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PROJECT MANAGEMENT THE WIPRO WAY

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PROJECT MANAGEMENT THE WIPRO WAY

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Slide 1: An Overview Of Project Management Processes Kamal Dhar 30-May-2007 © Copyright 2005 Wipro Technologies Wipro confidential 1

Slide 2: Contents  Opening Remarks  Definitions, Glossary of Terms and the Context  Project Management Process Groups  Definitions and Interactions  Project Management Component Processes  Project Management in the light of ICT Projects  Case History 2 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 3: How do you define a Project ?  What is a Project ?  What is an Operation ?  Is there any difference between Project & Operation ?  Many Characteristics are common  Both use human resources  Both are constrained by limited resources  Both are planned, executed & controlled  But there is a major difference  Operations are on-going, repetitive  Projects are temporary, unique 3 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 4: So what is a Project then ?  It is defined as Temporary Endeavour undertaken to create a Unique Product or Service  Product or Service should be different in some distinguishing way  It has a definite beginning and a definite end 4 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 5: Projects can take many dimensions  May involve single person or 10, 000 persons  May require 100 Man-hours or 100 Million Man-hours for completion  May involve single unit of one organisation or cross-agency collaboration  PPP / JV in ICT Projects  May be a critical component of the business strategy of the organisation 5 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 6: Projects can be of various types  Developing new Product or Service  BPR  Effecting a change in structure, staffing and style of the organisation  Designing a new vehicle  Developing or acquiring a new IT System  Constructing a building or a facility  Creating a nationwide infrastructure 6 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 7: What is a ‘Program’ ?  Is there any difference between a ‘Program’ and a ‘Project’ ?  Program is a ‘Group of Projects’ managed in a coordinated way  May involve elements of on-going operations, repetitive or cyclical e.g., publishing a periodical magazine  Project Management is generally viewed as sub-set of Program management 7 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 8: What is Project Management ?  Project Management is the application of knowledge, skills, tools and techniques to various project activities in order to  Meet objectives of the project  Meet or exceed stakeholder needs and expectations  Balance competing demands among Scope, Time, Cost, Quality, HR etc. 8 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 9: What is a Project Management Framework ?  Project Management Framework  Basic structure for project management  Should describe the environment in which project operates  Should describe interactions between various project management processes 9 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 10: Project Management Component Processes  Project Integration Management  Project Scope Management  Project Time Management  Project Cost Management  Project Quality Management  Project HR Management  Project Communication Management  Project Procurement Management  Project Risk Management 10 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 11: Broader Context of Project Management  Project Phase  Project Life Cycle  Project Stakeholders  Organizational Influence  Key Management Skills  Socio-economic Influence 11 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 12: Characteristics of Project Phases  Projects are usually divided into several project phases  Project phasing ensures better management, control and linking between various ongoing project activities  Each project phase is marked by completion of one or more Deliverables and a Review of Key Deliverables and project performance  What is a Deliverable?  A deliverable is a tangible, verifiable work product, e.g. feasibility study, a detailed design, a working prototype etc. 12 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 13: What is Project Life Cycle ?  Collectively project phases are termed as Project Life Cycle  Project Life Cycle defines the beginning and end of a project, may be generic or very detailed  It defines the phasing sequence with overlap, if any  Beginning phase may be with a feasibility study (first phase)  End phase may link with a technology-transfer or sign-off of a software package  Detailed description may have numerous forms, charts, checklists etc to provide structure, consistency (PM methodologies) etc. 13 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 14: What is essentially defined in Project Life Cycle ?  What technical work should be done in each phase  Who should be involved in each phase  Cost & staffing level at each phase  Low at the start, higher towards end 14 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 15: Sample Generic Life Cycle Control on final cost & final characteristics of project Probability of successful completion 15 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 16: Representative Example of Project Life Cycle  Construction Project Life Cycle  Feasibility (project formulation, feasibility studies, requirement analysis, strategy design & approval, phase ends with go/ no-go decision)  Planning & Design (base design, cost & schedule, contract terms & conditions, detailed planning, phase ends with major contracts)  Production (manufacturing, delivery, civil works, installation and testing, phase ends with substantial completion of the facility)  Turnover & Start-up (final testing & maintenance, phase ends with the facility fully operational) (Contd…) 16 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 17: Representative Example of Project Life Cycle (…Contd.)  A spiral model for software development with four cycles and four quadrants  Proof-of Concept Cycle  First Build Cycle  Second Build Cycle  Final Cycle 17 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 18: Representative Software Development Life Cycle 18 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 19: Define the Project Stakeholders  Identify the Stakeholders  Project Manager, Customer, Performing Organisation, Funding Organisation, Suppliers & Contractors, Govt. Agencies, Citizen and Society at large etc.  