SPM UNIT-1

What is software project management?

Software project management is an art and discipline of planning and supervising software
projects. It is a sub-discipline of software project management in which software projects
planned, implemented, monitored and controlled.
It is a procedure of managing, allocating and timing resources to develop computer software
that fulfills requirements.
In software Project Management, the client and the developers need to know the length,
period and cost of the project.
Prerequisite of software project management?
There are three needs for software project management. These are:
1. Time
2. Cost
3. Quality
It is an essential part of the software organization to deliver a quality product, keeping the
cost within the client?s budget and deliver the project as per schedule. There are various
factors, both external and internal, which may impact this triple factor. Any of three-factor
can severely affect the other two.
Project Manager
A project manager is a character who has the overall responsibility for the planning, design,
execution, monitoring, controlling and closure of a project. A project manager represents an
essential role in the achievement of the projects.
A project manager is a character who is responsible for giving decisions, both large and small
projects. The project manager is used to manage the risk and minimize uncertainty. Every
decision the project manager makes must directly profit their project.
Role of a Project Manager:
1. Leader
A project manager must lead his team and should provide them direction to make them
understand what is expected from all of them.
2. Medium:
The Project manager is a medium between his clients and his team. He must coordinate and
transfer all the appropriate information from the clients to his team and report to the senior
management.
3. Mentor:
He should be there to guide his team at each step and make sure that the team has an
attachment. He provides a recommendation to his team and points them in the right direction.
Responsibilities of a Project Manager:
1. Managing risks and issues.
2. Create the project team and assigns tasks to several team members.
3. Activity planning and sequencing.
4. Monitoring and reporting progress.
5. Modifies the project plan to deal with the situation.
Need for Software Project Management
Software is a non-physical product. Software development is a new stream in business and
there is very little experience in building software products. Most of the software products are
made to fit clients’ requirements. The most important is that basic technology changes and
advances so frequently and rapidly that the experience of one product may not be applied to
the other one.
Such types of business and environmental constraints increase risk in software
development hence it is essential to manage software projects efficiently. It is necessary for
an organization to deliver quality products, keep the cost within the client’s budget constraint,
and deliver the project as per schedule. Hence, in order, software project management is
necessary to incorporate user requirements along with budget and time constraints.
Types of Management in SPM
1. Conflict Management
Conflict management is the process to restrict the negative features of conflict while
increasing the positive features of conflict. The goal of conflict management is to improve
learning and group results including efficacy or performance in an organizational setting.
Properly managed conflict can enhance group results.
2. Risk Management
Risk management is the analysis and identification of risks that is followed by synchronized
and economical implementation of resources to minimize, operate and control the possibility
or effect of unfortunate events or to maximize the realization of opportunities.
3. Requirement Management
It is the process of analyzing, prioritizing, tracking, and documenting requirements and then
supervising change and communicating to pertinent stakeholders. It is a continuous process
during a project.
4. Change Management
Change management is a systematic approach to dealing with the transition or transformation
of an organization’s goals, processes, or technologies. The purpose of change management is
to execute strategies for effecting change, controlling change, and helping people to adapt to
change.
5. Software Configuration Management
Software configuration management is the process of controlling and tracking changes in the
software, part of the larger cross-disciplinary field of configuration management. Software
configuration management includes revision control and the inauguration of baselines.
6. Release Management
Release Management is the task of planning, controlling, and scheduling the built-in
deploying releases. Release management ensures that the organization delivers new and
enhanced services required by the customer while protecting the integrity of existing services.
Aspects of Software Project Management
The list of focus areas it can tackle and the broad upsides of Software Project Management is:
1. Planning
The software project manager lays out the complete project’s blueprint. The project plan will
outline the scope, resources, timelines, techniques, strategy, communication, testing, and
maintenance steps. SPM can aid greatly here.
2. Leading
A software project manager brings together and leads a team of engineers, strategists,
programmers, designers, and data scientists. Leading a team necessitates exceptional
communication, interpersonal, and leadership abilities. One can only hope to do this
effectively if one sticks with the core SPM principles.
3. Execution
SPM comes to the rescue here also as the person in charge of software projects (if well versed
with SPM/Agile methodologies) will ensure that each stage of the project is completed
successfully. measuring progress, monitoring to check how teams function, and generating
status reports are all part of this process.
4. Time Management
Abiding by a timeline is crucial to completing deliverables successfully. This is especially
difficult when managing software projects because changes to the original project charter are
unavoidable over time. To assure progress in the face of blockages or changes, software
project managers ought to be specialists in managing risk and emergency preparedness.
This Risk Mitigation and
management is one of the core tenets of the philosophy of SPM.
5. Budget
Software project managers, like conventional project managers, are responsible
for generating a project budget and adhering to it as closely as feasible, regulating spending,
and reassigning funds as needed. SPM teaches us how to effectively manage the monetary
aspect of projects to avoid running into a financial crunch later on in the project.
6. Maintenance
Software project management emphasizes continuous product testing to find and repair
defects early, tailor the end product to the needs of the client, and keep the project on track.
The software project manager makes ensuring that the product is thoroughly tested, analyzed,
and adjusted as needed. Another point in favor of SPM.

