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PrinciplesofProj ect Management ProjectSkills By Saad Ali BS(Hons) Commerce Virtual University of Pakistan Gujranwala

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PrinciplesofProjectManagement

ProjectSkills

By Saad Ali

BS(Hons) Commerce

Virtual University of Pakistan

Gujranwala

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PRINCIPLESOFPROJECTMANAGEMENT

TableofContents

Preface

2VisitOurWebsite

3Introduction

4ProjectManagementPrinciples

5ProjectManagementDeinition

7ProjectManagementPerspectives

12ProjectOrganization&Structure

15Projectsina Matrix-ManagementEnvironment

19ProjectStakeholderDeinition

23ProjectSponsor&ProjectManagerDeinitions

27ProjectLifeCycleDeinition

32FunctionalAreasofProjectManagement

36Summary

40OtherFreeResources

41References 42

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PRINCIPLESOFPROJECTMANAGEMENT

PrefaceOrganizationsareincreasinglyusingprojectmanagementtechniqueswithintheiroperationsandthespecialistlanguageofprojectmanagementhasbecomemoreandmorecommonplaceinmanagerialandexecutivemeetings.Thistrendisheretostayanditmeansthatmanagersneedtobefamiliarwithprojectmanagementroles,termsandprocesses.

Youwilllearn:

● Howprojectsaredeinedandwhytheydifferfrombusinessprocesses

● Howthestructureofanorganizationimpactsprojectmanagement

● Howprojectmanagementrolesandresponsibilitiesaredeined

● Howallprojectscanbemappedtothesamebasiclifecyclestructure

● Howprojectmanagementcanbeorganizedintofunctionalareas

2

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PRINCIPLESOFPROJECTMANAGEMENT

3

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PRINCIPLESOFPROJECTMANAGEMENT

IntroductionTheimpactoftechnologyanditsinluenceonorganizationalprocessesisanessentialaspectofanygrowths tr ategy. Itishardtoindanydevelopmentorproceduralchangethatdoesnothaveaninformationtechnologyaspectandinmanycasesitisactuallythechangesinavailabletechnologythatdrivetheneedtochangeorganizationalprocesses.

ThishasledtoamergingofITworkingpracticesintothatofgeneralmanagementincludingtheuseofprojectmanagement.

• InformationTechnology(IT)nowplaysasignificantrolein

StrategicGrowth

ITProcesses

• ITspecialisttermsintegratewith managementvocabulary

• themost significantmethodologyis

ProjectManagement

Managersnowindthattheyarefrequentlyinvolvedinprojectsthatarebeingmanagedusingaformalizedprojectmanagementmethodology.Communicationsformsakeypartofsuchprojectsandifyouaregoingtobesuccessfulinyourroleasamanageritisessentialthatyouhaveathoroughunderstandingofprojectmanagementterminology,processes,andprocedures.

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PMBOK Agile SixSigma

PRINCIPLESOFPROJECTMANAGEMENT

ProjectManagementPrinciplesTherearevariouswaysinwhichprojectscanbeapproachedandahostof‘methodologies,’‘frameworks,’and‘processes’havebeendevelopedoverthepast60yearsorso.Someofthesehavetheiroriginsinacademicresearchwhereasothershavegrownoutofproprietarymethodsdevelopedbyorganizationsthatarehighlyprojectfocused,forexamplemanagementconsultancies.

Key ProjectManagement Methodologies

PRINCE2 COBIT CriticalChain

Eachoftheseapproacheshasitsownwayoflookingatprojectsanditsownterminologyforthedocumentsandprocessesthatmakeupprojectmanagement.Therehasbeensomerationalizationinrecentyearsbuttherearestilladozenwidelyusedmethods.TheonesyouaremostlikelytoencounterarePMBOK®,PRINCE2,CriticalChain,andAgile.

PMBOK®isshortforProjectManagementBodyofKnowledge,whichdescribesprojectmanagementpracticesthatarecommonto‘mostprojects,mostofthetime.’ThePMBOK®ispublishedbytheProjectManagementInstitute(PMI),whichwasformedintheUSAin1969.ThePMIalsooffersvariouslevelsofcertiicationandthePMBOK®iswidelyusedandrespected.

PRINCE2isaprocess-basedapproachforprojectmanagement,providinganeasilytailoredandscalablemethodologyforthemanagementofalltypesofprojects.ThemethodisthestandardforpublicsectorprojectsintheUKandispracticedworldwide.TheacronymstandsforProjectsinaControlledEnvironmentandthisisaprojectmanagementprogramthatsharesmoreofthefunctionalandinancialauthoritywithseniormanagement,notjusttheprojectmanager.

TheCriticalChainmethodisnotfundamentallydifferentfromthecurrentmainstreamapproachesbutitdiffersinthewaythatithandlesriskandcontingency.Developedin

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PRINCIPLESOFPROJECTMANAGEMENT

1997itisamethodofplanningandmanagingprojectexecutiondesignedtodealwithuncertaintiesinherentinmanagingprojects,whiletakingintoconsiderationthelimitedavailabilityofresources.

TheAgileapproachusesaniterativemethodofdeterminingrequirementsforengineeringandsoftwaredevelopmentprojectsinahighlylexibleandinteractivemanner.Itismostoftenusedinsmall-scaleprojectsorincaseswheretheinaldeliverablesaretoocomplexforthecustomertounderstandandspecifybeforetestingprototypes.

TheprojectmanagementeBooksonthiswebsiteareforanyonewhowantstoindoutmoreaboutastructuredapproachtoprojectmanagement.Somuchworkisnowrunasprojectsandsofewpeoplehavethenecessaryskillstomanagethemproperlythatthereisahugedemandforgoodprojectmanagersandthatdemandisincreasingallthetime.

Insummary,organizationsareincreasinglyusingprojectmanagementtechniqueswithintheiroperationsandthespecialistlanguageofprojectmanagementhasbecomemoreandmorecommonplaceinmanagerialandexecutivemeetings.Thistrendisheretostayanditmeansthatmanagersneedtobefamiliarwithprojectmanagementroles,termsandprocesses.

OurfreeProjectManagementPrincipleseBookwillhelpyoutounderstandtheprinciplesofprojectmanagement.

4Managersnowindthattheyarefrequentlyinvolvedinprojectsthatarebeingmanagedusingaformalizedprojectmanagementmethodology.

4Eachoftheseapproacheshasitsownwayoflookingatprojectsanditsownterminologyforthedocumentsandprocessesthatmakeupprojectmanagement.

4 The projectmanagementeBooksonthiswebsitewillbehelpfulifyou arerelativelynewtothesubject.

KEyPOINtS

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PRINCIPLESOFPROJECTMANAGEMENT

ProjectManagementDefinitionBeforeconcerningourselveswiththedetailsofprojectmanagementdocumentsandprocesses,itisagoodideatotakeastepbackandthinkaboutwhatmakessomethingaprojectandwhyitneedstobemanageddifferentlyfromtheday-to-dayworkoftheorganization.Inotherwords,

‘Whydoweneedprojectmanagement?’

Therearemanydifferentdeinitionsofwhatconstitutesaproject:

ProjectManagementInstitute—‘Aprojectisatemporaryendeavorundertakentocreateauniqueproduct,serviceorresult.’

PRINCE2—‘AProjectisatemporaryorganizationthatiscreatedforthepurposeofdeliveringoneormorebusinessproductsaccordingtoanagreedBusinessCase.’

AssociationforProjectManagement(APM)—‘Anendeavorinwhichhumanmaterialandinancialresourcesareorganizedinanovelwaytodeliverauniquescopeofworkofgivenspeciicationoftenwithinconstraintsofcostandtimetoachievebeneicialchangesdeinedbyquantitativeandqualitativeobjectives.’

