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  1. 1. Chapter 2: The Project Management Context and Processes
  2. 2. Projects Cannot Be Run In Isolation <ul><li>Projects must operate in a broad organizational environment </li></ul><ul><li>Project managers need to take a holistic or systems view of a project and understand how it is situated within the larger organization </li></ul>
  3. 3. A Systems View of Project Management <ul><li>A systems approach emerged in the 1950s to describe a more analytical approach to management and problem solving </li></ul><ul><li>Three parts include: </li></ul><ul><ul><li>Systems philosophy: View things as systems, interacting components working within an environment to fulfill some purpose </li></ul></ul><ul><ul><li>Systems analysis: problem-solving approach </li></ul></ul><ul><ul><li>Systems management: Address business, technological, and organizational issues before making changes to systems </li></ul></ul>
  4. 4. Three Sphere Model for Systems Management
  5. 5. Project Phases and the Project Life Cycle <ul><li>A project life cycle is a collection of project phases </li></ul><ul><li>Project phases vary by project or industry, but some general phases include </li></ul><ul><ul><li>concept </li></ul></ul><ul><ul><li>development </li></ul></ul><ul><ul><li>implementation </li></ul></ul><ul><ul><li>support </li></ul></ul>
  6. 6. Phases of the Project Life Cycle
  7. 7. Product Life Cycles <ul><li>Products also have life cycles </li></ul><ul><li>The Systems Development Life Cycle (SDLC) is a framework for describing the phases involved in developing and maintaining information systems </li></ul><ul><li>Typical SDLC phases include planning, analysis, design, implementation, and support </li></ul>
  8. 8. Sample SDLC Models <ul><li>Waterfall model: has well-defined, linear stages of systems development and support </li></ul><ul><li>Spiral model: shows that software is developed using an iterative or spiral approach rather than a linear approach </li></ul><ul><li>Incremental release model: provides for progressive development of operational software </li></ul><ul><li>RAD model: used to produce systems quickly without sacrificing quality </li></ul><ul><li>Prototyping model: used for developing prototypes to clarify user requirements </li></ul>
  9. 9. Distinguishing Project Life Cycles and Product Life Cycles <ul><li>The project life cycle applies to all projects, regardless of the products being produced </li></ul><ul><li>Product life cycle models vary considerably based on the nature of the product </li></ul><ul><li>Most large IT products are developed as a series of projects </li></ul><ul><li>Project management is done in all of the product life cycle phases </li></ul>
  10. 10. Why Have Project Phases and Management Reviews? <ul><li>A project should successfully pass through each of the project phases in order to continue on to the next </li></ul><ul><li>Management reviews (also called phase exits or kill points) should occur after each phase to evaluate the project’s progress, likely success, and continued compatibility with organizational goals </li></ul>
  11. 11. Understanding Organizations Structural frame: Focuses on roles and responsibilities, coordination and control. Organization charts help define this frame. Human resources frame: Focuses on providing harmony between needs of the organization and needs of people. Political frame: Assumes organizations are coalitions composed of varied individuals and interest groups. Conflict and power are key issues . Symbolic frame: Focuses on symbols and meanings related to events. Culture is important.
  12. 12. What Went Wrong? Many data warehousing projects are side-tracked or derailed completely by politics. Data warehousing projects are always potentially political because they cross departmental boundaries, change both the terms of data ownership and data access, and affect the work practices of highly autonomous and powerful user communities. Many organizations fail to admit that many data warehousing projects fail primarily because management and project teams do not understand and manage politics. Marc Demarest found over 1200 articles on the topic of data warehousing based on a journal search he did from July 1995 to July 1996. Many of those articles offer advice on how to run successful data warehousing projects and focus on the importance of design, technical, and procedural factors, when, in fact, political factors are often the most important in helping these projects succeed.