Determine Stakeholders’ needs and expectations  Different objectives may come into conflict, major challenge in finding appropriate resolutions  Manage and Influence the expectations towards successful project completion  Identify roles and responsibilities for the Stakeholders 19 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 20: Project Management Processes get influenced by the Organization performing the Project 20 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 21: Organisational Influences on Project Management  Influence by Organisational Systems  Project-based organisations, e.g., consulting firms, architectural firms, contracting firms  mostly have project management systems in place  Non-project based organisations e.g., manufacturing companies, most government departments  seldom have management systems designed to support project needs efficiently and effectively (Contd…) 21 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 22: Organisational Influence on Project Management (…Contd.)  Influence by Organisational Culture & Style  Organisational culture and style is reflected in norms, policies, procedures, expectations, beliefs, authority relationships etc. For example:  An unusual higher-risk approach is likely to be approved in an aggressive or entrepreneurial organisation;  A project manager with highly participative style is likely to encounter problem in a rigidly hierarchical organisation  Authorative Project Manager will have problem in a participative organisation  Influence by Organisational Structure  Organisational Struture may be ‘functional’ or ‘projectised’, influencing the availability of resources of the project 22 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 23: Organizational Structure Influences on Projects 23 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 24: Functional Organisation 24 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 25: Projectised Organisation 25 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 26: Strong Matrix Organisation 26 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 27: Balanced Matrix Organisation 27 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 28: Weak Matrix Organisation 28 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 29: Composite Organisation 29 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 30: Influence of Key Personnels on Project Management 30 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 31: General Management Skills for Project Management  Leading (essentially different from ‘managing’!)  Establishing direction (vision and strategy)  Aligning people (communicating vision and strategy by words and deeds)  Motivating and inspiring  Leadership may be demonstrated at all levels  Communicating with clarity, unambiguity  Written and oral, listening and speaking  Internal and external  Formal and informal  Vertical and horizontal (Contd…) 31 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 32: General Management Skills for Project Management (…Contd.)  Negotiating with others to reach an agreement  Scope, cost, schedule, contract, assignments, resource etc.  Problem Solving  Problem definition (technical, managerial, interpersonal)  Decision-making (identification of viable solutions and making a choice with time element)  Influencing the Organisation  Understanding the formal and informal dynamics of the organisation (power & politics - in the positive sense) 32 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 33: Socio-economic Influence on Project Management  Standards and Regulations  When well-known, project plans can reflect their effects  When influence is unknown or uncertain, effects considered under Project Risk Management  Internationalisation  In addition to conventional scope, cost, time, quality etc. Project Management should consider effect of time zone differences, national / regional holidays, travel requirements, logistics for tele/ video conferencing, sometimes volatile political differences (Contd…) 33 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 34: Socio-economic Influence on Project Management (…Contd.)  Cultural Influence  All projects operate within a context of one or more cultural norms  Areas of influence are political, economic, demographic, educational, ethical, ethnic, religious etc. that affect the way people and organisation interact 34 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 35: Now we will have a closer look on various Project Process Groups and their interactions Successful Project Management means actively managing the interactions between various Project Processes 35 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 36: Project Management Processes  Project Management is an integrative endeavour  Interactions may be either straight forward and well-understood or subtle and uncertain  e.g., a scope change will almost always affect project cost, but it may or may not affect product quality or team morale  Integrative nature is defined in terms of the interlinked component processes and their interactions 36 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 37: Projects are composed of processes  Project Management Processes  Altogether Nine Processes, describing and organizing all the activities of the project  Product-oriented Processes  Specify and create the project product, typically defined in the Project Life Cycle and vary by application area  Above two do overlap and interact throughout the project  e.g., to define scope of the project, basic understanding of how to create the product is required 37 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 38: Project Processes have five Groups  Initiating Processes – beginning of a phase  Planning Processes – devising and maintaining a workable scheme  Executing Processes – coordinating people and other resources  Controlling Processes – monitoring and measuring progress and taking corrective actions  Closing Processes – formalizing acceptance of an orderly end of the project or phase 