Dr atif shahzad_engg_ management_module_01

_____________________Dr. Atif Shahzad
BE, MECHANICAL ENGINEERING
UNIVERSITY OF ENGINEERING & TECHNOLOGY, TAXILA, PAKISTAN, 2000
MCS, SOFTWARE ENGINEERING
SZABIST,, ISLAMABAD, PAKISTAN, 2003
MS, AUTOMATION & PRODUCTION SYSTEMS
ECOLE CENTRALE DE NANTES, NANTES, FRANCE, 2007
PhD, AUTOMATION & APPLIED INFORMATICS
UNIVERSITE DE NANTES, NANTES, FRANCE, 2011
EMAIL: atifshahzad@Gmail.com
TEL: +92-333-5219846
LINKEDIN: pk.linkedin.com/in/dratifshahzad
https://www.researchgate.net/profile/Atif_SHAHZAD

_____________________Dr. Atif Shahzad
ASSOCIATE PROFESSOR, MECHANICAL
CECOS UNIVERSITY, PAKISTAN.
ASSOCIATE PROFESSOR, INDUSTRIAL/MECHATRONICS
TEC DE MONTERREY, MEXICO.
ASSOCIATE PROFESSOR, MECHANICAL ENGINEERING
IIUI, ISLAMABAD, PAKISTAN
GENERAL MANAGER, SYSTEM ENGINEERING
NESCOM, ISLAMABAD
LECTURER, LOGISTICS & PRODUCTION SYSTEMS
ECOLE DES MINES DE NANTES, NANTES, FRANCE.
EMAIL: atifshahzad@Gmail.com
TEL: +92-333-5219846
LINKEDIN: pk.linkedin.com/in/dratifshahzad

11/17/2018
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TEACHING INTERESTS
Applied Engineering Optimization
Applied Combinatorics
Artificial Intelligence
ARENA/SIMIO
Control Engineering
Heuristic Search
Engineering Statistical Analysis
Engineering Mechanics (Statics, Dynamics)
Industrial Engineering
Machine Design
Manufacturing System Planning
Mechanics of Materials
Matlab/Simulink
Modeling and Simulation
Multi-criteria Optimization
Operation Research
Operations Management
Project Management
Robotics
Scheduling Theory
Supply Chain Management
System Simulation
System Engineering
Technical Computing
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 Application of Optimization
¤ Manufacturing system analysis
¤ Engineering applications of meta-heuristics
¤ Combinatorial optimization
¤ Multicriteria Optimization
 Manufacturing system analysis
¤ Mathematical Modeling
¤ Simulation Modeling & Analysis
¤ Scheduling theory
¤ Assembly Line
11/17/2018Dr. Atif Shahzad
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RESEARCH INTERESTS
Discrete Event Systems
PetriNets
Supply Chain simulation &Analysis
Data Mining
Operation Research

LECTURE #1
PLEASE
INTRODUCE YOURSELF

Dr.AtifShahzad
INTRODUCTIONS
 What is your Management Experience?
 What types of projects have you been involved in?
 What would you like to get out of the course?

ENGINEERING
MANAGEMENT
COURSE OBJECTIVES
Dr. Atif Shahzad

Dr.AtifShahzad
COURSE OBJECTIVES
 Learn what engineering management is and the qualities of an
effective project manager.
 Understand the nine knowledge areas of project management and
how they can be applied to your project.
 Discover the phases of a project and what deliverables are expected
when.
 Identify a project’s key stakeholders.
 Understand the different types of business cases and how to create a
Statement of Work.
 Learn to be prepared for the unexpected by utilizing risk
management and change control.
 Learn how to organize project activities by creating a Work
Breakdown Structure.
 Create a network diagram to track your project’s progress.
 Learn budgeting and estimating techniques.
Dr.AtifShahzad

TEACHING METHODOLOGY
LECTURE #1

Dr.AtifShahzad
GENERAL INSTRUCTIONS
¤ Class sanctity is top most in our agenda while class is in session. No eating or drinking
during lectures. Mobile phones need to be in silent mode. Anyone flouting these rules
may face a deduction in their class participation.
¤ Timely submission of Assignments is mandatory and if not turned in when due, the
student will not be graded. Individual homework means individual effort.
¤ Assignments are to be submitted in your own hand-writing, and may only be submitted
via Edmodo. If you are planning to miss a class due to some prior commitment a written
application is required along with the consent of your parent/guardian, otherwise no
makeup assignment or quiz will be allowed.
¤ Attendance call will be random and late comers will be considered as absent in the
class.
¤ Break timing will be strictly observed.
¤ Students who present new ideas / industry developments in the class will be highly
encouraged and will have a positive impact on their class participation grade.
¤ All case studies and each assignment is also potential exam material.
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Dr.AtifShahzad
HOW DO WE INTEND TO DELIVER
LECTURES, LABs, QUIZ and EXAM
 LECTURES
¤ Lecture notes will be on Power Point Slides in pdf format
¤ We will have them available in class and you are welcome to take them after
the class
¤ Students can bring anything they are comfortable with for taking the class
notes
¤ We will see education videos
¤ Slides important for exam may be highlighted
 LABS (If Applicable)
¤ Labs will be conducted in the course of lectures
¤ Please bring your Laptops along with MS Excel, MS Project installed
¤ Each Lab will have a Quiz at the end to analyze your understanding
!
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Dr.AtifShahzad
EXAM METHODS
 EXAMS
¤ There will be Assignments and Quizzes in most of the
lectures with appropriate weightage.
¤ Absentees in Quizzes will be marked ZERO.
¤ All students will submit their assignments either as a hard or
soft copy (Instructor would specify in all the assignments).
We expect professional reports.
¤ Late assignments without prior approval of the instructor will
not be accepted.
¤ Mid Term and End Term Exams as per CECOS policy.
Dr.AtifShahzad

Dr.AtifShahzad
EXAM METHODS
 GRADING
Activity %
Assignments 10
Quizzes 10
Mid Term Exam 20
Final Exam 30
PROJECT 30
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Dr.AtifShahzad
PROJECT
 The Project will have maximum weight age i.e. about
20~40 %
 The projects will be executed in teams of one to three
students and be incorporated into the course as the final
presentations and a final report.
¤ Each Student can do one project individually or
¤ 3 students can do one project combined
¤ In that case each student should present a part of the project in
the final presentation
 The final report will take on the form of a conference
paper/professional report.
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Dr.AtifShahzad
PROJECT
 If Each Student is doing one project individually then
¤ Individually submit your report and presentation
¤ The presentation should be 25 minutes per student and include all
the requirements as mentioned above
 If all 3 students are doing one project combined
¤ In that case each student should present a part of the project in
the final presentation
¤ The part of the project that each student has contributed to
should be explicitly stated
¤ The presentation should be 30 minutes i.e. 10 minutes per student
and include all the requirements as mentioned above
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Dr.AtifShahzad
PROJECT
 The draft paper and presentations (WITHOUT the RESULTS)
but with the following is due by the 14th WEEK
 The final paper and presentations ( COMPLETED with
RESULTS, Tables, Figures etc, DISCUSSION on RESULTS and
CONCLUSION ) are due in the 15th WEEK, i.e. two weeks
before the presentation week
Dr.AtifShahzad