  13. 13. Many Organizations Focus on the Structural Frame <ul><li>Most people understand what organizational charts are </li></ul><ul><li>Many new managers try to change organizational structure when other changes are needed </li></ul><ul><li>3 basic organization structures </li></ul><ul><ul><li>functional </li></ul></ul><ul><ul><li>project </li></ul></ul><ul><ul><li>matrix </li></ul></ul>
  14. 14. Functional, Project, and Matrix Organizational Structures
  15. 15. Organizational Structure Influences on Projects The organizational structure influences the project manager’s authority, but remember to address the human resources, political, and symbolic frames, too. PMBOK Guide, 2000, p. 19
  16. 16. Recognize the Importance of Project Stakeholders <ul><li>Recall that project stakeholders are the people involved in or affected by project activities </li></ul><ul><li>Project managers must take time to identify, understand, and manage relationships with all project stakeholders </li></ul><ul><li>Using the four frames of organizations can help meet stakeholder needs and expectations </li></ul><ul><li>Senior executives are very important stakeholders </li></ul>
  17. 17. What Helps Projects Succeed? <ul><li>According to the Standish Group’s report CHAOS 2001: A Recipe for Success, the following items help IT projects succeed, in order of importance: </li></ul><ul><ul><li>Executive support </li></ul></ul><ul><ul><li>User involvement </li></ul></ul><ul><ul><li>Experience project manager </li></ul></ul><ul><ul><li>Clear business objectives </li></ul></ul><ul><ul><li>Minimized scope </li></ul></ul><ul><ul><li>Standard software infrastructure </li></ul></ul><ul><ul><li>Clear and Firm basic requirements </li></ul></ul><ul><ul><li>Formal methodology </li></ul></ul><ul><ul><li>Reliable estimates </li></ul></ul>
  18. 18. Need for Top Management Commitment <ul><li>Several studies cite top management commitment as one of the key factors associated with project success </li></ul><ul><li>Top management can help project managers secure adequate resources, get approval for unique project needs in a timely manner, receive cooperation from people throughout the organization, and learn how to be better leaders </li></ul>
  19. 19. Need for Organizational Commitment to Information Technology (IT) <ul><li>If the organization has a negative attitude toward IT, it will be difficult for an IT project to succeed </li></ul><ul><li>Having a Chief Information Officer (CIO) at a high level in the organization helps IT projects </li></ul><ul><li>Assigning non-IT people to IT projects also encourage more commitment </li></ul>
  20. 20. Need for Organizational Standards <ul><li>Standards and guidelines help project managers be more effective </li></ul><ul><li>Senior management can encourage </li></ul><ul><ul><li>the use of standard forms and software for project management </li></ul></ul><ul><ul><li>the development and use of guidelines for writing project plans or providing status information </li></ul></ul><ul><ul><li>the creation of a project management office or center of excellence </li></ul></ul>
  21. 21. <ul><li>Define scope of project </li></ul><ul><li>Identify stakeholders, decision-makers, and escalation procedures </li></ul><ul><li>Develop detailed task list (work breakdown structures) </li></ul><ul><li>Estimate time requirements </li></ul><ul><li>Develop initial project management flow chart </li></ul><ul><li>Identify required resources and budget </li></ul><ul><li>Evaluate project requirements </li></ul><ul><li>Identify and evaluate risks </li></ul><ul><li>Prepare contingency plan </li></ul><ul><li>Identify interdependencies </li></ul><ul><li>Identify and track critical milestones </li></ul><ul><li>Participate in project phase review </li></ul><ul><li>Secure needed resources </li></ul><ul><li>Manage the change control process </li></ul><ul><li>Report project status </li></ul>Fifteen Project Management Job Functions*
  22. 22. Suggested Skills for a Project Manager <ul><ul><ul><li>Communication skills : listening, persuading </li></ul></ul></ul><ul><ul><ul><li>Organizational skills : planning, goal-setting, analyzing </li></ul></ul></ul><ul><ul><ul><li>Team Building skills : empathy, motivation </li></ul></ul></ul><ul><ul><ul><li>Leadership skills : sets example, energetic, vision (big picture), delegates, positive </li></ul></ul></ul><ul><ul><ul><li>Coping skills : flexibility, creativity, patience, persistence </li></ul></ul></ul><ul><ul><ul><li>Technological skills : experience, project knowledge </li></ul></ul></ul>