H.Kerzner—‘Projectmanagementistheplanning,organizing,directingandcontrollingofcompanyresourcesforarelativelyshort-termobjectivethathasbeenestablishedtocompletespeciicgoalsandobjectives.Furthermore,projectmanagement utilizesthesystemsapproachtomanagementbyhavingfunctionalpersonnel(theverticalhierarchy)assignedtoaspeciicproject(the horizontal hierarchy)’(2009).

Manyorganizationsalsohavetheirowndeinitionofwhatconstitutesaproject.Whicheverdeinitionyoupreferdoesnotreallymatter;theimportantthingistobeabletoidentifyworkthatc

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onstitutesaprojectsothatitcanbeproperlymanaged.

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PROJECT:occursoncewithhighdegreeofrisk&uncertainty

Constituteallactivitieswithinanorganization

PRINCIPLESOFPROJECTMANAGEMENT

Adefinitestart&en

dpoint

ProjectCharacteristics

Oncetheendpointisreachedtheprojectisover

Itisattemptingtoachievesomething

new

Projectshavesomeorallofthefollowingcharacteristics:

● Theyhaveadeinitestartandendpoint

● Oncetheendpointisreachedtheprojectisover

● Theyareattemptingtoachievesomethingnew

Projectscanvaryinsizeandsmallprojectscanbeplannedandmanagedbythesamepersonwhereaslargerprojectsmayemploythousandsofpeopleworkingonmanysitesandrequireadedicatedgroupinordertomanageandcoordinatetheactivities.

Everythingthatanorganizationdoescanbecategorizedeitherasaprojectorprocess.Aprocessissomethingthathappenscontinuallyandhasalowriskassociatedwithit,whereasaprojecthappensonceandhasarelativelyhighlevelofrisk.

Toillustratethis,imagineanorganizationthathasanannualstaff appraisal processinwhichmanagersmakeawrittenassessmentoftheirstaffagainstcriteriaspeciiedbytheHRdepartment.Thisisaprocessbecauseevenifthecriteriachangefromyeartoyeartheprocedureundertakenbyeveryoneinvolvedremainsmoreorlessthesame.

PROCESS:lowriskactivitythathappenscont

inually

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IftheorganizationdecidedtointroduceanITsystemtofacilitatethisprocessthentheselection,implementation,andtestingofthenewsystemwouldrepresentaprojectbecauseitwouldbeaone-offactivitywhichcarriestheriskofexceedingthebudgetortimescaleallocatedtoit.

Itisperfectlylogicalfordifferentorganizationstoseethesameactivityinadifferentway.Forexample,thesupplierofthecomputersystemmayseethisactivityasaprocessbecauseitissomethingthatitdoeseverytimeitsellsasystem.Eachtimeitdoesso,itgainsmoreexperience,whichallowsittoplanandexecutefutureinstallationsbasedonwhatithaslearnedpreviously.

Thisdistinctionisimportantbecauseprojectmanagementisusedwherethereisahighdegreeofuncertaintyandriskbecausethereisnoexperienceofperformingtheactivity.

Sointhisscenario,

Theo

rganizationbuyingthesystemwouldtreatitasaproject.Thevendorw

ouldtreatitaspartofaprocess.

Thevendorwouldseeitasaprocessthatcouldbereinedwitheachiterationinordertoreducecostsandincreasethequality . Thedistinctionbetweenprojectsandprocessesdependsonwhethertheorganizationrepeatsanactivityoftenenoughforittobecomeroutine.Onceanactivityisrepeatedoftenenoughwithinanorganizationtobecomeroutineitisnolongerconsideredaproject—itbecomesoneoftheirmanymanagementprocesses.

Projectscanbebroadlyclassiiedintoengineeringprojectsandmanagementprojects.Engineeringprojectsencompasscivil,electrical,andmechanicalengineeringandtheinaldeliverablesarephysicalobjects,forexampleabuilding,reservoir,bridge,reinery,orpre-productionsample.Specialistcompaniesorconsortiainvariablyundertakethesetypesofproject.

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ManagementProjects

Intangibleitems

Officemove

NewITsystem

Marketingcampaign

PRINCIPLESOFPROJECTMANAGEMENT

EngineeringProjects

Physicalitems

Building,bridge

Refinery

Pre-productionsample

Managementprojectsincludethingslike:restructuringtheorganization,preparingforanexhibition,developinganITsystem,launchinganewmarketingcampaign,movingofices,orindeedanythingwheretheobjectiveistoproduceanendresultthatisnotidentiiableasaphysicalitem.TogainagreaterunderstandingofthedifferentfunctionswithinthesetypeofprojectslookattherangeoffreePDF P r oject Manag ementeBooks onthiswebsite.

Abroadrangeoforganizationsperform projectsofthistype,including:commercialcompanies,governmentdepartments,charitiesandNGOs(NonGovernmentalOrganizations),andothernot-for-proitorganizations.Thedifferencesbetweenthesetypesofprojectare:

UseofSpecialistStaff

Engineeringprojectsalmostalwaysrepresenttheday-to-dayworkoftheorganization.Forexample,aconstructioncompanywillemploypeoplewhospecializeinbuildingoficeblocks,publicbuildings,houses,orroads.

Similarly,amanufacturingcompanywillhavedesignengineerstotakeaproductfromconception,throughthedesignprocessandprototypingbeforetheworkishandedovertoproductionengineerswhowillthenberesponsibleformassproduction.

Thisisquitedifferentfromamanagementprojectwherepeoplewhodon’tusuallyrunprojectsmayindthemselvesdoingmuchthework.

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EnvironmentalIssues

Thechallengesofengineeringprojectsareoftenphysicalinnature. Forexample,aconstructionprojectmaybeheldupbybadweather,thediscoveryofarchaeologicalremains,orotherunforeseenenvironmentalproblems.

Managementprojectsontheotherhandusuallytakeplaceontheorganization’sownpremisesandarenotsubjecttothesesortsofissues.

SpeciicationofFinalDeliverable

Inthecaseofengineeringprojectstheinaldeliverableisusuallyspeciiedindetailatthebeginningoftheprojectbecauseitwillneedtocomplywithexistingstandardsorlegislation.Ifthedeliverableisamechanicalorelectronicpartthenitwillneedtoitwiththerestoftheinishedproduct.

Thisisnotusuallythecasewithmanagementprojectswheretheexactformoftheinaldeliverablemaynotbecomeclearuntilsomeoftheworkoftheprojecthasbeendone.Itmayalsoalterastheprojectdevelops,orinresponsetomarketresearchorotherdevelopments.

Generallyspeaking,engineering projects andmanagement projectsare quite differentthingsandourprojectmanagementeBooksareaimedatmanagersundertakingmanagementprojectsratherthanengineeringprojects.

4Everythingthatanorganizationdoescanbecategorizedeitherasaprojectorprocess.

4Aprocessissomethingthathappenscontinuallyandhasalowriskassociatedwithit.

4Aprojecthappensonceandhasarelativelyhighlevelofrisk.

4Projectsareattemptingtoachievesomethingnew,theyhaveadeinitestartandendpoint,andoncetheendpointisreachedtheprojectisover.

4Engineeringprojectsencompasscivil,electrical,andmechanicalengineeringandtheinaldeliverablesarephysicalobjects,forexampleabuilding,reservoir,bridge,reinery,orpre-productionsample.

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Time

Quality Scope Cost

PRINCIPLESOFPROJECTMANAGEMENT

4Managementprojectsincludethingslike:restructuringtheorganization,preparingforanexhibition,developinganITsystem,launchinganewmarketingcampaign,movingofices,orindeedanythingwheretheobjectiveistoproduceanendresultthatisnotidentiiableasaphysicalitem.

ProjectManagementPerspectivesProjectmanagementisthedisciplineofplanning,organizing,motivating,andcontrollingresourcestoachievespeciicgoals.Aprojectisatemporaryendeavordesignedtoproduceauniqueproduct,serviceorresultwithadeinedbeginningandend(usuallytime-constrained,andoftenconstrainedbyfundingordeliverables),undertakentomeetuniquegoalsandobjectives,typicallytobringaboutbeneicialchangeoraddedvalue.

