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Basic Project Management
Introduction and Overview of
         Project Management

           Prepared by:
  Anthony Bowen, CTC, MPA,MPM,PME,CIPM




                    Course: CP785/MW22 --Session1   3/30/2010   1
Project Management Statistics

The U.S. spends $2.3 trillion on projects every
year, an amount equal to one‐quarter of the
nation's gross domestic product.

The world as a whole spends nearly $10 trillion of
its $40.7 trillion gross product on projects of all
kinds.

More than sixteen million people regard project
management as their profession.¹ Source PMI


                                                      2
Project Management Job Market
   The average compensation for project
    management practitioners for U.S. practitioners
    is $101,505 - PMI Project Management Salary
    Survey-Fourth Edition
   In fact, there is a growing shortage of project
    talent as organizations have begun to recognize
    that project managers can improve business
    performance in any industry. According to a
    study published in October 2008 by the
    Anderson Economic Group, an average of 1.2
    million project management positions will need
    to be filled each year through 2016. (Source PMI)


                                                        3
Why Project Management ?
   Project Management is an in-demand skill set
    and one of the fastest growing professional
    disciplines in North America. Project
    Management breaks down the chaos of an
    overwhelming workload into manageable
    elements - scope, time, cost, quality, human
    resources, communication, risk,
    procurement, and integration of projects.




                                                   4
Project Management Certification
   PMI provides certification as a Project
    Management Professional (PMP)
   A PMP has documented sufficient project
    experience (3 years), agreed to follow a code
    of ethics, and passed the PMP exam
    ◦ (200 questions in 4 hours)
   More on certification found in Appendix C




                                           Copyright © 2010 Pearson
                                           Education, Inc. Publishing as
                                     3-5   Prentice Hall
Other PM organizations
   Although PMI is the largest professional project management society it is not
    alone. There are several others that are growing as well such as:
    •   the International Project Management Association (IPMA) and
    •   the Association of Project Management’s (APM) PRojects IN Controlled
        Environments (PRINCE2) methodology
    •   The American Academy of Project Management (AAPM) *AAPM -MPM
        Master Project Manager ™ Designation is the only Project Management
        Credential and certification that requires accredited college degree
        education.




                                                                  Copyright © 2010 Pearson
                                                                  Education, Inc. Publishing as
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Project Management Institute (PMI)
Certification
   Project Management Institute - www.pmi.org
    ◦ CAPM – Certified Associate in Project Management
      High School Diploma & 23 Hours of PM Education
       (everyone qualifies)
  ◦ PMP – Project Management Professional
 Education: High School Diploma & 5 years Project
  Management Experience + 35 hours Project
  Management Education Certificate
OR
 Bachelor’s Degree / global equivalent & 3 Years
  Project management Experience + 35 hours Project
  Management Education (QC)



                                                         7
What do CAPM /PMP candidates do?
   CAPM Candidates are responsible for
    individual project tasks in their
    area of expertise (e.g., finance,
    marketing, legal, customer care,
    market research, fulfillment,
    processing). The responsibility does
    not need to be industry specific, but
    must be relevant across many
    functional areas and industries.

   PMP - Candidates are responsible for
    all aspects of individual projects
    for the life of the project.


                                            8
American Academy of Project
Management (AAPM)
   Certifications with American Academy of Project Management (AAPM)
    ◦ www.aapm.info (MPM,CIPM,PME)
    ◦ MPM - Master Project Manager - The MPM ™ is the world's premier
      graduate masters certification for project managers. This credential is for
      college educated professionals who manage teams, departments, and
      employees. This designation is a project management certification
      designed for senior project managers and project directors. This is the
      Graduate Gold Standard of Project Management.
      PME - Project Management E-Business - International Charter Certification
      involves many specialized skills including: management, leadership,
      international law, marketing/SEO, ecommerce and IT concepts.
      CIPM - Certified International Project Manager - The Original International
      Charter Designation is designed for project managers and project leaders.
      This is the International Project Managers Credential and requires multi-
      national knowledge, training and skill sets
      (source) http://www.certifiedprojectmanager.org




                                                                                    9
Requirements for AAPM
   If you have 3 years of Project Management
    Experience and PM Training, you may apply for
    MPM™ Master Project Manager, CIPM ™ Certified
    International Project Manager ™ or PME ™ Project
    Manager E-Business ™ Board Certification. If you
    have a masters degree or qualified Project
    Management training or experience, you can
    apply for an exam executive waiver
   A 4 year Degree and 3 years PM Experience
   A Masters Degree and 1 year PM Experience
    ◦ & Graduate from an AAPM Approved Certificate Program


                                                             10
Queens Program Approved by
AAPM
   Oct. 2009 - AApM Alliance - City University of New
    York Queens College - This week, the AAPM © USA
    Board has formerly established new East and West
    Coast Chapters in New York and California. At the
    Queens College and City College New York City, the
    University of California in Silicon Valley, and the
    Thomas Jefferson School of Law Graduate Program in
    San Diego. Moreover, the West Indies and Singapore
    Societies are also licensed. With new representative
    offices in India, China, Cairo, New York, Silicon Valley
    and Latin America, AAPM is the first to provide
    graduate e-Business and Project Management
    Certification Standards in the world with over 10
    years of Global Presence online.

                                                               11
Queens College a PMI approved
program for Project Management
   Queens College is an approved provider
    program for Project Management Certification
    by PMI.
    https://www.pmi.org/CCRS/ProviderDetails.aspx




                                                    12
Project Management Knowledge Continues to Grow and Mature




    The PMBOK Guide – 2000 Edition is an ANSI
     standard
    Released end of `04 - PMBOK 3rd Edition
    Just released A Guide to the PMBOK 4th
     edition
    PMI’s certification department earned ISO
     9000 certification
    Hundreds of new books, articles, and
     presentations related to project management
     have been written in recent years
                                                                   Copyright © 2010 Pearson
                                                                   Education, Inc. Publishing as
                                                            3-13   Prentice Hall
Growth in PMPs Certifications, 1993 – 2008




                                             Copyright © 2010 Pearson Education,      3-
                                                   Inc. Publishing as Prentice Hall   14
The PMBOK
   The PMI Project Management Body of
    Knowledge framework used for the text is
    structured around:
     • five process groups which are made up of
     • component processes consisting of tools,
       techniques, and outcomes organized within
     • nine knowledge areas




                                               Copyright © 2010 Pearson
                                               Education, Inc. Publishing as
                                        3-15   Prentice Hall
What is a Project ?
   A PROJECT is a complex series of non-routine
    tasks directed to meet a specific one-time goal.
    The PROJECT MANAGER works to balance project
    scope, the time available to carry out the project,
    and the budget available for the project.
   A Temporary Endeavor Undertaken to Deliver a
    unique Product or Service. Such as:
    ◦   Booking Engine
    ◦   Website
    ◦   Database System
    ◦   Write a Book
    ◦   Build a bridge



                                                          16
Major Project Management
Achievements

    Great pyramids of Egypt
    Pacific Railroad
    Hoover Dam
    Manhattan Project
    Space program



                                                      1-
                               © 2008 Prentice Hall   17
Additional Definitions
   A project is a unique venture with a beginning
    and an end, conducted by people to meet
    established goals within parameters of cost,
    schedule and quality. Buchanan & Boddy 92

   Projects are goal-oriented, involve the
    coordinated undertaking of interrelated activities,
    are of finite duration, and are all, to a degree
    unique.                             Frame 95