Aspects of Project Management

Downsides of Software Project Management
Numerous issues can develop if a Software project manager lacks the necessary expertise or
knowledge. Software Project management has several drawbacks, including resource loss,
scheduling difficulty, data protection concerns, and interpersonal conflicts between
Developers/Engineers/Stakeholders. Furthermore, outsourcing work or recruiting
additional personnel to complete the project may result in hefty costs for one’s company.
1. Costs are High
Consider spending money on various kinds of project management tools, software, &
services if ones engage in Software Project Management strategies. These initiatives can be
expensive and time-consuming to put in place. Because your team will be using them as well,
they may require training. One may need to recruit subject-matter experts or specialists to
assist with a project, depending on the circumstances. Stakeholders will frequently press for
the inclusion of features that were not originally envisioned. All of these factors can quickly
drive up a project’s cost.
2. Complexity will be increased
Software Project management is a multi-stage, complex process. Unfortunately, some
specialists might have a propensity to overcomplicate everything, which can lead to
confusion among teams and lead to delays in project completion. Their expressions are very
strong and specific in their ideas, resulting in a difficult work atmosphere. Projects having a
larger scope are typically more arduous to complete, especially if there isn’t a dedicated team
committed completely to the project. Members of cross-functional teams may lag far
behind their daily tasks, adding to the overall complexity of the project being worked on.
3. Overhead in Communication
Recruits enter your organization when we hire software project management personnel. This
provides a steady flow of communication that may or may not match a company’s culture. As
a result, it is advised that you maintain your crew as
small as feasible. The communication overhead tends to skyrocket when a team becomes
large enough. When a large team is needed for a project, it’s critical to identify software
project managers who can conduct effective communication with a variety of people.
4. Lack of Originality
Software Project managers can sometimes provide little or no space for creativity. Team
leaders either place an excessive amount of emphasis on management processes or impose
hard deadlines on their employees, requiring them to develop and operate code within
stringent guidelines. This can stifle innovative thought and innovation that could be beneficial
to the project. When it comes to Software project management, knowing when to encourage
creativity and when to stick to the project plan is crucial. Without Software project
management personnel, an organization can perhaps build and ship code more quickly.
However, employing a trained specialist to handle these areas, on the other hand, can open up
new doors and help the organization achieve its objectives more
quickly and more thoroughly.
Activities
Software Project Management consists of many activities, that includes planning of the
project, deciding the scope of product, estimation of cost in different terms, scheduling of
tasks, etc.
The list of activities are as follows:
1. Project planning and Tracking
2. Project Resource Management
3. Scope Management
4. Estimation Management
5. Project Risk Management
6. Scheduling Management
7. Project Communication Management
8. Configuration Management
Now we will discuss all these activities -
1. Project Planning: It is a set of multiple processes, or we can say that it a task that
performed before the construction of the product starts.
2. Scope Management: It describes the scope of the project. Scope management is important
because it clearly defines what would do and what would not. Scope Management create the
project to contain restricted and quantitative tasks, which may merely be documented and
successively avoids price and time overrun.
3. Estimation management: This is not only about cost estimation because whenever we
start to develop software, but we also figure out their size(line of code), efforts, time as well
as cost.
If we talk about the size, then Line of code depends upon user or software requirement.
If we talk about effort, we should know about the size of the software, because based on the
size we can quickly estimate how big team required to produce the software.
If we talk about time, when size and efforts are estimated, the time required to develop the
software can easily determine.
And if we talk about cost, it includes all the elements such as:
o Size of software
o Quality
o Hardware
o Communication
o Training
o Additional Software and tools
o Skilled manpower
4. Scheduling Management: Scheduling Management in software refers to all the activities
to complete in the specified order and within time slotted to each activity. Project managers
define multiple tasks and arrange them keeping various factors in mind.
For scheduling, it is compulsory -
o Find out multiple tasks and correlate them.
o Divide time into units.
o Assign the respective number of work-units for every job.
o Calculate the total time from start to finish.
o Break down the project into modules.
5. Project Resource Management: In software Development, all the elements are referred to
as resources for the project. It can be a human resource, productive tools, and libraries.
Resource management includes:
o Create a project team and assign responsibilities to every team member
o Developing a resource plan is derived from the project plan.
 o Adjustment of resources.
6. Project Risk Management: Risk management consists of all the activities like
identification, analyzing and preparing the plan for predictable and unpredictable risk in the
project.
Several points show the risks in the project:
o The Experienced team leaves the project, and the new team joins it.
o Changes in requirement.
o Change in technologies and the environment.
o Market competition.
7. Project Communication Management: Communication is an essential factor in the
success of the project. It is a bridge between client, organization, team members and as well
as other stakeholders of the project such as hardware suppliers.
From the planning to closure, communication plays a vital role. In all the phases,
communication must be clear and understood. Miscommunication can create a big blunder in
the project.
8. Project Configuration Management: Configuration management is about to control the
changes in software like requirements, design, and development of the product.