Theprimarychallengeofprojectmanagementistoachievealloftheprojectgoalsandobjectiveswhilehonoringtheconstraintsonscope,time,qualityandcost.Projectsneedtobemanagedtomeettheirobjectives,whicharedeinedintermsofexpectationsoftime,cost,andquality.

Forexample,P r ojectScope :Tomovetheorganization’sheadoficetoanotherlocation.Itsrequirementsare:

Time:CompletebyMarch2017

Quality:Minimizedisruptiontoproductivity

Cost:Notspendmorethan$125,000

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Thescopeoftheprojectisdeinedas:‘thetotalityoftheoutputs,outcomes,andbeneitsandtheworkrequiredtoproducethem’.

Thiscanchangeovertime,anditistheprojectmanager’sresponsibilitytoensuretheprojectwillstilldeliveritsdeinedbeneits.Consequently,aprojectmanagermustmaintainfocusontherelativeprioritiesoftime,cost,andqualitywithreferencetothescopeoftheproject.

TheProjectManagementInstitute(PMI)deinesprojectmanagementinthefollowingway:

‘Projectmanagementistheapplicationofknowledge,skills,toolsandtechniquestomeetprojectrequirements.’

Thisdeinitionbegsthequestion‘Exactlywhatknowledge,skills,tools,andtechniqueswillIneedtosuccessfullymanageaproject?’Inordertoanswerthisquestion,itishelpfultolookatprojectmanagementfromthreedifferentperspectives.

1. Howtheprojectitsintotheorganization–Thisreferstoboththeprojectandtheindividualswhowillbeinvolvedinit,includinghowtheirresponsibilitiesaredeinedandhowtheyinteractwitheachother.

2. Howtheprojectwillevolveovertime—Thisisreferredtoastheprojectlifecycleandisthechronologicalsequenceofactivitiesthatneedtohappeninordertodelivertheproject.Whatevertheirdifferences,allprojectswillbydeinitionshareasimilarlifecycle;theywillallhaveabeginning,middle,andanend.

3. Whatskillsarerequiredtosuccessfullymanagetheproject—Theseareusuallyreferredtoas‘ProjectFunctionalAreas’becausetherearediscreteareaswithinprojectmanagementthatcanbeconsideredinisolationeventhoughtheyareinterdependent.

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Organizational

FunctionalAreasProjectPerspectives

PRINCIPLESOFPROJECTMANAGEMENT

3KeyQuestionstoask:

1. Howdoestheprojectfitintotheorganization?

2. Howwillitevolveovertime?

3. Whatskillsareneededtosuccessfullymanagetheproject?

Thismightsoundunnecessarilycomplicated,butlookingataprojectfromeachofthesethreeviewpointswillgiveyouamuchbetterunderstandingofthewholeprocessthanusinganyoneofthemindividually.

Touseananalogy:

ImaginethatashipistravellingfromLondontoNewYork.

Theorganizationalperspectivewouldbeconcernedwithwhichmembersofthecrewwereresponsiblefordoingwhatandhowtheycommunicatedandinteractedwitheachother.

Thelifecycleofthevoyagewouldbeconcernedwithwheretheshipwasandwhatitwasdoingatanypointfromthebeginningtotheendofthejourney.

Thefunctional areas wouldbethingslikenavigation,collisionavoidance,routinemaintenance,etc.Eventhoughtheseactivitieswouldbetakingplacecontinuouslyandinterdependently,itisstillpossibletothinkaboutthemasdiscreteareasofknowledge.

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Project-BasedOrganizations

Construction

Consultants

SoftwareDevelopers

AdvertisingAgencies

PRINCIPLESOFPROJECTMANAGEMENT

Thisanalogyisnotperfectbutitdoesillustratethatwhenyouarestudyingacomplexactivityitcanbehelpfultolookatitfromavarietyofperspectivesinordertogainabetterunderstandingofthewhole.

4Projectmanagementisthedisciplineofplanning,organizing,motivating,andcontrollingresourcestoachievespeciicgoals.

4Theprimarychallengeofprojectmanagementistoachievealloftheprojectgoalsandobjectiveswhilehonoringtheconstraintsonscope,time,qualityandcost.

4Projectmanagementcanbethoughtofintermsoforganizational,lifecycle,andfunctionalareaperspectives.

ProjectOrganization&StructureThewayinwhichanorganizationisstructuredislargelyaresultofwhetheritsday-to-dayworkisprocessdrivenorprojectdriven.

Process-BasedOrganizations

Utilities

Manufacturers

NGO’s

GovernmentDepartments

Charities

KEyPOINtS

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PRINCIPLESOFPROJECTMANAGEMENT

ProjectFocused

Theseorganizations’day-to-dayworkinvolvesdeliveringuniqueprojectsforexternalcustomersforasettimeperiod.Theirmanagementstructureisdesignedtosupportprojectsandeveryoneworkingintheorganizationisassignedtooneormoreprojects.Examplesinclude:Constructioncompanies,Consultingorganizations,Softwaredevelopers,andAdvertisingagencies.

ProcessFocused

Theday-to-dayworkoftheseorganizationspredominantlyinvolvescontinuallydeliveringproductsorservicesforexternalcustomers.Theirmanagementstructureisdesignedtosupporttheprocessrequiredtodelivertheproductorservicetotheendcustomer.Examplesinclude:Utilitycompanies,Manufacturingcompanies,Governmentdepartments,Charities,andNGOs.

Inreality,eventhemostprocess-focusedorganizationswillrunoccasionalprojectsandsomemayhavepartsoftheorganizationthatarededicatedtoproject-basedworking.Thevastmajorityofthestaffinpublicutilities(electricity,gas,andwater)willbeemployedtoprovideanongoingservicetotheircustomerbase.Buttherewillbesomeareasofthebusinessconcernedwithphysicalormanagementinfrastructurethatarewhollyprojectdriven.Forexample:

Staffresponsibleforthedevelopmentofnewinformationsystemsandthoseresponsiblefortheconstructionofnewphysicalinfrastructure,likeelectricalsubstationsandwatertreatmentplants.

Theextenttowhichyourorganizationhasthenecessaryassetsandprocessestoconductsuccessfulprojectswillplayasigniicantroleinyourprojectcostsandlevelofrisk.Thelessexperienceithas,thehigheryourprojectcostswillbeandthegreaterdegreeofriskcomparedtoaproject-drivenorganization.

Everyorganizationisuniqueandtheseclassiicationsareonlyusefulinthattheyillustratethefactthatprojectmanagementislikelytopresentmoreofachallengeinprocess-focusedorganizationsthaninthosethatareprojectfocused.

Iti

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sbettertothinkoforganizationalstructuresexistingonacontinuumasdescribedbelow.Thisisnotonlymorerealisticbutitallowsustobeginthinkingabouthowexactlytheorganizationalstructurewillimpactaprojectinpracticalterms.

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PRINCIPLESOFPROJECTMANAGEMENT

Atoneextremeareorganizationsinwhichemployeesareisolatedwithintheirdepartmentordivisionasshown.

Corporate Management

DivisionA DivisionB DivisionC

BusinessLine BusinessLine BusinessLine

BusinessLine BusinessLine BusinessLine

Finance,HR, IT,etc BusinessLine Finance,HR,

IT,etc

Finance,HR, IT,etc

Inthisscenario,seniormanagementallocatecapitaltoeachdivision,whichthenoperateautonomouslytoreturnasmuchproitaspossible.Eachdivisioniscompletelyindependentoftheothersandthereisnomechanismtoallowcommunicationacrossdivisionsotherthanbygoingupthehierarchytoseniormanagementwhowouldthenhavetopassthedecisiondowntotheotherdivisions.

