Project Management

Lecture #1
Introduction

Faiz Rasool

OVER VIEW OF PROJECT MANAGEMENT

Basic Core of Knowledge
needed to understand
Project Management
Support Functions:
Time Management,
Conflicts, special
topics
Executive involvement
and the critical success
factors for predicting
project success
Quantitative chapters on
planning, scheduling, cost
control and estimation
Deals with trade-off on
time, cost, performance

Faiz

Advanced topics in
project management
and future trends

OVER VIEW OF PROJECT MANAGEMENT

Basic Core of Knowledge
needed to understand
Project Management
6. Time Management
7. Conflicts
8. Special Topics

Support Functions:
Time Management,
Conflicts, special
topics

1. Overview
2. Systems Theory and Concepts
3. Organizational Structures
4. Organizing and Staffing
5. Management Functions

Executive involvement
and the critical success
factors for predicting
project success

9. Variables for Success

10. Working with Executives

11. Planning
Quantitative chapters on
planning, scheduling, cost
12. Network Scheduling Techniques
control and estimation
13.Project Graphics
14. Pricing and Estimating
Deals with trade-off on
15. Cost Control
16. Trade-Off Analysis
time, cost, performance

17. Risk Management

Advanced topics in
project management
and future trends

What is a PROJECT?
A Project can be considered to be any 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 (if applicable)
Consume resources (i.e., money, people, equipment)

INTRODUCTION OF PROJECT MANAGEMENT

Planning
PLANNING

Definition of quantity and quality of work

Scheduling

Definition of work requirements

Routing planned work

Use of optimization
techniques like Gantt

Definition of Resources needed

SCHEDULING

Use of Techniques like

PERT/CPM

Controlling
Tracking Progress
Compare actual with predicted

CONTROL

Analyzing impact
Make adjustments

WHAT IS A SUCCESSFUL PROJECT MANAGEMENT

A SUCCESSFUL PROJECT MANAGEMENT CAN BE
DEFINED HAVING ACHIEVED THE PROJECT
OBJECTIVES
Within time
Within cost
At the desired performance/technology level
While utilizing the assigned resources effectively and efficiently
Accepted by the customer
With acceptance by the customer or user
When you can use the customers name as reference

BENEFITS FROM PROJECT MANAGEMENT

Identification of Functional Responsibilities
To ensure that all activities are accounted for
Minimizing the need for continuous reporting
Identification of time limits for scheduling
Identification of a methodology for trade-off analysis
Measurement of accomplishment against plans
Early identification of problems, so that corrective action may follow
Improved estimating capability for future planning
Knowing when objective cannot be met or will be exceeded

OBSTACLES IN PROJECT MANAGEMENT

Project Complexity
Customers special requirements
Organizational Restructuring
Project Risks
Changes in Technology
Forward planning and Pricing

OVERVIEW OF PROJECT MANAGEMENT

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GOOD CUSTOMER RELATIONS

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RESOURCES

PROJECT MANAGER-FUNCTIONAL MANAGER

INTERFACE

Project managers

Executives

Functional
managers

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PROJECT MANAGER-FUNCTIONAL MANAGER

INTERFACE
Most companies have the following resources,
1. Money

4. Facilities

2. Manpower

5. Materials

3. Equipment

6. Information Technology

Project managers
control only Project Money.

Functional managers
control resources
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PROJECT MANAGER-FUNCTIONAL MANAGER

INTERFACE

Project management is more behavioral than quantitative.

Effective project management requires an understanding of,
Quantitative tools and techniques
Organizational structures
Organizational behavior
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DEFINING PROJECT MANAGERS ROLE

Project Managers have increasing responsibility, but very little authority.
This lack of authority forces them to negotiate with upper level
management as well as functional management.

Interface Management
Managing human interrelationships in the project organization
Maintaining balance between technical and managerial project functions
Coping with risk associated with project management
Surviving organizational restraints

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DEFINING FUNCTIONAL MANAGERS ROLE

Define how the task will be done

Where the task will be done
Provide sufficient resources to accomplish the objective within constraints

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DEFINING FUNCTIONAL MANAGERS CONSTRAINTS

Unlimited work requests especially during competitive bidding
Predetermined deadlines
All requests having a high priority
Limited number of resources
Unscheduled changes in project plan
Unpredicted lack of progress
Unplanned absence of resources
Unplanned loss of resources
Unplanned turnover of personal

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DEFINING THE EXECUTIVES ROLE

New expectations of and new interfacing role:

Project planning and objective setting
Conflict resolution
Priority setting
Project sponsor

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WORKING WITH EXECUTIVES

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Pro
ject

ge r
ana
e M
Lin

Success
Successof
of
PM
PM
Executives

Ma n
ager

WORKING WITH EXECUTIVES

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WORKING WITH EXECUTIVES

Project Sponsor
Senior Management
Project Sponsor
Lower Middle Management

RELATIONSHIP
Project
Sponsor
Project
Manager

Project Team

Objective setting
Up-front planning
Project organization
Key staffing
Key staffing
Master planning
Polices
Monitoring execution

Project
Manager
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THE GROWTH OF PROJECT MANGEMENT

The following questions give some insight as to whether formal
project management is necessary,
Are the jobs complex ?
Are there dynamic environmental considerations ?
Are the constraints tight ?
Are there several activities to be integrated ?
Are there several functional boundaries to be crossed ?

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THE GROWTH OF PROJECT MANGEMENT

PM if properly implemented, can make it easier for executives
to overcome obstacles such as.
Unstable economy
Shortages
Soaring costs
Increased complexity
Heightened competition
Technological changes
Societal concerns
Consumerism
Ecology
Quality of Work

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THE GROWTH OF PROJECT MANGEMENT

If these obstacles are not controlled the results can be,
Decreased profits
Increased manpower needs
Cost overruns
Scheduled delays, and penalty payments
An inability to cope up with new technology
R&D results to late to benefit existing product lines
New products introduction into market will be delayed
Temptation to hasty decisions
Management insisting on earlier and greater returns
Greater difficulty in establishing on target objectives

in real time
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THE GROWTH OF PROJECT MANGEMENT

Project Initiation:
$$$$$$$$$$$$$$$$

Planner

Director

Frustrated
Project Completion:
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LOCATION OF THE PROJECT MANAGER

President

What salary?

60

Who to report?

Vice President

50

Director

40

Division

30

Department

20

Section

10

Laborer

1-9
Grades

Project
Driven

Ideally project managers

should be at the same pay
scale as the people they
negotiate.
Non - Project
Driven

Location depend upon upon

the
Type of organization
Responsibility
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PROJECT MANAGEMENT APPROACHES

Concurrent Engineering:
Task non series in nature
PM for minimizing risk
Total Quality Management:
Manufacturing oriented organization are slow in accepting
project management benefits.
PM can be benefits for TQM because
Higher demand for quality
Increase reliance on venders
Rapid industrial growth, local and global
Demand for shorter time cycle for D & D.
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