Project Management Lecture Notes PDF

INTRODUCTION TO PROJECT MANAGEMENT LECTURE 1 INTRODUCTION AND OVERVIEW INTRODUCTION Projects are one of the main ways in which change takes place in the world. No matter the field of discipline, science construction sports, technology, travel, insurance, finance, health s...

INTRODUCTION TO PROJECT MANAGEMENT LECTURE 1 INTRODUCTION AND OVERVIEW INTRODUCTION Projects are one of the main ways in which change takes place in the world. No matter the field of discipline, science construction sports, technology, travel, insurance, finance, health services, manufacturing etc, the means to achieving innovation and, improve internal operation and take advantage of external opportunities is through project management. Effective project management has become an indispensable component of business operations in organizations around the world. WORKING DEFINITIONS What is a project?  “A project is a temporary endeavour undertaken to produce a unique product, service or result. Temporary: A project must have a definite beginning and ending. The end is reached when the project’s objectives have been achieved or, It becomes clear that the project’s objectives will not or cannot be met or, the need for the project no longer exists and the project is terminated  Temporary does not necessarily mean short in duration, many projects last for several years. Projects are not ongoing efforts. Temporary does not apply to the product, service or result created by the project. Unique: Uniqueness is an important characteristic of project deliverables. For example, many thousands of office buildings have been developed, but each individual facility is unique – different owner, different design, different location, different contractors etc. The presence of repetitive elements does not change the fundamental uniqueness of the project work”. (PMBOK 2017)   “A unique set of co-ordinated activities, with definite finishing and starting points, undertaken by an individual or organisation to meet specific performance objectives within defined schedule cost and performance parameters” (BS6079: 2000)  A project is a unique venture with a beginning and end, conducted by people to meet established goals within parameters of cost, schedule and quality. (Buchanan and Boddy, 1992)  Projects are goal- oriented, involve the coordinated undertaking of interrelated activities, are of finite duration, and are all, to a degree, unique. (Frame, 1995)  A project is organized work toward a predefined or objective that requires resources and effort, a unique (and therefore risky) venture having a budget and schedule. (Field and Keller, 1998)  A project can be any series of activities and tasks that: o Have a specific objective to be completed within certain specifications o defined start and finish dates o Have funding limits (if applicable) o Consume human and nonhuman resources (i.e., money, people, equipment) o Are multifunctional (i.e., cut across several functional lines (Kerzner,2003) The definitions recorded above identify some elements which are common to all projects.  Projects are complex, one -time processes.  Projects are limited by budget, schedule and resources. They are “resource- constrained activities”  Projects are developed to resolve a clear goal or set of goals.  Projects are customer focused. Some General project Characteristics  Projects are ad hoc endeavours with a clear life cycle. They are non- traditional and temporary and initiated as needed.  Projects are building blocks in the design and execution of organizational strategies. They are the vehicles which companies use to achieve their strategic goals.  Projects are responsible for the newest and most improved products, services and organizational processes.   Project management entails crossing functional and organizational boundaries. Projects require departments and people from across the organisation to collaborate and work together to achieve the stated goals.  The principal outcomes of a project are the satisfaction of customer requirements within the constraints of technical, cost, and schedule objectives.  Projects come to an end upon successful completion of performance objectives – or earlier in their life cycle, if results no longer promise an operational or strategic advantage. 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 application and integration of the project management processes of initiating, planning, executing, monitoring and controlling, and closing. The project manager is the person responsible for accomplishing the project objectives. Managing a project includes: Identifying requirements Establishing clear and achievable objectives Balancing the competing demands for quality, scope, time and cost Adapting the specifications, plans and approach to the different concerns and expectations of the various stakeholders. (PMBOK 2003) APPROACHES TO PROJECT MANAGEMENT THAT HINDER PROJECT DEVELOPMENT (Based on the course text: Introduction to Project Management, Harvey Maylor, 2003.) Project management is no longer about managing the sequence of steps required to complete the project on time. It is about systematically incorporating the voice of the customer, creating a disciplined way of prioritising effort and resolving trade-offs, Working concurrently