38 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 39: Links Among Process Groups in a Phase 39 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 40: Overlap of Process Groups in a Phase 40 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 41: Interaction Between Phases Prior Phases Subsequent Phases 41 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 42: Processes Interact within Process Group  Each Process can be defined in terms of  Inputs – documents or documentable items that will be acted upon  Tools & Techniques – mechanisms to create outputs form the inputs  Outputs-documents or documentable items as a result of the process All nine Project Management areas mentioned earlier are defined in the above way 42 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 43: Let us now have a closer look on these five processes  Initiating Processes  Planning Processes  Executing Processes  Controlling Processes  Closing Processes 43 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 44: Initiating Process  Essentially it is a single process indicating the commitment of the organisation  It leads to beginning of the next phase i.e., Planning Process 44 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 45: Planning Processes  Having major importance in a project  Spend adequate time in planning to avoid problems in execution  Many iteration possible till Planning is complete  Consist of two main processes  Core Processes  Facilitating Processes 45 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 46: Core Processes in Planning  Scope Planning – developing a written scope document as a basis of future project decisions  Scope Definition-subdividing the major project deliverables into smaller, more manageable components  Activity Definition – identifying the specific activities to be performed to produce various project deliverably  Activity Sequencing- identifying and documenting interactivity dependencies  Activity Duration Estimating – estimating the number of work periods which will be needed to complete individual activities (Contd…) 46 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 47: Core Processes in Planning (…Contd.)  Schedule Development – analyzing activity sequences, activity durations and resource requirements to create project schedule  Resource Planning-determining resources (people, equipment, materials) and their quantities required to perform project activities  Cost Budgeting – allocating the overall cost estimate to individual work items  Project Plan Development – developing a consistent, coherent document taking in account of the above planning processes 47 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 48: Facilitating Processes in Planning  Quality Planning – identification of quality standards and means to achieve them  Organisation Planning – identifying, documenting and assigning project roles, responsibilities and reporting relationships  Staff Acquisitions – getting the required HR  Communication Planning – determining the information, communication need and mode for communication (Contd…) 48 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 49: Facilitating Processes in Planning (…Contd.)  Risk Identification- identification risks which may affect the project and documenting them  Risk Quantification – evaluating risks and risk interactions to access the range of possible project outcome  Risk Response Development-defining enhancement steps for opportunities and response to threats  Procurement Planning-determining what to procure and when  Solicitation Planning – documenting product requirements and identifying potential sources 49 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 50: Executing Processes  Project Plan Execution  By performing all activities  Scope Verification  Formalizing acceptance of the project scope  Quality Assurance  Evaluating project performance to meet quality standard  Team development  Developing individual & group skills (Contd…) 50 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 51: Executing Processes (…Contd.)  Information Distribution  Making information available in a timely manner  Solicitation  Obtaining quotations, bids, RFPs as appropriate  Source Selection  Identifying potential suppliers  Contract Administration  Managing appropriate contracts with the suppliers / vendors / operators 51 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 52: Controlling Processes  Overall Change Control  Coordinating changes across the entire project  Scope Change Control  Controlling changes to project scope  Schedule Control  Controlling changes to the project schedule  Cost Control  Controlling changes to the project budget (Contd…) 52 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 53: Controlling Processes (…Contd.)  Quality Control  Monitoring intermediate results and identifying ways to eliminate causes for not meeting the quality standards  Performance Reporting  Collecting and disseminating performance information which includes status reporting, progress measurement and forecasting  Risk Response Control  Responding to changes in risk over the course of the project 53 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 54: Closing Processes  Financial Closure – Utilization Certificates Financial Statements  Administrative Closure – generating document to formalise phase or project completion  Contract close-out – completion and settlement of contract including resolution of any open items 54 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 55: Now with this background on Project Process Groups we would discuss on nine Project Management Areas which primarily describe PM knowledge and practice in terms of its component processes 55 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 56: Nine PM Component Processes  Project Integration Management these processes ensure proper coordination among various activity elements of the project  Project Scope Management these processes ensure identification of all work (and only those work) required to complete the project  Project Time Management These processes ensure timely completion of the project (Contd…) 56 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 57: Nine PM Component Processes (…Contd.)  