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What Is a Project?
Key characteristics
   Key Characteristics:
    ◦   Temporary
    ◦   Unique
    ◦   Progressive Elaboration
    ◦   Single unique purpose




                                         Copyright © 2010 Pearson
                                         Education, Inc. Publishing as
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Projects Are Progressively
Elaborated
   Refers to the idea that execution of the
    project occurs in steps (phases) or small
    increments, adding features and definition
    until the final objective is achieved
   Concept applies to the scope, time, and cost
    of the project




                                           Copyright © 2010 Pearson
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What Is a Project, continued
   Secondary Characteristics:
    ◦ Each project must have a primary sponsor or
      champion
    ◦ Projects usually cut across organizational lines
      requiring resources from several different sources
    ◦ They must do something, deliver something of
      value




                                                 Copyright © 2010 Pearson
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Attributes of a Project
   •Unique Purpose
   •Temporary
   •Require Resources From Various Areas
   •Has a Primary Sponsor and/or Customer
   •Involves Uncertainty
   Never been done before
   Must contain a well-defined purpose
   Because each project is unique, creates
    uncertainty and risk


                                              22
Introduction
   Examples of projects
    ◦   Split the atom
    ◦   Chunnel between England and France
    ◦   Introduce Windows Vista
    ◦   Disneyland’s Expedition Everest


―Projects, rather than repetitive tasks, are now
  the basis for most value-added in business‖
                                 -Tom Peters


                                                Copyright © 2010 Pearson
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Elements of Projects
   Complex, one-time processes
   Limited by budget, schedule, and resources
   Developed to resolve a clear goal or set of
    goals

   Customer-focused




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General Project Characteristics
(1/2)

   Ad-hoc endeavors with a clear life cycle

   Building blocks in the design and execution of
    organizational strategies

   Responsible for the newest and most improved
    products, services, and organizational processes

   Provide a philosophy and strategy for the
    management of change


                                                Copyright © 2010 Pearson
                                                Education, Inc. Publishing as
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General Project Characteristics
(2/2)

   Entail crossing functional and organization
    boundaries

   Traditional management functions of planning,
    organizing, motivating, directing, and controlling
    apply

   Principal outcomes are the satisfaction of customer
    requirements within technical, cost, and schedule
    constraints

   Terminated upon successful completion

                                                Copyright © 2010 Pearson
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Features of Project & Process
Novel: has not been done before, not in exactly the same way.
May be managed across divisions or directorates.
Some key risks involved are not well understood.
Value to the organization is by delivering the project on time and on budget.

 • PROJECT Projects, in their purest form, create entirely new processes. Creating a new process
   necessarily involves doing new things.




Repeated continually: has been done before, will be done again.
Managed by a single division or department.
Most risks involved are well understood.
Value to the organization is created by continuous improvement of the process.

 • PROCESS Procedures that get repeated frequently are usually refined through experience to the point
   where they are unlikely to fail catastrophically.




                                                                                                         27
Process & Project Management                                (Table 1.1)


Process                               Project
1. Repeat process or product          1. New process or product
2. Several objectives                 2. One objective
3. Ongoing                            3. One shot – limited life
4. People are homogeneous             4. More heterogeneous
5. Systems in place to integrate      5. Systems must be created to
   efforts                               integrate efforts
6. Performance, cost, & time known    6. Performance, cost & time less
                                         certain
7. Part of the line organization      7. Outside of line organization
8. Bastions of established practice   8. Violates established practice
9. Supports status quo                9. Upsets status quo
                                                             Copyright © 2010 Pearson
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                                                             Prentice Hall                   28
Project Success Rates
   Software & hardware projects fail at a 65% rate

   Over half of all IT projects become runaways

   Up to 75% of all software projects are cancelled

   Only 2.5% of global businesses achieve 100%
    project success

   Average success of business-critical application
    development projects is 35%.


                                                Copyright © 2010 Pearson
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Why are Projects Important?
1.   Shortened product life cycles
2.   Narrow product launch windows
3.   Increasingly complex and technical products
4.   Emergence of global markets
5.   Economic period marked by low inflation




                                            Copyright © 2010 Pearson
                                            Education, Inc. Publishing as
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Why Project fail?
   One of the main reasons why projects fail is
    that they were not identified as being projects
    and so were not managed as projects.
    Understanding what projects are and knowing
    their features and how they differ from
    processes can help to reduce the amount of
    waste and risk in your organization.




                                                      31
Top Five Causes of
Project Failure
(OASIG Study)

1.   Lack of attention to human and
     organizational factors
2.   Poor project management
3.   Poor articulation of user requirements
4.   Inadequate attention to business needs
     and goals
5.   Failure to involve users appropriately

                                                      1-
                               © 2008 Prentice Hall   32
2004 Study by Wallace & Keil
1.    Lack of executive support
2.    Lack of user involvement
3.    Inexperienced project manager
4.    Inexperienced team members
5.    Unclear business objectives
6.    Unreliable estimates
7.    Lack of effective project management
      methodology
8.    New software infrastructure
9.    Unstable organizational environment
10.   Unreliable outside suppliers

                                                        1-
                                 © 2008 Prentice Hall   33
What is Project Management ?
   Project management is "The application of
    knowledge, skills, tools, and techniques to
    project activities in order to meet project
    requirements"²
   Project Management involves a series of
    activities - and a logical path to success.


   Source - ²PMI




                                                  34
What is Project Management?
   The application of knowledge, skills, tools,
    and techniques to project activities in order
    to meet project requirements.
   Involves five process groups:




                                                       1-
                                © 2008 Prentice Hall   35
Project Management Essentials
   The Application Of:
    ◦   Knowledge
    ◦   Skills
    ◦   Methodology
    ◦   Tools
    ◦   Techniques
    ◦   Templates




                                36
PMBOK Knowledge Areas




                                         1-
                  © 2008 Prentice Hall   37
Project Management Methodology
   Initiate – potential projects are identified and
    evaluated in terms of importance to the
    organization
   Plan – scope, time, cost and risk management
    planning takes place
   Execute – project plan is followed
   Control – project performance is measured against
    the project plan
   Close – final paper work completed and sign off by
    all stakeholders

                                                           1-
                                    © 2008 Prentice Hall   38
The Approach to Learning
Project Management
    Process Focus
    Team Focus
    Technology Focus
    PM Software
    Group Support Technologies
    Knowledge Management and Organizational
     Memory Systems
    Global Focus
    PM Professional Focus
                                                    1-
                             © 2008 Prentice Hall   39
Importance of Project Management



    Due to the size, complexity, and number of
     information technology (IT) projects,
     organizations face ever-increasing
     challenges
    Global U.S. government spending topped
     $150 billion in 2007
    Forrester Research estimates that global IT
     spending—purchases of computers,
     software, and services by companies and
     governments—will drop by 3 percent in
     2009, to $1.66 trillion
                                           Copyright © 2010 Pearson
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Importance of Project Management



    Forrester Research estimates that about 20
     percent of current IT budgets are going into
     project development
    Gartner ―In a worst case scenario, our research
     indicates an IT spending increase of 2.3
     percent in 2009, down from our earlier
     projection of 5.8 percent. Developed
     economies, especially the United States and
     western Europe, will be the worst affected, but
     emerging regions will not be immune. Europe
     will experience negative growth in 2009; the
     United States and Japan will be flat.‖