The Primary goal is to increase productivity with fewer errors.
Some reasons show the need for configuration management:
o Several people work on software that is continually update.
o Help to build coordination among suppliers.
o Changes in requirement, budget, schedule need to accommodate.
o Software should run on multiple systems.
Tasks perform in Configuration management:
o Identification
o Baseline
o Change Control
o Configuration Status Accounting
o Configuration Audits and Reviews
People involved in Configuration Management:
Methodologies:
Methodologies for project management are organized frameworks that help companies and
project managers plan, carry out, and finish projects quickly and successfully. With strategies,
tools, and best practices to guarantee successful project delivery, these methodologies offer a
methodical approach to project management. This post will go into the topic of project
management methodologies, discussing their importance, typical applications across different
sectors, and their role in project success.
What is a Project Management Methodology?
A Project Management Methodology is a structured approach or framework that guides how
projects are planned, executed, monitored, controlled, and closed. It provides a set of
principles, processes, tools, and techniques for managing projects effectively and efficiently.
Examples of project management methodologies include Waterfall, Agile, Scrum, PRINCE2,
and Lean, each offering its own unique approach to project delivery based on the specific
needs and characteristics of the project and organization.
Why do Project Management Methodologies Matter?
Project management methodologies are essential for several reasons:
 Standardization: They provide a standardized approach to managing projects,
ensuring consistency and repeatability across different projects within an
organization.
 Efficiency: By following established processes and best practices, project
managers can streamline project execution, optimize resource utilization, and
minimize risks and uncertainties.
 Clarity and Alignment: Project methodologies help align stakeholders and project
teams by clearly defining project objectives, roles, responsibilities, and expectations.
  Flexibility: While project methodologies provide structured frameworks, they also
offer flexibility to adapt to changing project requirements, environments, and
constraints.
 Continuous Improvement: Many project methodologies emphasize the importance
of learning from past experiences and continuously improving project
management practices through feedback and reflection.
Top 10 Project Management Methodologies
Several project management methodologies are commonly used in various industries, each
with its unique characteristics, advantages, and suitability for different types of projects.
Some of the most widely recognized methodologies include:
1. Waterfall: The Waterfall methodology follows a linear, sequential approach to project
management, with distinct phases such as initiation, planning, execution, monitoring,
and closure. It is well-suited for projects with clear, well-defined requirements and
limited changes expected during the project lifecycle.
2. Agile: Agile methodologies, such as Scrum and Kanban, emphasize iterative and
incremental delivery, collaboration, and flexibility in responding to changing
requirements. Agile is particularly well-suited for software development projects and
projects where requirements are likely to evolve.
3. Lean: Lean project management focuses on maximizing value while minimizing
waste through continuous improvement, eliminating non-value-added activities, and
optimizing processes. It originated in manufacturing but has since been applied to
various industries, including healthcare, construction, and service sectors.
4. PRINCE2: PRINCE2 (Projects in Controlled Environments) is a process-based
methodology that provides a structured approach to project management, with defined
roles, processes, and governance principles. It is widely used in the UK and Europe,
particularly in government and public sector projects.
5. Critical Path Method (CPM): CPM is a mathematical algorithm used for scheduling
and managing projects, focusing on identifying the critical path, which is the longest
sequence of dependent tasks that determines the project's duration. It is commonly
used in construction, engineering, and manufacturing industries.
6. Kanban Methodology: Kanban is one of the widely used software development
methodologies along with Scrum. The Kanban Methodology was developed in the
1940s by Toyota for manufacturing purposes. However, for software purposes, it was
released in 2001 after the release of the Agile Manifesto.
7. Project Management Body of Knowledge (PMBOK): PMBOK is a process-
based project management methodology (actually a framework), developed by the
Project Management Institute (PMI). It constitutes a collection of project management
processes, best practices, terminologies, guidelines, and tools, accepted as standard
within the project management industry.
8. Extreme Programming (XP): XP is based on the frequent iteration through which
the developers implement User Stories. User stories are simple and informal
 statements of the customer about the functionalities needed. A User Story is a
conventional description by the user of a feature of the required system.
9. Six Sigma: Six Sigma is a powerful methodology for process improvement and
quality management that originated with Motorola Corporation. This approach
revolves around expressing process capability in terms of defects per million
opportunities (DPMO), where a Six Sigma level implies a mere 3.4 parts per million
defect probability.
10. Scrum Methodology: Scrum is the type of Agile framework. It is a framework
within which people can address complex adaptive problem while productivity and
creativity of delivering product is at highest possible values. Scrum uses Iterative
process.
Categories of Project
In project management, there are many categories that need to plan as well while
planning the project. You will see each category in detail that how we can define the
categories of the project. You will see categories like scope and significance, type of the
project, level of technology, size, and scale of operations, ownership, and control,
implementations, and purpose of the project are generally used categories.
If you’re planning a project and want to implement then you can consider these
categories. Projects are often categorized on the basis of their scope, size, speed of
implementation, location, type, and technology. The project can be classified on the
grounds of the following.