Dr.AtifShahzad
CLASS PARTICIPATION
 Class Participation is highly recommended as this would
be an interactive class.
¤ Add on whenever you like.
¤ Ask question as soon as it comes to mind, keeping in mind the
flow of lecture.
¤ We will write down questions that come and we would review
them as the course progresses or at the end of the semester as to
what we think today and how does this change over the course of
the semester.
Dr.AtifShahzad

Dr.AtifShahzad
Platform
 Edmodo
Dr.AtifShahzad

ENGINEERING MANAGEMENT
Dr. Atif Shahzad

Dr.AtifShahzad
Engineering
Management ...
 specialized form of management
¤required to successfully lead engineering or
technical personnel and projects.
 The term can be used to describe either
¤ functional management or
¤ project management. *University of KANSAS
http://emgt.ku.edu/
Dr.AtifShahzad

Dr.AtifShahzad
Three Dimensions
TECHNICAL: an
understanding of and
proficiency in engineering
and science.
HUMAN: the ability
to build a
collaborative effort
within a group.
CONCEPTUAL: the
ability to apply
analytical thought to
the management
process and to
enterprise as a total
system.
Dr.AtifShahzad

Dr.AtifShahzad
TODAY’S LECTURE
 What is a Project?
¤Examples of Projects
¤Project Lifecycle
 A BIG PICTURE of ENGINEERING
MANAGEMENT
 Books, Journals, Websites & Societies
 Q&A
Dr.AtifShahzad

ENGINEERING
MANAGEMENT
PROJECT?
Dr. Atif Shahzad

Dr.AtifShahzad
PROJECT...
 All of mankind’s greatest accomplishments—
from building the great pyramids to
discovering a cure for polio to putting a man
on the moon, Beijing Olympics 2008—
began as a project.
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT...
 A project is “a temporary endeavor undertaken to create
a unique product, service, or result.”*
 Operations is work done to sustain the business.
 A project ends when its objectives have been reached, or
the project has been terminated.
 Projects can be large or small and take a short or long
time to complete.
*PMI, A Guide to the Project Management Body of Knowledge
(PMBOK® Guide) (2004), p. 5.
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT...
 The major characteristics of a project are as
follows:
1. An established objective.
2. A defined life span with a beginning and an end.
3. Usually, the involvement of several departments and professionals.
4. Typically, doing something that has never been done before.
5. Specific time, cost, and performance requirements.
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Dr.AtifShahzad
PROJECT...
 A collection of linked activities, carried out
in an organized manner, with a clearly
defined START POINT and END POINT to
achieve some specific results desired to
satisfy the needs of the organisation at the
current time
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Dr.AtifShahzad
PROJECT...
 Taking class notes
 Daily entering sales receipts into
the accounting ledger
 Responding to a supply-chain
request
 Practicing scales on the piano
 Routine manufacture of an Apple
iPod
 Attaching tags on a manufactured
product
 Writing a term paper
 Setting up a sales kiosk for a
professional accounting meeting
 Developing a supply-chain
information system
 Writing a new piano piece
 Designing an iPod that is approx 2 3
4 inches, interfaces with PC, and
stores 10,000 songs
 Wire-tag projects for GE and Wal-
Mart
ROUTINE WORK PROJECT
Dr.AtifShahzad

PROJECT
MANAGEMENT
PROJECT?
EXAMPLES
Dr. Atif Shahzad

Dr.AtifShahzad
EXAMPLES OF PROJECTS
 Building Construction
 Research Project
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Dr.AtifShahzad
 According to Internet rumors, the new
console will be based on entirely new
hardware that will pump out HD visuals,
contain expanded storage, and run using
digitally distributed content rather than
physical discs.
 The new console will expand the
capability of Wii’s revolutionary
handheld pointer device that detects
movement in three dimensions.
 At stake is Nintendo’s position in the $10
billion plus gaming industry.
C. Faylor, 2008
COMPANY: NINTENDO
Project: Next Generation Nintendo
Wii Game Console
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Dr.AtifShahzad
 The Chevrolet Volt is a plug-in hybrid
electric vehicle. Propulsion of the Volt is
accomplished exclusively by the electric
motor, and the internal combustion
engine is used as another charging
method.
 What’s at stake is the future of GM.
 With the company’s recent emergence
from bankruptcy protection, the chief of
GM product development, Tom
Stephens, pronounced, “We cannot
afford to have anything but a hit . . .
every launch . . . has to be a home-run.”
COMPANY: GENERAL MOTORS Project: Chevrolet Volt
Dr.AtifShahzad

Dr.AtifShahzad
 Motorola released multiple Google Android
smart phones at several different price points.
 According to chief executive Sanjay Jha,
Android has over 3,000 third-party
applications available and “significant
developer interest” making it a “large enough
eco-system” to become a successful platform.
 Motorola has seen its phone sales plummet in
recent years. The company’s global market
share has declined to 6 percent after
commanding 23 percent in 2006. The new
phones are seen as a key to Motorola re-
establishing itself in the booming smart phone
business.
COMPANY: MOTOROLA
Project: Google Android Smart
Phones
Dr.AtifShahzad

Dr.AtifShahzad
 The Harry Potter film franchise is one of the
highest grossing film franchise of all time, with
the five films released to date only slightly
behind the 22 James Bond films.
 The adaption of the final novel in the series,
Harry Potter and the Deathly Hallows, was
into two films, with Part I scheduled to be
released in 2010 and Part II in 2011.
 The Harry Potter franchise is seen by movie
insiders as critical to staving off the general
decline in movie attendance due to economic
woes and home entertainment systems.
COMPANY: WARNER BROTHERS
Project: Harry Potter and the Deathly
Hallows Part I and Part II
Dr.AtifShahzad

Dr.AtifShahzad
EXAMPLES OF PROJECTS*
 Even a single missed detail has the potential
to cause significant problems. Having
purchased 2,000 new trains French Railway
company SNCF found out how one bad
assumption can ‘derail’ a project.
 Following the arrival of the first of its new
fleet of regional trains, SNCF discovered that
the newly designed trains are too wide to fit
into many of the railway stations they were
intended to serve.
 As the British Newspaper, the Independent put
it “The country that brought the TGV high-
speed train to Europe has accidentally
created another first – the TFT, or the Too Fat
Train”.
COMPANY: SNCF
Regiolis / Regio 2N
Project type : New trains
Date : May 2014
Cost : In the region of $15B Euro
SNCF (Société Nationale des Chemins de fer
Français) / RFF (Réseau Ferré de France) -
France
Dr.AtifShahzad

Dr.AtifShahzad
TODAY’S LECTURE
 What is Project Management?
¤Importance of Project Management
¤History
¤9 Knowledge Areas
¤Project Management Activities
¤Project Team
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT LIFE CYCLE
Dr. Atif Shahzad

