Effective of Project Management 2012    Effective of Project    Management    Chapter-1 Notes    Made By Badar-e-Alam –Anw...
Effective of Project Management 2012                              Project ManagementWhat is Project?Projects have a purpos...
Effective of Project Management 2012No matter what the type of project, project management typically follows the same patt...
Effective of Project Management 2012                  Project                                      Program   1. A project ...
Effective of Project Management 2012                                Project ParametersFive constraints operate on every pr...
Effective of Project Management 2012Cost is the total cost to deliver the project. Again, cost is very easy to define and ...
Effective of Project Management 2012           2. Hope creep           3. Effort creep           4. Future creep   1. Scop...
Effective of Project Management 2012impossible for the project manager to get the project on track (schedule and budget wi...
Effective of Project Management 2012Called the ‘Scope Triangle’ or the ‘Quality Triangle’ this shows the trade-offs inhere...
Upcoming SlideShare
Loading in …5
×

Project management chapter 1 notes

26,036 views

Published on

Created by Badar-e-Alam-Anwar

Published in: Business, Technology

Project management chapter 1 notes

  1. 1. Effective of Project Management 2012 Effective of Project Management Chapter-1 Notes Made By Badar-e-Alam –Anwar Study Program: MBA E (3.5years) Reg-no.1432-212048 Contact No: 0344-9074432 Y-mail: Darkshade00@yahoo.comChapter-1 notes Page 1
  2. 2. Effective of Project Management 2012 Project ManagementWhat is Project?Projects have a purpose: projects have clearly-defined aims and set out to produce clearlydefined results. Their purpose is to solve a “problem”, and this involves analysing needsbeforehand. Suggesting one or more solutions, it aims at lasting social change.Projects are realistic: their aims must be achievable, and this means taking account both ofrequirements and of the financial and human resources available.Projects are limited in time and space: they have a beginning and an end, and areimplemented in a specific place and context.Projects are complex: projects call on various planning and implementation skills, andinvolve various partners and players.Projects are collective: projects are the product of collective endeavour. They are run byteams, involve various partners and cater for the needs of others.Projects are unique: all projects stem from new ideas. They provide a specific response to aneed (problem) in a specific context. They are innovative.Projects are an adventure: every project is different and ground-breaking; they alwaysinvolve some uncertainty and risk.Projects can be assessed: projects are planned and broken down into measurable aims,which must be open to evaluation.Projects are made up of stages: projects have distinct, identifiable stages.What is Project Management?Project management is the science (and art) of organizing the components of a project,whether the project is development of a new product, the launch of a new service, amarketing campaign, or a wedding. A project isnt something thats part of normal businessoperations. Its typically created once, its temporary, and its specific. As one expert notes, "Ithas a beginning and an end." A project consumes resources (whether people, cash, materials,or time), and it has funding limits.Project Management BasicsChapter-1 Notes Page 2
  3. 3. Effective of Project Management 2012No matter what the type of project, project management typically follows the same pattern: 1. Definition 2. Planning 3. Execution 4. Control 5. ClosureProjects are singular, but non-routine, events with precise objectives which must be achievedwithin a set timeframe. Projects are broken into a set of activities designed to fulfil the statedobjectives. Examples of projects include the building of a house, the holding of an event likea party or even something as simple as completing a school assignment.Project Management requires the organisation of people, equipment and procedures in anappropriate way to get a project completed within a set timeframe and budget. A ProjectManager is responsible for the coordination of all these resources in order to achieve theproject objectives.The following need to be considered when planning a project • Purpose and aim of the project • Resources available both human and material • Costing, human and time constraints • The tasks, procedures or activities required to complete the projectProject management techniques are used by organisations because they ensure thatorganisational objectives and system objectives are being met in a timely, accurate, relevantand complete manner. They provide a way of controlling people, resources and procedures,and clearly identify the tasks that must be completed and the desired completion time.What is a program?A program is a portfolio comprised of multiple projects that are managed and coordinated asone unit with the objective of achieving (often intangible) outcomes and benefits for theorganization.Difference between a Project and a ProgramThe following table summarizes the main areas of difference between a project and aprogram.Chapter-1 Notes Page 3