Scope and Significance :

The projects are generally classified on the basis of coverage and magnitude of their
operations. So on the basis of scope projects can be National or International.
1. National Projects –
There are also projects which are undertaken either by the government itself or
assigned to private entrepreneurs in a country. In a country like India Public and
Private sectors coexist to undertake major and minor projects. Government projects
 and private projects operate in vastly different environments, associated with different
advantages and disadvantages. The only purpose of the National Project is the growth
and development of the economy and maintenance of existing standards of living.
2. International Projects –
The projects which are embarked on by “Foreign investors” either by establishing a
solitary or a branch of their unit or by mere participation in the equity of any domestic
company are called International Projects. These can be in the form of joint ventures,
MNC’s, and collaborations between two companies.
Type :
According to the type, projects can be industrial and non-industrial.
1. Industrial –
These are those projects which are undertaken with a view to developing the
economy.
2. Non-Industrial –
These projects can be related to welfare and maintenance of a standard of living in an
economy.
Level of Technology :
Technology plays a significant role in managing projects. Projects can be sub-divided into
four categories on the basis of technology. These are as follows.
 Conventional Technology Projects –
These are the projects which use acquainted and known technology in the continuous
process. e.g. steel, cement, sugar, chemicals, and fertilizers, etc.
 Non-Conventional Technology –
Such kinds of projects apply if not the latest at least contemporary mode technology
e.g. projects using cranes i.e. a mechanical way of lifting.
 High-Tech Project –
Huge investments are made in technology in these types of projects, e.g., space
projects, nuclear power projects, etc.
 Low Investment Projects –
These types of projects demand low investment in technology e.g., cosmetics and
household utilities, etc.
Size and Scale of Operations :
On the basis of size and scale of operations, projects can be large scale, medium scale,
and small scale.
 Small Scale Projects –
These are the projects which can be completed within a time period of 1-2 years and
with investment below Rs. 5 crores.
 Medium Scale Projects –
These are the projects which can be completed within a time period of 2-5 years and
with investment between Rs. 5 to Rs. 10 crores.
 Large Scale Projects –
These are the projects which can be completed within a time period of 5-10 years and
with investment over and above Rs. 100 crores.
Ownership and Control :
Projects can be divided into 3 categories according to their governance.
 Public Sector Projects –
These are fully owned and controlled by the government e.g., generating power and
extracting minerals, etc.
 Private Sector Projects –
These are fully owned by individuals and companies e.g., newspapers and magazines,
etc.
 Joint Sector Projects –
These projects are run and controlled by both government and private individuals are
under this category.
Speed of Implementation :
According to the speed of implementation, projects can be normal, crash, and disaster
projects.
 Normal Projects –
In this category, an adequate time is allowed for implementation. It requires minimal
capital costs.
 Crash Projects –
In this category, additional capital is incurred to save time.
 Disaster Projects –
In this category, naturally capital cost will go up, but project time will get drastically
reduced. Failure of quality is accepted.
Purpose :
There is always a purpose for everything. So, the projects are classified according to
purpose as follows.
 Rehabilitation Projects –
These projects are undertaken by financially sound investing groups to service sick
units. It is very risk and success are very less in such projects.
 Balancing Projects –
These are undertaken to cope with changes in the supply side of economies of factors
of production, to eliminate the underutilization of the actual capacities, and enhance
efficiency and effectiveness.
 Maintenance Projects –
These projects involve overhauling the machinery, repairs, and patching up activities
at regular intervals.
 Modernization Projects –
Modernization of old plants is required to cope with the dynamic environment.
Others :
Some other types of projects are as follows.
1. Capacity Expansion Projects –
This involves enlarging the existing capacity of the products.
2. Employees Welfare Project –
The objective of such projects is to install infrastructural facilities for improving
working conditions and labor relations as well as to develop the skills of the st
Objectives of Project Management
Project management is crucial for guiding projects from inception to completion,
however, what are its primary objectives? Understanding those objectives is critical to
guaranteeing fruitful project results and optimizing organizational effectiveness.
What are Project Objectives?
Project objectives of Project Management outline what a project is meant to achieve and
are defined as clean, measurable, attainable, applicable, and time-bound goals. They
provide the project a distinct purpose and course, directing the team's selections and
actions all through the project's lifecycle. Typically, project objectives specify the
deliverables, success criteria, and intended results. They serve as a foundation for
planning, carrying out, overseeing, and evaluating the project and aid in the
understanding of its goal by stakeholders.
What are the Objectives of Project Management?
 Successfully Accomplishing All Project Goals: Making sure that all project
objectives, such as deliverables, deadlines, and quality standards, are fulfilled or
surpassed.
 Providing instructions and supervision for team members: Throughout the project
lifetime, team members should receive clear instructions, assistance, and advice to
ensure tasks are executed effectively and efficiently.
 Promoting Cooperation and Communication: To improve the efficacy and
efficiency of a project, team members, stakeholders, and other pertinent parties should
be encouraged to collaborate and maintain open lines of communication.
 Implementing all Safety Procedures and Protocols: Ensuring that all essential
safety measures are followed in order to safeguard the health and safety of project
participants and stakeholders.
 Optimizing Budge and Resources: Budget and resource optimization refers to the
effective management of project resources, such as funds, supplies, and labor, in order
to achieve project goals while maximizing value and reducing waste.
 Managing Changes and Risks: Actively detecting, evaluating, and controlling risks
at every stage of the project's lifetime in order to minimize dangers and take
 advantage of opportunities. In order to keep the project in line with its goals, it is also
important to manage changes to the project's scope, schedule, or resources
successfully.
 Ensuring Client Satisfaction: Throughout the project, giving the needs and
expectations of the client first priority, making sure that deliverables meet or surpass
the client's expectations; and aggressively requesting feedback to resolve any issues
and improve client satisfaction.
 Attaining Cost Efficiency: Keeping an eye fixed on and handling project charges to
ensure that spending remains inside economic limits whilst optimizing value.
 Continuous Improvement: Promoting a tradition of non-stop development via the
use of best practices, identity of lesson learnt from preceding projects, and learning
from them.
What are the types of Project Objectives?
 Time-based Objectives: These goals outline when certain project phases must be
finished. To reveal improvement and ensure the project remains on time, they
incorporate milestones and cut-off dates.
 Strategic Objectives: High-level objectives that complement the organization's broad
mission and vision are known as strategic objectives. They are often long-term in
nature and give the project direction and emphasis.
 Tactical Objectives: These goals concentrate on the project's short- to medium-term
objectives and are more precise than strategic goals. They help in directing daily
operations and decision-making and are frequently derived from strategic objectives.
 Cost Objectives: Cost objectives delineate the project's budget and resource
allocation strategy. They make sure that sources are spent correctly and that the
project is completed inside the allocated budget.
 Functional Objectives: These goals are related to the particular departments or
functions which can be a part of the project. They make sure that everybody is
operating toward the identical goals and delineate the jobs and obligations of various
team members.
Project Management Phases

