Course Teacher:Dr. A. K. M. Saiful Majid

Professor & Chairperson, EMBA ProgramInstitute of Business Administration

University of Dhaka&

Former Vice Chancellor, Eastern University

Dhaka, April 2015

Introduction to Project Management

The PMBOK has defined a project as “A temporary endeavor undertaken to create a unique product, service or result” (Project Management Institute, 2008, p. 442).

A project is a unique venture with a well-defined beginning and end. It consists of a set of tasks that are performed in a definable time period to achieve a specific set of objectives.

A project is a non-routine, non-repetitive, one-off undertaking, normally with discrete time, technical and financial performance goals.

Definition of a Project

A project is goal oriented. It is temporary in nature. It consists of a set of interrelated tasks or activities. A project has a well-defined life-cycle, that is, it has

a wall-defined beginning and end. Each project is to a certain degree unique in nature. It consists of non-routinized, non—repetitive and

one off activities. It involves the use of multiple resources. It has a budget. A project may require a special management set-

up.

Project Features/Characteristics

Goal oriented To provide rural communities with improved access to social services

Set of interrelated tasks or activities Union road improvement, construction of culvert, bridges, rural markets, river jetties etc.

Well-defined life cycle June 2003-June 2009

Unique in nature Provides an unique facility

Non-routinized & non-repetitive One-off activity

Use of multiple resources Technology, labor, cement, bricks, other construction materials, human, financial resources, etc

Has a budget Tk. 255 Million

Special management set-up LGED

Example I: Rural Transport Improvement Project

Project has a customer/sponsor,i.e. direct beneficiary from the project’s success

It has stakes and stakeholders It has definable inputs, control parameters, purpose

or end-product, e.g. cost, schedule, performance

It evolves as it progresses It involves an element of unfamiliarity It involves uncertainties and risks

e.g. changes in technology, organization structure, requirements

It is a process of working, to achieve the goals.

Other Important Characteristics of a Project

Project Management involves application of knowledge, skills, tools and techniques to the project activities with the objective of meeting or exceeding the stakeholder expectations.

Project management requires ability to administer a project by balancing the team and technology.

WHAT IS PROJECT MANAGEMENT?

Project Management Institute (PMI) has identified nine project management function. The list of functions were created to,

Set boundaries of project management professions.

Identify the responsibilities of project managers. Define the skills required by the project manager.

I. Project integration managementII. Scope managementIII. Quality managementIV. Time management

Functions of project management

I. Cost managementII. Risk managementIII. Human resource managementIV. Contract/Procurement managementV. Communication management

Functions of project management Cond.

Activity : What are the basic functional differences between project Management and traditional management ? Discuss your opinion.

Identifying requirements; Addressing the various needs, concerns,

and expectations of the stakeholders is planning and executing the project;

Setting up maintaining, and carrying out communications among stakeholders that are active, effective, and collaborative in nature;

Managing a project typically includes, but is not limited to:

Balancing the competing project constraints, which include, but are not limited to:o Scope,o Quality,o Schedule,o Budget,o Resources, ando Risks

The specific, project characteristics and circumstances can influence the constraints on which the project management team needs to focus.

Managing a project typically includes, but is not limited to:

Projects without clear goals cannot succeed: Critical project attributes are those which, if not achieved, will

causethe project to fail;• Likely critical PRODUCT attributes:

Reliability; Speed; Storage• Likely critical PRODUCT attributes:

Scope, Schedule, Cost, Quality

Project objectives may be classified as a hierarchy of detailed measurable sub objectives: System level, Functional, Quality related

Ever increasing complexities and is to direct the project to achieve these three goals, i.e. within budget, on time, required functionality

CLEARLY DEFINED PROJECT GOALS IS A MUST FOR ANY PROJECT

Projects sponsors are concerned about aspects like:• Effective use of resources• Completion of project on time

Project work typically involves:• Identifying the requirements• Balancing the expectations of different stakeholders• Competing for resources with other organizational entities

Projects are affected by aspects like:• Scarcity of resources• Uncertainties• Conflicting interests of stakeholders

CROSS FUNCTIONAL NATURE OF PROJECT MANAGEMENT

Systems thinking is a way of viewing the world:• It focuses on the whole system or on perceiving the system as a whole

unit.• It is extremely useful for dealing with very complex systems.

