3. AN ENTERPRISE CAREFULLY PLANNED TO
ACHIEVE A PARTICULAR AIM
A PROPOSED PLANNED UNDERTAKING
PROPOSED PLAN OF ACTION
INTEGRATION OF 5 M’s
MEN
MATERIAL
MONEY
MACHINES
METHOD

4. CONSTRAINTS OF A PROJECT

5. KEY FOCUS
PLAN
DO
CHECK
ACT

8. In project management, the term scope has two distinct uses:
• Project Scope
• Product Scope.
Scope involve getting information required to start a project, and the features the product
would have that would meet its stakeholders requirements.
Project Scope
"The work that needs to be accomplished to deliver a product, service, or result with the
specified features and functions."
Product Scope
"The features and functions that characterize a product, service, or result."
Project Scope is more work-oriented, (the how’s)
while Product Scope is more oriented towards functional requirements. (the what’s)

11. Creating the WBS: subdividing the major project deliverables into
smaller, more manageable components
Validating scope: formalizing acceptance of the project deliverables
Controlling scope: controlling changes to project scope throughout the life of the
project
* WBS- WORK BREAKDOWN STRUCTURE

12. • Product scope can be defined as the features or characteristics
of a product itself.
• Whether considering design, function or component parts,
the key point is that product scope refers to the actual tangible product.
• In the case of a good, questions of product scope would address how it works, how it
is physically made and how it can be improved in future iterations.
• Product scope does not have to refer to goods, Services or other forms of output can
also be products as long as their production is the end goal of a process.
• In the case of a service, product scope focuses on the actual tasks and responsibilities
of the personnel delivering the service.

15. Civil Engineering,
Construction,
Petrochemical,
Mining, and
Quarrying Manufacturing
Projects
Management
Projects

16. Civil Engineering, Construction, Petrochemical, Mining, and
Quarrying
• Projects in this category are those which spring to mind most readily whenever industrial
projects are mentioned.
• Once common feature is that the fulfilment phase must be conducted on a site that is
exposed to the elements, and usually remote from the contractor's main office.
• These projects incur special risks and problems of organization.
• They often require massive capital investment, and they deserve (but do not always get)
rigorous management of progress, finance, and quality.
• For very large industrial projects the funding and resources needed are often too great for
one contractor to risk or even find.
• The organization and communications are therefore likely to be complicated by the
participation of many different specialists and contractors, with the main players possibly
acting together as a consortium or joint venture company.

17. Manufacturing Projects
• Manufacturing projects aim to produce a piece of equipment or machinery, ship, aircraft,
land vehicle or some other item of specially designed hardware.
• The finished product might be purpose-built for a single customer, or the project could be
generated and funded from within a company for the design and development of a new
product intended for subsequent manufacture and sale in quantity.
• Manufacturing projects are usually conducted in a factory or other home-based
environment, where the company should be able to exercise on-the-spot management and
provide an optimum environment.
• Of course, these ideal conditions do not always apply.
• Some manufacturing projects can involve work away from the home base, for example in
installation, commissioning and start-up, initial customer training and subsequent service
and maintenance.
• More difficult is the case of a complex product (such as an aircraft) that is developed and
manufactured by a consortium of companies, very possibly overlapping international
borders, with all the consequent problems of risk, contractual difficulties, communication,
coordination, and control.

18. Management Projects
• This class of projects proves the point that every company, whatever its size, can expect to
need project management expertise at least once in its lifetime.
• These are the projects that arise when companies relocate their headquarters, develop and
introduce a new computer system, launch a marketing campaign, prepare for a trade
exhibition, produce feasibility or other study report, restructure the organization, mount a
stage show, or generally engage in any operation that involves the management and co-
ordination of activities to produce an end result that is not identifiable principally as an item
of hardware or construction.
• Although management projects might not result in a visible, tangible creation, much often
depends on their successful outcome.
• There are well-known cases, for instance, where failure to implement a new computer system
correctly has caused serious operational breakdown and has exposed the managers
responsible to public discredit.
• Effective project management is at least as important for these projects as it is for the largest
construction or manufacturing project.

20. Generation and Screening of a project idea begins when someone with
specialized knowledge or expertise or some other competence feels that he
can offer a product or service
♦ Which can cater to a presently unmet need and demand
♦ To serve a market where demand exceeds supply
♦ Which can effectively compete with similar products or services due to its
better quality/price etc.
An organization has to identify investment opportunities which are feasible
and promising before taking a full fledged project analysis to know which
projects merit further examination and appraisal.

21. GENERATION OF PROJECT IDEA
MONITORING THE ENVIRONMENT
CORPORATE APPRAISAL
LOOKING FOR PROJECT IDEAS
PRELIMINARY SCREENING
PROJECT RATING INDEX
SOURCES OF POSITIVE NET PRESENT VALUE
ENTREPRENEUIRAL SKILLS