Initiation: The project's goal, scope, objectives, and early feasibility evaluation are all
defined during the early phase. A project charter might also want to be created,
stakeholders must be identified, a initial threat assessment should be done, and approval
to move forward should be acquired.
 Planning: Detailed plans are created during this stage to direct the project's
implementation. This comprises determining the needs for the project, putting
together a work breakdown structure (WBS), making timelines, estimating the
resources needed, outlining roles and duties, and setting aside money. During this
stage, techniques for risk management are also devised.
 Execution: Members of the project team assign tasks, distribute resources, and carry
out their individual responsibilities. To keep the project moving forward throughout
this phase, team member's and stakeholder's cooperation and communication are
essential.
 Monitoring and Controlling: Throughout the path of the project, the plan, timeline,
finances, and excellent standards are used to gauge how well the work goes. Any
deviations or problems are found and fixed right away with corrective measures.
Monitoring performance indicators, holding frequent status meetings, handling
changes, and managing risks are all part of this phase.
 Closing: The project is officially closed out once all deliverables have been finished
and authorized. This entails getting the client's or stakeholder's final approval,
recording lessons learned, allocating project resources, and preserving project records.
 Management Principles
 Software project management involves a set of principles that guide the planning,
execution, monitoring, and completion of software projects. These principles help
ensure that projects are completed successfully, on time, and within budget. Here are
some key management principles in software project management:

 1. **Define Clear Objectives**: Clearly define the project's objectives, scope,

deliverables, and success criteria. This helps in setting realistic expectations and
measuring progress throughout the project lifecycle.
 2. **Effective Communication**: Communication is key in any project. Ensure that
all stakeholders are kept informed of project progress, changes, and risks. Use various
communication channels such as meetings, emails, and project management tools.
 3. **Risk Management**: Identify potential risks early in the project and develop
strategies to mitigate them. Regularly review and update the risk management plan to
address new risks that may arise during the project.
 4. **Agile Methodologies**: Agile methodologies, such as Scrum or Kanban,
promote iterative and incremental development. This allows for flexibility in
responding to changing requirements and ensures that the project stays on track.
 5. **Resource Management**: Allocate resources effectively based on project
requirements and constraints. This includes human resources, budget, and equipment.
Ensure that resources are utilized efficiently throughout the project.
 6. **Quality Assurance**: Implement quality assurance processes to ensure that the
software meets the specified requirements and standards. This includes testing, code
reviews, and quality audits.
 7. **Change Management**: Have a process in place to manage changes to the
project scope, requirements, or schedule. Ensure that changes are documented,
reviewed, and approved by relevant stakeholders before implementation.
 8. **Continuous Improvement**: Encourage a culture of continuous improvement
within the project team. Regularly review project performance, processes, and
outcomes to identify areas for improvement.
 9. **Stakeholder Management**: Identify and engage with key stakeholders
throughout the project. Understand their expectations and concerns, and ensure that
their needs are addressed to achieve project success.
 10. **Project Closure**: Properly close the project by ensuring that all deliverables
are completed, stakeholders are satisfied, and lessons learned are documented for
future projects.

What is Monitoring and Control in Project Management?

Monitoring and control is one of the key processes in any project management which has
great significance in making sure that business goals are achieved successfully. We are
seeing All points and Subpoints in a Detailed way:
These processes enable the ability to supervise, make informed decisions, and adjust in
response to changes during the project life cycle are critical.
What is Monitoring Phase in Project Management?
Monitoring in project management is the systematic process of observing, measuring, and
evaluating activities, resources, and progress to verify that a given asset has been
developed according to the terms set out. It is intended to deliver instant insights, detect
deviations from the plan, and allow quick decision-making.
Purpose
1. Track Progress: Monitor the actual implementation of the project along with
indicators such as designs, timelines budgets, and standards.
2. Identify Risks and Issues: Identify other risks and possible issues in the early stage
to create immediate intervention measures as well as resolutions.
3. Ensure Resource Efficiency: Monitor how resources are being distributed and used
to improve efficiency while avoiding resource shortages.
4. Facilitate Decision-Making: Supply project managers and stakeholders with reliable
and timely information for informed
5. Enhance Communication: Encourage honest team communication and stakeholder
engagement related to project status, challenges
Key Activities
1. Performance Measurement: Identify and monitor critical performance indicators
(KPIs) to compare the progress of a project against defined targets.
2. Progress Tracking: Update schedules and timelines for the project on a regular basis,
and compare actual work with planned milestones to detect any delays or deviations.
3. Risk Identification and Assessment: Monitor actual risks, including their probability
and consequences. Find new risks and assess the performance of current risk
mitigation mechanisms.
4. Issue Identification and Resolution: Point out problems discovered in the process of
project implementation, evaluate their scale and introduce corrective measures
immediately.
5. Resource Monitoring: Track how resources are distributed and used, to ensure there
is adequate equipment as well as support by the team members in meeting their
objectives.
6. Quality Assurance: Monitor compliance with quality standards and processes,
reporting deviations to take actions necessary for restoring the targeted level of
quality.
7. Communication and Reporting: Disseminate project status updates, milestones
reached and important findings to the stakeholders on a regular basis.
8. Change Control: Review and evaluate project scope, schedule or budget changes.
Adopt structured change control processes to define, justify and approve changes.
9. Documentation Management: Make sure that project documentation is accurate,
current and readily available for ready reference. This involves project plans, reports
and other documents related to a particular project.
Tools and Technologies for Monitoring
1. Project Management Software: Tools such as Microsoft Project, Jira, and Trello
offer features in terms of scheduling monitoring resources for task execution.
2. Performance Monitoring Tools: The solutions that New Relic, AppDynamics and
Dynatrace provide cater to monitoring of application performances as well as
infrastructure performance besides user experience.
3. Network Monitoring Tools: The three tools namely SolarWinds Network
Performance Monitor, Wireshark and PRTG Network monitor help in monitoring and
analyzing the network performance.
4. Server and Infrastructure Monitoring Tools: The mentioned monitoring tools,
namely Nagios prometheus and Zabbix monitor servers systems and IT infrastructure
for performance availability.
5. Log Management Tools: Log analysis and visualization are performed using ELK
Stack (Elasticsearch, Logstash, Kibana), Splunk, and Graylog.
6. Cloud Monitoring Tools: Amazon CloudWatch, Google Cloud Operations Suite, and
Azure Monitor provide monitoring solutions for cloud-based services and resources.
7. Security Monitoring Tools: Security Information and Event Management tools like
Splunk, IBM QRadar or ArcSight provide support to the process of monitoring
security events and incidents.
Project Portfolio Management (PPM) : A complete Guide
Project Portfolio Management (PPM) is about overseeing all the projects a company has
going on. It's like organizing a bunch of different tasks to reach a big goal. PPM helps
decide which tasks are most important, how to manage them well, and when to make
changes to keep everything running smoothly.
It's all about making smart choices to use time, money, and resources wisely to achieve
success.
What is a Project Portfolio
A project portfolio is a collection of all the projects a company is doing. It's like having a
list of different tasks or jobs that need to be done. Each project in the portfolio is like a
piece of the bigger picture, helping the company reach its goals. Just like a mix of
different investments in a portfolio, there are different projects in a project portfolio, each
at various stages. These projects can be anything from making new products to improving
how things work or promoting products. The goal is to have a balanced portfolio with
different kinds of projects, each important in its way. By managing the portfolio well, a
company can make sure it's spending its time and money wisely and moving closer to its
big goals.
What is Project Portfolio Management? (PPM)
Project Portfolio Management (PPM) is like being a team manager where each member
has their tasks to do. It's about overseeing and controlling all the projects a company is
working on. PPM means deciding which projects are most important and how to divide
up resources like time and money among them. It's about steering everything in the right
direction to reach the company's goals and making sure things stay on track. PPM also
involves keeping an eye on progress, spotting and dealing with any problems, and making
changes when necessary. By doing PPM well, a company can make sure its projects fit
with its overall plans and that it's getting the best results.
Project Portfolio Management vs Project Management

