Lecture2 - Introduction To Project Management
Lecture2 - Introduction To Project Management
Introduction to Project
Management
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What do I have to do this week?
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Review lecture content
Review lecture content
4 Finding group members
Thursday – Lecture 2
2 What is a project
Tuesday - Lecture 1 –
Course Outline and 1
schedule
Course
Schedule
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Agenda
• Introduction to Project Management
• Definitions
• Project Management - what is it?
• Project development phase
• Case Study
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Introduction to Project
Management
Lecture 2
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Projects can vary in size
and scope
• Expand existing or build a new Hospital
• Refinery expansions
• Renovation and space modification
• Oil sands development
• Planning a party or wedding
• Organizing the Olympic games
• Developing a new software program
• Building a new gas pipeline
• Company mergers
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Project Attributes
• Goal oriented and has an end product
• Non-repetitive, significant unique or novel features
• Creates change
• Results can be product or service
• Capable of sub-division into smaller tasks
• Achieve quality and safety/health parameters
• Usually require a unique management solution
• Can represent a source of conflict within an organization
• Affected by risk and uncertainty from external events
• Identifiable stakeholders
• Limited resources and budget
• Unique, one-time set of events
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Is it really
Unique?
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Project is a
System
“a Project is a multifaceted entity that exists in
dynamic circumstances. Exhibiting the
characteristics of a system.
A Project should
A system is a set of interacting and
be seen as a interdependent components that function as a
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PMBOK, 7th ed
A System Value for Delivery
1 2 3 4
Create deliverables Produce Outcome Create benefits Create values –
(gains realized by something of
the organization) worth, importance,
usefulness
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Create positive Social or
Create new product or
environmental
service
contributions
Projects
should Improving Efficiency,
productivity,
effectiveness, or
Enabling the changes
needed to facilitate
produce responsiveness
organizational transition
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Performance
Domains
• Group of related activities
that are critical for the
delivery of project outcomes
• They can be used with
different delivery
approaches
• Not processes
• They are interactive,
interdependent, and
interrelated
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Principles
and
domains
Principles
• Foundational guidelines for strategy, decision making, and
problem solving
• How we should approach a project
• Not prescriptive – Agile, PMBOK, SCRUM, FEL
• No specific order
• They are interconnected
• Based on 4 values:
• Responsibility
• Respect
• Fairness
• Honesty
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Systems
Value Complexity Team
Thinking
Adaptability
Stewardship Quality Change
and resiliency
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Development
Stakeholder Team Approach and Planning
life Cycle
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Project Management
• Project management is a method and/or set of
techniques based on the accepted principles of
management used for planning, estimating and
controlling work activities to reach a desired
result on time, within budget, and according to
the project specifications.
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This Photo by Unknown Author is licensed under CC BY-SA-NC
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Project Scope
Definition
Project Scope is the work required to output a
project’s deliverable.
Source: https://www.pmi.org/learning/featured-topics/scope
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Equilibrium
and the
Project Scope
Triangle
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Scope Creep
• Unauthorized changes to the project scope
• Changing the project scope without adjusting the schedule,
budget, and resources
• Happens when the project is not clearly defined,
documented, or controlled
• Can be caused by:
o Initial requirements being poorly defined
o Weak project manager or project sponsor
o Poor communication
o Having an inexperienced team
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This Photo by Unknown Author is licensed under CC BY-SA-NC
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Project
Phases
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State the Problem Identify Project Recruit Project Schedule Control Obtain Client
Activities Manager Acceptance
Identify Project Cost Control &
Estimate Time & Cost Recruit Project Commission & Start-
Goal Team
Productivity Reporting
up
Risks & Stakeholder
List Objectives Organize Project Project Deliverables
Impact
Manage Risk
Identify Resources Develop Schedule, Assign Work Document the
Packages Manage Change & Project
Cost Estimate, RACI
Identify Risks
Construction Change Orders Issue Close-out
Finalize Opportunity
Identify Reports
Statement Status Reports
Stakeholders Build & Sustain Project & Business
Write Project Team Team Reports Performance Review
Success Criteria Execution Plan
Project Charter Execution Plan Guiding principles, Variance Reports Final Audit Reports
WBS & Schedule Health Checks, Risk Register Status Reports
Cost Estimate Issue Resolution Mechanism Risk & Change Register
Characteristics
of a Project
Life Cycle
Typical Cost and Staffing Levels Across the Life Cycle of a Project
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Characteristics
of a Project
Life Cycle
• Transmountain pipeline
West Coast
Alberta
• 1150 km
• Capacity: 250,000 barrels
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The case is the Transmountain Pipeline
• Timeline
• 2012
• Kinder Morgan Company announced the expansion of the Transmountain
Pipeline
• Expand capacity to 890.000 barrels per day
• 2016
• New regulations by the federal government – First Nations - Spill
• 2017
• The National Energy Board (NEB) recommends approval of the pipeline, subject
to 157 conditions, concluding that it is in the public interest.
• Kinder Morgan makes its final investment decision to proceed with the
development, now estimated to cost $7.4 billion
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The case is the Transmountain Pipeline
• Timeline
• 2017
• The B.C. NDP and Greens agreed to form a coalition to form a minority
government. The two coalition partners agree to "immediately employ
every tool available" to stop the project.
• The City of Burnaby filled an appeal against the project.
• NEB allows Kinder Morgan Canada to bypass Burnaby bylaws.
• 2018
• B.C. government moves to restrict any increase in diluted bitumen
shipments until it conducts more spill response studies, a move that
increases the uncertainty for Trans Mountain.
• Kinder Morgan Canada suspends non-essential spending on the Trans
Mountain expansion project and sets a May 31 deadline to reach
agreements with stakeholders.
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The case is the Transmountain Pipeline
• Timeline
• 2018
• The Canadian federal government announced its intent to acquire the
Trans Mountain Pipeline from Kinder Morgan for $4.5 billion.
• 2022
• Actual Cost: $21.4 Billion
• 2024
• Project Completed
• Final Cost $ 34B
Source:
https://www.transmountain.com/history
https://www.cbc.ca/news/canada/calgary/timeline-key-dates-
history-trans-mountain-pipeline-1.4849370
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The case is the Transmountain Pipeline
Source:
https://www.transmountain.com/history
https://www.cbc.ca/news/canada/calgary/timeline-key-dates-
history-trans-mountain-pipeline-1.4849370
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The case is the Transmountain Pipeline
• Based on these figures, in which phase of the Transmountain Pipeline
project there were flaws?
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Key notes
• Is it unique? Not really!
• It is influenced by internal and external
factors
• Principles are so important as Project Domain
• Scope, Scope, and more scope definition
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Next Lecture
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