                                              Copyright © 2010 Pearson
                                              Education, Inc. Publishing as
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IT Projects Are Different
   Traditionally high turnover rates of IT workers
   Level of uniqueness and complexity of each
    project due to the rapid changes in technology
   Software is hard to visualize by the developer
    let alone the customer
   Difficulty in getting accurate customer
    requirements
   Rate of change in requirements
   Difficulty in testing all the possible states of
    software
   Constant training needed to keep team
    members current with the technology

                                             Copyright © 2010 Pearson
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IT Projects Are Different
                        Engineering/                       Information
   Category             Construction                       Technology
Requirement Changes   Slow, incremental               Rapid, unplanned

Source of Changes     Known, predictable              Many times not known

Requirements          Explicit plan                   Often ambiguous

Uniqueness            Higher commonality              Low commonality

Resources             Stable                          High turnover rates

Implementation        Structured, controlled          Often chaotic

Testing               Defined, measurable             Difficult test all options




                                                       Copyright © 2010 Pearson
                                                       Education, Inc. Publishing as
                                               1-43    Prentice Hall
Advantages of Using Formal Project Management Practices




    Improvement in customer satisfaction
    Better cost performance, higher return on
     investment
    Better schedule performance, better
     allocation of time commitments and better
     utilization of resources, higher productivity
    Increased quality reducing re-work
    Increase in delivering required features
    Will make everyone happier (stakeholders,
     team members, management…)
                                                                 Copyright © 2010 Pearson
                                                                 Education, Inc. Publishing as
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History of Project Management
   Modern project management began with the Manhattan Project, which the
    U.S. military led to develop the atomic bomb
   In 1917 Henry Gantt developed the Gantt chart as a tool for scheduling work
    in job shops
   In 1958, the Navy developed PERT charts
   In the 1970s, the military began using project management software, as did
    the construction industry
   By the 1990s, virtually every industry was using some form of project
    management




                                                                 Copyright © 2010 Pearson
                                                                 Education, Inc. Publishing as
                                                          1-45   Prentice Hall
Project Management Simplified
   Project Management is the discipline of
    organizing and managing resources (i.e.
    human, financial & material) in such a way
    that a project is completed within defined
    scope, quality, time and cost constraints.
    ◦ The first challenge of project management is to
      make sure that a project is delivered within defined
      constraints.
    ◦ The second, more ambitious, challenge is the
      optimized allocation and integration of inputs
      needed to meet pre-defined objectives.


                                                             46
PM Tools and Techniques

   Include:
   •Project Charter
   •Scope Statement
   •The Work Plan
   •Gantt Charts
   •Network Diagrams
   •Critical Path Analysis
   •Cost Estimates
   •Earned Value Management


                               47
Various Project Management
Tools/Techniques
   Gantt Chart
    ◦ Tool that can be used to plan and track project activities
   Critical Path Method (CPM)
    ◦ A method used for determining the sequence of task activities
      that directly affect the completion of a project
   Program Evaluation and Review Technique (PERT)
    ◦ A technique that uses optimistic, pessimistic, and realistic time to
      calculate the expected time for a particular task
   Microsoft Project
    ◦ Most widely used project management software
    ◦ http://office.microsoft.com/en-us/project/default.aspx
   Application Service Provider (ASP) software
    ◦ Web hosted project management software
   Industry-Specific software
    ◦ Software which addresses a specific industry or environment

                                                                             1-
                                              © 2008 Prentice Hall           48
Project Management Foundation

   Include:
    ◦   Core Knowledge Areas
    ◦   Core Processes
    ◦   Facilitating Processes
    ◦   Life Cycle Processes




                                 49
Project Manager
   The project manager is focused on making
    their project succeed; delivering the project is
    all, and if the project does not deliver the
    project then they have failed.




                                                       50
Project Manager Skills
Soft skills:                 Technical Skills:
◦ Leadership                   Project Management
◦ Team building                 software
◦ Negotiation                  Level of
◦ Conflict management
                                understanding of the
◦ Organization for self
  and others                    technology being
◦ Communication both            used in the project
  oral and written to both      (software, hardware,
  technical and non-            network, etc.)
  technical audiences          Basic knowledge of
◦ Change management             the business
◦ Active listening
                               Cost estimating and
                                budgeting
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Six Basic Functions of Successful
PM’s
1. manage project scope – make sure the team works on what
   is needed for the project and nothing else
2. manage human resources – the team must work together,
   this doesn’t just happen it takes a directed effort
3. manage communications – this occurs at many levels,
   teammates, customers, managers, vendors, and others
4. manage schedule – must keep people on schedule delivering
   work on time
5. manage quality – need to make sure that all work performed
   meets with customer expected levels of quality
6. manage costs – must keep an eye on the budget to make
   sure all the work can be done and not exceed the allocated
   budget


                                                   Copyright © 2010 Pearson
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A Project Manager Manages
Projects by:
   Setting clear and achievable objectives
   Identifying requirements
   Adapting the project to the various concerns
    of the stakeholders
   Balancing the demands of the triple
    constraint




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The Triple Constraint
   Every Project is Constrained in Different Ways
    ◦ Scope Goals:
      What is the Project Trying to Accomplish?
    ◦ Time Goals:
      How Long Should it Take to Complete?
    ◦ Cost Goals:
      What Should it Cost?


   It is the Project Manager's Duty to Balance Th
    ese Three Often Competing Goals


                                                     54
Project Budget, Schedule, & Scope
        Budget     • Budget
         Cost /    •People
       Resources   •Equipment
                   •Material




            Triple              Scope Mgmt.            Goals & Objectives
                                                       The work required to
          Constraint                                   complete them.




                   • The Timing of Sequence of Tasks
                   •Task
        Schedule
                   •Task Dependencies
                   •Duration
                   •Constraints




                                                                              55
The Triple Constraint (figure 1-4)




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Triple Constraint
   Every project is constrained by a list of
    customer-requested requirements (scope),
    the amount of time available to produce the
    system in support of the requirements (time),
    and the limit of money available (cost)
   Every project is constrained differently,
    according to the goals of the system owner
    (sponsor) and the project team



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Triple Constraint Trade-offs
   Reducing time allowed will increase cost
    (especially if overtime is required) and
    may reduce the scope (functions and
    features) of the system
   Reducing costs (cutting the budget) will
    increase time (delay schedule) and may
    reduce the scope (functions and
    features) of the system
   Increasing scope (adding features) will
    certainly increase time and/or cost
   Reducing scope may reduce time and
    cost (and it may also negatively affect
    quality)
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Project Stakeholders

   Stakeholders Are the People Involved in or Aff
    ected By Project Activities
   Stakeholders Include
    ◦   The Project Sponsor and Project Team
    ◦   Support Staff
    ◦   Customers
    ◦   Users
    ◦   Suppliers
    ◦   Opponents to the Project




                                                     59
Interacting Process Groups
   Figure 3-3 demonstrates how process
    groups exist within each phase of an
    iterative project
   The initiating process group is the
    process that begins the project as well as
    each phase. Each phase consists of all
    five process groups interacting over time
   Each phase as well as the entire project
    ends with the closing process. As each
    phase ends, the closing process reviews
    what was accomplished in the previous
    phase and what needs to be done or
    redone in the next phase
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Project Life Cycle




                     61
Project Life Cycles
Man Hours




 Conceptualization Planning     Execution      Termination
                              Fig 1.3 Project Life Cycle Stages
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Project Life Cycles
   Conceptualization - the development of the
    initial goal and technical specifications.
   Planning – all detailed specifications,
    schedules, schematics, and plans are
    developed
   Execution – the actual ―work‖ of the project is
    performed
   Termination – project is transferred to the
    customer, resources reassigned, project is
    closed out.

