’s attention, the next step is getting them excited about the
project summary.
• Types:
~ Solicited Project Proposal: A solicited project proposal is sent as a response
to a request for proposal (RFP). Here you’ll need to adhere to the RFP
guidelines of the project owner.
~ Unsolicited Project Proposal: You can send project proposals without having
received a request for proposal. This can happen in open bids for
construction projects, where a project owner receives unsolicited project
proposals from many contractors.
~ Informal Project Proposal: This type of project proposal is created when a
client asks for an informal proposal, without an RFP.
~ Renewal Project Proposal: You can use a renewal project proposal when you
are reaching out to past customers. The advantage is that you can highlight
past positive results and future benefits.
 ~ Continuation Project Proposal: Sent to investors and stakeholders to
communicate project progress.
~ Supplemental Project Proposal: This proposal is sent to investors to ask for
additional resources during the project execution phase.

−
• Effective Project Team
1) Clear Goals
2) Getting the right people to do their job.
3) Distributing the roles and responsibilities.
4) Open Communication
5) Positive Atmosphere
6) Effective Leadership and Management

• Stages Of Team Development & Growth

1) Forming:
− This is where team members first meet.
− It’s important for team leaders to facilitate the introductions and highlight each
person’s skills and background.
− Team members are also given project details and the opportunity to organize their
responsibilities.

2) Storming:
− At this stage, team members openly share ideas and use this as an opportunity to
stand out and be accepted by their peers.
− Team leaders help teams in this stage by having a plan in place to manage
competition among team members, make communication easier, and make sure
projects stay on track.

3) Norming:
− By now, teams have figured out how to work together. T
− here’s no more internal competition, and responsibilities and goals are clear. Each
person works more efficiently because he or she has learned how to share their ideas
and listen to feedback while working toward a common goal.

4) Performing:
− There’s a high level of cohesion and trust between team members.
− Teams are functioning at peak efficiency with less oversight from team leaders.
− Issues still come up, but at this point, teams have strategies for resolving problems
without compromising timelines and progress.

5) Adjourning:
− Teams complete their project and debrief on what went well and what could be
improved for future projects.
− Afterwards, team members move on to new projects.

• Team Dynamics
o Team dynamics are the unconscious, psychological forces that influence the direction
of a team’s behaviour and performance.
o Team dynamics are created by the nature of the team’s work, the personalities within
the team, their working relationships with other people, and the environment in
which the team works.
o Team dynamics can be good - for example, when they improve overall team
performance and/or get the best out of individual team members. They can also be
bad - for example, when they cause unproductive conflict, demotivation, and prevent
the team from achieving its goals.