Dr.AtifShahzad
PROJECT LIFE CYCLE /STAGES
 The project life cycle typically passes sequentially through four stages: defining, planning,
executing, and delivering. The starting point begins the moment the project is given the go-
ahead. Project effort starts slowly, builds to a peak, and then declines to delivery of the
project to the customer.
¤ 1. Defining stage: Specifications of the project are defined; project objectives are established;
teams are formed; major responsibilities are assigned.
¤ 2. Planning stage: The level of effort increases, and plans are developed to determine what the
project will entail, when it will be scheduled, whom it will benefit, what quality level should be
maintained, and what the budget will be.
¤ 3. Executing stage: A major portion of the project work takes place—both physical and mental. The
physical product is produced (a bridge, a report, a software program). Time, cost, and specification
measures are used for control. Is the project on schedule, on budget, and meeting specifications?
What are the forecasts of each of these measures? What revisions/changes are necessary?
¤ 4. Closing stage: Closing includes three activities: delivering the project product to the customer,
redeploying project resources, and post-project review. Delivery of the project might include
customer training and transferring documents. Redeployment usually involves releasing project
equipment/materials to other projects and finding new assignments for team members. Post-project
reviews include not only assessing performance but also capturing lessons learned.
1–39
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1–40
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1–41
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0
%
100%
Knowledge
Cost
Cost
Freedom
FreedomPROJECT LIFE CYCLE /STAGES
50%
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0
%
100%
Knowledge
Cost
FreedomPROJECT LIFE CYCLE /STAGES
50%
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1–44
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Dr.AtifShahzad
CONCEPT SELECTION
Conceptual Phase is crucial to the success of the overall design process and
resulting system. It has been estimated that “at least 80% of a Mission’s life-cycle
cost is locked in by the concept that is chosen” and “conceptual design decisions
have a 100:1 leverage on end product quality and cost”
100:1
CONCEPTUAL
DESIGN
1:1
10:1
PRELIMINARY
DESIGN
DETAIL
DESIGN
PRODUCT
ATTRIBUTES
Dr.AtifShahzad

PROJECT
MANAGEMENT
PROJECT MANAGEMENT?
Dr. Atif Shahzad

Dr.AtifShahzad
WHAT IS PROJECT MANAGEMENT?
Project : A group of milestones or phases, activities or
tasks that support an effort to accomplish something
Management : is the process of Planning, Organizing,
Controlling and Measuring
Project management: is “the application of knowledge,
skills, tools and techniques to project activities to meet
project requirements.”*
(PMBOK® Guide) (2004), p. 8.
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT MANAGEMENT
 A dynamic process that utilizes the appropriate resources
of the organization in a controlled and structured
manner, to achieve some clearly defined objectives
identified as needs.
 It is always conducted within a defined set of constraints
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT MANAGEMENT
 Project managers work with project sponsors, project
teams, and other people involved in projects to meet
project goals.
 Program: “A group of related projects managed in a
coordinated way to obtain benefits and control not
available from managing them individually.”*
 Program managers oversee programs and often act as
bosses for project managers.
(PMBOK® Guide) (2004), p. 16.
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Dr.AtifShahzad
WHY PROJECT MANAGEMENT?
 Many organizations today have a new or renewed interest
in project management.
 Computer hardware, software, networks, and the use of
interdisciplinary and global work teams have radically
changed the work environment.
 The U.S. spends $2.3 trillion on projects every year, or one-
quarter its gross domestic product, and the world as a
whole spends nearly $10 trillion of its $40.7 gross product
on projects of all kinds.* *PMI, The PMI Project
Management Fact Book, Second Edition, 2001
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Dr.AtifShahzad
WHY PROJECT MANAGEMENT?
 Worldwide IT spending continues to grow, and Forrester
Research predicts that U.S. IT spending will grow by another
5.7 percent in 2005, to reach $795 billion.*
 In 2003, the average senior project manager in the U.S.
earned almost $90,000 per year, and the average Project
Management Office (PMO) Director earned more than the
average Chief Information Officer ($118,633 vs.
$103,925).**
 The Apprentice, the number-one U.S. reality television show
in 2004, portrayed the important role of project managers.
Dr.AtifShahzad

PROJECT MANAGEMENT
HISTORY
Dr. Atif Shahzad

Dr.AtifShahzad
HISTORY OF PM
 Birth of modern PM: Manhattan Project (the bomb)
 1970’s: military, defense, construction industry
were using PM software
 1990’s: large shift to PM-based models
¤ 1985: TQM
¤ 1990-93: Re-engineering, self-directed teams
¤ 1996-99: Risk mgmt, project offices
¤ 2000: global projects
Dr.AtifShahzad

Dr.AtifShahzad
NOTABLE PROJECTS
 1. Manhattan Project: Development of the first nuclear
weapon
 2. Polaris missile project: an ICBM control system
 3. Human Genome Project: To map the human genome
 4. Project Apollo: Landing a man on the moon
 5. Channel Tunnel Project
 6. Central Artery Project
Dr.AtifShahzad

PROJECT MANAGEMENT?
9 KNOWLEDGE AREAS
Dr. Atif Shahzad

Dr.AtifShahzad
9 KNOWLEDGE AREAS
I. Project Integration Management
II. Project Scope Management
III. Time Management
IV. Cost Management
V. Quality Management
VI. Human Resource Management
VII. Communication Management
VIII. Risk Management
IX. Procurement Management
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Dr.AtifShahzad
9 KNOWLEDGE AREAS
 Project Integration Management coordinates the other areas to work together throughout the
project.
 Project Scope Management is a set of processes used to ensure that the project . includes all
of the requirements and no new requirements are added in a way that could harm the
project.
 Time Management involves processes to ensure that the project is completed on schedule.
 Cost Management involves processes to ensure that the project is completed on budget.
 Quality Management ensures that the project meets its requirements, or does what it is
expected to do.
 Human Resource Management includes all of the processes used to develop, manage and put
the project team together.
 Communication Management determines what information is needed, how that information
will be sent and managed, and how project performance will be reported.
 Risk Management involves identifying, managing and controlling risk of a project.
 Procurement Management is the group of processes used to acquire the materials and
services needed to complete the project.
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Dr.AtifShahzad
9 KNOWLEDGE AREAS
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Dr.AtifShahzad
9 KNOWLEDGE AREAS
 Knowledge areas describe the key competencies
that project managers must develop.
¤ Four core knowledge areas lead to specific project objectives
(scope, time, cost, and quality).
¤ Four facilitating knowledge areas are the means through which the
project objectives are achieved (human resources, communication,
risk, and procurement management).
¤ One knowledge area (project integration management) affects
and is affected by all of the other knowledge areas.
¤ All knowledge areas are important!
Dr.AtifShahzad

Dr.AtifShahzad
THE TRIPLE CONSTRAINT
 Every project is constrained in different ways
by its:
¤ Scope goals: What work will be done?
¤ Time goals: How long should it take to complete?
¤ Cost goals: What should it cost?
 It is the project manager’s duty
to balance these
three often-competing goals.
Dr.AtifShahzad