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Process Groups
   Initiating processes – authorizing the
    beginning or ending of a project or phase
   Planning processes – ensuring that the
    objectives of the project are achieved in the
    most appropriate way
   Executing processes – coordinating all
    resources (people and material) during the
    implementation of the project plan
   Controlling processes – monitoring of project
    variances from what was planned to actual
    progress
   Closing processes – formal acceptance of the
    project or a phase and updating of the
    project information base with lessons learned

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Process Groups and
Knowledge Areas

 Figure 3-1




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Process Groups Overlap in Time




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Process Groups Interacting in a Phase




       Figure 3-3

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                                              Inc. Publishing as Prentice Hall   67
Process Groups
   Process groups supply a roadmap to follow,
    and the knowledge areas describe the
    methods (for example, car, plane, bus) of
    how to get to our destination, which is
    project success




                                          Copyright © 2010 Pearson
                                          Education, Inc. Publishing as
                                   3-68   Prentice Hall
Project Life Cycles and Their Effects
                                                       Client Interest


                                                      Project Stake

                                                          Resources

                                                      Creativity




                                                      Uncertainty

Conceptualization lanning
                P           Execution   Termination

                                          Fig 1.4© 2010 Pearson
                                            Copyright
                                               Education, Inc. Publishing as
                                        1-69   Prentice Hall
Six Criteria for IT Project Success

   System quality
   Information quality
   Use
   User satisfaction
   Individual Impact
   Organizational impact



                                   Copyright © 2010 Pearson
                                   Education, Inc. Publishing as
                            1-70   Prentice Hall
PLC Initiation Phase
   Initiation - Define the Project
    ◦ The Initiating stage of project management includes
      examining the strategic fit for a proposed project. Before
      beginning a new project, an organization must determine
      that the project fits in with its strategic goals.
      Understanding the organization’s goals can help executives
      identify certain proposed projects focusing on mission-
      critical activities as high-priority, and other projects
      peripheral to organization goals as lower priority. During
      the Initiating stage, an executive sponsor should be
      identified. A high-level evaluation of the project’s business
      case should be developed, along with project limitations
      and technical and financial requirements. A project
      manager should be identified and a placeholder project
      plan set up in Microsoft Office Project 2003, Microsoft
      Project 2002, or Microsoft Project 2000.
        Source: MS Project Quick Reference Guide




                                                                      71
Project Initiation
   Link a Project to An Underlying Business Need
   Analyze and Understand the Stakeholders
   Build the Business Case
   Identify Constraints
   Document Assumptions
   Develop a Preliminary Scope Statement




                                                    72
Project Initiation




                     Copyright © 2010 Pearson Education,      3-
                           Inc. Publishing as Prentice Hall   73
PLC – Planning Phase
   Planning – Create the Plan & Assign Resources

    ◦ The Planning stage devises a workable scheme to
      accomplish the project’s intended goals and
      outcomes. In the Planning stage, you identify the
      project’s milestones, deliverables, and tasks. This
      plan can be your work breakdown structure (WBS).
      You develop and refine the schedule, and identify
      the resources needed to implement the project.
        Source: MS Project Quick Reference Guide




                                                            74
Project Planning




                   Copyright © 2010 Pearson Education,      3-
                         Inc. Publishing as Prentice Hall   75
Project Planning
   The Activities:
   •Develop a Work Breakdown Structure (WBS)
   •Estimate Resource Requirements
    ◦ Personnel
    ◦ Time Line
    ◦ Budget
   •Determine the Milestones
   •Develop the Work‐plan




                                                76
Structured Project Management
   Identify Risk
    ◦ Assess
    ◦ Quantify
    ◦ Manage
   Mitigation Strategies
   Contingency Planning
   Formal Change Control Processes
   Managing Organizational Change
   Communications
   Expectations

                                      77
PLC – Execution Phase
   Execution - Update and keep track
   Controlling – Communicate & Report
    ◦ The Executing/Controlling stage coordinates people
      and other resources to carry out the plan as defined
      in the project plan. The deliverables in this stage
      focus on managing change, entering schedule
      updates, tracking progress, and communicating
      project information. Each team member performs
      defined tasks within the project scope, ensuring
      their contribution to the project’s success.
        Source: MS Project Quick Reference Guide




                                                             78
Project Execution




                    Copyright © 2010 Pearson Education,      3-
                          Inc. Publishing as Prentice Hall   79
Project Execution
   The Interrelationships
    ◦ Planning
    ◦ Execution
    ◦ Control
   The Constraints
    ◦ Scope
    ◦ Schedule
    ◦ Cost




                             80
Project Control
   Monitoring and Control
    ◦   The   Work
    ◦   The   Time
    ◦   The   Budget
    ◦   The   Deliverables
    ◦   The   Communications
    ◦   The   Quality
    ◦   The   Completion




                               81
Project Monitoring & Control




                               Copyright © 2010 Pearson Education,      3-
                                     Inc. Publishing as Prentice Hall   82
PLC – Closing Phase
   Closing – close out the project
    ◦ The Closing stage includes final details for
      completing a project. Resolve any final project
      details, and obtain customer acceptance of final
      deliverables. Conduct a Lessons Learned session,
      recording information about areas for improvement
      and best practices. Make any final updates to the
      project plan. Finally, archive the project plan
      according to your organization’s project data
      archival guidelines.
        Source: MS Project Quick Reference Guide




                                                          83
Managing Expectations
   Identify Stakeholder Requirements
    ◦ Deliverables
    ◦ On‐going Communications
   Define Roles and Responsibilities
   Manage Expectations




                                        84
Project Closure
   Gain Acceptance for Deliverables
   Implement the Transition Plan
   Assess the Lessons Learned
   Archive Information
   Close out the Team
   Conclude the Project




                                       85
Project
Closeout




           Copyright © 2010 Pearson Education,      3-
                 Inc. Publishing as Prentice Hall   86
Project Management Recap!
   Projects are the means to bring about change faster than it would
    happen otherwise; projects accelerate change to beyond the rate at
    which the organization naturally evolves and changes.
   Projects have a definite start and end point. (This contrasts with
    processes, which continue in a cycle.) Once a project reaches its
    objective, it finishes.
   Projects have high risk. This is an outcome of accelerated change.
   Projects are about doing something new. Consequently, projects have to
    develop new approaches and means of doing things.
   Projects come in all sizes and every variety of difficulty. Some can be
    planned, managed and executed all by the same person working part
    time. Others require tens of thousands of people working on many sites
    doing many different things.
   All of them share some common features and will benefit from some
    parts of the body of knowledge that has built up around project
    management in general, but which parts of the body of knowledge
    should be applied will vary according to the specifics of the project.




                                                                              87
Advantages of Project Management
   Better Control of Resources
   Improved Customer Relations
   Shorter Development Times
   Lower Costs
   Higher Quality and Increased Reliability
   Higher Profit Margins
   Improved Productivity
   Better Internal Coordination
   Higher Worker Morale


                                               88
Next Session: Introduction
   The nine knowledge areas of project management
    are:
   Project Integration Management.
   Project Scope Management.
   Project Time Management.
   Project Cost Management.
   Project Quality Management.
   Project Human Resource Management.
   Project Communication Management.
   Project Risk Management.
   Project Procurement Management.