on all aspects of the project in multi-functional teams, and much more. There is only one consistent feature of modern business and that is change. Organisations are constantly required to change what they do and how they do it. The most successful organisations are those that become best at changing. World-class performance is seen to be possible through the development of excellent management, one significant part of which is the management of projects. However, working against this is a number of flawed approaches to managing projects. Foremost among these are:  “Ready, fire, aim” “It’s all in my head” “Project management- we have a procedure for that.” “It won’t work here” READY FIRE AIM This is the fate of many projects. Here the project is started with no clear objectives. The motto is ‘shoot first- whatever you, call it the target’. IT’S ALL IN MY HEAD This is the approach that is taken to many projects. The project manager will set out with all the information in his or her head. This may work well where the project is small, but the lack of a system will soon start to tell on the individual and the results if there are any problems or if the scale of the project escalates. The application of structures and systems will promote better decision making and will help the project manager and the organisation avoid many problems that may arise from to the” it’s all in my head approach.” “PROJECT MANAGEMENT –WE HAVE A PROCEDURE FOR THAT” Having a procedure or a documented set of processes for projects provides a highly structured approach that is favoured in some industries. There are some industries where the slavish dedication to highly restrictive methods is required by the customer; (eg. military procurement, and areas where safety considerations are paramount.) The result of an approach that is too structured and rigid is high levels of documentation, considerable bureaucracy and very slow decision making. In addition the overhead costs are significant. This approach is at the other end of the spectrum from ready fire aim and the challenge for project managers is to deal with this high degree of formalisation and yet bring creativity into the project and the people working on it. The level of formalisation should be appropriate to the particular project. IT WON’T WORK HERE Organisations and project managers must learn to resist the temptation to reject any thing new that does not originate with them and step up to the challenge of integrating methods developed in other areas into their domain. There is much to be gained from finding out how these methods might be applied with benefit to the project environment. The pressure for change in most organisations is such that ideas need to be brought in from wherever possible and adapted to projects. OPERATIONS vs PROJECTS Similarities Organisations perform work to achieve a set of objectives. Generally, work can be categorised as either operations or projects, although the two sometimes overlap. They are alike in the following ways: Performed by people Constrained by limited resources Planned, executed and controlled Differences There are also significant differences between projects and operations. Some of these are highlighted in the table below.  DIFFREENCES BETWEEN OPERATIONS MANAGEMENT AND PROJECT MANAGEMENT OPERATIONS MANAGEMENT PROJECT MANAGEMENT Repetitive and ongoing Unique and temporary Authority defined by management structure Lines of authority cut across functional lines in the organisation Consistent set of tasks Ever –changing set of tasks Supports the status quo Operates outside of the status quo Responsibility limited to a department/division Responsibility for cross-functional activities Take place in permanent organisational Operates within structures which exist for the life of structures the project Tasks described as maintenance Predominantly concerned with innovation Main task is optimisation Main task is the resolution of conflict Success determined by achievement of interim Success determined by stated end –goals targets Limited set of variables Contains intrinsic uncertainties Greater certainty of performance, cost, Greater uncertainty of performance, cost, schedule schedule Well- established systems in place to integrate Systems must be created to integrate efforts efforts Harvey Maylor,2003 Jeffrey Pinto, 2010  INTRODUCTION TO PROJECT MANAGEMENT FACILITATOR E ATHERLEY LECTURE 2 THE PROJECT TEAM Introduction The project team is comprised of the people with assigned roles and responsibilities for completing the project. The project team, also referred to as the project’s staff, are managed in accordance with the project’s Human Resource Management Plan. Project Resource Management processes include:  Plan Resources  Acquire resources  Develop team  Manage team The project manager/ management team is a subset of the project team and is responsible for the project management and leadership activities such as initiating, planning etc. He/She/They is/are assigned by the performing organization to lead the team that is responsible for achieving the project’s objectives and stakeholder’s expectations. (PMBOK 2017) 1 The gathering together of individuals with the aim of making a cohesive whole and ensuring the benefit of all stakeholders is a fundamental role of most