Project Cost Management these processes ensure that the project is completed within the approved budget  Project Quality Management these processes ensure that the project will satisfy the needs for which it was undertaken  Project HR Management these processes ensure most effective use of the people involved with the project (Contd…) 57 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 58: Nine PM Component Processes (…Contd.)  Project Communication Management these processes ensure timely and appropriate generation, collection, dissemination, storage and disposition of project information  Project Procurement Management these processes describe procurement of good and services from outside the performing organisation  Project Risk Management these processes describe identification, analysis and response to project risk 58 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 59: Project Integration Management 59 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 60: Project Integration Management  Project Integration Management processes are primarily integrative. They integrate the processes involving  Project Plan Development  Project Plan Execution  Overall Change Control  For every PM Process Component (Nine in all)  Inputs  Tools & Techniques  Outputs are defined in sub-elements and managed accordingly (Contd…) 60 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 61: Project Integration Management (…Contd.) Project Plan Development  Inputs  Other planning outputs  Organisational policies  Historical information  Assumptions  Constraints  Tools & Techniques  Project planning methodology  Project management information system (PMIS)  Stakeholder skills and knowledge  Outputs  Project plan  Schedule management plan  Supporting detail  Resource requirement updates (Contd…) 61 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 62: Project Integration Management (…Contd.) Project Plan Execution  Inputs  Project plan  Organisational policies  Supporting detail  Corrective action  Tools & Techniques  General management skills  Status review meetings  Project management  Product skills and knowledge information system  Work authorization system  Organisational procedures  Outputs  Work results  Change requests (Contd…) 62 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 63: Project Integration Management (…Contd.) Overall Change Control  Inputs  Project plan  Change requests  Performance reports  Tools & Techniques  Change control system  Additional planning  Configuration management  Project management information system  Performance measurement  Outputs  Lessons learned  Project plan updates  Corrective action 63 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 64: Coordinating Changes Across the Entire Project Performance Overall Change Reporting Control Subsidiary Change Control • Scope Change Control • Schedule Change Control • Cost Change Control • Quality Control • Risk Change Control • Contract Administration 64 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 65: Project Scope Management 65 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 66: Project Scope Management  Initiation  Scope Planning  Scope Definition  Scope Verification  Scope Change Control (Contd…) 66 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 67: Project Scope Management (…Contd.) Initiation  Inputs  Product description  Project selection criteria  Strategic plan  Historical information  Tools and Techniques  Project selection methods  Constraints  Expert judgment  Assumptions  Outputs  Project charter  Project Manager identified / assigned (Contd…) 67 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 68: Project Scope Management (…Contd.) Scope Planning  Inputs  Product description  Constraints  Project charter  Assumptions  Tools and Techniques  Product analysis  Alternatives identification  Benefit/ cost analysis  Expert judgment  Outputs  Scope statement  Scope management plan  Supporting detail (Contd…) 68 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 69: Project Scope Management (…Contd.) Scope Definition  Inputs  Scope statement  Other planning outputs  Constraints  Historical information  Assumptions  Tools and Techniques  Work Breakdown  Decomposition Structure templates  Outputs  Work Breakdown Structure (WBS) (Contd…) 69 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 70: What is a Work Breakdown Structure (WBS) ?  A WBS is a deliverable-oriented grouping of all Project Activity Elements  It defines and organises total scope of project work  Any work which is not in WBS is outside the scope of project  It is worked out both in horizontal and vertical directions with each descending level represents an increasingly-detailed description of elements (Contd…) 70 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 71: What is a Work Breakdown Structure ? (…Contd.)  Each item in WBS is assigned a unique identifier, collectively known as Codes of Accounts  Items at lowest level of WBS are called Work packages which may be further decomposed to Activity definition  Work element descriptions are often kept in a WBS dictionary which may include other planning information like schedule dates, cost budgets, staff assignments etc.  This method of WBS applies to other application areas also e.g., CWBS, OBS, RBS, BOM etc.  In other words WBS will be executed upto the level at which control can be exercised 71 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 72: Project Scope Management Scope Verification  Inputs  Work results  Product documentation  Tools and Techniques  Inspection  Outputs  Formal acceptance (Contd…) 72 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 73: Project Scope Management (…Contd.) Scope Change Control  Inputs  Work Breakdown Structure  Change requests  Performance reports  Scope management plan  Tools and Techniques  Scope change control system  Additional planning  Performance measurement  Outputs  Lessons learned  Scope changes  Corrective action (Contd…) 73 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 74: Project Time Management 74 CONFIDENTIAL© Copyright 2005 Wipro Technologies

Slide 75: Project Time Management  Activity Definition  Activity Sequencing  Activity Duration Estimating  Schedule Development  Schedule Control (Contd…) 75 CONFIDEN