    Source : PMI Handbook




                                                     89
Knowledge Areas
   The knowledge areas represent the body of
    knowledge that a project manager must have
    in order to consistently deliver successful
    projects that meet a customer’s expectations
    in terms of scope, time, cost, and quality of
    the project deliverables




                                           Copyright © 2010 Pearson
                                           Education, Inc. Publishing as
                                    3-90   Prentice Hall
PMBOK Knowledge Areas
   Integration Management
   Scope Management
   Time Management
   Cost Management
   Quality Management
   Human Resources Management
   Communications Management
   Risk Management
   Procurement Management

                                        Copyright © 2010 Pearson
                                        Education, Inc. Publishing as
                                 3-91   Prentice Hall
PM Core Knowledge Areas
   Core Knowledge Areas: Objectives
    ◦   Scope
    ◦   Time
    ◦   Cost
    ◦   Quality
   Facilitating Knowledge Areas: Achievement
    ◦   Human Resources
    ◦   Communication
    ◦   Risk
    ◦   Procurement
    ◦   Project Integration Management


                                                92
The PM Process Machine




              Copyright © 2010 Pearson Education,      3-
                    Inc. Publishing as Prentice Hall   93

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Basic Project Management Qc Session1

  • 1. Basic Project Management Introduction and Overview of Project Management Prepared by: Anthony Bowen, CTC, MPA,MPM,PME,CIPM Course: CP785/MW22 --Session1 3/30/2010 1
  • 2. Project Management Statistics The U.S. spends $2.3 trillion on projects every year, an amount equal to one‐quarter of the nation's gross domestic product. The world as a whole spends nearly $10 trillion of its $40.7 trillion gross product on projects of all kinds. More than sixteen million people regard project management as their profession.¹ Source PMI 2
  • 3. Project Management Job Market  The average compensation for project management practitioners for U.S. practitioners is $101,505 - PMI Project Management Salary Survey-Fourth Edition  In fact, there is a growing shortage of project talent as organizations have begun to recognize that project managers can improve business performance in any industry. According to a study published in October 2008 by the Anderson Economic Group, an average of 1.2 million project management positions will need to be filled each year through 2016. (Source PMI) 3
  • 4. Why Project Management ?  Project Management is an in-demand skill set and one of the fastest growing professional disciplines in North America. Project Management breaks down the chaos of an overwhelming workload into manageable elements - scope, time, cost, quality, human resources, communication, risk, procurement, and integration of projects. 4
  • 5. Project Management Certification  PMI provides certification as a Project Management Professional (PMP)  A PMP has documented sufficient project experience (3 years), agreed to follow a code of ethics, and passed the PMP exam ◦ (200 questions in 4 hours)  More on certification found in Appendix C Copyright © 2010 Pearson Education, Inc. Publishing as 3-5 Prentice Hall
  • 6. Other PM organizations  Although PMI is the largest professional project management society it is not alone. There are several others that are growing as well such as: • the International Project Management Association (IPMA) and • the Association of Project Management’s (APM) PRojects IN Controlled Environments (PRINCE2) methodology • The American Academy of Project Management (AAPM) *AAPM -MPM Master Project Manager ™ Designation is the only Project Management Credential and certification that requires accredited college degree education. Copyright © 2010 Pearson Education, Inc. Publishing as 3-6 Prentice Hall
  • 7. Project Management Institute (PMI) Certification  Project Management Institute - www.pmi.org ◦ CAPM – Certified Associate in Project Management  High School Diploma & 23 Hours of PM Education (everyone qualifies) ◦ PMP – Project Management Professional  Education: High School Diploma & 5 years Project Management Experience + 35 hours Project Management Education Certificate OR  Bachelor’s Degree / global equivalent & 3 Years Project management Experience + 35 hours Project Management Education (QC) 7
  • 8. What do CAPM /PMP candidates do?  CAPM Candidates are responsible for individual project tasks in their area of expertise (e.g., finance, marketing, legal, customer care, market research, fulfillment, processing). The responsibility does not need to be industry specific, but must be relevant across many functional areas and industries.  PMP - Candidates are responsible for all aspects of individual projects for the life of the project. 8
  • 9. American Academy of Project Management (AAPM)  Certifications with American Academy of Project Management (AAPM) ◦ www.aapm.info (MPM,CIPM,PME) ◦ MPM - Master Project Manager - The MPM ™ is the world's premier graduate masters certification for project managers. This credential is for college educated professionals who manage teams, departments, and employees. This designation is a project management certification designed for senior project managers and project directors. This is the Graduate Gold Standard of Project Management. PME - Project Management E-Business - International Charter Certification involves many specialized skills including: management, leadership, international law, marketing/SEO, ecommerce and IT concepts. CIPM - Certified International Project Manager - The Original International Charter Designation is designed for project managers and project leaders. This is the International Project Managers Credential and requires multi- national knowledge, training and skill sets (source) http://www.certifiedprojectmanager.org 9
  • 10. Requirements for AAPM  If you have 3 years of Project Management Experience and PM Training, you may apply for MPM™ Master Project Manager, CIPM ™ Certified International Project Manager ™ or PME ™ Project Manager E-Business ™ Board Certification. If you have a masters degree or qualified Project Management training or experience, you can apply for an exam executive waiver  A 4 year Degree and 3 years PM Experience  A Masters Degree and 1 year PM Experience ◦ & Graduate from an AAPM Approved Certificate Program 10
  • 11. Queens Program Approved by AAPM  Oct. 2009 - AApM Alliance - City University of New York Queens College - This week, the AAPM © USA Board has formerly established new East and West Coast Chapters in New York and California. At the Queens College and City College New York City, the University of California in Silicon Valley, and the Thomas Jefferson School of Law Graduate Program in San Diego. Moreover, the West Indies and Singapore Societies are also licensed. With new representative offices in India, China, Cairo, New York, Silicon Valley and Latin America, AAPM is the first to provide graduate e-Business and Project Management Certification Standards in the world with over 10 years of Global Presence online. 11
  • 12. Queens College a PMI approved program for Project Management  Queens College is an approved provider program for Project Management Certification by PMI. https://www.pmi.org/CCRS/ProviderDetails.aspx 12
  • 13. Project Management Knowledge Continues to Grow and Mature  The PMBOK Guide – 2000 Edition is an ANSI standard  Released end of `04 - PMBOK 3rd Edition  Just released A Guide to the PMBOK 4th edition  PMI’s certification department earned ISO 9000 certification  Hundreds of new books, articles, and presentations related to project management have been written in recent years Copyright © 2010 Pearson Education, Inc. Publishing as 3-13 Prentice Hall
  • 14. Growth in PMPs Certifications, 1993 – 2008 Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 14
  • 15. The PMBOK  The PMI Project Management Body of Knowledge framework used for the text is structured around: • five process groups which are made up of • component processes consisting of tools, techniques, and outcomes organized within • nine knowledge areas Copyright © 2010 Pearson Education, Inc. Publishing as 3-15 Prentice Hall
  • 16. What is a Project ?  A PROJECT is a complex series of non-routine tasks directed to meet a specific one-time goal. The PROJECT MANAGER works to balance project scope, the time available to carry out the project, and the budget available for the project.  A Temporary Endeavor Undertaken to Deliver a unique Product or Service. Such as: ◦ Booking Engine ◦ Website ◦ Database System ◦ Write a Book ◦ Build a bridge 16