Thistypeofstructuremakesproducingalimitedamountofproductsorserviceseficientandpredictable,butwouldmakeitalmostimpossibletorunaprojectthatcutacrossdivisional boundaries.

Areinementofthisstructureisshownbelowandisreferredtoasaweakmatrix.Thisisbecausealthougheachdivisionoperatesindependently,theynolongerhavedirectcontroloversupportfunctionslikeIT,inance,andhumanresources.

Thistypeofstructuremakessensebecausethesesupportfunctionsdonotneedtobeduplicatedandcanbesharedbetweenthedivisions.Thissavesmoneyandenablesthesupportdepartmentstobebiggerandemploymorespecialiststaff.

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PRINCIPLESOFPROJECTMANAGEMENT

CorporateManagement

Support Departments

Finance Human Resources

InformationTechnology

StrategicPlanning

LegalCounsel

etc.

DivisionA DivisionB DivisionC

BusinessLine BusinessLine BusinessLine

BusinessLine BusinessLine BusinessLine

BusinessLine

Theimplicationforprojectmanagementisthattherewillbemechanismsforcommunicatingacrossdivisionsandthatpeoplewillbemoreacceptingofworkingwithothersoutsideoftheirowndivision.

4Organizationsmaybeeitherprocessdrivenorprojectdriven.

4Even themostprocess-focusedorganizationswillrunoccasionalprojectsandsomeorganizationsmayhavepartsthatarededicatedtoproject-basedworking.

4Therearevariouswaysofstructuringtheprojectenvironmentdependingonthetypeoforganization.

KEyPOINtS

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PRINCIPLESOFPROJECTMANAGEMENT

ProjectsinaMatrix-ManagementEnvironmentThistypeofstructurecanbetakenfurthertogivewhatisknownasapurematrix-managementenvironment.

DepartmentA DepartmentB DepartmentC DepartmentD

ProjectX

ProjectY

ProjectZ

Thisisatypeofstructureinwhicheventhoughanindividualmay‘belongto’aparticulardepartment,theywillbeassignedtodifferentprojectsandreporttoaprojectmanagerwhileworkingonthatproject.Therefore,eachindividualmayhavetoworkunderseveralmanagerswhilstperformingtheirrole.

Forexample,

SomeonewhoisworkinginDepartmentCandwhoisassignedpart-timetoprojectsXandZwillindthemselvesreportingtothreedifferentmanagers,allofwhomwillhavesomedegreeofauthorityoverthem.

• Theirlinemanager(DeptC)

• ProjectManagerforprojectX

• ProjectManagerforprojectZ

Matrixmanagementisnowfairlycommonandexistsatsomelevelinmostlargeorganizations,particularlythosethathavemultiplebusinessunitsandinternationaloperations.

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PRINCIPLESOFPROJECTMANAGEMENT

AdvantagesofMatrixManagement• Efficientexchangeofdata• Democraticleadershipstyle• Improve

dsatisfaction&motivationforindividual

DisadvantagesofMatrixManagement• Conflictbetweenline&projectmanagers• Issuesof resource allocation• Lackofrecognitionforindividuals

Oneoftheadvantagesofimplementingamatrixstructureisthatitcanleadtoamoreeficientexchangeofinformationaspeoplefromdifferentareasworkcloselytogether.Thisenhancesoverallproductivitybecauseitfacilitatesquickdecision-making.Forexample,

Individualsfromthecustomersupportandproductiondepartmentsmayconferwithoneanothertoixproblemsassoonastheyappear.Ratherthantheproductiondepartmentremainingunawarethatthereisaproblemuntilitsurfacesmonthslaterinamanagementreportormemo.

Thematrixstructurealsoencouragesademocraticleadershipstylethatincorporatestheinputofteammembersbeforemanagersmakedecisions.Theabilitytocontributevaluableinformationbeforedecisionsaremadeleadstoemployeesatisfactionandincreasedmotivation.

Adisadvantageofthematrixstructureisthatitisarecipefordisagreementbetweenthelinemanagerandtheprojectmanagers.Thisisbecausethelatterwilloftentrytominimizeeachdepartment’sbillingtotheproject,whereasthedepartmentalmanagerswillusuallytrytosecureasmuchoftheproject’sbudgetaspossible.

Therecanalsobedisagreementsaboutresourceallocationandprioritization.Thisoccursbecauseprojectmanagerstendtoviewtheirownprojectasthemostimportantactivityandforgetthatthelinemanagermayhaveothercommitmentsthathisdepartmentisexpectedtomeet.

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PRINCIPLESOFPROJECTMANAGEMENT

Firstly,linemanagershaveiniteresourcesattheirdisposalandoftenhavetojuggletheseinsuchawayasto‘satisfymostofthedemandformostofthetime.’Inaddition,theyoftenhavenumerousdeadlines,relatingtobothdepartmentalwork-in-progressaswellastoeachprojectthattheyaresupplyingresourcesto.

Secondly,projectsinprogressmaybesubjecttochanges,followingtheagreementandcommitmentofthelineresourcesrequired.Thismayresultfromafailuretoachievetheexpectedprogressinanyareaofworkandislikelytohaveaknock-oneffectontheabilityofthelinemanagertosupplytheresourcestheyarecommittedto.Asalinemanager,youmayalsohavetoaccommodateunexpectedresourceshortagesduetoabsenteeismandstaffturnover.

Allofthesefactorsmeanthatconlictisunavoidableinorganizationsthatarestructuredinthiswayandmanyoftheseissuesdescribedmaybecomplicatedfurtherifstaffareworkingonmorethanoneprojectatatime.

Anotherfeatureofthematrixstructureisthatitcanleadtostaffmembersbecomingconcernedabouttheextenttowhichtheeffortstheyexpendonproject-relatedworkwillberecognizedandrewardedinancially.Thisproblemmaybecompoundediftheyfeeltheirproject-relatedworkwillnotberecognizedwithintheirowndepartmentandnomatterhowhardtheyworkontheprojectitwillnotaffecttheirchancesofadvancement.

Thisconcernisprimarilyanissuewithstaffsecondedtoprojectsonafull-timebasisastheymayfeelincreasinglyisolatedandleftbehindinrelationtotheirlong-timecolleaguesandthedepartmentalpracticeswithwhichtheyarefamiliar.Also,individualsinvolvedwithlong-termprojectsmayhaveworriesaboutwhathappenstothemattheendoftheproject.Theirfearcouldbethattheirdepartmenthaslearnttocopewithoutthem,ordevelopednewprocedureswhilsttheywereassignedtotheproject.

Asaprojectmanageryoushouldensureeachindividual’sperformanceisrecordedandreportedtotheirlinemanagersothatitcanbeassessedintheirannualappraisal.Youcancheck

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outthecompleterangeofProjectManagement PDF eBooks freefromthiswebsite.

Projectsareallaboututilizingexistingresourcesandexpertiseinaneficientandeffectivewaytogetthingsdone.Thedownsideofthis,fromastaffperspective,maybethatprojectsarenotseenas training-oriented environments inwhichto developpersonal skills.

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PRINCIPLESOFPROJECTMANAGEMENT

Thequestionsraisedbytheproblemofestablishingasoundprojectmanagementstructurerevolvearoundthecreationofeffectivereportinglines.Therearetwoorganizationalextremesthatcanbeadopted:

● Allofthepersonnelworkingontheprojectremainintheirnormalsituation,reportingtotheirlinemanagers.Inthiscase,theprojectmanagementstaffwillneedtocoordinatetherequiredprojectworkthroughthelinemanagers.

● Aprojectteamiscreatedandallpersonnelworkingontheprojectaredrawnintoaprojectteamandreportexclusivelytotheprojectmanager.

