Chapter # 1
Introduction
To
Project Management
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Definition of the Project:
Project is a sequence of unique, complex and
connected activities having one goal or purpose
and that must be completed by a specific time,
within budget, and according to specification.
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Definition of the Project (Cont,d):
Definition: 2
A series of activities and tasks that
◦ Have a specific objective to be completed within certain specifications;
◦ Have defined start and end dates;
◦ Have funding limits;
◦ Consume resources (i.e., money, people, & equipment).
Definition: 3
◦ A project is a unique venture with a beginning and an end, conducted
by people to meet established goals within parameters of cost, schedule
(time) and quality.
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Definition (Cont’d):
• SEQUENCE OF ACTIVITIES:
A project comprises a number of activities that must be completed in
some specified order.
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Definition (Cont’d):
• UNIQUENESS:
Every project has some elements that are unique.
No two construction or R&D projects are precisely alike.
For example, many thousands of office buildings have been developed, but each
individual facility is unique – different owner, different design, different location,
different contractors, and so on.
• The presence of repetitive elements does not change the fundamental uniqueness
of the project work.
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Definition (Cont’d):
• COMPLEX ACTIVITIES:
The activities that comprise the project are relatively complex. That is,
they are not simple, repetitive acts, such as mowing (cutting) the lawn
or car washing.
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Definition (Cont’d):
• CONNECTED ACTIVITIES:
Connectedness follows the fact that the output from one activity is
input to another.
e.g. we must design the computer program before we can program it.
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Definition (Cont’d):
ONE GOAL:
Project must have a single goal as compared to a program, which can have
many goals.
SPECIFIED TIME:
Projects have a specified completion date.
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Definition (Cont’d):
WIHTIN BUDGET:
Projects also have resource limits, such as a limited amount of people,
money, machines that are dedicated to the project. While these may be
adjusted up or down by management, they are considered fixed
resources to the project managers.
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Project Specification:
• Project may be self implemented or customer specified. E.g.
construction of house by the contractor (can be both).
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Project can also be defined as:
All those activities that have start and end, objective and constraints are
known as project.
OR
• A project is a one shot, time limited, goal directed and requiring the
commitment of varied skill and resources.
OR
• A project is a temporary endeavor undertaken to create a unique product,
service or a result.
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Why we study Project Management
• Project management methods have a competitive advantages. Why?
Because competition is rapidly becoming time-based, as well as cost
based.
• If you can get a product or service to market faster than anyone else, you
have an advantage on your competition. Furthermore, if you can control
the costs of your work better than others, you can sell your products or
services with high market share.
Projects vs. Operations:
• Operations are ongoing and repetitive activities conducted by the staff, Some of these include:
• • Financial management and control
• • Continuous manufacturing
• • Product distribution
• Projects are temporary and unique, and are performed by teams that have:
• • Clearly defined team and individual roles
• • Open and effective communication systems
• • Visible rewards for good performance, and have constant pressure to improve poor
performance
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Projects vs. Operations:
• Similarities:
• Performed by people
• Constrained by limited resources
• Planned, executed, monitored and controlled
• Differences:
• Operations are ongoing and repetitive
• Purpose is to sustain the organization by setting new objectives
and continuing the work
• Projects are temporary and unique
• Purpose is to attain the objective, then terminate
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Program:
• A collection of related projects managed in a coordinated way.
• Done to achieve the program’s strategic objectives and benefits
• Example
• Polio Eradication Program
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Portfolio:
• A collection of programs that may or may not be related.
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Some thing interesting….
A project is an old concept
and new approach.
Solution:
Some Examples of Projects:
1. Launch a new product. Project
2. Manage a research unit. Functional
3. Conduct an appraisal. Functional
4. Raise £50,000 in sponsorship. Project
5. Sell Company services. Functional
6. Review existing procedures. Project
7. Administrate Theatre Company. Functional
8. Supervise the office. Functional
9. Build a house. Project
10. Write a book. Project
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Some Examples of Projects (Cont,d):
• Designing and implementing an auto tax filing system in a revenue collection organization.
• Developing a web site of your department
• Executing an environmental clean-up of a contaminated site.
• Holding a University alumni (graduates) reunion.
• Provision of clean water to Afghani nation by 2011.
• Developing a new product or service.
• Effecting a change in structure, staffing, or style of an organization.
• Developing or acquiring a new or modified information system.
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Characteristics of a Project:
1. Goal and Objectives
2. Life span
3. Teamwork
4. Complex & Unique activities
5. Constraints of time, cost and quality
6. RISK and uncertainty
7. Resources (Constraints of availability)
8. Definite start and end
9. Specific budget
10. Limited in Scope.
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Kinds of Project (on the basis of cost, quality,
time):
1. Normal project
2. Crash project
3. Disaster project
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Kinds of project (cost, quality, time):
[Link] project
Completion of project within given time, given cost and up to the
satisfaction Level.
