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Lessons in Project Management - 1- Foundation Principles
 

Lessons in Project Management - 1- Foundation Principles

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    Lessons in Project Management - 1- Foundation Principles Lessons in Project Management - 1- Foundation Principles Presentation Transcript

    • International Project Management Prof. Dr. Frank Habermann Lecture 1 – Foundation Principles of Project Management
    • Content  What is a project?  A brief excursion to system theory  Types of business projects  When do we call a project a success?  Standard project management lifecycle © Becota GmbH | www.becota.com | 2010
    • first of all, what is a project ? © Becota | www.becota.org | 2010
    • What is a project? Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • What is a project? A construction… Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • What is a project? A construction… definite … Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • What is a project? A construction… which needs definite … special resources … … Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • What is a project? A construction… which needs definite … special resources … … aiming at future improvements … Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • What is a project? A construction… which needs definite … special resources … … aiming at future improvements … but meanwhile causing trouble! Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • In other words … THE BUSINESS regular processes providing regular values © Becota | www.becota.org | 2010
    • In other words … A PROJECT temporary process with unique results THE BUSINESS regular processes providing regular values © Becota | www.becota.org | 2010
    • In other words … Negative side-effects: - cost- and time-consuming - occupies business resources (intellectual capacities) - irritating and disturbing (distroys routines/comfort zones) - unsure results (what, when, for whom, etc.) A PROJECT temporary process with unique results THE BUSINESS regular processes providing regular values © Becota | www.becota.org | 2010
    • What characterizes a project? PROJECT RESULT 1. Temporary 2. Unique (a project got a (a project provides individual clear start and end date) and substantial results) Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • a brief excursion to system theory © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory i- What is a system? A set of elements which interact with each other and build an „integrated whole“ system boundary A system is thus characterized by - its elements (e.g. ) - as well as their relationships © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory ii- What are the characteristics of a system? Each system has a certain structure shows specific behavior! © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory ii- What are the characteristics of a system? Each system has a certain structure shows specific behavior! SYSTEM Sub System A Sub Sub System B System C Sub-sub Sub-sub System C1 System C2 ... Static relationships (composition/decomposition) © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory ii- What are the characteristics of a system? Each system has a certain structure shows specific behavior! SYSTEM Sub System A Sub Sub INPUT OUTPUT system System B System C (element) acting as acting as Sub-sub Sub-sub „receiver“ „sender“ System C1 System C2 (customer) (provider) ... Static relationships Dynamic relationships (composition/decomposition) (communication/collaboration) © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory iii- How about business projects? A specific business (e.g. an automotive company) is a system involving elements such as Products (Cars!) Human Resources Information Technology, etc. © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory iii- How about business projects? A specific business A specific project (e.g. an automotive company) related to the business is a system is a system as well involving elements such as involving elements such as Products (Cars!) Products (Project Results!) Human Resources Human Resources Information Technology, etc. Information Technology, etc. © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory iii- How about business projects? business project The projects uses From the business corporate resources and perspective, the project is part of the business agenda is a sub-system of the business © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory iii- How about business projects? business project The business sets constraints for and From the project gets results from the project perspective, the business is the target system © Becota | www.becota.org | 2010
    • Some brief thoughts about system theory iii- How about business projects? business project IT Improve [IT] with regards to a concrete project - effectiveness (business fit) aims at a specific - efficiency (cost of ownership) element (sub-system) of - availability the target system, e.g. IT - other corporate values © Becota | www.becota.org | 2010
    • so, what are the types ? projects of business © Becota | www.becota.org | 2010
    • Major types of projects (1/3) 1.- Projects providing results for the business THE BUSINESS i.e. projects aiming at improvements of the business technical projects organizational projects product development projects, etc. © Becota | www.becota.org | 2010
    • Major types of projects (2/3) 2.- Projects providing results as part of the business THE BUSINESS i.e. projects aiming at providing customer satisfaction projects are the core business corporate products are created within projects or project services are the product itself © Becota | www.becota.org | 2010
    • Major types of projects (3/3) 3.- Depending on the type of the main result PROJECT RESULT Deliverable COULD BE SERVICE PRODUCT e.g. consulting e.g. building projects are a unique yacht is a service projects product project => If the customer buys a combination of qualified services and products we call this a hybrid project © Becota | www.becota.org | 2010
    • Types of business projects Organizing Internal Major an event cost cutting purchase Feasibility initiatives study (pre- Research project) Re-designing Outsourcing processes Setting up a regional Marketing Merging subsidary campaigns firms Building a new Re-building plant structures Implementing Piloting software / hardware international Finding a partnerships Constructing a new CEO new product Implementing new and many more… management methods © Becota | www.becota.org | 2010
    • What makes a project ? a successful project © Becota | www.becota.org | 2010