Inpracticeacombinationoftheseapproachesisoftenfoundtobethebestsolution,andisbyfarthemostcommonmethod.However,thisorganizationalframeworkrisksbreakingoneofthetenetsofgoodmanagement—thatofmatchingresponsibilitywithauthority.Theprojectmanagerwillberesponsibleforperformanceontheprojectbutmaylacksuficientauthoritywherecontributorsreporttotheirownlinemanagers.

Allofthesefactorsmeanthatunlessyourorganizationiscompletelyprojectfocusedthenyoucanexpectconlict,disagreement,andcompromisetobeanintegralpartoforganizingaproject.

4Inamatrixenvironment,anindividualmay‘belongto’aparticulardepartmentbuttheywillbeassignedtodifferentprojectsandreporttoaprojectmanagerwhileworkingonthatproject.

4Anadvantageof thematrix structureis thatitcanlead toamoreeficientexchangeofinformationaspeoplefromdifferentareasworkcloselytogether.

4Adisadvantageofthematrixstructureisthatitisarecipefordisagreementbetweenthelinemanagerandtheprojectmanagers.

4Unlessyourorganizationiscompletelyprojectfocusedthenyoucanexpectconlict,disagreement,andcompromisetobeanintegralpartoforganizingaproject.

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Sponsor

Manager

ProjectStakeholders

ProjectTeam

ProjectManagementTeam

ProjectManager

ProjectSponsor

PRINCIPLESOFPROJECTMANAGEMENT

ProjectStakeholderDefinitionIrrespectiveofhowtheorganizationisstructured,therearecertainrolesandresponsibilitiesthatarerequiredinallprojects.Differentorganizationsmayusedifferentnamesfortheserolesbuttheresponsibilitiesofeachonewillbethesame.

StakeholdersEssentia

lProjectRoles

ItisimportantthatyouunderstandtherationaleforeachoftherolesintheprojectalongwiththeirresponsibilitiesastheseareusedextensivelythroughouttheProject Management Skills eBooks series.You willheartheterm‘stakeholders’usedwithreferencetoaparticularprojectanditisimportanttounderstandwhatthistermmeans.Stakeholdersareanyonewhowillgainorlosefromtheproject.

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Theprojectmanagementteammustidentifythestakeholders,determinetheirrequirementsandexpectations,and,totheextentpossible,managetheirinluenceinrelationtotherequirementstoensureasuccessfulproject.

Thosewith authorityt

oallocateresources

&setpriorities

Thosewhohavevestedinterestinthechanget

heprojectoffers

ProjectManager

SeniorManagement

ProjectTeamMembers

ProjectStakeholders

ProjectCustomer

ProductUserGroup

LineManagers

ProjectTesters

Suppliers &Customers

Therearenarrowerviewsofthetermstakeholder,focusingontheinluencersanddecision-makersofabusinessortechnologicalchange.Inthiscontext,stakeholdersaremanagerswhohavetheorganizationalauthoritytoallocateresources(people,money,services)andsetprioritiesfortheirownorganizationsinsupportofachange.

Oneofthekeystoasuccessfulprojectissuccessfullymanagingtherelationshipsbetweeneveryoneinvolved—thestakeholders.

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Stakeholdersmaybe:Employees

Competitors Laborunions

GovernmentLocalCommunities

InvestorsPotentialEmployees

NationalCommunitiesShareholders

PRINCIPLESOFPROJECTMANAGEMENT

maybeaffectedbyproject

could impact project

StakeholderscanbeidentifiedasPeopl

e, Group

sorBodieswho

Therearethreeprocessesinvolved:

1) IdentifytheProjectStakeholders

Thisinvolvesidentifyingthepeople,groups,ororganizationsthatcouldimpactorbeimpactedbyadecision,activity,oroutcomeoftheproject.Itanalyzesanddocumentstheirinterestsinandinluenceontheproject.Astakeholderisdeinedasanyonewithaninterestintheproject,irrespectiveofwhetherthatinterestispositiveornegative.Theymaybeindividualsororganizationsthatareactivelyinvolvedintheproject,orwhoseinterestsmaybeaffectedbytheexecutionorcompletionoftheproject.

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ProfessionalAssociations

ProspectiveCustomer

sSuppliers

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Publ

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PRINCIPLESOFPROJECTMANAGEMENT

Aprojectmanagermustbesuretoidentifyandlistallpotentialstakeholdersforaproject.Inadditiontothoseontheprojectteampotentialstakeholdersincludethoseshowninthediagram.

Stakeholderscanbeinternaltotheorganizationorexternal.Inmanyprojectsthepublicatlargewillbecomeastakeholdertobeconsideredduringtheproject.Thechallengefortheprojectmanagerwhenthepublicisastakeholderwillbetoactwhileconsideringpublicneeds.Oftenthereisnodirectrepresentativeofthepublictobeconsultedduringprojectplanningandexecution.

2) Analyzetheirpotentialinvolvementwiththeproject

Thisistheprocessthatdevelopsappropriatemanagement strategies toeffectivelyengagestakeholdersthroughouttheproject.Stakeholderanalysisissoimportantthatawidevarietyofexpertsareconsultedtohelpanalyzetheactuallevelandthedesiredlevelofengagementlevelofthevariousstakeholders.Theseexpertsarethesameonesthatwereconsultedinthepreviousprocesstoidentifythestakeholdersandanalyzetheirinterestand/orinluenceontheprojectinordertodeterminethegeneralstrategyforengagingthem.

3) Managetheirengagementwiththeproject

Thisistheprocessthatcommunicatesandworkswithstakeholderstomeettheirneedsandexpectations,addressissuesastheyoccur,andsupportstakeholderengagement.Itdetailshowyoucommunicatewithstakeholdersandensuresappropriateengagementlevels.

Ifyouintend to manage aproject thenyouwillneedadetailed knowledge oftheserolesandtheirresponsibilities.However,inordertounderstandthebasicprinciplesofprojectmanagementthereareonlytworolesthatyouneedtoknowaboutinanydetail,theprojectsponsorandtheprojectmanager.

4Irrespectiveofhowtheorganizationisstructured,therearecertainrolesandresponsibilitiesthatarerequiredinallprojects.

4Projectstakeholdersareindividualsandorganizationsthatareactivelyinvolvedintheproject,orwhoseinterestsmaybepositivelyornegativelyaffectedbyexecutionoftheprojectorprojectcompletion.

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Presentingthebusinesscase

Approvingthebudgetfunds

ProjectSponsor–anindividual

responsiblefor:

Identifying&definingproject

Managingseniorstakeholders

Appointingprojectmanager

Authority&drivetoovercomeissuesorcancelproject

PRINCIPLESOFPROJECTMANAGEMENT

ProjectSponsor&ProjectManagerDefinitionsThesponsorisresponsibleforsecuringtheinancingandoverallresourcebudgetapprovalandownstheopportunitiesandrisksrelatedtotheinancialoutcomeoftheproject.Theymaybereferredtoasthe‘businesssponsor,’‘projectsponsor,’or‘executive’andareusuallyaseniormanagerwithadirectinterestinthebusiness case behindtheproject.

Eventhoughthisimpliesthattheprojectsponsorcanbeagroupofpeople,itisusuallyfarbetterifthereisonenamedindividualwhohasbeengiventhisrole.Aneffectivesponsorwillbesomeonewiththeauthorityandpersonaldrivetoovercomemajorobstaclestocompletingtheproject.

Thesponsordoesnotconcernhimselforherselfwiththeday-to-dayrunningoftheproject(thatistheresponsibilityoftheprojectmanager),butrepresentsthe‘buyer’oftheprojectonbehalfoftheorganization.Itcanbehelpfultothinkaboutthisintermsoftheprojectmanagerworkingforthesponsorwhoisinturnworkingfortheorganization.

Theprojectsponsormaybeeitherinternalorexternaltotheorganizationthatwillbeundertakingtheprojectwork.Manydifferentpermutationsarepossible—forexample,aninternalsponsormaycommissionaprojectthatwillcallonlyonresourceswithintheorganization.Alternatively,theentireprojectmaybeoutsourcedtoathirdparty.