PROJECT MANAGEMENT
IMPORTANCE
Dr. Atif Shahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Compression of the Product Life Cycle
¤ One of the most significant driving forces behind the demand for project
management is the shortening of the product life cycle.
¤ For example, today in high-tech industries the product life cycle is averaging 1
to 3 years. Only 30 years ago, life cycles of 10 to 15 years were not
uncommon.
¤ Time to market for new products with short life cycles has become increasingly
important.
¤ A common rule of thumb in the world of high-tech product development is that
a six-month project delay can result in a 33 percent loss in product revenue
share.
¤ Speed, therefore, becomes a competitive advantage; more and more
organizations are relying on cross-functional project teams to get new products
and services to the market as quickly as possible.
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Dr.AtifShahzad
IMPORTANCE OF PM
 Knowledge Explosion
¤ The growth in new knowledge has increased the complexity of projects
because projects encompass the latest advances.
¤ For example, building a road 30 years ago was a somewhat simple process.
Today, each area has increased in complexity, including materials,
specifications, codes, aesthetics, equipment, and required specialists.
¤ Similarly, in today’s digital, electronic age it is becoming hard to find a new
product that does not contain at least one microchip.
¤ Product complexity has increased the need to integrate divergent
technologies.
¤ Project management has emerged as an important discipline for achieving this
task.
Dr.AtifShahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Triple Bottom Line (Planet, People, Profit)
¤ The threat of global warming has brought sustainable business practices to the
forefront.
¤ Businesses can no longer simply focus on maximizing profit to the detriment of
the environment and society.
¤ Efforts to reduce carbon imprint and utilize renewable resources are realized
through effective project management.
¤ The impact of this movement towards sustainability can be seen in changes in
the objectives and techniques used to complete projects.
Dr.AtifShahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Corporate Downsizing
¤ The last decade has seen a dramatic restructuring of organizational life.
¤ Downsizing (or rightsizing if you are still employed) and sticking to core
competencies have become necessary for survival for many firms. Middle
management is a mere skeleton of the past.
¤ In today’s flatter and leaner organizations, where change is a constant, project
management is replacing middle management as a way of ensuring that things
get done.
¤ Corporate downsizing has also led to a change in the way organizations
approach projects.
¤ Companies outsource significant segments of project work, and project
managers have to manage not only their own people but also their
counterparts in different organizations.
Dr.AtifShahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Increased Customer Focus
¤ Increased competition has placed a premium on customer satisfaction.
¤ Customers no longer simply settle for generic products and services. They want
customized products and services that cater to their specific needs.
¤ Closer working relationship between the provider and the receiver.
¤ For example, 10 years ago buying a set of golf clubs was a relatively simple
process: Today, there are golf clubs for tall players and short players, clubs for
players who tend to slice the ball and clubs for those who hook the ball, high-
tech clubs with the latest metallurgic discovery guaranteed to add distance,
and so forth.
¤ Account executives and sales representatives are assuming more of a project
manager’s role as they work with their organization to satisfy the unique needs
and requests of clients. Project management is critical both to development of
customized products and services and to sustaining lucrative relationships with
customers.
Dr.AtifShahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Small Projects Represent Big Problems
¤ The velocity of change required to remain competitive or simply keep up has
created an organizational climate in which hundreds of projects are
implemented concurrently.
¤ This climate has created a multiproject environment and a plethora of new
problems.
¤ Sharing and prioritizing resources across a portfolio of projects is a major
challenge for senior management.
¤ Many firms have no idea of the problems involved with inefficient
management of small projects.
¤ Small projects typically carry the same or more risk as do large projects.
Dr.AtifShahzad

Dr.AtifShahzad
IMPORTANCE OF PM
 Small Projects Represent Big Problems
¤ Small projects are perceived as having little impact on the bottom line because
they do not demand large amounts of scarce resources and/or money.
¤ Because so many small projects are going on concurrently and because the
perception of the inefficiency impact is small, measuring inefficiency is usually
nonexistent.
¤ Unfortunately, many small projects soon add up to large sums of money.
¤ Many customers and millions of dollars are lost each year on small projects in
product and service organizations.
¤ Small projects can represent hidden costs not measured in the accounting
system.
Dr.AtifShahzad

Dr.AtifShahzad
STRATEGIC IMPORTANCE OF
PROJECT MANAGEMENT
 Microsoft Windows Vista Project:
 hundreds of programmers
 millions of lines of code
 hundreds of millions of dollars cost
 Hard Rock Cafe Rockfest Project:
 100,000 + fans
 planning began 9 months in advance
Dr.AtifShahzad

Dr.AtifShahzad
 Single unit
 Many related activities
 Difficult production planning and
inventory control
 General purpose equipment
 High labor skills
PROJECT CHARACTERISTICS
Dr.AtifShahzad

PROJECT MANAGEMENT
ACTIVITIES
Dr. Atif Shahzad

Dr.AtifShahzad
PROJECT MANAGEMENT ACTIVITIES
1. Planning - goal setting, defining the project,
team organization
2. Scheduling - relates people, money, and supplies
to specific activities and activities to each other
3. Controlling - monitors resources, costs, quality,
and budgets; revises plans and shifts resources to
meet time and cost demands
Dr.AtifShahzad

Dr.AtifShahzad
Planning
 Objectives
 Resources
 Work break-down
schedule
 Organization
Scheduling
 Project activities
 Start & end times
 Network
Controlling
 Monitor, compare, revise, action
PROJECT MANAGEMENT ACTIVITIES
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT PLANNING,
SCHEDULING, AND CONTROLLING
Before Start of project During
project Timeline project
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT PLANNING,
SCHEDULING, AND CONTROLLING
Before Start of project During
project Timeline project
Budgets
Delayed activities report
Slack activities report
Time/cost estimates
Budgets
Engineering diagrams
Cash flow charts
Material availability details
CPM/PERT
Gantt charts
Milestone charts
Cash flow schedules

Dr.AtifShahzad
 Establishing objectives
 Defining project
 Creating work breakdown
structure
 Determining
resources
 Forming organization
PROJECT PLANNING
Dr.AtifShahzad

Dr.AtifShahzad
 Project plans generally include the following basic elements:
¤ Objectives A detailed statement of what is to be accomplished by the project, how it
will achieve the company's goals and meets the strategic plan, and an estimate of
when it needs to be completed, the cost, and the return.
¤ Project scope A discussion of how to approach the project, the technological and
resource feasibility, the major tasks involved, and a preliminary schedule; it includes a
justification of the project and what constitutes project success.
¤ Contract requirements A general structure of managerial, reporting, and
performance responsibilities, including a detailed list of staff, suppliers, subcontractors,
managerial requirements and agreements, reporting requirements, and a projected
organizational structure.
¤ Schedules A list of all major events, tasks, and subschedules, from which a master
schedule is developed.
¤ Resources The overall project budget for all resource requirements and procedures
for budgetary control.
PROJECT PLANNING
Dr.AtifShahzad

Dr.AtifShahzad
 Project plans generally include the following basic
elements:
¤ Personnel Identification and recruitment of personnel required
for the project team, including special skills and training.
¤ Control Procedures for monitoring and evaluating progress and
performance, including schedules and cost.
¤ Risk and problem analysis Anticipation and assessment of
uncertainties, problems, and potential difficulties that might
increase the risk of project delays and/or failure and threaten
project success.
PROJECT PLANNING
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT TEAM
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Dr.AtifShahzad
PROJECT TEAM
 Assignment to a project team is usually temporary and thus can have both positive and
negative repercussions.
 The temporary loss of workers and staff from their permanent jobs can be disruptive for both
the employees and the work area.
 An employee must sometimes "serve two masters," in a sense, reporting to both the project
manager and a regular supervisor.
 Alternatively, because projects are usually "exciting," they provide an opportunity to do work
that is new and innovative, and the employee may be reluctant to report back to a more
mundane, regular job after the project is completed.
 The most important member of a project team is the project manager.
 The job of managing a project is subject to a great deal of uncertainty and the distinct
possibility of failure.
 Because each project is unique and usually has not been attempted previously, the outcome is
not as certain as the outcome of an ongoing process would be.
 A degree of security is attained in the supervision of a continuing process that is not present
in project management.
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Dr.AtifShahzad
 Often temporary structure
 Uses specialists from entire company
 Headed by project manager
 Coordinates activities
 Monitors schedule
and costs
 Permanent
structure called
‘matrix organization’
PROJECT ORGANIZATION
Dr.AtifShahzad

