The Project Management Fundamentals

WHAT IS A PROJECT?

Organizations perform work. Work generally could be classified into either Operations or Projects, although in some cases both of them may overlap. Both Operations and Projects share many characteristics in common like:

a)     People perform both the activities.

b)    Both are constrained by limited resources.

c)     Both are planned, executed, and controlled.

 DIFFERENCE BETWEEN OPERATIONS & PROJECT

·         Operations and Projects differ primarily in its repeatability.Operations are ongoing and repetitive whereas PROJECTS are Temporary and Unique.

·         A Project is thus defined in terms of its distinctive characteristics—a project is a temporary endeavour undertaken to create a unique product or service.

·         “Temporary” means that every project has A Definite Beginning and A Definite End.

·         “Unique” means that the product or service “is different” in some distinguishing way from all other products or services.

·         For many organizations, projects are a means to respond to requests that cannot be addressed within the organization’s normal operational limits.

EXAMPLES OF PROJECTS

·         Projects are undertaken at all levels of the organization. They may involve a single person or many thousands. Their duration ranges from a few weeks to a few years.

·         Projects may involve a single unit of one organization or may cross-organizational  boundaries.

·         As Projects are often implemented as a means of achieving an organization’s Strategic Plan they are critical for the Organizations Growth.

Examples of Projects could include:

1.    Developing A New Product or Service.

2.    Effecting a change in Structure, Staffing, or Style of an organization.

3.    Developing a New or Modified information system.

4.    Implementing a New Business Procedure or Process.

WHAT IS PROJECT MANAGEMENT?

Project Management is the application of Knowledge, Skills, Tools, and Techniques “TO PROJECT ACTIVITIES” to meet Project Requirements.

Project Management is accomplished through the use of the following 5 Processes:

 

Project Initiation Processes

·         The Initiating Processes determine the nature and scope of the Project.

·         If this stage is not performed well, it is unlikely that the project will be successful in meeting the business’ needs.

·         The Key Project Controls needed here are an understanding of the Business Environment and making sure that all necessary Controls are incorporated into the Project. Any deficiencies should be reported and a recommendation should be made to fix them.

The Initiating Stage should include A Plan that encompasses the following areas:

1.    Analyzing The Business Needs/Requirements in Measurable Goals

2.    Reviewing of the Current Operations

3.    Financial Analysis of the Costs & Benefits including a Budget

4.    Stakeholder Analysis, including Users and Support Personnel for the Project

5.    Project Charter Including Costs, Tasks, Deliverables and Schedule

Project Planning & Design

·         After the Initiation Stage, the Project is PLANNED to an appropriate level of detail.

·         The main purpose is to PLAN Time, Cost And Resources adequately to estimate the work needed and to effectively manage risk during Project Execution.

·         As with the Initiation process group, a failure to adequately plan greatly reduces the project's chances of successfully accomplishing its goals.

PROJECT PLANNING generally consists of determining:- 

(1) How To Plan (e.g. By Level Of Detail Or Rolling Wave);

(2) Developing The Scope Statement;

(3) Selecting The Planning Team;

(4) Identifying Deliverables And Creating The Work Breakdown Structure;

(5) Identifying The Activities Needed To Complete Those Deliverables And Networking The Activities In Their Logical Sequence;

(6) Estimating The Resource Requirements For The Activities;

(7) Estimating Time And Cost For Activities;

(8) Developing The Schedule; Developing The Budget; (8) Risk Planning; (9) Gaining Formal Approval To Begin Work.

Additional Processes, such as planning for “communications” and for “scope management”, identifying “roles and responsibilities”, determining “what to purchase” for the project and holding “a kickoff meeting” are also generally advisable.

NOTE:- For New Product Development Projects, CONCEPTUAL DESIGN of the operation of the Final Product may be performed concurrent with the Project Planning Activities, and may help to inform the planning team when identifying “deliverables and planning activities”.

 

Project Execution

• EXECUTING consists of the PROCESSES used “to complete the work defined” in the project plan “to accomplish the project's requirements”.

• “Execution Process” involves coordinating “people and resources”, as well as  integrating and performing the “activities of the project” in accordance with the Project Management Plan.

• The DELIVERABLES are produced as OUTPUTS from the PROCESSES performed as defined in the Project Management Plan and other frameworks that might be applicable to the type of project at hand.

Execution Process Group include:

1.            Direct & Manage Project Execution

2.            Quality Assurance of Deliverables

3.            Acquire, Develop & Manage Project Team

4.            Distribute Information

5.            Manage Stakeholder Expectations

6.            Conduct Procurement

7.            Test the “Deliverables” against the “Initial Design”.

 

Project Monitoring and Controlling

·         Monitoring and Controlling consists of those PROCESSES performed to observe Project Execution so that potential problems can be identified in a timely manner and corrective action can be taken, when necessary, to control the Execution of the Project.