project managers. As a project manager you get to decide what your project team looks like in terms of its cohesiveness and efficiency. “It is YOUR job to help the team become really great” (Christine Petersen, 2013). This is achieved as part of the Develop team process. Develop team is the process of improving the competencies, team interaction and the overall team environment to enhance project performance. Project managers should acquire the skills to identify, build, maintain, motivate, lead and inspire project teams to achieve high team performance and to meet the project’s objectives. Teamwork is a critical factor for project success and developing effective project teams is one of the primary responsibilities of the project manager. The project manager should create an environment that facilitates teamwork and continually motivate the team by providing challenges and opportunities, providing timely feedback and support as needed, as well as recognising and rewarding good performance. If projects are to be undertaken with the project team as the principal resource for getting the work done and for getting the work completed, it is vital that project managers learn everything possible about how to make people into a high-performing team and how to control the inevitable conflicts that are likely to arise along the way (Pinto 2010). 2 CHARACTERISTICS OF A SUCCESSFUL High team performance can be seen as having the following behaviours:  Meeting stakeholder expectations  Embracing change to grow and continuously improve work processes  Open and effective communication  Creating team building activities  Reducing barriers between team members and between team and leader  Developing trust among team members  Managing conflicts in a constructive manner  Encouraging collaborative problem solving and,  Encouraging collaborative decision making. (PMBOK 2017)  Establishing team rules  Ensuring mutual accountability  Empowering team members to take the initiative when they deem it to be appropriate. Teamwork (Maylor,2003; 228) The purpose of studying the role of team work in the project environment is:  To help the project manager in the design and selection of the project team  To enable the monitoring of the extent to which the team is functioning effectively  To provide feedback to the team to help improve effectiveness. 3 High Performing Teams V Unsuccessful Teams The distinction between high performing teams and unsuccessful teams is made to indicate the difference in the operating characteristics of each. The unsuccessful team is simply a collection of people working independently on their assigned project activities. While the high performing team can also be said to be a collection of people it differs from the unsuccessful team in the following ways:  The output of the high performing team as a cohesive unit is greater than the outputs of a collection of individuals,  A high performing team will engage in idea generation and other creative processes much more effectively than a collection of people operating as individuals.  The high performing team, working together as a cohesive unit, can consider a greater range of options by exploiting differences in the thought processes of the members of the team. This option is not available to a collection of individuals operating independently.  Decision making by the high performing team, with respect to the project, is likely to be better than decisions made by individuals without reference to the other team members.  High performing teams are more open to taking risks. The risk is shared by the entire team rather than carried by one individual  High performing teams tend to have a higher level of motivation since a good team leader/ project manager will create a team culture that keeps team members motivated and focussed on project activities. With a group /collection of individuals there is no common motivating force, in this case each member must motivate himself/herself. 4   High performing team members have an inherent sense of responsibility to the team. The members of unsuccessful teams tend to be interested mainly in their individual areas of responsibility rather than the overall product.  In the high performing team context, members are more likely to be included in a greater range of activities than they would be exposed to, but without having to work alone  The high performing team provides better support for its members. THE TEAM LIFE CYCLE Teams have various stages of development. Some literature defines them as Forming, Storming, Norming, Performing and Adjourning. In other literature they are defined as Collection, Entrenchment, Resolution, Synergy and Decline. 