Dr.AtifShahzad
A SAMPLE PROJECT ORGANIZATION
Test
Engineer
Mechanical
Engineer
Project 1 Project
Manager
Technician
Technician
Project 2 Project
Manager
Electrical
Engineer
Computer
Engineer
Marketing Finance
Human
Resources Design
Quality
Mgt
Production
President
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT ORGANIZATION
WORKS BEST WHEN
1. Work can be defined with a specific goal and deadline
2. The job is unique or somewhat unfamiliar to the existing
organization
3. The work contains complex interrelated tasks requiring
specialized skills
4. The project is temporary but critical to the organization
5. The project cuts across organizational lines
Dr.AtifShahzad

Dr.AtifShahzad
MATRIX ORGANIZATION
Marketing Operations Engineering Finance
Project 1
Project 2
Project 3
Project 4
Dr.AtifShahzad

Dr.AtifShahzad
TODAY’S LECTURE
¤Role of Project Manager
¤Scope
¤WBS
¤RA Matrix
 Books, Journals, Websites & Societies
 Q&A
Dr.AtifShahzad

PROJECT MANAGEMENT
ROLE OF PROJECT MANAGER
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Dr.AtifShahzad
PROJECT MANAGER
 The project team members are often from diverse areas of the organization and
possess different skills, which must be coordinated into a single, focused effort to
successfully complete the project.
 In addition, the project is invariably subject to time and budgetary constraints that
are not the same as normal work schedules and resource consumption in an
ongoing process.
 Overall, there is usually more perceived and real pressure associated with project
management than in a normal management position.
 However, there are potential rewards, including the ability to demonstrate one's
management abilities in a difficult situation, the challenge of working on a unique
project, and the excitement of doing something new.
 The project manager is often under great pressure.
Dr.AtifShahzad

Dr.AtifShahzad
THE ROLE OF
THE PROJECT MANAGER
Highly visible
Responsible for making sure that:
All necessary activities are finished in order
and on time
The project comes in within budget
The project meets quality goals
The people assigned to the project receive
motivation, direction, and information
Dr.AtifShahzad

Dr.AtifShahzad
THE ROLE OF
THE PROJECT MANAGER
Highly visible
Responsible for making sure that:
All necessary activities are finished in order
and on time
The project comes in within budget
The project meets quality goals
The people assigned to the project receive
motivation, direction, and information
Project managers should be:
 Good coaches
 Good communicators
 Able to organize activities from a
variety of disciplines
Dr.AtifShahzad

Dr.AtifShahzad
ETHICAL ISSUES
 Bid rigging – divulging confidential information to give some
bidders an unfair advantage
 “Low balling” contractors – try to “buy” the project by bidding low
and hope to renegotiate or cut corners
 Bribery – particularly on international projects
 Expense account padding
 Use of substandard materials
 Compromising health and safety standards
 Withholding needed information
 Failure to admit project failure at close
Dr.AtifShahzad

PROJECT MANAGEMENT
SCOPE
Dr. Atif Shahzad

Dr.AtifShahzad
CLARITY OF SCOPE STATEMENT
99
Dr.AtifShahzad

Dr.AtifShahzad
SCOPE
 A scope statement is a document that provides a common understanding
of a project.
 It includes a justification for the project that describes what factors have
created a need within the company for the project.
 It also includes an indication of what the expected results of the project will be
and what will constitute project success.
 Further, the scope statement might include a list of the types of planning
reports and documents that are part of the project management process.
 A scope statement includes a project justification and the expected results.
Dr.AtifShahzad

Dr.AtifShahzad
SCOPE
 A similar planning document is the statement of work (SOW).
 In a large project, the SOW is often prepared for individual team members,
groups, departments, subcontractors, and suppliers.
 This statement describes the work in sufficient detail so that the team member
responsible for it knows what is required and whether he or she has sufficient
resources to accomplish the work successfully and on time.
 For suppliers and subcontractors, it is often the basis for determining whether
they can perform the work and for bidding on it.
 Some companies require that an SOW be part of an official contract with a
supplier or subcontractor.
Dr.AtifShahzad

PROJECT MANAGEMENT
WBS
Dr. Atif Shahzad

Dr.AtifShahzad
WORK BREAKDOWN STRUCTURE
 WORK BREAKDOWN STRUCTURE (WBS) is an organizational chart used for
project planning. It organizes the work to be done on a project by breaking
down the project into its major components, referred to as modules.
 These components are then subdivided into more detailed subcomponents, which
are further broken down into activities, and, finally, into individual tasks.
 The end result is an organizational structure of the project made up of different
levels, with the overall project at the top level and the individual tasks at the
bottom.
 A WBS helps identify activities and determine individual tasks, project
workloads, and the resources required. It also helps to identify the relationships
between modules and activities and avoid unnecessary duplication of activities.
 A WBS provides the basis for developing and managing the project schedule,
resources, and modifications.
 A work breakdown structure is an organization chart that break down the project
into modules for planning.
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Dr.AtifShahzad
 There is no specific model for a WBS, although it is most often in the form of a
chart or a table.
 In general, there are two good ways to develop a WBS. One way is to start at
the top and work your way down, asking, "What components constitute this
level?" until the WBS is developed in sufficient detail.
 Another way is to brainstorm the entire project, writing down each item on a
sticky note and then organizing the sticky notes into a WBS.
 The upper levels of the WBS tend to contain the summary activities, major
components or functional areas involved in the project that indicate what is to be
done.
 The lower levels tend to describe the detailed work activities of the project
within the major components or modules. They typically indicate how things are
done.
Dr.AtifShahzad

Dr.AtifShahzad
Level
1. Project
2. Major tasks in the project
3. Subtasks in the major tasks
4. Activities (or work packages)
to be completed
Dr.AtifShahzad

Dr.AtifShahzad
Level ID
Level Number Activity
1 1.0 Develop/launch Windows Vista OS
2 1.1 Develop of GUIs
2 1.2 Ensure compatibility with earlier
Windows versions
3 1.21 Compatibility with Windows ME
3 1.22 Compatibility with Windows XP
3 1.23 Compatibility with Windows 2000
4 1.231 Ensure ability to import files
Dr.AtifShahzad

Dr.AtifShahzad

Dr.AtifShahzad
 WBS for a project for installing a new computerized order processing
system for a manufacturing company that links customers, the
manufacturer, and the manufacturer's suppliers.
 The WBS is organized according to the three major project categories
for the development of the system: hardware, software/system, and
personnel.
 Within each of these categories, the major tasks and activities under
those tasks are detailed.
 For example, under hardware, a major task is installation, and activities
required in installation include area preparation, technical/engineering
layouts and configurations, wiring, and electrical connections
Dr.AtifShahzad