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Theroleoftheprojectsponsoristoapproveandfundtheproject,butnottogetinvolvedinday-to-daymanagementorinancialcontrol.Theprojectsponsorshouldappointaprojectmanagertotakeontheresponsibilityfordeliveringtheprojectinaccordancewithitsobjectives.

ProjectSponsorIdentifies&definesproject.Producesbusinesscase&cancancelifnolongermeet

sneeds.P

rojectManagerResponsiblefor

deliveryofdefinedproject&its

day-to-daymanagement.

Therearetwomaindifferencesbetweenprojectsponsorshipandprojectmanagement.Firstly,projectsponsorshipincludestheidentiicationanddeinitionoftheproject,whereasprojectmanagement isconcerned with delivering aproject that is alreadydeined,ifonlyquiteloosely.

Secondly,theprojectsponsorisresponsiblefortheproject’sbusinesscaseandshouldnothesitatetorecommendcancellationoftheprojectifthebusinesscasenolongerjustiiestheproject.

Itisimportantforeveryprojecttohaveasponsorto:

● Ensureseparationofdecision-makingresponsibilitiesbetweenprojectmanagerandprojectsponsor

● Ensureaccountabilityfortherealizationofprojectbeneits

● Ensureoversightoftheprojectmanagementfunction

● Carryoutseniorstakeholdermanagement

Theprojectmanagerisappointedtodelivertheprojectasitisdeinedintheproject charter orprojectplan.Theyhavetheauthoritytousecashandotherresourcesuptothelimitsetintheprojectcharter.Iftheybelieveatanystagethattheprojectcannotbe

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deliveredwithintheassignedbudgetandtimescalethentheymustnotifytheprojectsponsorsothatremedialactioncanbetaken.

ProjectManage

r r

esponsiblefor:

• Deliveryofdefinedproject• Useo

f$’s&resourcesuptoprojectcharterlimits

• Day-to-daymanagement• Reportingsignificantissuesto

ProjectSponsor

ProjectManagermusthave:

• Experienceindomainoftheproject

• Knowledgeofprojectmanagementprocesses

Aprojectmanagershouldhaveexperienceintheprojectdomainandshouldalsobefamiliarwiththeprocessesthatmakeupprojectmanagement.

Youshouldnowhaveanunderstandingofsomeoftheproblemsinvolvedwhensettingupaprojectthatneedstorun‘across’organizations,whichtendtohaveverticalmanagementstructures.Youshouldalsobeawareofsomeoftheissuesthatareraisedwhenassigningpeopletoprojects,particularlyiftheyhavecontinuingdutiesintheirowndepartment,andyoucanbringattentiontopotentialissuesbeforetheyarise.

Finally,withtheknowledgeofthespeciicrolesandresponsibilitiesoftheprojectsponsorandtheprojectmanageryoucanensurethatotherswithinyourorganizationareawareoftheserequirementswhendevelopingaproject.

Theprojectmanagershouldbeappointed,bytheprojectowner,toassumeday-to-daymanagementoftheproject.Theprojectmanagershouldberesponsibleforplanningattheprojectandsub-projectlevel,exercisingcontrol,ensuringproductdeliveryandformanagementandmotivationo

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fstaffworkingontheproject.

Successfulprojectmanagementinvolvesdealingeffectivelywithmanagersandsupportingpersonnelacrossdepartmentalandfunctionallines,oftenwithlittleornoformalauthority.

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The project manager shouldwork withtheprojectowner to appointthe sub-projectmanagersandtodeinetheirresponsibilities.Thereafter,thesub-projectmanagerswillreportdirectlytotheprojectmanager,viaregularprogressreports.Theseprogressreportsrepresentanup-to-datesummaryofthestatusoftheprojectandshouldbecompiledonaregularbasis,usuallyweeklyofeverytwoweeks.

Itistheprojectmanager’sresponsibilitytoanalyzeandcollatetheprogressreportsandtosummarizethisinformationinregularhighlightreports,whichshouldbepresentedtotheprojectowner.Highlightreportsshouldbeproducedatregularintervals,forexamplemonthly,andmayalsobeproducedinresponsetoexceptionalcircumstances.

Theprojectmanagerwillneedtomaintainclearcommunicationswithothermanagementbodies,appropriatetothesizeoftheproject.Theyshouldsubmittheprojectplansandsub-projectplanstotheprojectownerforapprovalandthenadvisetheownerifthereareanysigniicantdeviationsfromthem.Iftolerancesarebeingexceededthenremedialplansmayalsoneedtobesubmittedfortheapprovaloftheprojectowner.

Animportantfunctionoftheprojectmanageristoestablishanappropriateenvironmentwithinwhichtheprojectistooperate.Anumberofissuesneedtobeaddressedearlyontoensurethattheprojectcanproceedeficientlyandeffectivelyfromtheoutset.

Inadditiontopreparingtheprojectplan,theprojectmanagershouldspecifyorcreateaconigurationmanagementmethodfortheproject.Conigurationmanagementcoversthetracking,documentationandissueofallprojectdocumentsandproducts,throughouttheprojectlifecycle.

Theprojectmanagershouldagreethetechnicalandqualitystrategyfortheproject,withthesectionthatisresponsiblefororganizationalpolicy.Itisimportantthattheprojectmanageralsomaintainsclearcommunicationwithanyrelatedprojectstoensurethatworkisneitheroverlookednorduplicated.

Decisionswhicheffectthestrategicdirectionofaprojectwillalmostcertainlyneedtobereferredtoaseniormanagementbodyorindividual,butitistheprojectmanagerwhowillhavetomaketherecommendationsandthenputintoeffectthedecisionsmade.

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Theprojectmanagershouldbeawarethatdisagreementshavethepotentialtoariseatalllevels.Theintensityofanyparticularconlictmaybeaffectedbyavarietyoffactors

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includingapproachingdeadlines,asqueezeonresourcesortheindividualcharacteristicsofthoseinvolved.

Theissuethatunderliesaparticularconlictmaynotbeimmediatelyapparent.Personalityclashesareaclassicunderlyingproblemthatveryfewpeoplefeelabletoraiseanddiscuss.Itiscommonforpersonalityconlictstomanifestthemselvesasadisputeoversomeprojectissue—forexampleatechnicalstand-off.Thisiswhereexperienceisinvaluable,enablingtheprojectmanagertoidentifytherealissuesandthentoaddressthem effectively.

4Thesponsorisresponsibleforsecuringtheinancingandoverallresourcebudgetapprovalandownstheopportunitiesandrisksrelatedtotheinancialoutcomeoftheproject.

4Theprojectmanagerisappointedtodelivertheprojectasitisdeinedintheprojectcharterorprojectplan.

4Dutiesinclude:submittingtheprojectplanstotheprojectownerforapproval,appointingteamleadersanddeiningtheirresponsibilities.

4Theprojectmanagerwillalsoneedtoliaisewithprojectoficestafftomaintainprojectintegrityandmakerecommendationsandputintoeffectthedecisionsmade.

4Beawarethatdisagreementshavethepotentialtoariseatalllevels.

4Personalityconlictsoftenmanifestthemselvesasadisputeoveraprojectissue.

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ProjectLifeCycleDefinitionThereisverylittleagreementaboutthelifecyclephasesofaprojectandmanyorganizationshavetheirowninternaldeinitionsandtemplates.Thisisunderstandablebecauseofthecomplicatednatureanddiversityofprojects,whichcanvaryenormouslyinsizeandcomplexity.