Project Portfolio
Aspect Management Project Management

Project Portfolio
Project Management focuses
Management looks at all
on handling one project at a
the projects together as a
time.
Focus whole to manage them.

Scope Project Portfolio Project Management deals

 Project Portfolio
Aspect Management Project Management

Management considers the

with the specific details of
overall picture of all
each project.
projects in the portfolio.

In Project Portfolio
In Project Management,
Management, decisions are
decisions are made about how
made about which projects
to carry out and finish a
Decision to prioritize based on
particular project.
Making strategic goals.

Project Portfolio
Project Management allocates
Management allocates
resources within a single
resources like money and
project to meet its specific
Resource people across all projects to
needs.
Allocation meet overall objectives.

Project Portfolio
Management handles risks Project Management manages
across all projects, risks within the context of one
Risk considering how they affect project.
Management the whole portfolio.

Project Portfolio
Management keeps track of Project Management monitors
the overall performance and the performance and progress
Performance progress of all projects in of each project.
Monitoring the portfolio.

Project Portfolio Management Process

Project Portfolio Management (PPM) is all about managing a bunch of different projects
in a structured way.
1. Define Business Objectives
This step involves understanding the strategic goals and objectives of the organization. It
includes identifying key performance indicators (KPIs), market trends, competitive
landscape, and stakeholder expectations. The aim is to align project initiatives with the
overarching business strategy to ensure that every project contributes to the organization's
success.
Example: If the business objective is to increase market share, PPM would prioritize
projects that focus on product development, marketing campaigns, or market expansion
strategies.
2. Collect Project Ideas for Your Portfolio
In this phase, project ideas are gathered from various sources such as stakeholders,
employees, customers, market research, and industry trends. Idea generation techniques
like brainstorming sessions, surveys, and feedback mechanisms are used to capture a
diverse range of project proposals. Each project idea is evaluated based on its potential to
contribute to the business objectives, feasibility, resource requirements, risks, and
expected benefits.
Example: Project ideas may include launching a new product line, improving customer
service processes, implementing a digital transformation initiative, or expanding into new
markets.
3. Select the Best Project for Your Portfolio
Once project ideas are collected, they undergo a selection process to determine which
projects should be included in the portfolio. Criteria for project selection may include
strategic alignment, ROI potential, resource availability, risk assessment, market demand,
and technological feasibility. Projects that align closely with business objectives, offer
high ROI, and fit within resource constraints are prioritized for inclusion in the portfolio.
Example: A project to implement a customer relationship management (CRM) system
may be selected due to its potential to improve customer satisfaction, streamline
processes, and increase sales efficiency.
4. Validate Project Portfolio Feasibility
Before finalizing the project portfolio, each selected project undergoes a feasibility
analysis to assess its technical, financial, and organizational viability. Technical feasibility
evaluates whether the project can be successfully implemented given the available
technology and expertise. Financial feasibility assesses the project's cost estimates,
potential revenue or cost savings, and ROI projections. Organizational feasibility
considers factors such as alignment with organizational culture, resource availability,
skills gaps, and change management requirements.
Example: The CRM system project undergoes feasibility analysis to ensure it can be
implemented within budget, meets technical requirements, and aligns with the
organization's capabilities.
5. Execute and Manage Your Project Portfolio
Once the project portfolio is finalized and approved, the projects are executed according
to their respective plans and timelines. Project portfolio management involves monitoring
and controlling each project's progress, managing resources, mitigating risks, and
ensuring alignment with business objectives. Regular performance evaluations, status
reports, and stakeholder communications are essential for effective portfolio management.
Example: The CRM system project is executed with regular progress updates, milestone
reviews, and feedback loops to ensure it meets expectations and delivers the intended
benefits.
Cost-benefit analysis in project management
A cost-benefit analysis in project management is a tool to evaluate the costs vs. benefits
of an important project or business proposal. It is a practical, data-driven approach for
guiding organizations and managers in making solid investment decisions. It helps
determine if a project or investment is financially feasible and beneficial for the
organization.
A formal CBA identifies and quantifies all project costs and benefits, then calculates the
expected return on investment (ROI), internal rate of return (IRR), net present
value (NPV), and payback period. The difference between the costs and the benefits of
moving forward with the project is then calculated.
In a CBA, costs may include the following:
 Direct costs: These are costs that are directly related to the proposed project or
investment, e.g., materials, labor, and equipment.
 Indirect costs: These are related fixed costs that contribute to bringing the project or
investment to life, e.g., overhead, administrative, or training expenses.
 Opportunity costs: These are the benefits or opportunities foregone when a business