5 The Phases of the Team Life Cycle Stage Characteristics Forming/ The bringing together of individuals into a group with a Collection common task or problem to solve. The participants have a degree of eagerness and initial enthusiasm but they will look to the leadership to provide certainty and direction in this uncertain environment. They will use this phase to establish themselves and find what is expected of them. Storming/ As people interact they begin to find out where each person Entrenchment stands. Problems and fighting come when people come with preconceived ideas about how the project should be executed and are unwilling to accept that there are benefits to allowing the group to make decisions. This phase can be very disruptive and is generally fairly unproductive. Some of the issues that contribute to this lack of productivity are disillusionment with the goals of the project; competition for power or attention within the group. Norming/ Resolution The disagreements begin to be resolved, and characteristics such as mutual trust and harmony, self-esteem and confidence become evident. At this stage the team starts to put aside the negative social effects and move to being more productive. Performing/ At this stage the output of the whole is greater than its Synergy component parts, sometimes stated as 2+2=5. The team is at its peak in terms of effectiveness. Leadership is shared and everyone is motivated to complete the tasks at hand. Adjourning/ Break-up This stage comes naturally when the project is completed or if, for any number of reasons, it is terminated. 6  Using the theory of the team life cycle, the project manager can determine the stage at which the team is operating. The project manager can take the necessary steps to move his/her team as quickly as possible out of the non-productive stages and into operating at maximum effectiveness. Figure 2.1 The effectiveness profile of the team life cycle. The diagram above traces the level of effectiveness and productivity of the team as it moves through the various phases. Good project managers use this information to ensure maximum productivity. 7  Understanding the roles of individuals in the team can have a very positive effect on the interactions between team members. Based on roles identified by Belbin 1993 and cited in Maylor 2003 and Petersen 2013 TEAM ROLE DESCRIPTION and CONTRIBUTION ALLOWABLE WEAKNESS The Imaginative comes up with new ideas, thinks More concerned with the Visionary/ outside the box. Is a problem solver. Creative big picture. Ignores details Entrepreneur/Creative and innovative. Produces novel ideas and and may fail to Role strategies. communicate effectively. Out- going, enthusiastic, communicates well Can be overly enthusiastic. The Liaison/ Co- Worker with people and develops contacts. Explores Loses interest once the opportunities. Prioritizes the needs of the initial enthusiasm has passed team above personal ambition Mature, confident, a good chairperson. Can be seen as The Manager/ Organiser Directs the group, clarifies goals, promotes manipulative. May decision –making, delegates well. Is dominant delegate personal work. without being overly assertive Challenging, dynamic, thrives on pressure. Can provoke others. Not The Energizer/President Has the drive and courage to overcome afraid to hurt people’s obstacles. feelings The Sage/ Evaluator Sober, strategic and discerning. Sees all Lacks drive and ability to options. Judges accurately. Is good at inspire others. Overly weighing up the facts. Considers the pros and critical cons of each option. Comes to well- considered decisions. Cooperative, mild, diplomatic and perceptive. Indecisive in crunch The Listens, clarifies information, ensures that situations. Can be easily Diplomat/Enlightener everyone understands, averts friction, and influenced. calms the waters. Disciplined, reliable, conservative and Somewhat inflexible. Slow Implementer/Doer efficient. Turns ideas into practical actions. to respond to new possibilities The Finisher/Finaliser Painstaking, conscientious, worries that the Inclined to worry unduly. output is not as perfect as it can be. Searches Reluctant to delegate. Can out errors and omissions. Delivers on time be a nit- picker. The Specialist Concerned only with his/her component of Contributes on only a the project. Provides knowledge and skills narrow front. Dwells on that are needed for the project. Does not technicalities. Overlooks show much interest in other aspects of the the “big picture”. project. 8  Commented [S1]: Larson and Lafasto (1989) have identified eight characteristics which can ensure that the teamwork makes a positive contribution to the project and most of which are under the control of the project manager. These are listed below: A clear and elevating goal: a sense of mission must be created through the development of an objective which is understood, important, worthwhile and personally or collectively challenging; A results- driven structure: the structure and composition of the team should be commensurate with the task being undertaken; Competent team members: need to balance personal with technical competence; Unified commitment: create the environment of “doing what has to be done to succeed”; A collaborative climate: encourage reliance on others within the team; Standards of excellence: through individual standards, team pressure, knowledge of the consequences of failure; External support and recognition: where good is performed recognise it. It is likely to be absent from the other stakeholders, so it will be the responsibility of the project manager to provide it. Principled leadership the project manager advances the project by exerting influence over his team members and other stakeholders. This influence should be characterised by ethical behaviour, fairness etc. 9 1. Cross cultural differences  Sense of power and responsibility  Time management approaches  Definitions of identity and purpose  Organizational arrangements  Personal boundaries  Communication patterns  Modes of thinking and processing information. 