PROJECT MANAGEMENT
RESPONSIBILITY ASSIGNMENT MATRIX
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Dr.AtifShahzad
RESPONSIBILITY ASSIGNMENT
MATRIX
 After the WBS is developed, to organize the project work into
smaller, manageable elements, the project manager assigns the
work elements to organizational units departments, groups,
individuals, or subcontractors by using an organizational
breakdown structure (OBS).
 An OBS is a table or chart that shows which organizational units
are responsible for work items.
 After the OBS is developed, the project manager can then develop
a Responsibility Assignment Matrix (RAM).
 A RAM shows who in the organization is responsible for doing the
work in the project
Dr.AtifShahzad

Dr.AtifShahzad
MATRIX
 RAM for the "Hardware/Installation" category from the WBS for
the computerized order-processing project
 Notice that there are three levels of work assignments in the matrix,
reflecting who is responsible for the work, who actually performs
the work, and who performs support activities.
 As with the WBS, there are many different forms both the OBS and
RAM can take, depending on the needs and preferences of the
company, project team, and project manager.
Dr.AtifShahzad

Dr.AtifShahzad
MATRIX
OBS Units
WBS ActivitiesHardware/Installation
1.1.1
Area prep
1.1.2
Tech/Engineer
1.1.3
Wiring
1.1.4
Connections
Hardware engineering
3 1 1 1
Systems engineering
3 3
Software engineering
3
Technical support 1 2 2
Electrical staff 2 2 2
Hardware vendor 3 3 3 3
Quality manager 3
Customer/supplier liaison
3
Level of responsibility: 1 = Overall responsibility 2 = Performance responsibility 3 = Support

Dr.AtifShahzad
TODAY’S LECTURE
¤Project Scheduling
¤Project Control
¤Time Management
¤Cost Management
¤Performance Management
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT SCHEDULING
Dr. Atif Shahzad

Dr.AtifShahzad
Project Scheduling
 A project schedule evolves from the planning documents discussed previously. It is
typically the most critical element in the project management process, especially
during the implementation phase (i.e., the actual project work), and it is the source of
most conflict and problems.
 One reason is that frequently the single most important criterion for the success of a
project is that it be finished on time.
 If a stadium is supposed to be finished in time for the first game of the season and it's
not, there will be a lot of angry ticket holders; if a school building is not completed by
the time the school year starts, there will be a lot of angry parents; if a shopping mall
is not completed on time, there will be a lot of angry tenants; if a new product is not
completed by the scheduled launch date, millions of dollars can be lost; and if a new
military weapon is not completed on time, it could affect national security.
 Also, time is a measure of progress that is very visible. It is an absolute with little
flexibility; you can spend less money or use fewer people, but you cannot slow down
or stop the passage of time.
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT SCHEDULING
 Identifying precedence
relationships
 Sequencing activities
 Determining activity times &
costs
 Estimating material & worker
requirements
 Determining critical activities
Dr.AtifShahzad

Dr.AtifShahzad
PURPOSES OF
PROJECT SCHEDULING
1. Shows the relationship of each activity to others
and to the whole project
2. Identifies the precedence relationships among
activities
3. Encourages the setting of realistic time and cost
estimates for each activity
4. Helps make better use of people, money, and
material resources by identifying critical
bottlenecks in the project

PROJECT MANAGEMENT
SCHEDULING TECHNIQUES
Dr. Atif Shahzad

Dr.AtifShahzad
SCHEDULING TECHNIQUES
1. Ensure that all activities are planned for
2. Their order of performance is accounted for
3. The activity time estimates are recorded
4. The overall project time is developed
Dr.AtifShahzad

Dr.AtifShahzad
 Gantt chart
 Critical Path Method
(CPM)
 Program Evaluation
and Review Technique
(PERT)
PROJECT MANAGEMENT
TECHNIQUES
Dr.AtifShahzad

PROJECT MANAGEMENT
GANTT CHART

Dr.AtifShahzad
A SIMPLE GANTT CHART
Time
J F M A M J J A S
Design
Prototype
Test
Revise
Production
Dr.AtifShahzad

Dr.AtifShahzad
Passengers
Baggage
Fueling
Cargo and mail
Galley servicing
Lavatory servicing
Drinking water
Cabin cleaning
Cargo and mail
Flight services
Operating crew
Baggage
Passengers
Deplaning
Baggage claim
Container offload
Pumping
Engine injection water
Container offload
Main cabin door
Aft cabin door
Aft, center, forward
Loading
First-class section
Economy section
Container/bulk loading
Galley/cabin check
Receive passengers
Aircraft check
Loading
Boarding
0 10 20 30 40
Time, Minutes
SERVICE FOR A DELTA JET
Dr.AtifShahzad

Dr.AtifShahzad
GANTT CHARTS
 A Gantt chart is a type of bar chart, developed by Henry Gantt, that
illustrates a project schedule.
 Gantt charts illustrate the start and finish dates of the terminal elements and
summary elements of a project.
 Terminal elements and summary elements comprise the work breakdown
structure of the project.
 Some Gantt charts also show the dependency (i.e., precedence network)
relationships between activities.
 Gantt charts can be used to show current schedule status using percent-
complete shadings and a vertical "TODAY" line as shown here.
Dr.AtifShahzad

Dr.AtifShahzad
GANTT CHARTS
 A graphical display of schedule project activities on a
time axis
 Project activities are listed on a vertical axis
 Activity time durations are shown as horizontal bars
with starting and ending times
Dr.AtifShahzad

In the following example there are seven tasks, labeled A through G. Some tasks can be done concurrently
(A and B) while others cannot be done until their predecessor task is complete (C cannot begin until A is
complete).Additionally, each task has three time estimates: the optimistic time estimate (O), the most likely
or normal time estimate (M), and the pessimistic time estimate (P).The expected time (TE) is computed using
the beta probability distribution for the time estimates, using the formula (O + 4M + P) ÷ 6.
Activity Predecessor
Time estimates
Expected time
Opt. (O) Normal (M) Pess. (P)
A — 2 4 6 4.00
B — 3 5 9 5.33
C A 4 5 7 5.17
D A 4 6 10 6.33
E B, C 4 5 7 5.17
F D 3 4 8 4.50
G E 3 5 8 5.17
Dr.AtifShahzad
Example

Dr.AtifShahzad
Gantt Chart: Planned Activities
Shows planned activities for a construction project
Dr.AtifShahzad

Dr.AtifShahzad
GANTT CHART: PROGRESS
Shows actual work accomplished at some point during week 7
Dr.AtifShahzad

Dr.AtifShahzad
GANTT CHART SHOWING
PRECEDENCE
Arrows can be used to indicate precedence relationships among activities
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT CONTROL
Dr. Atif Shahzad

Dr.AtifShahzad
PROJECT CONTROL
 Project control is the process of making sure a project progresses toward
successful completion.
 It requires that the project be monitored and progress measured so that any
deviations from the project plan, and particularly the project schedule, are
minimized.
 If the project is found to be deviating from the plan (i.e., it is not on schedule,
cost overruns are occurring, activity results are not as expected), corrective
action must be taken.
Dr.AtifShahzad

Dr.AtifShahzad
PROJECT CONTROL REPORTS
 Detailed cost breakdowns for each task
 Total program labor curves
 Cost distribution tables
 Functional cost and hour summaries
 Raw materials and expenditure forecasts
 Variance reports
 Time analysis reports
 Work status reports
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT CONTROL
TIME MANAGEMENT
Dr. Atif Shahzad