chooses one project or opportunity over others. To quantify opportunity costs, you
must weigh the potential benefits of the available alternatives.
 Future costs: These are costs that may come up later in the project. These costs
depend on certain factors happening, e.g., costs of mitigating potential risks.
Cost-benefit analysis facilitates a structured cost management process, helping project
managers and company executives prioritize projects and allocate resources effectively to
achieve the organization’s main goals.
Benefits may include:
 Tangible benefits: These are measurable outcomes that can be easily quantified in
monetary terms, e.g., increased revenue or reduced costs.
 Intangible benefits: These benefits are difficult to measure in monetary terms. They
are indirect or qualitative outcomes, such as improved customer satisfaction or
increased employee morale.
Although intangible benefits may be difficult to quantify in financial terms, it is necessary
to factor them in when conducting a CBA, as they still have a significant impact on the
overall value of a project.
What is Risk Management?
Risk Management is a systematic process of recognizing, evaluating, and handling threats
or risks that have an effect on the finances, capital, and overall operations of an
organization. These risks can come from different areas, such as financial instability, legal
issues, errors in strategic planning, accidents, and natural disasters.
The main goal of risk management is to predict possible risks and find solutions to deal
with them successfully.
Why is risk management important?
Risk management is important because it helps organizations to prepare for unexpected
circumstances that can vary from small issues to major crises. By actively understanding,
evaluating, and planning for potential risks, organizations can protect their financial
health, continued operation, and overall survival.
Let’s Understand why risk management important with an example.
Suppose In a software development project, one of the key developers unexpectedly falls
ill and is unable to contribute to the product for an extended period.
One of the solution that organization may have , The team uses collaborative tools and
procedures, such as shared work boards or project management software, to make sure
that each member of the team is aware of all tasks and responsibilities, including those of
their teammates.
An organization must focus on providing resources to minimize the negative effects of
possible events and maximize positive results in order to reduce risk effectively.
Organizations can more effectively identify, assess, and mitigate major risks by
implementing a consistent, systematic, and integrated approach to risk management.
The risk management process
Risk management is a sequence of steps that help a software team to understand, analyze,
and manage uncertainty. Risk management process consists of
 Risks Identification.
 Risk Assessment.
 Risks Planning.
 Risk Monitoring
Risk Management Process
Risk Identification
Risk identification refers to the systematic process of recognizing and evaluating potential
threats or hazards that could negatively impact an organization, its operations, or its
workforce. This involves identifying various types of risks, ranging from IT security
threats like viruses and phishing attacks to unforeseen events such as equipment failures
and extreme weather conditions.
Risk analysis
Risk analysis is the process of evaluating and understanding the potential impact and
likelihood of identified risks on an organization. It helps determine how serious a risk is
and how to best manage or mitigate it. Risk Analysis involves evaluating each risk’s
probability and potential consequences to prioritize and manage them effectively.
Risk Planning
Risk planning involves developing strategies and actions to manage and mitigate
identified risks effectively. It outlines how to respond to potential risks, including
prevention, mitigation, and contingency measures, to protect the organization’s objectives
and assets.
Risk Monitoring
Risk monitoring involves continuously tracking and overseeing identified risks to assess
their status, changes, and effectiveness of mitigation strategies. It ensures that risks are
regularly reviewed and managed to maintain alignment with organizational objectives and
adapt to new developments or challenges.
Understanding Risks in Software Projects
A computer code project may be laid low with an outsized sort of risk. To be ready to
consistently establish the necessary risks that could affect a computer code project, it’s
necessary to group risks into completely different categories. The project manager will
then examine the risks from every category square measure relevant to the project.
There are mainly 3 classes of risks that may affect a computer code project:
 1. Project Risks:
Project risks concern various sorts of monetary funds, schedules, personnel, resources,
and customer-related issues. A vital project risk is schedule slippage. Since computer
code is intangible, it’s tough to observe and manage a computer code project. It’s
tough to manage one thing that can not be seen. For any producing project, like
producing cars, the project manager will see the merchandise taking form.
For example, see that the engine is fitted, at the moment the area of the door unit is fitted,
the automotive is being painted, etc. so he will simply assess the progress of the work and
manage it. The physical property of the merchandise being developed is a vital reason
why several computer codes come to suffer from the danger of schedule slippage.
2. Technical Risks:
Technical risks concern potential style, implementation, interfacing, testing, and
maintenance issues. Technical risks conjointly embody ambiguous specifications,
incomplete specifications, dynamic specifications, technical uncertainty, and technical
degeneration. Most technical risks occur thanks to the event team’s lean information
concerning the project.