  • 17. Major Project Management Achievements  Great pyramids of Egypt  Pacific Railroad  Hoover Dam  Manhattan Project  Space program 1- © 2008 Prentice Hall 17
  • 18. Additional Definitions  A project is a unique venture with a beginning and an end, conducted by people to meet established goals within parameters of cost, schedule and quality. Buchanan & Boddy 92  Projects are goal-oriented, involve the coordinated undertaking of interrelated activities, are of finite duration, and are all, to a degree unique. Frame 95 Copyright © 2010 Pearson Education, Inc. Publishing as 1-18 Prentice Hall
  • 19. What Is a Project? Key characteristics  Key Characteristics: ◦ Temporary ◦ Unique ◦ Progressive Elaboration ◦ Single unique purpose Copyright © 2010 Pearson Education, Inc. Publishing as 1-19 Prentice Hall
  • 20. Projects Are Progressively Elaborated  Refers to the idea that execution of the project occurs in steps (phases) or small increments, adding features and definition until the final objective is achieved  Concept applies to the scope, time, and cost of the project Copyright © 2010 Pearson Education, Inc. Publishing as 1-20 Prentice Hall
  • 21. What Is a Project, continued  Secondary Characteristics: ◦ Each project must have a primary sponsor or champion ◦ Projects usually cut across organizational lines requiring resources from several different sources ◦ They must do something, deliver something of value Copyright © 2010 Pearson Education, Inc. Publishing as 1-21 Prentice Hall
  • 22. Attributes of a Project  •Unique Purpose  •Temporary  •Require Resources From Various Areas  •Has a Primary Sponsor and/or Customer  •Involves Uncertainty  Never been done before  Must contain a well-defined purpose  Because each project is unique, creates uncertainty and risk 22
  • 23. Introduction  Examples of projects ◦ Split the atom ◦ Chunnel between England and France ◦ Introduce Windows Vista ◦ Disneyland’s Expedition Everest ―Projects, rather than repetitive tasks, are now the basis for most value-added in business‖ -Tom Peters Copyright © 2010 Pearson Education, Inc. Publishing as 1-23 Prentice Hall
  • 24. Elements of Projects  Complex, one-time processes  Limited by budget, schedule, and resources  Developed to resolve a clear goal or set of goals  Customer-focused Copyright © 2010 Pearson Education, Inc. Publishing as 1-24 Prentice Hall
  • 25. General Project Characteristics (1/2)  Ad-hoc endeavors with a clear life cycle  Building blocks in the design and execution of organizational strategies  Responsible for the newest and most improved products, services, and organizational processes  Provide a philosophy and strategy for the management of change Copyright © 2010 Pearson Education, Inc. Publishing as 1-25 Prentice Hall
  • 26. General Project Characteristics (2/2)  Entail crossing functional and organization boundaries  Traditional management functions of planning, organizing, motivating, directing, and controlling apply  Principal outcomes are the satisfaction of customer requirements within technical, cost, and schedule constraints  Terminated upon successful completion Copyright © 2010 Pearson Education, Inc. Publishing as 1-26 Prentice Hall
  • 27. Features of Project & Process Novel: has not been done before, not in exactly the same way. May be managed across divisions or directorates. Some key risks involved are not well understood. Value to the organization is by delivering the project on time and on budget. • PROJECT Projects, in their purest form, create entirely new processes. Creating a new process necessarily involves doing new things. Repeated continually: has been done before, will be done again. Managed by a single division or department. Most risks involved are well understood. Value to the organization is created by continuous improvement of the process. • PROCESS Procedures that get repeated frequently are usually refined through experience to the point where they are unlikely to fail catastrophically. 27
  • 28. Process & Project Management (Table 1.1) Process Project 1. Repeat process or product 1. New process or product 2. Several objectives 2. One objective 3. Ongoing 3. One shot – limited life 4. People are homogeneous 4. More heterogeneous 5. Systems in place to integrate 5. Systems must be created to efforts integrate efforts 6. Performance, cost, & time known 6. Performance, cost & time less certain 7. Part of the line organization 7. Outside of line organization 8. Bastions of established practice 8. Violates established practice 9. Supports status quo 9. Upsets status quo Copyright © 2010 Pearson Education, Inc. Publishing as 1- Prentice Hall 28
  • 29. Project Success Rates  Software & hardware projects fail at a 65% rate  Over half of all IT projects become runaways  Up to 75% of all software projects are cancelled  Only 2.5% of global businesses achieve 100% project success  Average success of business-critical application development projects is 35%. Copyright © 2010 Pearson Education, Inc. Publishing as 1-29 Prentice Hall
  • 30. Why are Projects Important? 1. Shortened product life cycles 2. Narrow product launch windows 3. Increasingly complex and technical products 4. Emergence of global markets 5. Economic period marked by low inflation Copyright © 2010 Pearson Education, Inc. Publishing as 1-30 Prentice Hall
  • 31. Why Project fail?  One of the main reasons why projects fail is that they were not identified as being projects and so were not managed as projects. Understanding what projects are and knowing their features and how they differ from processes can help to reduce the amount of waste and risk in your organization. 31
  • 32. Top Five Causes of Project Failure (OASIG Study) 1. Lack of attention to human and organizational factors 2. Poor project management 3. Poor articulation of user requirements 4. Inadequate attention to business needs and goals 5. Failure to involve users appropriately 1- © 2008 Prentice Hall 32
  • 33. 2004 Study by Wallace & Keil 1. Lack of executive support 2. Lack of user involvement 3. Inexperienced project manager 4. Inexperienced team members 5. Unclear business objectives 6. Unreliable estimates 7. Lack of effective project management methodology 8. New software infrastructure 9. Unstable organizational environment 10. Unreliable outside suppliers 1- © 2008 Prentice Hall 33
  • 34. What is Project Management ?  Project management is "The application of knowledge, skills, tools, and techniques to project activities in order to meet project requirements"²  Project Management involves a series of activities - and a logical path to success.  Source - ²PMI 34
  • 35. What is Project Management?  The application of knowledge, skills, tools, and techniques to project activities in order to meet project requirements.  Involves five process groups: 1- © 2008 Prentice Hall 35
  • 36. Project Management Essentials  The Application Of: ◦ Knowledge ◦ Skills ◦ Methodology ◦ Tools ◦ Techniques ◦ Templates 36
  • 37. PMBOK Knowledge Areas 1- © 2008 Prentice Hall 37
  • 38. Project Management Methodology  Initiate – potential projects are identified and evaluated in terms of importance to the organization  Plan – scope, time, cost and risk management planning takes place  Execute – project plan is followed  Control – project performance is measured against the project plan  Close – final paper work completed and sign off by all stakeholders 1- © 2008 Prentice Hall 38
  • 39. The Approach to Learning Project Management  Process Focus  Team Focus  Technology Focus  PM Software  Group Support Technologies  Knowledge Management and Organizational Memory Systems  Global Focus  PM Professional Focus 1- © 2008 Prentice Hall 39
  • 40. Importance of Project Management  Due to the size, complexity, and number of information technology (IT) projects, organizations face ever-increasing challenges  Global U.S. government spending topped $150 billion in 2007  Forrester Research estimates that global IT spending—purchases of computers, software, and services by companies and governments—will drop by 3 percent in 2009, to $1.66 trillion Copyright © 2010 Pearson Education, Inc. Publishing as 1-40 Prentice Hall
  • 41. Importance of Project Management  Forrester Research estimates that about 20 percent of current IT budgets are going into project development  Gartner ―In a worst case scenario, our research indicates an IT spending increase of 2.3 percent in 2009, down from our earlier projection of 5.8 percent. Developed economies, especially the United States and western Europe, will be the worst affected, but emerging regions will not be immune. Europe will experience negative growth in 2009; the United States and Japan will be flat.‖ Copyright © 2010 Pearson Education, Inc. Publishing as 1-41 Prentice Hall