2. Time differences 3. Communication 4. Co-ordination of project work 5. Developing cohesion 6. Control of project work and staff “out of sight out of mind” (Petersen, 2013) 10  RULES FOR LEADING SUCCESSFUL VIRTUAL TEAMS  Create a trustful environment  Establish meaningful team symbols to promote the feeling of cohesion and belonging  Facilitate opportunities for team members to get to know each other.  Create a clear vision  Treat everyone equally regardless of distance  Use various means of communication e.g. visual aids, tangible clues, verbal clues 11  INTRODUCTION TO PROJECT MANAGEMENT LECTURE 3 STRUCTURES AND FRAMEWORKS & PROJECT MANAGEMENT LIFE CYCLES Projects provide an avenue for an organisation to meet its strategic objectives. Where organisations recognise the link between their objectives and the projects they select, there is a deliberate effort to ensure that all projects fit into and advance the overall plan and vision of the organisation. Projects are not done in a vacuum. The organization for which the project is being done has a tremendous influence on the project and in turn is influenced by the project. The organisational culture, its management policies and procedures are all impacted by and impact the project. The organization’s culture and its perspective on project management will impact the project positively or negatively. If, for example, the organisation is very bureaucratic (We have a procedure for that) then decision- making on the project will be held up. Good project managers take these things into consideration and manage them for the benefit of the organisation and the project. THE ORGANIZATION AND ITS EFFECT ON PROJECT MANGEMENT The structure of an organisation is influenced by its external environment- e.g. competitors, customers in the marketplace, the government and other legal and regulatory bodies, general economic conditions, available human and financial resources, suppliers, technological trends, etc. In turn, the structure of the organization, often created for sound reasons in relation to the external environment, have a strong impact on the way in which projects are managed within the organisation. The most common organisational structures include: Functional organisations: These companies are structured by grouping people performing similar activities into departments. This is the most common type of organisational structure. Project organisations: These companies are structured by grouping people into project teams on temporary assignments Matrix organisations: These companies are structured by creating a dual hierarchy in which function/ operations and projects have equal prominence.  EACH TYPE OF ORGANISATIONAL STRUCTURE HAS STRENGTHS AND WEAKNESSES AS IT RELATES TO PROJECT MANAGEMENT. STRENGTHS AND WEAKNESSES OF FUNCTIONAL STRUCTURES Strengths for Project Management Weaknesses for Project Management Projects are developed within the basic Functional siloing makes it difficult to Functional structure of the organisation and requires achieve cross-functional cooperation. no disruption or change to the firm’s design. Enables the development of in-depth knowledge There is a lack of customer focus and intellectual capital. Allows for standard career paths. Project team Projects generally take longer to members only perform their duties as needed complete due to functional problems; While maintaining maximum connection with slower communication; lack of direct their functional group. ownership of the project; and competing priorities among the functional departments.  STRENGTHS AND WEAKNESSES OF PROJECTIZED STRUCTURES Strengths for Project Management Weaknesses for Project Management Assigns authority solely to the project manager. Setting up and maintaining teams can be expensive. Leads to improved communication across the Potential for the project team members organisation and among functional groups. to develop loyalty to the project rather than to the overall organisation. Promotes effective and speedy decision making. Difficult to maintain a pooled supply of intellectual capital. Promotes the creation of cadres of project Concern among team members about management experts. their future once the project ends. Encourages rapid response to market opportunities.  STRENGTHS AND WEAKNESSES OF MATRIX STRUCTURES Strengths for Project Management Weaknesses for Project Management Suited to dynamic environments. Dual hierarchies mean two bosses. Emphasizes the dual importance of project Requires significant time to be spent Management and functional efficiency. Negotiating the sharing of critical Departments. Promotes coordination across functional units Can be frustrating for workers caught Between competing project and functional demands. Maximizes scarce resources between competing Project and functional responsibilities. (Jeffrey Pinto 2010) Below is a list of Enterprise Environmental Factors which are used by organisations and projects alike. The organisations’ policies will impact how they are employed on their projects. THE 7S OF PROJECT MANAGEMENT AS PRESENTED IN (MAYLOR2003) Strategy Rather than being simply an outcome or a