3. Business Risks:
This type of risk embodies the risks of building a superb product that nobody needs,
losing monetary funds or personal commitments, etc.
Classification of Risk in a project
Example: Let us consider a satellite-based mobile communication project. The project
manager can identify many risks in this project. Let us classify them appropriately.
 What if the project cost escalates and overshoots what was estimated? – Project Risk
 What if the mobile phones that are developed become too bulky to conveniently
carry? Business Risk
 What if call hand-off between satellites becomes too difficult to
implement? Technical Risk
Risk management standards and frameworks
Risk management standards and frameworks give organizations guidelines on how to find,
evaluate, and handle risks effectively. They provide a structured way to manage risks, making
sure that everyone follows consistent and reliable practices. Here are some well-known risk
management standards and frameworks:
1. COSO ERM Framework:
COSO ERM Framework was introduce in 2004 and updated in 2017. Its main purpose
is to addresses the growing complexity of Enterprise Risk Management (ERM).
 Key Features:
 o 20 principles grouped into five components: Governance and culture, Strategy
and objective-setting, Performance, Review and revision, Information,
communication, and reporting.
o It promote integrating risk into business strategies and operations.
2. ISO 31000:
ISO 31000 was introduce in 2009, revised in 2018. It provides principles and a framework for
ERM.
 Key Features:
o It offers guidance on applying risk management to operations.
o It focuses on identifying, evaluating, and mitigating risks.
o It promote senior management’s role and integrating risk management across
the organization.
3. BS 31100:
This framework is British Standard for Risk Management and latest version issued in 2001. It
offers a structured approach to applying the principles outlined in ISO 31000:2018, covering
tasks like identifying, evaluating, and addressing risks, followed by reporting and reviewing
risk management efforts.
Benefits of risk management
Here are some benefits of risk management:
 Helps protect against potential losses.
 Improves decision-making by considering risks.
 Reduces unexpected expenses.
 Ensures adherence to laws and regulations.
 Builds resilience against unexpected challenges.
 Safeguards company reputation.
Limitation of Risk Management
Here are Some Limitation of Risk Management
 Too much focus on risk can lead to missed opportunities.
 Implementing risk management can be expensive.
 Risk models can be overly complex and hard to understand.
 Having risk controls might make people feel too safe.
 Relies on accurate human judgment and can be prone to mistakes.
 Some risks are hard to predict or quantify.
  Managing risks can take a lot of time and resources.

 What is Strategic Project Management?

 Having a strategy for a project gives your teams and stakeholders a clear picture of
what deliverables to expect and by when. No matter how small, projects executed
without a strategy can lead to delays, overspending, and poor quality. So, what
exactly is SPM?
 Strategic Project Management shows you the bigger picture of how certain types of
projects will affect the company’s efficiency and your business as a whole. It’s based
on a belief that modern projects can be fulfilled better when considering all aspects of
project management instead of just the three vitals-budget, scope, and time. This can
be achieved by combining project management methodologies with different
frameworks to achieve organizational objectives. The main purpose of SPM is to
ensure that projects are completed successfully and each project is aligned with your
company’s goals.

 How to Implement Strategic Project Management?

 There’s no major change in your current management approach. You just need to look
at your management processes through a strategic lens. You will still follow the
traditional methodologies and frameworks, but it has a broader scope and is focused
on aligning your strategy with your business goals.

Tips for Implementing the Strategic Project Management (SPM)

 Build a system to execute strategic planning
 Identify the resources you need and arrange everything in advance to avoid delays.
 Monitor if your project is achieving the organizational goals, budget, quality
standards, regulatory compliance, and delivery targets.
 Conduct regular meetings with your stakeholders and clients to see if your project
management processes contribute to the company’s goals and how exactly these
processes benefit your business.
Step wise project planning
 What Is a Project Plan?
 Planning is an important process in project management that requires the objectives,
scope, schedule, and budget among other things to be clearly outlined. Planning
entails establishing a path for the project team that will direct them through every
stage of their life expectancy to get past together efficiently and effectively down the
derived objectives of this venture.
 It involves creating a comprehensive roadmap that guides the team throughout
the project lifecycle, from initiation to completion.
 Effective planning sets the foundation for successful project execution by ensuring
clarity, alignment with objectives, and efficient resource utilization.
 Key Components of Project Planning
 Here are the following key components of Project Planning:
 Scope Definition: Clearly articulate project goals, deliverables, and constraints with
acceptance criteria to prevent scope creep.
 Time Planning (Scheduling): Develop a timeline outlining activity sequences, task
dependencies, and estimated durations, often represented using Gantt charts.
 Resource Planning: Identify and allocate human resources, equipment, and other
necessary resources for efficient project implementation.
 Cost Estimation and Budgeting: Estimate costs for each project activity and create a
budget to control and manage expenses effectively.
 Risk Management: Identify potential project risks and develop response or
mitigation plans to ensure successful project outcomes.
 Communication Planning: Determine communication methods, frequencies,
formats, and channels both within the project team and with stakeholders.
 Quality Planning: Establish a clear understanding of quality requirements and
implement procedures to ensure project deliverables meet specified standards.
 Procurement Planning: Identify external goods and services required for the project,
and map out the procurement process.
 Stakeholder Management: Identify stakeholders, understand their needs and
expectations, and develop engagement strategies for effective communication.
 Monitoring and Control Planning: Establish mechanisms for tracking project
progress, and performance, and implement corrective actions if necessary to stay on
course.