  • 42. IT Projects Are Different  Traditionally high turnover rates of IT workers  Level of uniqueness and complexity of each project due to the rapid changes in technology  Software is hard to visualize by the developer let alone the customer  Difficulty in getting accurate customer requirements  Rate of change in requirements  Difficulty in testing all the possible states of software  Constant training needed to keep team members current with the technology Copyright © 2010 Pearson Education, Inc. Publishing as 1-42 Prentice Hall
  • 43. IT Projects Are Different Engineering/ Information Category Construction Technology Requirement Changes Slow, incremental Rapid, unplanned Source of Changes Known, predictable Many times not known Requirements Explicit plan Often ambiguous Uniqueness Higher commonality Low commonality Resources Stable High turnover rates Implementation Structured, controlled Often chaotic Testing Defined, measurable Difficult test all options Copyright © 2010 Pearson Education, Inc. Publishing as 1-43 Prentice Hall
  • 44. Advantages of Using Formal Project Management Practices  Improvement in customer satisfaction  Better cost performance, higher return on investment  Better schedule performance, better allocation of time commitments and better utilization of resources, higher productivity  Increased quality reducing re-work  Increase in delivering required features  Will make everyone happier (stakeholders, team members, management…) Copyright © 2010 Pearson Education, Inc. Publishing as 1-44 Prentice Hall
  • 45. History of Project Management  Modern project management began with the Manhattan Project, which the U.S. military led to develop the atomic bomb  In 1917 Henry Gantt developed the Gantt chart as a tool for scheduling work in job shops  In 1958, the Navy developed PERT charts  In the 1970s, the military began using project management software, as did the construction industry  By the 1990s, virtually every industry was using some form of project management Copyright © 2010 Pearson Education, Inc. Publishing as 1-45 Prentice Hall
  • 46. Project Management Simplified  Project Management is the discipline of organizing and managing resources (i.e. human, financial & material) in such a way that a project is completed within defined scope, quality, time and cost constraints. ◦ The first challenge of project management is to make sure that a project is delivered within defined constraints. ◦ The second, more ambitious, challenge is the optimized allocation and integration of inputs needed to meet pre-defined objectives. 46
  • 47. PM Tools and Techniques   Include:  •Project Charter  •Scope Statement  •The Work Plan  •Gantt Charts  •Network Diagrams  •Critical Path Analysis  •Cost Estimates  •Earned Value Management 47
  • 48. Various Project Management Tools/Techniques  Gantt Chart ◦ Tool that can be used to plan and track project activities  Critical Path Method (CPM) ◦ A method used for determining the sequence of task activities that directly affect the completion of a project  Program Evaluation and Review Technique (PERT) ◦ A technique that uses optimistic, pessimistic, and realistic time to calculate the expected time for a particular task  Microsoft Project ◦ Most widely used project management software ◦ http://office.microsoft.com/en-us/project/default.aspx  Application Service Provider (ASP) software ◦ Web hosted project management software  Industry-Specific software ◦ Software which addresses a specific industry or environment 1- © 2008 Prentice Hall 48
  • 49. Project Management Foundation  Include: ◦ Core Knowledge Areas ◦ Core Processes ◦ Facilitating Processes ◦ Life Cycle Processes 49
  • 50. Project Manager  The project manager is focused on making their project succeed; delivering the project is all, and if the project does not deliver the project then they have failed. 50
  • 51. Project Manager Skills Soft skills: Technical Skills: ◦ Leadership  Project Management ◦ Team building software ◦ Negotiation  Level of ◦ Conflict management understanding of the ◦ Organization for self and others technology being ◦ Communication both used in the project oral and written to both (software, hardware, technical and non- network, etc.) technical audiences  Basic knowledge of ◦ Change management the business ◦ Active listening  Cost estimating and budgeting Copyright © 2010 Pearson Education, Inc. Publishing as 1-51 Prentice Hall
  • 52. Six Basic Functions of Successful PM’s 1. manage project scope – make sure the team works on what is needed for the project and nothing else 2. manage human resources – the team must work together, this doesn’t just happen it takes a directed effort 3. manage communications – this occurs at many levels, teammates, customers, managers, vendors, and others 4. manage schedule – must keep people on schedule delivering work on time 5. manage quality – need to make sure that all work performed meets with customer expected levels of quality 6. manage costs – must keep an eye on the budget to make sure all the work can be done and not exceed the allocated budget Copyright © 2010 Pearson Education, Inc. Publishing as 1-52 Prentice Hall
  • 53. A Project Manager Manages Projects by:  Setting clear and achievable objectives  Identifying requirements  Adapting the project to the various concerns of the stakeholders  Balancing the demands of the triple constraint Copyright © 2010 Pearson Education, Inc. Publishing as 1-53 Prentice Hall
  • 54. The Triple Constraint  Every Project is Constrained in Different Ways ◦ Scope Goals:  What is the Project Trying to Accomplish? ◦ Time Goals:  How Long Should it Take to Complete? ◦ Cost Goals:  What Should it Cost?  It is the Project Manager's Duty to Balance Th ese Three Often Competing Goals 54
  • 55. Project Budget, Schedule, & Scope Budget • Budget Cost / •People Resources •Equipment •Material Triple Scope Mgmt. Goals & Objectives The work required to Constraint complete them. • The Timing of Sequence of Tasks •Task Schedule •Task Dependencies •Duration •Constraints 55
  • 56. The Triple Constraint (figure 1-4) Copyright © 2010 Pearson Education, Inc. Publishing as 1-56 Prentice Hall
  • 57. Triple Constraint  Every project is constrained by a list of customer-requested requirements (scope), the amount of time available to produce the system in support of the requirements (time), and the limit of money available (cost)  Every project is constrained differently, according to the goals of the system owner (sponsor) and the project team Copyright © 2010 Pearson Education, Inc. Publishing as 1-57 Prentice Hall
  • 58. Triple Constraint Trade-offs  Reducing time allowed will increase cost (especially if overtime is required) and may reduce the scope (functions and features) of the system  Reducing costs (cutting the budget) will increase time (delay schedule) and may reduce the scope (functions and features) of the system  Increasing scope (adding features) will certainly increase time and/or cost  Reducing scope may reduce time and cost (and it may also negatively affect quality) Copyright © 2010 Pearson Education, Inc. Publishing as 1-58 Prentice Hall
  • 59. Project Stakeholders  Stakeholders Are the People Involved in or Aff ected By Project Activities  Stakeholders Include ◦ The Project Sponsor and Project Team ◦ Support Staff ◦ Customers ◦ Users ◦ Suppliers ◦ Opponents to the Project 59
  • 60. Interacting Process Groups  Figure 3-3 demonstrates how process groups exist within each phase of an iterative project  The initiating process group is the process that begins the project as well as each phase. Each phase consists of all five process groups interacting over time  Each phase as well as the entire project ends with the closing process. As each phase ends, the closing process reviews what was accomplished in the previous phase and what needs to be done or redone in the next phase Copyright © 2010 Pearson Education, Inc. Publishing as 3-60 Prentice Hall
  • 62. Project Life Cycles Man Hours Conceptualization Planning Execution Termination Fig 1.3 Project Life Cycle Stages Copyright © 2010 Pearson Education, Inc. Publishing as 1-62 Prentice Hall
  • 63. Project Life Cycles  Conceptualization - the development of the initial goal and technical specifications.  Planning – all detailed specifications, schedules, schematics, and plans are developed  Execution – the actual ―work‖ of the project is performed  Termination – project is transferred to the customer, resources reassigned, project is closed out. Copyright © 2010 Pearson Education, Inc. Publishing as 1-63 Prentice Hall