ProjectLifeCy

cle

Closure–closingtheproject

Initiation–

startingtheproject

Execution–

carryingoutthework

Planning–o

rganizing&preparing

Despitethis,allprojectscanbemappedtothefollowingsimplelifecyclestructure:

● Startingtheproject

● Organizingandpreparing

● Carryingoutthework

● Closingtheproject

Thisisknownasafour-phaselifecycleandthephasesareusuallyreferredtoas:

1. ProjectInitiation

2. ProjectPlanning

3. ProjectExecution

4. ProjectClosure

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Eachofthesephasesismadeupofdiscreteactivities,eachofwhichhasanassociateddeinitionandguidelines.Thenumberofactivitiesdependsonthescopeoftheproject.

Asimpleprojectwill involve onlyafewactivitieswhilea more complexprojectmayinvolvehundredsorthousandsofindividualactivities.Thismodelcanbeappliedtoavarietyofprojectscenariosalthoughthecostanddurationofeachphasewillvaryaccordingtotheparticularproject.Projectsaretemporarystructuressetupwiththespeciicaimofdeliveringanidentiiableend-product.Allprojectswillthereforehaveanidentiiablelifecycle,thecharacteristicsofwhichwillvaryaccordingtothesizeandcomplexityoftheproject.

Forexample,inthecaseofaprojectwhoseaimistoevaluate,recommendandimplementacomputerizedaccountssystem.Thecostsoftheprojectarerestrictedtotheselectionofthemostsuitablesystemavailableandthetrainingandimplementationnecessaryforitsintroduction.Theactualpurchaseofthesystemisnotwithinthetermsofreferenceoftheproject,asthiscapitalcostwillbetakenfromaseparatebudget.

Atypicallifecyclewillrunfromtheformalinitiationofaprojectthroughtoapos t implementat ion review (PIR) ofthedeliveredend-product.Thispostimplementationreviewisnotshownasitisusuallyheldsomemonthsaftertheprojecthasbeenformallyclosed.Thereisoftenlittleagreementbetweenindustries,orevenbetweenorganizationswithinthesameindustry,aboutthelifecyclephasesofaproject.Thisisunderstandablebecauseofthecomplicatednatureanddiversityofprojects.

Aive-phaseprojectlifecyclemodelcanbeappliedtoavarietyofprojectscenariosalthoughthecostanddurationofeachphasewillvaryaccordingtotheparticularproject.Theconceptualphaseincludesthepreliminaryevaluationofanidea.Itiscommonforthisphasetoincludeairstcutfeasibilitystudyfortheproposedproject.Thisanalysisshouldalsoincludeapreliminary ri sk asses sment .

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5PhaseProjectLifeCycle

Conceptualphase

Definitionphase

Productionphase

Operationphase

Divestmentphase

Thedeinitionphaseisprimarilyareinementofthoseareasconsideredintheconceptualphase.Theresourcesrequiredbytheprojectshouldbedeinedalongwithtime,costandperformanceestimates.Projectestimationisadificulttask—especiallyinthisearlyphase.Howeveritisessentialthatcostsarequantiied,asthisinformationisneededtoestablishwhetherornottheprojectshouldproceed.

Oncea project hasreceived thefundingand backingof seniormanagement itcanproceedtotheproductionphase.Thisincorporatestheproduction,oracquisition,oftheend-productspeciied.Thisbeginswiththeupdatingofdetailedplans,startedintheprecedingphasesandencompassestheidentiicationandmanagementoftheresourcesrequired.Thisphasealsoincludesthedevelopmentofmanuals,plansandotherdocumentationthatwillsupporttheendproductinitsliveenvironment.

Theoperationphaseinvolvestheintegrationoftheend-productorserviceintotheorganizationalenvironment.Iftheend-productwasamarketableproductthenthisphasewouldtypicallyincludetheproductlifecyclephasesofmarketingandreinement.Thedivestmentphaseinvolvesthereallocationofresourcesthatarenolongerrequiredby thecurrentproject.Theend-productofanyprojectwillhave

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ainitelifespanandthereforeitsabilitytogeneraterevenuewillbelimited.Theorganizationwillusuallyneedtorunfutureprojectstoguaranteeitsrevenuestream.

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Itisthereforeimportanttoretaintheservicesofstaffandotherresourcesthatcanbeusedinforthcomingprojects.Thisphasealsoincorporatesthepostimplementationevaluationofthedeliveredend-product,andthisshouldserveasinputtotheconceptualphaseoffutureprojects.

Theuseofresourcesovertimewillvaryaccordingtoeachparticularproject.Whilstitmaybepossibletocharacterizelifecycleproileswithindifferentindustrysectors,thiscangiveafalseimpressionasindividualprojectscanvaryradicallyfromthegenericproile.

4Allprojectscanbemappedtothefollowingsimplelifecyclestructure:startingtheproject,organizingandpreparing,carryingoutthework,andclosingtheproject.

4Thisisknownasafour-phaselifecycleandthephasesareusuallyreferredtoas:initiation,planning,execution,andclosure.

4Projectscanalsobethoughtofashavingaivephaselife-cycleconsistsingofconceptual,deinition,production,operationanddivestmentphases.

4Thismodelcanbeappliedtoavarietyofprojectscenariosalthoughthecostanddurationofeachphasewillvaryaccordingtotheparticularproject.Thismodelcanbesimpliiedintoathreeorfourphaseviewtowhichformalorganizationalprocessescanbeapplied.

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Risk

FunctionalAreasofaProjectMgmt

Quality Team

Budget Scope

Schedule

PRINCIPLESOFPROJECTMANAGEMENT

FunctionalAreasofProjectManagementSofarinthiseBook,wehavedealtwiththeorganizationalaspectsoftheprojectandtheprojectlifecycle,bothofthesewaysoflookingatprojectscanhelpyoutoappreciatetheprinciplesofprojectmanagement.However,youcanalsolookatprojectmanagementfromtheperspectiveoftheindividualprocessesinvolved.

Theseprocessescanbeorganizedintofunctionalareas,forexample:

● ManagingtheScope,

● ManagingtheCosts,

● ManagingtheSchedule,

● ManagingRisk,etc.

Thereasonfordoingthisisthatitallowscomplexhigh-leveltaskstobebrokendownintosmallertasks,acommonpracticewhenlearningsomethingnew.Forexample,whenlearningtodriveyouconcentrateonspeciictasks,suchasgearchanging,hillstartsetc.,beforeyoudriveonaninterstateroadormotorway.

Extendingthisapproachtoprojectmanagementmakestaskseasiertomanage,resource,andcontrol.Thinkingaboutprojectmanagementactivitieslikescoping,scheduling,

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quality,andriskinisolationbeforetryingtointegratethemintoarealprojectminimizesthepotentialformisinterpretation,andmakeseachareaeasiertounderstand.However,whilstthesefunctionalareascanbepresentedasbeingmoreorlessself-contained,inpracticetheyoverlapandinteractinauniquefashionthatrelectsthenatureofaproject.

Consequently,thefunctionalareasarenotmeanttobeprescriptiveactivitiesthatareexecutedoneaftertheother.Youdonotperformscoping,thenscheduling,thencosting,thenqualitycontrol,etc.insequence.Youneedtobecontinuallyreviewingeachareaastheprojectprogressesandnewinformationbecomesavailable.

Forexample,lookingatthescopemanagementactivityassomethingdiscretemakessensebecauseevenifitisbeingdoneatthesametimeasoneormoreoftheotherprocessesitisalwaysdoneinthesameway.Thereisnoneedtododifferenttypesofscopemanagementatdifferentstagesoftheprojectbecausescopemanagementisscopemanagementnomatterwhenyoudoitandnomatterwhatelseishappeningatthesametime.

TheprojectmanagementeBooksonthiswebsiteinclude:

ManagingtheProjectteamThisincludesalloftheprocessesusedtoputtogether,develop,andmanagetheprojectteam.Italsoincludesidentifyingwhatinformationneedstobecommunicatedandtowhom,inordertoensurethattherightpeoplegettherightinformationattherighttime.