  4. 4. Effective of Project Management 2012 Project Program 1. A project is a collaborative enterprise, • A program on the other hand is the act frequently involving research or of creating and managing multiple design that is carefully planned to projects where in most cases the achieve a particular aim. projects are related. 2. A project is usually short term with • A program is an ongoing process in time constraints. order to achieve major objectives. 3. Outputs – tangible; relatively easy to • Outcomes – often intangible; difficult describe, define and measure; tending to quantify; benefits often based on towards objective. changes to organizational culture and behaviors; introducing new capabilities into the organization; tending towards subjective. 4. Strictly limited; tightly defined; not • Not tightly defined or bounded; likely likely to be subject to material change to change during the life cycle of the during the life of the project. program. 5. Relatively short term; typically three • Relatively long term typically to six months. eighteen months to three years. 6. Project risk is relatively easy to • Program risk is more complex and identify and manage. The project potentially the impact on the failure would result in relatively organization if a risk materializes will limited impact on the organization be greater relative to project risk. relative to program risk. Programme failure could result in material financial, reputational or operational loss. 7. A relatively limited number of • Ill-defined; often disagreement potential solutions. between key stakeholders on the nature and definition of the problem. 8. A relatively limited number of • A significant number of potential stakeholders. solutions with often with disagreement between stakeholders as to the preferred solution. 9. Environment within which the project • Environment is dynamic; and takes place is understood and programme objectives need to be relatively stable. managed in the context of the changing environment within which the organization operates. 10. Environment within which the project • Resources are constrained and takes place is understood. limited; there is competition for resources between projects.Chapter-1 Notes Page 4
  5. 5. Effective of Project Management 2012 Project ParametersFive constraints operate on every project: - Scope - Quality - Cost - Time - RecoursesScopeScope is the agreed scope of the work to be performed. Scope is rather subjective and needsto be carefully defined if it is to be clearly understood and agreed.Scope looks at the outcome of the project undertaken. This consists of a list of deliverableswhich need to be addressed by the project team. A successful project manager will know tomanage both the scope of the project and any change in scope which impacts time and cost.QualityQuality is the agreed quality of the project outcomes everything from the requirements anddesign documents to the project products or services e.g., a new computer system, a bridge,or whatever is being produced.Quality is not a part of the project management triangle, but it is the ultimate objective ofevery delivery. Hence, the project management triangle represents implies quality.TimeTime in this perspective represents the total time to deliver a project, based on the agreedScope and Quality constraints. As such time is very easy to measure, once the Scope andQuality is agreed and understood. ORTime is a crucial factor which is uncontrollable. On the other hand, failure to meet thedeadlines in a project can create adverse effects. Most often, the main reason fororganizations to fail in terms of time is due to lack of resources.CostChapter-1 Notes Page 5
  6. 6. Effective of Project Management 2012Cost is the total cost to deliver the project. Again, cost is very easy to define and measure andis a function of the project management effort required to deliver the Scope of work to theQuality required in the Time agreed. ORIts imperative for both the project manager and the organization to have an estimated costwhen undertaking a project. Budgets will ensure that project is developed or implementedbelow a certain cost.Sometimes, project managers have to allocate additional resources in order to meet thedeadlines with a penalty of additional project costs.ResourceResources are required to carry out the project tasks. They can be people, equipment,facilities, funding, or anything else capable of definition (usually other than labour) requiredfor the completion of a project activity. The lack of a resource will therefore be a constrainton the completion of the project activity. Resources may be storable or non storable. Storableresources remain available unless depleted by usage, and may be replenished by project taskswhich produce them. Non-storable resources must be renewed for each time period, even ifnot utilised in previous time periods.Resource scheduling, availability and optimisation are considered key to successful projectmanagement.Allocation of limited resources is based on the priority given to each of the project activities.Their priority is calculated using the Critical path method and heuristic analysis. For a casewith a constraint on the number of resources, the objective is to create the most efficientschedule possible - minimising project duration and maximising the use of the resourcesavailable.What is Creep?Creep (as in functionality-creep, feature-creep, mission-creep and scope-creep) is a problemin project management where the initial objectives of the project are jeopardized by a gradualincrease in overall objectives as the project progresses.The need to achieve the new objectives can overwhelm the capacity of the resources allocatedto the project resulting in the project missing deadlines, budgets or failing completely.Write a note on following. 1. Scope creepChapter-1 Notes Page 6