·         The Key Benefit is that Project Performance is observed and measured regularly to identify VARIANCES from the Project Management Plan.

Monitoring And Controlling includes:

1. Measuring the ongoing “Project Activities” (WHERE WE ARE?);
2. Monitoring the “Project Variables” (COST, EFFORT, SCOPE, etc.) against the “Project Management Plan” and the “Project Performance Baseline” (WHERE WE SHOULD BE?);
3. Identify “Corrective Actions” to address Issues And Risks properly (HOW CAN WE GET ON TRACK AGAIN?);
4. Influencing the “Factors” that could circumvent “Integrated Change Control” so only approved changes are implemented.
5. In Multiphase Projects, the Monitoring And Control Process also provides FEEDBACK between Project Phases, in order to implement Corrective Or Preventive Actions to bring the project into compliance with the Project Management Plan.
6. “Project Maintenance” is an ongoing process, and it includes:
7. Continuing support of End Users
8. Correction of Errors
9. Updates of the Software over time

NOTE:-

·         Over the course of any Construction Project, the work scope may change. Change is a normal and expected part of the Construction Process.

·         Changes can be the result of necessary Design Modifications, Differing Site Conditions, Material Availability, Contractor Requested Changes, Value Engineering and impacts from third parties, to name a few.

·         Beyond executing the change in the field, the change normally needs to be documented to show what was actually constructed. This is referred to as CHANGE MANAGEMENT.

·         Hence, the owner usually requires a final record to show all changes or, more specifically, any change that modifies the tangible portions of the finished work. When changes are introduced to the project, the viability of the project has to be reassessed. It is important not to lose sight of the initial goals and targets of the projects.

 

Project Closing Phase (PROJECT CLOSURE)

·         CLOSING PHASE includes the Formal Acceptance of the Project and the ending thereof. Administrative Activities include the “archiving of the file”s and “documenting lessons learned”.

 

·         This phase consists of:

1.    CONTRACT CLOSURE: Complete and settle each CONTRACT (including the resolution of any open items) and close each contract applicable to the Project or Project Phase.

2.    PROJECT CLOSE: Finalize all activities across all of the Process Groups to formally close the Project or A Project Phase

3.    Also included in this phase is the “Post Implementation Review”. This is a Vital Phase of the Project for the Project Team to learn from experiences and apply to future projects.

4.    Normally a “Post Implementation Review” consists of looking at things that went well and analysing things that went bad on the Project to come up with lessons learned.

 

KEY PROJECT MANAGEMENT SKILLS

This section describes key general management skills that are highly likely to affect most projects:

(i) Leading: On a project, particularly a larger project, the project manager is generally expected tobe the project’s leader as well. The main jobs are:

• Establishing direction
• Aligning people
• Motivating and inspiring

(ii) Communicating: “90% of the Project Managers’ time goes in carrying out various communications”. Communicating involves the exchange of information. Communicating has many dimensions:

• Written and oral, listening and speaking.
• Internal (within the project) and external (to the customer, the media, the public, etc.).
• Formal (reports, briefings, etc.) and informal (memos, adhoc conversations, etc.).
• Vertical (up and down the organization) and horizontal (with peers and partner organization).

(iii) Problem Solving: Problem solving involves a combination of Problem Definition and Decision-making.

[1] Problem Definition requires distinguishing between causes and symptoms.

• Problems may be Internal (a key employee is reassigned to another project) or External (a permit required to begin work is delayed).
• Problems need not necessarily be technical in nature (differences of opinion about the best way to design a product),they may pertain to managerial (a functional group is not producing according to plan), or interpersonal (personality or style clashes) issues.

[2] Decision-making includes analyzing the problem to identify viable solutions, and then making a choice from among them.

·         Decisions can be made or obtained (from the customer, from the team, or from a functional manager). Once made, decisions must be implemented.

·         Decisions also have a “Time Element” to them- the “right” decision may not be the “best” decision if it is made too early or too late.

(iii) Influencing the Organization: Influencing the organization involves the ability to “get things done.” It requires an understanding of both the formal and informal structures of all the organizations involved - the performing organization, customer, partners, contractors, and numerous others, as appropriate.

SUMMARY:

The Project Team manages the various activities of the project, and the activities typically involve: Competing demands for: (i) scope, time, cost, risk, and quality. (ii) Managing expectations of stakeholders. (iii) Identifying requirements.

It is important to note that many of the PROCESSES within project management are Iterative In Nature. This is partly due to the existence of and the necessity for progressive elaboration in a project throughout the project life cycle; i.e., the more you know about your project, the better you are able to manage it.

NOTE:- The term “Project Management” is sometimes used to describe an organizational approach to the management of ongoing operations. This approach treats many aspects of ongoing operations as projects to apply Project Management Techniques to them.

Blog Written By: Sameer