  23. 23. Most Significant Characteristics of Effective and Ineffective Project Managers <ul><li>Leadership by example </li></ul><ul><li>Visionary </li></ul><ul><li>Technically competent </li></ul><ul><li>Decisive </li></ul><ul><li>Good communicator </li></ul><ul><li>Good motivator </li></ul><ul><li>Stands up to upper management when necessary </li></ul><ul><li>Supports team members </li></ul><ul><li>Encourages new ideas </li></ul><ul><li>Sets bad example </li></ul><ul><li>Not self-assured </li></ul><ul><li>Lacks technical expertise </li></ul><ul><li>Poor communicator </li></ul><ul><li>Poor motivator </li></ul>Effective Project Managers Ineffective Project Managers
  24. 24. Project Management Process Groups <ul><li>Project management can be viewed as a number of interlinked processes </li></ul><ul><li>The project management process groups include </li></ul><ul><ul><li>initiating processes </li></ul></ul><ul><ul><li>planning processes </li></ul></ul><ul><ul><li>executing processes </li></ul></ul><ul><ul><li>controlling processes </li></ul></ul><ul><ul><li>closing processes </li></ul></ul>
  25. 25. What Is Involved in Project Initiation? <ul><li>Initiating is the process of recognizing and starting a new project or project phase </li></ul><ul><li>It is critical to ensure that the right kinds of projects are being initiated for the right reasons </li></ul><ul><li>It is better to have moderate or even a small amount of success on an important project than huge success on an unimportant one </li></ul>
  26. 26. What is Involved in Project Planning? <ul><li>Planning is often the most difficult and most unappreciated process in project management </li></ul><ul><li>Many people have a negative view of planning because they do not use plans to facilitate action </li></ul><ul><li>The main purpose of project plans is to guide execution </li></ul><ul><li>Every knowledge area includes planning </li></ul>
  27. 27. Planning Processes and Outputs
  28. 28. Planning Processes and Outputs
  29. 29. What Is Involved in Executing Projects? <ul><li>Project execution involves taking the actions necessary to ensure that activities in the project plan are completed </li></ul><ul><li>The products of the project are produced during execution </li></ul><ul><li>The 1996 ResNet project involved installing over 2,000 PCs in seven different offices, creating more software, training agents, and measuring the benefits of the system </li></ul>
  30. 30. Importance of Good Project Execution <ul><li>Project execution means getting the work done, and stakeholders want to see results </li></ul>
  31. 31. Executing Processes and Outputs
  32. 32. What Is Involved in Controlling Projects? <ul><li>Controlling is the process of </li></ul><ul><ul><li>measuring progress towards project objectives </li></ul></ul><ul><ul><li>monitoring deviation from the plan </li></ul></ul><ul><ul><li>taking corrective action to match progress with the plan </li></ul></ul><ul><li>Controlling cuts across all of the other phases of the project life cycle and involves seven knowledge areas </li></ul>
  33. 33. Controlling Processes and Outputs
  34. 34. What Is Involved in Closing Projects? <ul><li>Closing processes include gaining stakeholder acceptance of the final product and bringing the project or phase to an orderly end </li></ul><ul><li>Closing verifies that all of the deliverables have been completed </li></ul><ul><li>A project audit is often done </li></ul>
  35. 35. Transition Planning <ul><li>It is important to plan for and execute a smooth transition of the project into the normal operations of the company </li></ul><ul><li>Most projects produce results that are integrated into the existing organizational structure </li></ul><ul><li>Some projects require the addition of new organizational structures </li></ul>
  36. 36. Closing Processes and Outputs
  37. 37. Administrative Closure <ul><li>Administrative closure involves </li></ul><ul><ul><li>verifying and documenting project results to formalize acceptance of the products produced </li></ul></ul><ul><ul><li>collecting project records </li></ul></ul><ul><ul><li>ensuring products meet specifications </li></ul></ul><ul><ul><li>analyzing whether the project was successful and effective </li></ul></ul><ul><ul><li>archiving project information for future use </li></ul></ul>
  38. 38. Overlap of Process Groups in a Phase (PMBOK Guide, 2000, p. 31)
  39. 39. Relationships Among Process Groups, Activities, and Knowledge Areas
  40. 40. Relationships Among Process Groups, Activities, and Knowledge Areas
  41. 41. Developing an IT Project Management Methodology <ul><li>Just as projects are unique, so are approaches to project management </li></ul><ul><li>Many organizations develop their own project management methodologies, especially for IT projects </li></ul><ul><li>Blue Cross Blue Shield of Michigan used the PMBOK as a guide in developing their IT project management methodology </li></ul>
  42. 42. IT PM Methodology