  7. 7. Effective of Project Management 2012 2. Hope creep 3. Effort creep 4. Future creep 1. Scope Creep Scope creep is defined as adding features and functionality (project scope) without addressing the effects on time, costs, and resources, or without customer approval. (PMBOK) Other definitions: “Scope creep is the piling up of small changes that by themselves are manageable, but in aggregate are significant.” “Scope creep refers to the change in a projects scope after the project work has started. Typically, the scope expands by the addition of new features to an already approved feature list.” • Poor implementation of change control. • Incomplete gathering of requirements before project execution begins. • Insufficient involvement of critical stakeholders (including customer) Lack of support from executive sponsor and enforcement power in project manager • Scope Creep is one of the main reasons why projects fail. • A variety of reasons can be responsible for scope creep. • Scope verification is key. 2. Hope creepYes hope creep is different from scope creep. In short, hope creep is lying about the status ofthe project/task until youre caught.For project managers, hope creep happens when the project manager starts lying about thestatus of the project (which is behind schedule and over-budget) to the stakeholders and theclient, while hoping that he will be able to get the project on track before anyone discoversthe truth. Since hope creep involves lying to important people either inside or outside thecompany, the project manager will always be in panic mode because he knows that hell mostlikely be fired when the truth comes out, and it usually does.Similarly to scope creep, nothing good comes out from hope creep. In fact, it is nearlyChapter-1 Notes Page 7
  8. 8. Effective of Project Management 2012impossible for the project manager to get the project on track (schedule and budget wise)once he starts lying. 3. Effort creepIt is not really related to scope creep with the exception that theyre both creeps and they bothnegatively affect the project.Effort creep is when one of your team members makes a huge effort on a task that is nearlydone, but cannot finish it. For example, a task is 80% done in one week, and the teammember is working on the remaining 20% for several weeks, with no end in sight. This isvery common in software projects, and the perfect remedy for effort creep is to assign theremainder of the task to someone else who has more experience in the particular area of thetask.Alternatively, the project manager can talk to the team member about the difficulties facinghim while working on this task, although this is normally useless, as the reason is alwaysrelated to the team members inexperience and inadequacy for the task, and most teammembers are reluctant to admit it. 4. Future creepFeature creep, also called scope creep, refers to the tendency of project requirements toexceed their original estimations. It is common with the development of major computerprojects, in which engineers decide that additional features should be added to the productbefore release to make it more usable and enjoyable for the target market. It can also happenwhen the client contracting the project keeps adding to the wish list. Feature creep can affectthe overall budget for a project, as well as delaying the release time considerably, causingfrustration to company executives. It can also ultimately weaken a product by clogging itwith interesting but unneeded features, so companies need to take care to avoid it.The problem can be mitigated by having a tightly organized project team which recognizesthe exact requirements of the project and works together to meet them. Aproject manager who is aware of the risks of feature creep can help to head it off at the passby refocusing the team or reminding the client of the original goals of the project. Onoccasion, feature creep is actually necessary, especially with large projects in whichengineers are exploring new concepts. In these instances, several team members should meettogether to evaluate the feature creep which is occurring and decide whether or not it is avalid result of the direction in which the project is moving.Q: Write a note on the Scope of Triangle?Answer:Scope TriangleChapter-1 Notes Page 8
  9. 9. Effective of Project Management 2012Called the ‘Scope Triangle’ or the ‘Quality Triangle’ this shows the trade-offs inherent in anyproject.The triangle illustrates the relationship between three primary forces in a project. Time is theavailable time to deliver the project, cost represents the amount of money or resourcesavailable and quality represents the “fit-topurpose” that the project must achieve to be asuccess.In reality the normal situation is that one of these factors is fixed and the other two will varyin inverse proportion to each other. For example “Time” is often fixed in a project and the“Quality” of the end project will depend on the “Cost” or resources available. Similarly if youare working to a fixed level of “Quality” then the “Cost” of the project will largely bedependent upon the “Time” available (if you have longer you can do it with fewer people).A phenomenon known in project management circles as “scope creep” can be linked to thetriangle too. Scope creep is the almost unstoppable tendency a project has to accumulate newfunctionality. Some scope creep is inevitable since early on, your project will probably bepoorly defined and will need to evolve. A large amount of scope creep however can bedisastrous.When the scope starts to creep new functionality must be added to cover the increased scope.This is represented by the quality arm of the triangle, representing the ability of the ‘product’to fulfil users’ requirements. More requirements fulfilled = a better quality product.In this situation you have three , and only three options:1. Add time – delay the project to give you more time to add the functionality2. Add cost – recruit, hire or acquire more people to do the extra work3. Cut quality – trade off some non-essential requirements for the new requirementsIf the art of management lies in making decisions, then the art of project management lies inmaking decisions quickly! When faced with such a dilemma you should not hesitate to takeone of the three options listed above. Delaying raises the risk of your project failing.Chapter-1 Notes Page 9

×