statement, strategy is a process. It involves a high-level consideration of objectives, which can be seen as points of principle rather than activity level details. Success starts with a rational strategy process which then guides and informs the decisions made in all areas of the project. Systems These are “the way we work”. Both formal and informal systems will need to be designed or at least recognised for key tasks, including communication and quality assurance. Formal systems can be demonstrated through statements of procedure- simply put, “under these conditions, we carry out this action” Informal systems, particularly for information transfer, are far less easy to describe and control. It is normal, however, for these to be the main mode of communication within groups. A theme within the systems element is ensuring that all activities carried out are contributing to the end objective of the project in a constructive manner. Structure The arrangement of human resources relative to lines of command and control. A key question for the project manager concerns the nature of this structure. For example, should the project team be a dedicated, fulltime team or one where staff is borrowed from other parts of the organisation or from another organisation, only as and when needed? Staff Need to be selected, recruited and then managed. How they respond to their treatment will have a large impact on the success or otherwise of the project. Style/Culture This is part of the soft side of management. Indeed it cannot be managed in the short term in the same way that the finances of a project, for example, can be managed. Stakeholders Are an important consideration for project managers. Their importance has only recently been realised and methods for the management of expectations and perceptions developed. Skills The managerial and technical tools available to the project manager and the staff THE PROJECT MODEL: THE PROJECT LIFE CYCLE Before we undertake any activities on a project the thinking behind it must be right. Every aspect of the project must be placed in the right structures. Structures and frameworks provide a context for the organisation of, and help with, the delivery of the project. Having a model to base our thinking around is the first step in gaining an understanding of the processes of projects and the accompanying managing that should be taking place. The basic framework for a project is done by choosing a project life cycle. A project life cycle is a progression through a sequential and sometimes overlapping series of developmental stages or phases through which a project passes from its start to its completion. While every project has a definite start and a definite end, the specific deliverables and activities that take place in between will vary widely with the project. The life cycle provides the basic framework for managing the project regardless of the specific work involved. (PMBOK 2008) Life cycles are important because they demonstrate the logic that governs a project. They also help the project manager to develop his/her plans for carrying out the project. They help the project manager decide, for example, when to devote resources to the project, how to evaluate its progress etc. (Pinto 2010) Projects vary in size and complexity. No matter how large or small, simple or complex, all projects can be mapped to the following life cycle structure.  Starting the project  Organizing and preparing  Carrying out the project work  Closing the project This generic life cycle displays the following characteristics  Cost and staffing levels are low at the start,  Peak as the work is carried out and  Drop rapidly as the project draws to a close. A Project phase is a collection of logically related project activities that culminate in the completion of one or more deliverables. Phases may be sequential, iterative (repeated), or overlapping.  TYPES OF PROJECT LIFE CYCLES The First Project Model: Input/ Output Model For many years the most basic model of any operating system has been the Input-Output model. It also applies well as the basic unit of analysis of project activities. The project is seen as a conversion or transformation of some form of input into an output, under a set of constraints and utilising a set of mechanisms to make the project happen. The inputs are some form of want or need which is satisfied through the process. The project will take place under a set of controls or constraints (those elements from outside the project which either provide the basis for any assumptions or limit the project). The mechanisms are those resources that make the transformation process possible Predictive and Adaptive Project Life Cycles Project life cycles are now categorized as either PREDICTIVE or ADAPTIVE. Within a project life cycle there are generally one or more phases that are associated with the development of the product, service or result. Predictive/ Waterfall project life cycle: The project scope, time and cost are determined in the early phases of the life cycle. Any changes to the scope are carefully managed. Predictive life cycles are also referred to as waterfall life cycles. Predictive/Waterfall Model Advantages While agile or dynamic methods often replace the waterfall model, there are some advantages:  Upfront documentation and planning stages allow for large or shifting teams to remain informed and move towards a common goal.  