[Link] project
Time and cost can overlap but no compromise on quality
3. Disaster project
Overlap in time and cost but compromise on quality as well.
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Project Parameters:
Five interdependent set of constraints of a project are important for the success or
failure of a project they operate on every project.
1. Time
2. Cost
3. Quality
4. Scope
5. Resources
• These are interdependent. Change in one may cause changes in others. Therefore,
these have to be maintained in Equilibrium or balance.
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Project Parameters (Cont,d):
1. Scope :
It is a statement that defines the boundaries of the project. It tells not only what will be
done but also what will not be done.
for information industry its referred to functional specification, in engineering
profession: its called statement of work. Scope may be referred to as a document of
understanding, a scoping statement, a project initiation statement, and a project
request form.
The scope may change due to Request of the Client, External factors or other reasons.
These changes in scope should be carefully and professionally managed and properly
documented by the project management.
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Project Parameters (Cont,d):
2. Cost :
• Project Cost or budget is another variable which has to be calculated properly and
then monitored regularly. It also defines the project.
• Clients usually offer a certain amount for the work.
• Project management proposes detailed estimates of the total cost for completion
of the work according to desired quality in the given timeframe. Project
management and client negotiate and finally decide on these estimates.
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Project Parameters (Cont,d):
3. Time:
• Time duration is calculated for each activity and completion time of the project.
• The customer specifies a time frame or deadline date within which the project must be
completed. (to a certain extent time and cost are inversely related ).
• Time is an important resource which should be used in an efficient and effective
manner in order to keep the project on schedule. Completion of project within the
specified time schedule is very important for Market- based or commercial project.
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Project Parameters (Cont,d):
4. Resources:
Resources are assets, such as people, equipment, physical facilities or inventory.
• Common resources may be as follows:
• 1) Men 2) Machine 3) Materials 4) Money 5) Time 6) Space.
• Resources are estimated for the activities based on their sequential order and time
frame.
• There is trade off between Resources Required and Resources Available.
• There are usually Constraints of availability of resources (Quantity, Quality & at
required time.)
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Project Parameters (Cont,d):
5. Quality:
• In projects, Quality is of two types:
1. Quality of Product or Services or both. It means the Deliverables
2. Quality of Project Management Process.
• An effective Quality management system should be in place to regularly monitor
Product / Services Quality as well as Process Quality.
• This will ensure
a) Customer’s Satisfaction &
b) Efficient and Effective use of Organizational Resources.
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Project Parameters (Cont,d):
Cost Time Scope
+
Quality
Resources
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Defining Project Management:
• The application of knowledge, skills, tools and techniques to
project activities to meet project requirements.
• Organizing and managing resources so the project is completed
within defined scope, quality, time and cost constraints.
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Defining Project Management (Cont,d):
• Project management involves project planning and project monitoring and
involves such items as:
• Project Planning
• Definition of work requirements
• Definition of quantity and quality of work
• Definition of resources needed
• Project Monitoring
• Tracking progress
• Comparing actual outcome to predicted outcome
• Analyzing impact
• Making adjustments
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Defining Project Management (Cont,d):
Project management is the planning, organizing, directing, and
controlling of company resources for a relatively short term
objective that has been established to complete specific goals and
objectives.
Harold Kerzner, Project Management,.
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Defining Project Management (Cont,d):
• Project Management
• the management activities of planning, directing, and controlling
resources (people, equipment, material) to meet the technical, cost,
and time considered to a project
• Dr. Mathias lapin
Defining Project Management (Cont,d):
• A tool to help us consistently complete projects on time, within budget,
while meeting acceptable quality standards.
• The discipline of planning, organizing, and managing resources to bring
about the successful completion of specific goals and objectives.
• Dr. Tobias alvi
Who is a Project Manager?
• A person responsible for the planning, directing, controlling and
reporting results of a project from beginning to completion.
• A successful project manager must be able to complete the
entire project from start to end and to have the ability to gain the
goals of the project.
Role of the Project Manager:
• Success or failure of project depends on skills of the project manager
Beginning of project – plan and organize
During project – monitor and control
• Responsibilities are both internal and external
Internal Responsibilities:
• Identify project tasks and develop the project schedule
• Recruit and train team members
• Assign team members to tasks
• Coordinate activities of team members and sub teams
• Monitor and control project tasks
• Verify the quality of project tasks
External Responsibilities:
• Establish good working relationships with people who get
direct benefit of the project.
The target area people
• Work directly with the stakeholders from outside.
The Challenges:
• The primary challenge of project management is to achieve all
of the project goals and objectives while keeping the project
quality, time and budget.
• The secondary—challenge is to do the priority and direct the
activities and resources in the proper place, in order to achieve
the project defined objectives.
Importance of project management:
Identify when you’ll finish a project
Avoid setting impossible deadlines
Discover issues early/manage risks
Know how much it will really cost
Identify whether the product is worth the cost
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Thanks from your attention!
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