    • When do we call a project a success? 1. 2. 3. © Becota GmbH | www.becota.com | 2010
    • When do we call a project a success? Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • When do we call a project a success? it disappears on due date! Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • When do we call a project a success? we only use it disappears the resources on due date! previously agreed Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • When do we call a project a success? we only use it disappears the resources on due date! previously agreed we deliver the expected results (type and quantity) Picture Source: www.infrastructurist.com © Becota | www.becota.org | 2010
    • When do we call a project a success? on time on budget on quality © Becota GmbH | www.becota.com | 2010
    • Project scoping scoping is the procedure of setting the parameters for each criteria on time on budget on quality © Becota GmbH | www.becota.com | 2010
    • Project controlling scoping is the procedure of setting the parameters for each criteria on time on budget on quality controlling is the procedure of managing performance against predefined parameters © Becota GmbH | www.becota.com | 2010
    • Project scoping and controlling need understanding the cost-time-quality equilibrium changing only one criteria strongly impacts the others! © Becota GmbH | www.becota.com | 2010
    • In corporate practice … what do you think, how many projects fail at least one of the three criteria? Picture source: http://learn-wealth-creation.com/blog/ © Becota GmbH | www.becota.com | 2010
    • In corporate practice … what do you think, how many projects fail at least one of the three criteria? 30-70% *depending on the type of project * Picture source: http://learn-wealth-creation.com/blog/ © Becota GmbH | www.becota.com | 2010
    • And even in case of (officially) successful projects, one criteria actually very often isn‘t met! The official version (told by the project manager) © Becota GmbH | www.becota.com | 2010
    • And even in case of (officially) successful projects, one criteria actually very often isn‘t met! The official version (told by the project manager) The business reality (told by the customers/users) © Becota GmbH | www.becota.com | 2010
    • ? What about the project lifecycle © Becota | www.becota.org | 2010
    • Standard project management life cycle Project Every project has three major phases! Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE … which can be drilled down! Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE Define Plan Execute Close out Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE Define Plan Execute Close out Envision Approve Plan Set-up Kick-off Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE Define Plan Execute Close out Envision Approve Conceptualize Plan Produce Set-up Test Kick-off Train Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle INITIATE RUN COMPLETE Define Plan Execute Close out Envision Approve Conceptualize Plan Produce Set-up Test Document Kick-off Train Hand-over Control & Communicate Source: inspired by Verzuh, E., The Fast Forward MBA in Project Management, p. 23 © Becota | www.becota.org | 2010
    • Standard project management life cycle project effort during the lifecycle INITIATE RUN COMPLETE PROJECT EFFORT TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle project effort during the lifecycle INITIATE RUN COMPLETE PROJECT EFFORT Define TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle project effort during the lifecycle INITIATE RUN COMPLETE PROJECT EFFORT Plan Define TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle project effort during the lifecycle INITIATE RUN COMPLETE Execute PROJECT EFFORT Plan Define TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle project effort during the lifecycle INITIATE RUN COMPLETE Execute PROJECT EFFORT Plan Close out Define TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE PROJECT EFFORT TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE PROJECT EFFORT Should-be (in theory) TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE PROJECT EFFORT Should-be (in theory) TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE Releasing resources, handing Staffing, PROJECT EFFORT over to business understanding, gaining speed Highest concentration, Should-be getting things done (in theory) TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE As-usually-is (in practice) PROJECT EFFORT TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE As-usually-is (in practice) Underestimating PROJECT EFFORT amount of work or being frustrated by lack of understanding Facing the deadline, finally realizing that Initial excitment, things must be quickly followed by done losing interest TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle needed resources versus actual investment INITIATE RUN COMPLETE As-usually-is (in practice) PROJECT EFFORT ! Should-be (in theory) TIME © Becota | www.becota.org | 2010
    • Standard project management life cycle Typical project douments INITIATE RUN COMPLETE Project Contract Project Charter Rough Require- Project ments Plan Definition © Becota | www.becota.org | 2010
    • Standard project management life cycle Typical project douments INITIATE RUN COMPLETE Project Contract Detailed Project Require- Charter Rough ments Require- Definition Test Project Conceptual Plan ments Plan Solution Definition (Models) Solution Documentation Training Plan © Becota | www.becota.org | 2010
    • Standard project management life cycle Typical project douments INITIATE RUN COMPLETE Project Contract Detailed Project Require- Charter Rough ments Require- Definition Test Project Plan Hand-over ments Conceptual Approvals Documention Plan Solution (technical & (e.g. Support Definition (Models) organizational) Info) Solution Closure Documentation Report Training Plan © Becota | www.becota.org | 2010
    • Standard project management life cycle Typical project douments INITIATE RUN COMPLETE Project Contract Detailed Project Require- Charter Rough ments Require- Definition Test Project Plan Hand-over ments Conceptual Approvals Documention Plan Solution (technical & (e.g. Support Definition (Models) organizational) Info) Solution Closure Documentation Report Training Plan Progress Progress Report Report © Becota | www.becota.org | 2010
    • Thank you very much! presentation by Frank Habermann founder of Becota and Professor of Business http://de.linkedin.com/in/frankhabermann/en
    • If you enjoyed this presentation, please let us know! You can download this presentation from the Berlin Consulting Forum -> join the forum at http://consultingforum.becota.org -> visit our corporate website at http://www.becota.com