  • 64. Process Groups  Initiating processes – authorizing the beginning or ending of a project or phase  Planning processes – ensuring that the objectives of the project are achieved in the most appropriate way  Executing processes – coordinating all resources (people and material) during the implementation of the project plan  Controlling processes – monitoring of project variances from what was planned to actual progress  Closing processes – formal acceptance of the project or a phase and updating of the project information base with lessons learned Copyright © 2010 Pearson Education, Inc. Publishing as 3-64 Prentice Hall
  • 65. Process Groups and Knowledge Areas Figure 3-1 Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 65
  • 66. Process Groups Overlap in Time Copyright © 2010 Pearson Education, Inc. Publishing as 3-66 Prentice Hall
  • 67. Process Groups Interacting in a Phase Figure 3-3 Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 67
  • 68. Process Groups  Process groups supply a roadmap to follow, and the knowledge areas describe the methods (for example, car, plane, bus) of how to get to our destination, which is project success Copyright © 2010 Pearson Education, Inc. Publishing as 3-68 Prentice Hall
  • 69. Project Life Cycles and Their Effects Client Interest Project Stake Resources Creativity Uncertainty Conceptualization lanning P Execution Termination Fig 1.4© 2010 Pearson Copyright Education, Inc. Publishing as 1-69 Prentice Hall
  • 70. Six Criteria for IT Project Success  System quality  Information quality  Use  User satisfaction  Individual Impact  Organizational impact Copyright © 2010 Pearson Education, Inc. Publishing as 1-70 Prentice Hall
  • 71. PLC Initiation Phase  Initiation - Define the Project ◦ The Initiating stage of project management includes examining the strategic fit for a proposed project. Before beginning a new project, an organization must determine that the project fits in with its strategic goals. Understanding the organization’s goals can help executives identify certain proposed projects focusing on mission- critical activities as high-priority, and other projects peripheral to organization goals as lower priority. During the Initiating stage, an executive sponsor should be identified. A high-level evaluation of the project’s business case should be developed, along with project limitations and technical and financial requirements. A project manager should be identified and a placeholder project plan set up in Microsoft Office Project 2003, Microsoft Project 2002, or Microsoft Project 2000.  Source: MS Project Quick Reference Guide 71
  • 72. Project Initiation  Link a Project to An Underlying Business Need  Analyze and Understand the Stakeholders  Build the Business Case  Identify Constraints  Document Assumptions  Develop a Preliminary Scope Statement 72
  • 73. Project Initiation Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 73
  • 74. PLC – Planning Phase  Planning – Create the Plan & Assign Resources ◦ The Planning stage devises a workable scheme to accomplish the project’s intended goals and outcomes. In the Planning stage, you identify the project’s milestones, deliverables, and tasks. This plan can be your work breakdown structure (WBS). You develop and refine the schedule, and identify the resources needed to implement the project.  Source: MS Project Quick Reference Guide 74
  • 75. Project Planning Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 75
  • 76. Project Planning  The Activities:  •Develop a Work Breakdown Structure (WBS)  •Estimate Resource Requirements ◦ Personnel ◦ Time Line ◦ Budget  •Determine the Milestones  •Develop the Work‐plan 76
  • 77. Structured Project Management  Identify Risk ◦ Assess ◦ Quantify ◦ Manage  Mitigation Strategies  Contingency Planning  Formal Change Control Processes  Managing Organizational Change  Communications  Expectations 77
  • 78. PLC – Execution Phase  Execution - Update and keep track  Controlling – Communicate & Report ◦ The Executing/Controlling stage coordinates people and other resources to carry out the plan as defined in the project plan. The deliverables in this stage focus on managing change, entering schedule updates, tracking progress, and communicating project information. Each team member performs defined tasks within the project scope, ensuring their contribution to the project’s success.  Source: MS Project Quick Reference Guide 78
  • 79. Project Execution Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 79
  • 80. Project Execution  The Interrelationships ◦ Planning ◦ Execution ◦ Control  The Constraints ◦ Scope ◦ Schedule ◦ Cost 80
  • 81. Project Control  Monitoring and Control ◦ The Work ◦ The Time ◦ The Budget ◦ The Deliverables ◦ The Communications ◦ The Quality ◦ The Completion 81
  • 82. Project Monitoring & Control Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 82
  • 83. PLC – Closing Phase  Closing – close out the project ◦ The Closing stage includes final details for completing a project. Resolve any final project details, and obtain customer acceptance of final deliverables. Conduct a Lessons Learned session, recording information about areas for improvement and best practices. Make any final updates to the project plan. Finally, archive the project plan according to your organization’s project data archival guidelines.  Source: MS Project Quick Reference Guide 83
  • 84. Managing Expectations  Identify Stakeholder Requirements ◦ Deliverables ◦ On‐going Communications  Define Roles and Responsibilities  Manage Expectations 84
  • 85. Project Closure  Gain Acceptance for Deliverables  Implement the Transition Plan  Assess the Lessons Learned  Archive Information  Close out the Team  Conclude the Project 85
  • 86. Project Closeout Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 86
  • 87. Project Management Recap!  Projects are the means to bring about change faster than it would happen otherwise; projects accelerate change to beyond the rate at which the organization naturally evolves and changes.  Projects have a definite start and end point. (This contrasts with processes, which continue in a cycle.) Once a project reaches its objective, it finishes.  Projects have high risk. This is an outcome of accelerated change.  Projects are about doing something new. Consequently, projects have to develop new approaches and means of doing things.  Projects come in all sizes and every variety of difficulty. Some can be planned, managed and executed all by the same person working part time. Others require tens of thousands of people working on many sites doing many different things.  All of them share some common features and will benefit from some parts of the body of knowledge that has built up around project management in general, but which parts of the body of knowledge should be applied will vary according to the specifics of the project. 87
  • 88. Advantages of Project Management  Better Control of Resources  Improved Customer Relations  Shorter Development Times  Lower Costs  Higher Quality and Increased Reliability  Higher Profit Margins  Improved Productivity  Better Internal Coordination  Higher Worker Morale 88
  • 89. Next Session: Introduction  The nine knowledge areas of project management are:  Project Integration Management.  Project Scope Management.  Project Time Management.  Project Cost Management.  Project Quality Management.  Project Human Resource Management.  Project Communication Management.  Project Risk Management.  Project Procurement Management. Source : PMI Handbook 89
  • 90. Knowledge Areas  The knowledge areas represent the body of knowledge that a project manager must have in order to consistently deliver successful projects that meet a customer’s expectations in terms of scope, time, cost, and quality of the project deliverables Copyright © 2010 Pearson Education, Inc. Publishing as 3-90 Prentice Hall
  • 91. PMBOK Knowledge Areas  Integration Management  Scope Management  Time Management  Cost Management  Quality Management  Human Resources Management  Communications Management  Risk Management  Procurement Management Copyright © 2010 Pearson Education, Inc. Publishing as 3-91 Prentice Hall
  • 92. PM Core Knowledge Areas  Core Knowledge Areas: Objectives ◦ Scope ◦ Time ◦ Cost ◦ Quality  Facilitating Knowledge Areas: Achievement ◦ Human Resources ◦ Communication ◦ Risk ◦ Procurement ◦ Project Integration Management 92
  • 93. The PM Process Machine Copyright © 2010 Pearson Education, 3- Inc. Publishing as Prentice Hall 93