Forces structured, disciplined organization.  Is simple to understand, to follow and to arrange tasks.  Facilitates departmental and managerial control based on schedule or deadlines.  Allows for early design or specification changes to be made easily.  Clearly defines milestones and deadlines. The Predictive/ Waterfall Model Disadvantages The disadvantages of the waterfall model typically surround risk associated with a lack of revision, including:  Design is not adaptive; often when a flaw is found, the entire process needs to start over.  Delays testing until the end of the development life cycle.  Requests for changes, scope adjustments, are very carefully managed.  No working product is available until the later stages of the life cycle. Adaptive project life cycles: They are change-driven. The project scope is generally determined early in the project life cycle but time and cost estimates are routinely modified as the project team’s understanding of the product increases. Some projects develop the project through a series of repeated cycles (Iterative) while others continuously add to the functionality of the product until it is complete (Incremental). A Hybrid life cycle This is a combination of a predictive and an adaptive life cycle. Those elements of the project that are well known or have fixed requirements follow a predictive life cycle and those elements that are still evolving follow an adaptive life cycle. It is up to the project management team to determine the best life cycle for each project. The project life cycle needs to be flexible enough to deal with the variety of factors included in the project. Life cycle flexibility may be accomplished by:  Identifying the process or processes to be performed in each phase  Performing the process or processes in the appropriate phase  Adjusting the various attributes of a phase (e. g. name, duration, exit criteria, and entrance criteria) The names and number of the phases are determined by the management and control needs of the organisation/organisations involved in the project, the nature of the project itself, and its area of application. The phases in a life cycle can be described by a variety of attributes which include but are not limited to: Name (e.g., Design, Test phase, Planning etc) Number (Four phases, five phases etc.) Duration (e.g., 1 week, 1 month, 1 quarter etc.) Resource requirements (e.g., people materials etc.) Entrance criteria for a project to move into that phase (e.g., Specified approvals documented, specified documents completed) and Exit criteria for a project to complete a phase (e.g., Documented approvals, completed documents, completed deliverables).  THE PHASES OF PROJECT MANAGEMENT The phases of project management mirror the generic project life cycle. These are Initiating Planning, Executing & Monitoring & Controlling and Closing. These phases speak to what needs to be done to manage the project. PHASE KEY ISSUES FUNDAMENTAL QUESTIONS Project Project and organisational strategy, What is to be done? initiation Goal definition Why it is to be done? Project Project design, Modelling and How will it be done? planning planning Who will be involved in each part? Estimating costs, resource analysis, When can it start and finish? conflict resolution and project justification How should the project be managed on a day- Project Deliver the project. to-day basis? Execution Organising the project, monitoring Is the project progressing in accordance with Project and controlling the project, decision what is documented in the current approved monitoring and –making and problem- solving, version of the project management plan? Control Project closing Assessment of process and How can the process be continually improved? outcomes of the project, Evaluation, changes for the future. Develop the process Initiation This is the time when it is determined what the project is about, its reasons for existence. It is a time to explore the possibilities and find alternatives to the problems presented; Planning Construct models to show how the needs will be developed, evaluate these to determine the optimum process for the task and minimise risks; Execution Carry out the project in line with the models or plans generated above; M&C The project manager monitors and controls the work of producing the product, service or result that the project was undertaken to produce. This takes place simultaneously with execution. Closing Improve the products and processes in the light of the experience gained from the project. Emphasize feedback and avoid the “Hedgehog syndrome” e.g., organisations like Hewlett Packard (HP) use previous projects and their reviews as a starting point for new projects.  