CHAPTER-ONE

GENERAL INTRODUCTION OF PROJECT

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 Chapter outline

1.1 Meaning and definition of project

1.2 Features of a project
1.3 Projects, Programs and Development Plans
1.4 Overview of Project Planning in Ethiopia

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 1.1 Meaning and definition of project

What is project?
How can you define project ?
List the projects from your experience
• A project is a series of activities aimed at achieving
specified objectives within a defined time period and
with a defined budget (EU, 2002)

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 Project is…
A project can be described as a combination of human and
material resources pooled together in an organization to
achieve a specific objective.
According to USA Project Management Institute,
“Project is a one shot, time limited, goal directed, major
undertaking, requiring the commitment of varied skills and
resources”
It also describes a project as “a combination of human and
non-human resources pooled together in a temporary
organization to achieve a specific purpose.”

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 Cont..

ISO-8402. ( ISO document defines project as)

• A unique process consisting of a set of coordinated and
controlled activities with start and finish dates,
undertaken to achieve an objective conforming to
specific requirement including constraints of time, cost
and resources.

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 Project is..(comprehensive def.)
• A project is a temporary endeavor undertaken to
create a unique product, service, or result. It has a
defined beginning and end, specific objectives, and is
conducted within certain constraints such as time, cost,
and resources.
• Projects are distinct from routine operations, as they
aim to achieve singular goals and bring about change
or added value. (William M., 2023)
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 Examples of Project

Developing a new product or Designing a new vehicle.

service. Building a water system for a
Constructing a building. community.

Construction of a bridge or a road. Organizing a meeting (Hosing

Effecting change in a structure of conference).

an organisation. Planning a wedding.

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 Cont..

A major misconception about a project is relating it to only

construction or creation of such physical facilities as buildings,
roads and dams. However, project may involve intangible things
such as
 Eradication of diseases
 Creation of awareness
 Combating harmful practices
 Capacity building

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 1.2 Features or Characteristics of a project

The special characteristics of project that differentiate it from any

other on-going activities, are

1. Objective: A project has a fixed set of objectives. Once the

objectives are achieved the project ceases to exist.
2. Life span: A project can not continue endlessly. It has to come to
an end at some time.
3. Single entity: A project is a single entity and is normally entrusted
to one responsibility centre, while participants in the project are
many.
4. Life cycle: A project has a life cycle reflected by growth, maturity
and decay.

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 Cont..
5. Uniqueness: No two projects are exactly similar even if the plants
are exactly identical or are duplicated.
• the location,
• the infrastructure,
• the agencies and
• the people make each project unique.
6. Team work: Any project calls for team work-. The team members
may be from different
• discipline,
• organization, and even country

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 Cont..

7. Change: A project sees many changes through out its life.

While some of these changes may not have any major impact,
there can be changes which will change the entire course of the
project.
8. Risk and Uncertainty: Every project has a risk associated
with it.
The degree of risk and uncertainty will depend on how a
project has passed through the various stages of its life cycle.

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 Cont..
9. Unity in diversity: A project is complex set of varieties. Varieties in
terms of
• Technology
• Equipment's and material
• People and machinery
• Work culture and ethics
But they remain interrelated.
10. High level of sub contracting : A high percentage of a work in a
project is done through contractors. The more complex is a project, the
more will be the extent of contracting.

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 1.3 Operations, Projects, Programs and Plans
1. Operations
It’s ongoing activity that sustain business Example:- Running a
functions customer support center
Duration – continuous, ongoing and repetitive
E.g:- Amazon’s
Purpose – Maintain business efficiency and logistics network, where
consistency warehouses and
Sustain the organization delivery operations
Outcome – Standardized, repeatable results function daily to fulfill
People – Functional teams generally aligned orders.
with organizational structure

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 2. Projects
Temporary efforts to create a unique product, Example:- Developing
service, or result. a new software
Duration – Temporary, Has a defined start application.
and end NASA's Artemis
Purpose – Introduce change, innovation, or program, which aims
improvements to land astronauts on
• Attain objectives and the Moon by 2026.
terminate This is a project
• Outcome – Unique product, service, or result because it has a
• People – Dynamic, temporary teams formed unique goal and
to meet project needs. timeline.
• Generally not aligned with organizational structure
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 Cont,…
3. Plans
• Planning is defined as the process of determining organizational
goals and the courses of actions for attaining these goals.
• What ? goals
• When? time
• How ? Method

• The how? of the plan can be answered through programs and projects.

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 Cont..
4. Programs
Definition- A collection of related projects managed in a coordinated
way
Scope- Broader, includes multiple projects
Duration- Long-term, may last for years
Objective- Achieves strategic business goals by managing related
projects
Management- Oversees interdependencies between projects

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 Example of programs and project
Programs of one state:-
• The national goal/plan: Poverty Eradication
• Strategy: Increase productivity ( in all sectors)
• Development program: Increase agricultural
productivity

This may result in a number of projects like,

• Construction of dams ( irrigation infrastructure)
• Upgrading the skill of agricultural practices
• Construction of training centers

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Similarities Between Operations, Plans, Programs,
and Projects
1. Goal-Oriented - All aim to achieve specific objectives, whether
maintaining efficiency (operations), setting a direction (plan),
managing multiple related efforts (program), or delivering a specific
output (project).
2. Require Management - Each involves planning, execution,
monitoring, and control to ensure efficiency, effectiveness, and
alignment with organizational goals.
3. Involve Resources - They all require human, financial, and material
resources for successful execution.