Dr.AtifShahzad
TIME MANAGEMENT
 Time management is the process of making sure a project schedule does not
slip and that a project is on time.
 This requires monitoring of individual activity schedules and frequent updates.
 If the schedule is being delayed to an extent that jeopardizes the project
success, it may be necessary for the project manager to shift resources to
accelerate critical activities.
 Some activities may have slack time, so resources can be shifted from them to
activities that are not on schedule. This is referred to as timecost trade-off.
 However, this can also push the project cost above the budget. In some cases it
may be that the work needs to be corrected or made more efficient.
 In other cases, it may occur that original activity time estimates upon
implementation prove to be unrealistic and the schedule must be changed, and
the repercussions of such changes on project success must be evaluated.
Dr.AtifShahzad

Dr.AtifShahzad
STANDARD PERFORMANCE
 Same as normal performance, but acknowledges that periodic rest breaks
must be taken by the worker
 Periodic rest breaks are allowed during the work shift
¤ Lunch breaks (1/2 or 1 hour)
 usually not counted as part of work shifts
¤ Shorter rest beraks (15 mins)
 usually counted as part of work shifts
Dr.AtifShahzad

Dr.AtifShahzad
REST BREAKS İN A WORK SHİFT
 A typical work shift is 8 hours (8:00 A.M. to 5:00 P.M.
with one hour lunch break)
¤ In Turkey work time is defined as 45 hours a week
(so 8:00 A.M. to 6:00 P.M. with one hour lunch break,
provided that workers work for 5 days)
¤ In Pakistan ?
 The shift usually includes one rest break in the morning
and another in the afternoon.
 The employers allows these breaks, because they know
that the overall productivity of a worker is higher if rest
breaks are allowed.
¤ In Turkey the rest periods are not included in daily work
hours in which employers are paid for.
Dr.AtifShahzad

Dr.AtifShahzad
STANDARD PERFORMANCE
 Of course other interruptions and delays also
occur during the shift
¤ Machine breakdowns
¤ Receiving instructions from the
foreman
¤ Telephone calls
¤ Bathroom/toilet breaks etc.
Dr.AtifShahzad

Dr.AtifShahzad
PERSONAL TİME, FATİGUE, DELAY
(PFD) ALLOWANCE
 To account for the delays and rest breaks, an allowance is added to the
normal time in order to determine allowed time for the worker to perform the
task throughout a shift
 Personal time (P)
¤ Bathroom breaks, personal phone calls
 Fatigue (F)
¤ Rest breaks are intended to deal with fatigue
 Delays (D)
¤ Interruptions, equipment breakdowns
Dr.AtifShahzad

Dr.AtifShahzad
STANDARD TIME
 Defined as the normal time but with an allowance added into account for
losses due to personal time, fatigue, and delays
Tstd = Tn (1 + Apfd)
where
Tstd = standard time,
Tn = normal time,
Apfd = PFD allowance factor
 Also called the allowed time
 Now we are confident to say that a worker working at 100% performance
during 8 hours can accomplish a task of 8 hour standard time.
Dr.AtifShahzad

Dr.AtifShahzad
Time Management & Work-Life Balance
http://www.medicinethatspeaks.org/433/evpma-newsletter-may-2011/
by Ora Pescovitz, Univ of Michigan Health System
 In the early 1900s, Italian economist Vilfredo
Pareto noticed that 80% of the land in Italy was
owned by 20% of the population.
 This observation led him to create a
mathematical formula to describe this unequal
distribution of wealth.
 That formula was the basis on which many of the
past century’s economists and scientists have
looked at distribution patterns in other areas,
including: height and weight; grades (Bell
Curve); population trends; social behaviors;
business practices; and more.
 In health care, the Pareto Principle – or what is
more commonly known today as the 80/20 Rule
– plays out in the assertions that 80% of health
care dollars are spent on 20% of the population
and 80% of complaints come from 20% of
patients.
Dr.AtifShahzad

Dr.AtifShahzad
4 D Approach:
 The point is that most things in life are
distributed unevenly, including our To Do
lists. That’s where the Pareto Principle and
time management intersect. Typically, 80%
of the value from our work comes from only
20% of the items on our To Do lists.
 Essentially, this means that we should focus
our energy and time on the 20% of tasks
that result in 80% of the value – the ones
that are most vital and yield the greatest
return on investment.
 Of course, just invoking the name of Pareto
won’t make the less valuable 80% of tasks
on your To Do list magically disappear. You
need a strategy for managing those items,
as well. One of the most successful
strategies I’ve used is the 4Ds: Do; Dump;
Delegate; Delay.
Dr.AtifShahzad

Dr.AtifShahzad
4 D Approach:
 DO: This applies to those tasks that support your
most valuable work – the vital 20%. Deal with e-
mails, documents, phone calls regarding priority
issues as soon as they come across your desk, your
inbox or your voicemail. I call this “handle paper
once.” This way, you stay on top of your priorities,
you keep important projects moving and you don’t
amass a daunting load to deal with at another time.
That other time might be a long way off.
 DUMP: If something comes across your desk that
doesn’t pertain to your priorities, doesn’t require
follow up and doesn’t support your goals, do you
really need to keep it? Probably not — DUMP it!
 DELEGATE: If a task requires attention or action but
doesn’t make your “Do” list, can/should someone
else handle it? Is it on another person’s “Do” list? If
so, move it along.
 DELAY: Very few things should make it to the Delay
pile. But, on occasion, there may be something you
want to review later. If so, file, print or store it for
another time.
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT CONTROL
COST MANAGEMENT
Dr. Atif Shahzad

Dr.AtifShahzad
COST MANAGEMENT
 Cost management is often closely tied to time management
because of the timecost trade-off occurrences mentioned
previously.
 If the schedule is delayed, costs tend to go up in order to get the
project back on schedule.
 Also, as a project progresses, some cost estimates may prove to be
unrealistic or erroneous.
 Therefore, it may be necessary to revise cost estimates and
develop budget updates.
 If cost overruns are excessive, corrective actions must be taken.
Dr.AtifShahzad

PROJECT MANAGEMENT
PROJECT CONTROL
PERFORMANCE MANAGEMENT
Dr. Atif Shahzad

Dr.AtifShahzad
PERFORMANCE MANAGEMENT
 Performance management is the process of monitoring a project
and developing timed (i.e., daily, weekly, monthly) status reports to
make sure that goals are being met and the plan is being followed.
 It compares planned target dates for events, milestones, and work
completion with dates actually achieved to determine whether the
project is on schedule or behind schedule.
 Key measures of performance include deviation from the schedule,
resource usage, and cost overruns.
 The project manager and individuals and organizational units with
performance responsibility develop these status reports.
Dr.AtifShahzad