INTRODUCTION TO PROJECT MANAGEMENT LECTURE 4 INITIATING A PROJECT Project management is the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. This application of knowledge requires the effective management of the appropriate processes. A process is a set of interrelated actions and activities performed to achieve a pre- specified product result or service. Each process is characterised by its inputs, the tools and techniques that can be applied, and the resulting outputs. In order for a project to be successful, the project team must:  Select appropriate processes required to meet the project objectives,  Use a defined approach that can be adopted to meet requirements,  Comply with requirements to meet stakeholder needs and expectations, and  Balance the competing demands of scope, time, cost, quality, resources and risk to produce the specified product, service or result. The project processes generally fall into one of two major categories: Project management processes ensure the effective flow of the project throughout its existence. Product –oriented processes specify and create the project’s product and vary by application area. The scope of the project cannot be defined without some basic understanding of how to create the specified product. (PMBOK 2003) The Initiating Process Group The initiating process group consists of those processes performed to define a new project or phase of an existing project by obtaining authorization to start the project or phase. Within the initiating processes, the initial scope is defined and initial financial resources are committed. Internal and external stakeholders who will interact with and influence the project are identified. If not already assigned the project manager will be selected. This information is captured in the project charter and the stakeholder register. When the project charter is approved the project is officially authorized. Although the project management team may help write the project charter, approval and funding are handled external to the project. When a project has been selected it then has to be initiated. There are two main project management processes in the initiating phase. These are:  Develop the Project Charter and  Identify Stakeholders. Develop Project Charter is the process of developing a document that formally authorizes a project or phase and documenting initial requirements that satisfy the stakeholder needs and expectations. Identify stakeholders is the process of identifying all people or organisations impacted by the project and documenting relevant information regarding their interest in the project , their involvement and impact on project success. The project Charter is a document which authorises the project and gives the project manager the authority to spend money to meet the project’s objectives. Some of the activities done during the Develop Project Charter phase include:  Document the reason for the project (The business case). The business case or similar document provides the necessary information from a business standpoint to determine whether or not the project is worth the required investment. The business case can be based on a market demand, an organizational need, customer request , technological advance or legal requirement  Create measureable objectives.  Document initial assumptions, constraints and risks.  Uncover initial project requirements. In order to uncover project requirements the project manager and his project team must know who their stakeholders are and what they expect the project to produce (their requirements). Very early in the process a list of stakeholders must be prepared. This list is called a Stakeholder Register. Some of the activities done during the Identify Stakeholders process are: Identify Stakeholders Develop stakeholder management strategy. Create a Requirements Traceability Matrix. (This is a table which links a requirement to a stakeholder and assigns someone on the project team to own it and ensure that it gets done. IDENTIFY STAKEHOLDERS Who is a stakeholder? Project stakeholders are individuals and organisations that are actively involved in the project, or whose interests will be affected as a result of project execution or project completion. They may also exert influence over the project’s objectives and outcomes. Stakeholders may have a positive or negative influence on a project. Positive stakeholders are those who would normally benefit from a successful outcome from the project, while negative stakeholders are those who see negative outcomes from the project’s success. Key stakeholders on every project include: Project manager: The person responsible for the project. Customer/ User: The person or organisation that will use the project’s product. The Performing organisation: The enterprise whose employees are most directly involved in doing the work of the project. Project team members: The group that is doing the project work. Project management team: The members of the project team who are directly involved in project management activities. Sponsor: The person or group that provides the financial responses for the project. Influencers: People or groups who do not work directly on the project and will not use the project’s product but due to an individual’s position in the customer organisation or the performing organisation can influence positively or negatively, the course of the project. PMO: (Project Management Office) If it exists in the performing organisation, the PMO can be a stakeholder if it has direct or indirect responsibility for the outcome of the project. In addition to these key stakeholders, there are many different names and categories of project stakeholders, including internal and external, owners and investors, sellers, contractors etc.(PMBOK 2003).