ManagingtheProjectScopeThisistheprocessbywhichtheprojectmanagerdeinestheboundariesoftheprojectandensuresthatanychangestotheoriginalscopearecarefullymanaged.Itdeinesexactlywhatisincludedintheprojectandwhatisexcluded.

ManagingtheProjectScheduleThisinvolvesmakingsurethatthingshappenontimeandkeepingtheprojectonschedule.Itincludestechniquestoestimatehowlongthingswilltake,toplanaccordingly,andthentokeepeverythingontrack.

ManagingtheProjectBudgetThisinvolveskeepingtheprojectonbudgetandincludestechniquesforestimatingcostsplanningand

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budgetingaswellasmonitoringandcontrollingthecosts.Someofthematerialsandservicesrequiredtocompletetheprojectmayneedtobeobtained

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PRINCIPLESOFPROJECTMANAGEMENT

fromoutsidesuppliers.Ifthisisthecasethentheprojectmanagerwillalsoneedanunderstandingofcontractandsuppliermanagement.

ManagingProjectQualityThisensuresthattheprojectmeetsitsrequirementsandthatthedeliverablesdowhatisexpectedofthem.

ManagingProjectRiskThisinvolvestheidentiicationandevaluationofriskaswellasplanningresponsestoensurethatcorrectiveactionistakeniftherisksmaterialize.

Itwouldbemucheasier(althoughfarlesslexible)ifitwerepossibletospecifyasimplelinearpathinvolvingpreparing,planning,doingandreviewing.Unfortunately,thisapproachisonlypossibleinverysimpleprojectsandeventhenitfallsapartassoonassomethingunexpectedhappens.Lookingatprojectmanagementintermsofit’sfunctionalarea approachisfarmore lexible,butitdoesrequire thatyou are abletoselecttherighttoolattherightstageintheprojectandthisrequiresjudgment.

Thisjudgmentrequiresknowledgeandexperience,whichisonereasonwhyexperiencedprojectmanagersarealwaysinhighdemand.Italsounderlinestheimportanceofrecordingasmuchaspossibleabouthowprojectsareperforming.Thisinformationcanbeusedtoanalyzehowandwhyprojectshavesucceededorfailedinthepast.

Bydeinitionaprojectisgoingtochangesomethinginthewaythattheorganizationworksandthisissomethingthatneedstobeexplainedtoalloftheprojectstakeholdersinordertogetthemonboardandthentokeepthemthere.Thisiseasiersaidthandoneandwhatmakesthedisciplineofprojectmanagementsocomplexisthatinordertosatisfyallstakeholderrequirementsyouneedtomanageinteractionsacrossorganizationalandprocessboundaries.

ProjectManag

ersmustmanageinteractions

between

ProcessBoundaries

OrganizationalBoundaries

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Agreatdealofthismanagementtakesplaceattheboundaryoftheprojectandinvolvesresourcesotherthanthosethatarecontrolleddirectlybytheprojectmanager.Consequently,akeypartofprojectmanagementistogaincommitmentfromothersoutsideoftheprojecttoprovidetheseresourcesasandwhennecessary.Thisissomethingthatreliesonhighlydevelopedinterpersonalskillsincludingpersuasionandnegotiation.Complexprojectsneedmoremanagementtoolsandtechniquesthansmallprojectsandaprojectmanagerneedstoknowwhichtoolstouseandwhen.

SuccessfulProjectManagers

Gaincommitmentfromoutsidetheproject

Negotiatefornecessaryresources

Decidesthebesttechniquestouse

Aidsdecisionforchosentoolstobeusedbyprojectteam

Makesthoroughassessmentateachprojectphasebeforeprogressing

Theaim ofeveryprojectmanagershould be to usethe smallestnumber of projectmanagementtoolsandtechniquespossibletodelivertheprojectobjectives.Remember,projectmanagementmustneverbecomethefocusofeffort.Itisalwaysameanstoanend,notanendinitself.

4Projectprocessescanbeorganizedintofunctionalareas,forexample:ManagingtheScope,ManagingtheBudget,ManagingtheSchedule,ManagingRisk,etc.

4Thinkingaboutprojectmanagementactivitieslikescoping,scheduling,quality,andriskinisolationbeforetryingtointegratethemintoareal/liveprojectmakesthemeasiertounderstand.

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4TheProjectManagementeBooksonthiswebsiteinclude:ManagingtheProjectScope,ManagingtheProjectSchedule,ManagingtheProjectBudget,ManagingtheProjectQuality,ManagingtheProjectTeam,ManagingtheProjectCommunications,ManagingtheProjectRisk,andManagingtheProjectSuppliers.

4Agreatdealofthismanagementtakesplaceattheboundaryoftheprojectandinvolvesresourcesotherthanthosethatarecontrolleddirectlybytheprojectmanager.

4Projectmanagementmustneverbecomethefocusofeffort—itisalwaysameanstoanend,notanendinitself.

SummaryProjectmanagementisacomplexactivitythatrequiresastructure,proceduresandprocessesthatareappropriatetoyourproject.Thiswillenableyoutomanagetheinevitablechangesthatoccurthroughoutaproject’slifespaninaprofessionalmannertoensuresuccess.Eachprojectfunctiondescribestheexpertise,skillsandtoolsneededforyourproject.

Somuchworkisnowrunasprojectsandsofewpeoplehavethenecessaryskillstomanagethemproperlythatthereisahugedemandforgoodprojectmanagersandthatdemandisincreasingallthetime.

TheotherprojectmanagementskillseBooksavailablefromwww. fr ee-management - ebooks.comprovideyouwithanopportunitytoreadamorein-depthdescriptionofeachfunctionalarea.

● ProjectManagementProcesses● ManagingaProjectTeam● ManagingtheProjectScope● ManagingtheProjectSchedule● ManagingtheProjectBudget● ManagingProjectQuality● ManagingProjectRisk

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OtherFreeResourcesTheFreeManagementeBookswebsiteoffersyouover500freeresourcesforyourownprofessionaldevelopment.OureBooks,Checklists,andTemplatesaredesignedtohelpyouwiththemanagementissuesyoufaceeveryday.TheycanbedownloadedinPDF,Kindle,ePub,orDocformatsforuseonyouriPhone,iPad,laptop,ordesktop.

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PRINCIPLESOFPROJECTMANAGEMENT

ReferencesBillingham,V.(2008),ProjectManagement:HowtoPlanandDeliveraSuccessfulProject(Studymates),3rdedn,TheProjectManagementExcellenceCentreInc.

Kerzner,H.(2009),ProjectManagement—ASystemsApproachtoPlanning,SchedulingandControlling,10thedn,JohnWiley&SonsInc.

Knapp,B.W.(2010)EssentialProjectManagementTemplates,TheProjectManagementExcellenceCentreInc.

Larson,E.W.andGray,C.F.(2010),ProjectManagement:TheManagerialProcess,5thedn,McGraw-HillHigherEd.

Lock,D.

(2007),TheEssentialProjectManagement,3rdedn,GowerPublishingLtd.Lock,D.

(2007).ProjectManagement,9thedn,MPGBooksLtd.

Maylor,H.(2010),ProjectManagement(withMSProjectCD-Rom).4thedn,PrenticeHill,FinancialTimes.

Newton,R.(2007),ProjectManagementStepbyStep—HowtoPlanandManageaHighlySuccessfulProject,PearsonBusiness.

NokesS.andKelly,S.(2007),TheDeinitiveGuidetoProjectManagement,2ndedn,PrenticeHill,FinancialTimes.

ProjectManagementInstituteGlobalStandard(2008),AGuide to theProjectManagementBodyofKnowledge(PMBOK®Guide),4thedn,ProjectManagementInstitute.

Shenhar,A.J.andDvir,D.(2007),ReinventingProjectManagement:TheDiamondApproachtoSuccessfulGrowthandInnovation,PearsonBusiness.

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