PROJECT MANAGEMENT
BOOKS
Dr. Atif Shahzad

Dr.AtifShahzad
TEXT BOOK
 PROJECT MANAGEMENT
The Managerial Process
Gray, Clifford and Larson, Erik
5th Edition, McGraw-Hill/Irwin, 2011
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Dr.AtifShahzad
BOOKS
 Schwalbe, K., Information Technology Project Management 5e, Thomson Course Technology, 2007,
ISBN 1-4239-0145-2
 Rachel Biheller Bunin, New Perspectives on Microsoft Office Project 2007 Introductory, Cengage
Learning, 2008, ISBN 1-4239-0594-6
 Gido, J. and Clements, J.P., Successful Project Management 2e, Thomson South-Western, 2003, ISBN 0-
324-07168-X
 Meredith, J.R. and Mantel, S.J., Project Management: A Managerial Approach, 4th Edition, John Wiley,
2000 3rd Edition.
 Eric Uyttewaal: Dynamic Scheduling With Microsoft(r) Project 2000: The Book By and For
Professionals, ISBN 0-9708276-0-1
 George Suhanic: Computer-Aided Project Management, ISBN 0-19-511591-0
 Richard E. Westney: Computerized Management of Multiple Small Projects, ISBN 0-8247-8645-9
 Gido, J. (1999). Appendix A: Project Management for Software [Afterword]. In Successful Project
Management (p. 334). Cincinnati, OH: South-Western College Pub.
 Project Time Management. (2008). In A guide to the project management body of knowledge
(PMBOK guide) (4th ed., p. 145). Newtown Square, Pa: Project Management Institute.
 Various web site resources. To be notified in lectures
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BOOKS
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JOURNALS
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SOCEITIES
 Project Management Institute
¤ www.pmi.org
 International Project Management
Association
 ipma.ch
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SOCEITIES
¤ The Project Management Institute (PMI) was founded in 1969 as an international society for project
managers. Today PMI has members from more than 125 countries and more than 270,000 members.
¤ PMI professionals come from virtually every major industry, including aerospace, automotive, business
management, construction, engineering, financial services, information technology, pharmaceuticals,
health care, and telecommunications.
¤ PMI provides certification as a Project Management Professional (PMP)—someone who has documented
sufficient project experience, agreed to follow the PMI code of professional conduct, and demonstrated
mastery of the field of project management by passing a comprehensive examination.
¤ The number of people earning PMP status has grown dramatically in recent years. In 1996 there were
fewer than 3,000 certified PMPs. By the end of 2009 there were more than 350,000 PMPs!
¤ Just as the CPA exam is a standard for accountants, passing the PMP exam may become the standard
for project managers. Some companies are requiring that all their project managers be PMP certified.
Moreover, many job postings are restricted to PMPs. Job seekers, in general, are finding that being PMP
certified is an advantage in the marketplace.
¤ PMI recently added a certification as a Certified Associate in Project Management (CAPM). CAPM is
designed for project team members and entry-level project managers, as well as qualified
undergraduate and graduate students who want a credential to recognize their mastery of the project
management body of knowledge. CAPM does not require the extensive project management experience
associated with the PMP.
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TOP SKILL
Rank IT Skill/Job Average Annual Salary
1 SQL Database Analyst $80,664
2 Oracle Database Analyst $87,144
3 C/C++ Programmer $95,829
4 Visual Basic Programmer $76,903
5 E-commerce/Java Developer $89,163
6 Windows NT/2000 Expert $80,639
7 Windows/Java Developert $93,785
8 Security Architect $86,881
9 Project Manager $95,719
10 Network Engineer $82,906
Paul Ziv, “The Top 10 IT Skills in Demand,” Global Knowledge Webcast
(www.globalknowledge.com) (11/20/2002).
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PROJECT MANAGEMENT CERTIFICATION
 PMI provides certification as a Project Management
Professional (PMP).
 A PMP has documented sufficient project experience,
agreed to follow a code of ethics, and passed the PMP
exam.
 The number of people earning PMP certification is
increasing quickly.
 PMI and other organizations are offering new
certification programs.
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PROJECT MANAGEMENT
SOFTWARE
’ There were hundreds of different products to
assist in performing project management
’ Three main categories of tools exist:
’ Low-end tools: Handle single or smaller projects well,
cost under $200 per user
’ Midrange tools: Handle multiple projects and users,
cost $200-500 per user
’ High-end tools: Also called enterprise project
management software, often licensed on a per-user
basis
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Dr.AtifShahzad
PROJECT MANAGEMENT
SOFTWARE
 There are several popular
packages for managing projects
 Primavera
 MacProject
 Pertmaster
 VisiSchedule
 Time Line
 Microsoft Project
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http://www.projectmanager.com
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SOFTWARE
 Project management software has a capacity to help plan, organize, and
manage resource pools and develop resource estimate.
 Depending the sophistication of the software, resource including estimation
and planning, scheduling, cost control and budget management, resource
allocation, collaboration software, communication, decision-making, quality
management and documentation or administration systems.
 Today, numerous PC-based project management software packages exist,
and they are finding their way into almost every type of business.
 In the early days, however, project management software ran on big
mainframe computers and was used only in the large projects. These early
system were limited in their capabilities and, by today's standards, were
hard to use.
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USING MICROSOFT PROJECT
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USING MICROSOFT PROJECT

Dr. Atif Shahzad
THANK YOU FOR YOUR INTEREST

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Simulation Project
1. Clear objectives – A simulationist can
help stakeholders discover and refine
their objectives, but clearly the
stakeholders must agree on project
objectives. The primary objectives must
remain solid throughout the project.
2. Stakeholder Participation –
Adequate access and cooperation must
be provided by the people who know
the system both in the early phases and
throughout the project. Stakeholders will
need to be involved periodically to
assess progress and resolve outstanding
issues.
3. Timely Data – The functional
specification should describe what data
will be required, when it will be
delivered and by whom. Late, missing,
or poor quality data can have a
dramatic impact on a project.
4. Management Support – The
simulationist’s manager should support
the project as needed not only in issues
like tools and training discussed below,
but also in shielding the simulationist
from energy sapping politics and
bureaucracy.
5. Cost of Agility – If stakeholders ask
for project changes, they should be
flexible in other aspects such as delivery
date, level of detail, scope, or project
cost.
6. Timely Review/Feedback – Interim
updates should be reviewed promptly
and thoughtfully by the appropriate
people so that meaningful feedback can
be provided and any necessary course
corrections can be immediately made.
7. Reasonable Expectations –
Stakeholders must recognize the
limitations of the technology and project
constraints and not have unrealistic
expectations. A project based on the
assumption of long work hours is a
project that has been poorly managed.
8. “Don’t shoot the messenger” – The
modeler should not be criticized if the
results promote an unexpected or
undesirable conclusion.
9. Proper Tools – A simulationist should
be provided the right hardware and
software appropriate to the project.
While “the best and latest” is not
always required, a simulationist should
not have to waste time on outdated or
inappropriate software and inefficient
hardware.
10. Training and Support – A
simulationist should not be expected to
“plunge ahead” into unfamiliar software
and applications without training.
Proper training and support should be
provided.
11. Integrity – A simulationist should be
free from coercion. If a stakeholder
“knows” the right answer before the
project starts, then there is no point to
starting the project. If not, then the
objectivity of the analysis should be
respected with no coercion to change
the model to produce the desired
results.
12. Respect – A good simulationist may
sometimes make the job look easy, but
don’t take them for granted. A project
often “looks” easy only because the
simulationist did everything right, a feat
that in itself is very difficult. And
sometimes a project looks easy only
because others have not seen the nights
and weekends involved.
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A quick index
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