Note: It is opposite of analytical thinking, which involves breaking down things in a progressive manner.

A project can be viewed as a system of interrelated tasks and work units which operate in a changing environment.

Systems approach to project management recognizes that:• The organizations exist in a universe of forces

it comprises of interrelated units, goals, and effects.• These organizational units need to be coordinated and integrated for the

benefit of the organization. Systems approach helps a PM in perceiving and keeping track of

the big picture. Application of systems theory to the task of project management

can pay rich dividends.

SYSTEMS APPROACH TO PROJECT MANAGEMENT

A system consists of elements. All system elements are interrelated to each

other. It is characterized by definite order, discipline

and unity, that is, it is not a chaotic whole. A system is goal oriented. A system is primarily open. It is dynamic, that is, it is subject to constant

change. A system is complex.

System Features

Consists of elements Sun, planet, satellites etc.Elements are interrelated These elements are

interrelated to each otherGoal Oriented Supports life in case of

earthDefinite order and discipline

Move in a definite orbit and order

Primarily open Interact with other elements of the galaxy

Dynamic Charge over timeComplex Interrelationships among

the elements are complex

Example: Solar System

People• The most important element of a successful project Note: A manager must not forget that software projects are

people intensive Product• The product to be builtNote: A manager must encourage stakeholder communication

Process• The set of framework activities and tasks to get the job doneNote: A manager must choose appropriate process (in addition to

tools and techniques) Project

All work required to make the product a realityNote: A manager must prepare a sound project plan

EFFECTIVE PROJECT MANAGEMENT FOCUSES ON 4Ps

A project life cycle is the series of phases that a project passes through from its initiation to its closure. The phases are generally sequential, and their names and numbers are determined by the management and control needs of the organization or organizations involved in the project, the nature of the project itself, and its area of application. The phases can be broken down by functional or partial objectives, intermediate results or deliverables, specific milestones with in the overall scope of work, or financial availability. Phases are generally time bounded with a start and ending or control point.

Project Life Cycle

Projects vary in size and complexity. All projects can be mapped to the following generic life cycle structure• Starting the project,• Organizing and preparing• Carrying out the project work, and• Closing the project

Characteristics of the Project life Cycle

Characteristics of the Project life Cycle Cond.

Characteristics of the Project life Cycle Cond.

Project: Temporary and unique endeavorundertaken to create a product or service

Program: Group of related projectsmanaged in a coordinated manner to obtainbenefits and control not available frommanaging them individually

Portfolio: Collection of all projects and/ orprograms and other work grouped together to facilitate effective management of that work to meet strategic objectives

Project Management: application of knowledge, skills, tools/techniques to project activities to meet project require ments

Organizational Project Management: Application of knowledge, skills, tools/techniques to organizational and project activities to achieve the aims of an organization trough projects.

PROJCET, PROGRAM, PORTFOLIO AND MANAGEMENT

Portfolio management is an ongoing process of identifying, prioritizing, and investing in project that align with corporate strategy:

Organizational environment keeps changing dynamically Collective management of projects is important Return on investment needs to be optimized across all

projects Redundant/misaligned/underperforming projects need to be

deleted

Implementation Strategy

PORTFOLIO MANAGEMENT

Wrong strategy Right Implementation

Right strategy Right Implementation

Wrong strategy Wrong Implementation

Right strategy Wrong Implementation

In real world, the management is required to manage several projects at the same time.

Note: Ideally speaking, the projects should be pursued vigorously in a single-minded manner.

A group of projects which need to be managed together are collectively referred to as a program.

Managing such program is referred to as program management.

Program management gets involved with a project during planning, monitoring, and control stages.

Program mandate addresses the following:• What products/services will be delivered?• How the organization will benefit from them?

Program mandate also involves appointment of a program director (from the sponsoring group).

WHAT IS PROGRAM MANAGEMENT?

The objectives of program manager and project managers are at conflict with each other

PROGRAM MANAGEMENT AND PROJECT MANAGEMENT

Program Manager Project Manager

Many simultaneous projects Single project

Projects tend to be similar Projects tend to be dissimilar

"On-going" contact with resources "On-time" contact with resources

Maximize utilization of resources Minimize demand for resources

Q & A

Thank You