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4. Decision-Making - Each process involves decision-making,
risk assessment, and prioritization to align with business or
organizational strategy
5. Use of Tools & Processes – they utilize methodologies,
frameworks, and tools such as project management software,
strategic planning models, and workflow automation.
6. Can Be Interdependent - Projects and programs may
contribute to operations, and plans guide both projects and
operations. For example, an IT transformation plan may
include a cybersecurity program and individual projects,
eventually improving business operations.

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 Project Management
 What is project management?
• It’s a set of principles, practices, and techniques applied
to lead project teams and control project schedule, cost,
and performance risks to result in delighted customers.
• It includes planning, organizing, directing, and
controlling project activities in addition to motivating
what is usually the most expensive resource on the
project - the people.

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 • According to PMBOOK,
Project management is the application of knowledge,
skills, tools and techniques to project activities in order
to meet project requirements [PMI, 2008].
• The art of directing and coordinating human and
material resources throughout the life of a project by
using modern management techniques to achieve
predetermined objectives of scope, cost, time, quality
and participant satisfaction.
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• All management functions are required to effectively
and efficiently manage resources required to
complete the project.
• The objective of project management is to optimize
project cost, time, quality and performance.

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 Project Manager
• The project manager is the person assigned to manage a
specific project, who is expected to meet the approved
objectives of a project, including project scope, budget,
and schedule.

• The project manager has overall responsibility for

planning, organizing, integrating, controlling, leading,
decision-making, communicating, and building a
supportive climate for the project.

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• It is the responsibility of the project manager
to make sure that the customer is satisfied that
the work scope is completed in a quality
manner, within budget, and on time.
• Team members. The people who work with the
project manager to accomplish project goals and
complete project activities.

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 A Good Project Manager
Some of the characteristics of a good project manager

Takes ownership of the whole project

Is proactive not reactive
Adequately plans the project
Is Authoritative(able to be trusted as being accurate
or true; reliable.)
Is Decisive(having or showing the ability to make decisions
quickly and effectively)

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 • Is a Good Communicator
• Manages by data and facts
• Leads by example
• Has sound Judgement
• Is a Motivator
• Is Diplomatic
• Can Delegate

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 Critical Success Factors of A project
Factors that are critical to project success

1. Clearly defined goals 6. Customer involvements

and project mission and consultation
2. Top management 7. Good communication
support [Link] to
3. A competent project customers
manager 9. Proper monitoring and
4. A competent project feedback
team 10. Appropriate
5. Sufficient resources technology
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1.4 Overview of Project Planning in Ethiopia
• Project planning in Ethiopia follows structured frameworks
influenced by national development policies, international
best practices, and the country's socio-economic context.
• Project planning in Ethiopia is a dynamic process that
requires strategic alignment with national goals/
government priorities, efficient resource allocation/
mobilization, and stakeholder collaboration/ engagement.
 Below is an overview of key aspects of project planning in
Ethiopia:-

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 1. Legal and Policy Framework
• Project planning in Ethiopia is guided by national development plans
and legal frameworks, including:
A. Homegrown Economic Reform Plan (HGERP) – Focuses on
economic transformation and sustainable growth.
B. Ten-Year Development Plan (2021-2030) – Aims for
industrialization, infrastructure expansion, and social development.
C. Ethiopian Investment Law – Regulates foreign and domestic
investments to align with national priorities.
D. Public Procurement and Property Administration Proclamation
– Governs project implementation and procurement processes.

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 2. Project Planning Process
• Project planning in Ethiopia typically involves:
A. Needs Assessment: Identifying key issues, challenges, and development
gaps.
B. Feasibility Study: Evaluating technical, financial, environmental, and
social viability.
C. Stakeholder Engagement: Involving government agencies, donors,
NGOs, and the private sector.
D. Budgeting and Financing: Securing funding from domestic revenues,
foreign aid, public-private partnerships (PPPs), and international financial
institutions.
E. Risk Assessment: Identifying and mitigating potential challenges such as
political instability, climate change, and economic fluctuations.

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 3. Key Sectors in Project Planning
• Project planning in Ethiopia focuses on various sectors, including:
A. Infrastructure Development – Roads, railways, energy, and
telecommunications projects.
B. Agriculture and Rural Development – Modernization of farming,
irrigation, and agribusiness initiatives.
C. Manufacturing and Industry – Expansion of industrial parks and
special economic zones.
D. Health and Education – Strengthening healthcare systems and
improving access to education.
E. Environmental Sustainability – Climate resilience projects,
afforestation, and renewable energy initiatives.

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 4. Challenges in Project Planning

• Despite efforts to improve project planning, Ethiopia faces several

challenges:
A. Bureaucratic Delays: Lengthy approval processes and regulatory
hurdles.
B. Funding Constraints: Heavy reliance on external aid and loans.
C. Capacity Gaps: Limited technical and managerial expertise.
D. Political and Security Issues: Instability affecting project
implementation.

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 5. Future Prospects and Opportunities
• To enhance project planning and implementation, Ethiopia is focusing
on:
A. Digital Transformation: E-Government and digital project
management tools.
B. Public-Private Partnerships (PPPs): Encouraging private sector
involvement.
C. Decentralization: Strengthening regional and local project planning
capacities.
D. Green Growth Strategies: Investing in renewable energy and
climate adaptation projects.

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