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CHAPTER V - PROJECT IMPLEMENTATION, MONITORING
AND EVLAUATION
5.1. Organization
5.1.1. Line and Staff Organization
5.1.2. Divisional Organization
5.1.3. Matrix Organization
5.2. Project Planning
5.3. Project Control
5.4. Human Aspects of Project Management
5.5. Pre – requisites for Successful Project Implementation
UNIT - V
PROJECT IMPLEMENTATION
Organising – Meaning
It is a process of grouping the HR and Material
from the different sources at a cheaper optimal
price to facilitate the organisation to achieve its
target in a short span of time with appropriate
things. Its divided in to two major parts Human
Organising and Material organising
Organization – Meaning
A social Unit of people that is Structured and managed
to meet a need or to pursue collective goals . All
organizations have a management structure that
determines relationships between the
different activities and the members , and subdivides
and assigns roles , responsibilities , and authority to
carry out different tasks.
Organizations are open systems they affect and are
affected by their environment .
Formal Organisation
• 1. Formal organization –
• a. The establishment and the development of this type of the
organization are very formal in the nature.
b. Helps in providing a shape to the various activities.
c. The Formal organization is developed for a continuous purpose
mainly involving the activities that are repetitive in the nature.
d. This organization looks after the growth and the stability in the
business.
e. In the Formal organization, the design is such that it acts as a
great support for the distribution of the authority, creation of the
positions, linkage of the various functions etc.
f. The Formal organization is not at all born by itself.
g. Efforts of someone to get the organization established in the
order to make Formal organization.
h. The Formal organization is registered with some legal provision
in the acts as those meant for the shop establishment, the
companies, the cooperatives, the trusts, the societies etc, to
provide it the legal existence in its own name.
Informal Organisation
a. Here, the people come together informally through their acquaintance.
b. Informal relations are created within the same organization which may
not be formally planned.
c. The Informal organization is born of itself.
d. Whenever there is a formal organization, an informal organization is
born.
e. The Informal organization comes up with the help of the social relations
such as the trust, the dependence, the liking etc.
f. A different communication channel is created by the informal
organization and this is referred to as the grape vine.
g. With the help of the informal communication, the situation in the
organization can be sensed in a different way all together.
h. The gossip can be conveyed with the help of the informal
communication.
Matrix organization
a. According to the principle of the unity of the
command, one person should take the order from only
one person.
b. Plurality of the persons giving the orders should not
be present.
• a. One goes for the project with the establishment of
the temporary organization with a fixed end in mind.
b. Anything that has a beginning and an end, is
referred to as the project organization.
c. The main responsibility of this type of the
organization is to handle the complete project in a
especial managerial way as the project is not going to
be a continuous process at anytime.
d. The specialized, skilled people are required at the
different stages and also, in this type of the
organization, the replacement of the specialized
people can be done depending on the different types
of the situations that may arise during the project.
4. The project organization
5. Virtual organization
This type of the organization, does not look like
to be physically operating but very well works
like the one, due to the modern communication
equipment which may include the following
functions –
• I. Digital mail
II. Voice communication
III. Cameras
IV. Projection systems
V. Audio and video conferencing
Line and staff organisation
A military-type organizational structure commonly employed
in large centralized corporation.
Line and staff management has two separate hierarchies:
(1) Line hierarchy :
In the departments are revenue generators (manufacturing,
selling), and their managers are responsible for achieving
the organization's main objectives by executing the
key functions (such as policy making, target setting, decision
making);
(2) Staff hierarchy :
In which the departments are revenue consumers, and their
managers are responsible for activities that support line
functions (such as accounting, maintenance, personnel
management).
Functional organisation / structure
In the functional structure, the employees are
working in different departments based on ,
what they are doing i.e. we have engineering
department, maintenance department,
finance department, research department,
Warehouse department, purchasing
department. This structure enhances the
experience of each function
FUNCTIONAL ORGANISATION
Divisional Organization
Matrix organisation
Organizational Functions
The organizational functions are the building blocks of the company. They
may be grouped into organizational units in line with the specific
requirements of the individual company:
General management of the enterprise
Finance, financial control and accounting
Personal administration
Marketing, sales and distribution
Supplies, transport, storage
Production
Main plant
Service plant
Quality assurance
Maintenance and repair
ORGANISATIONAL FUNCTIONS
• Planning
• Budgeting
• Costing
• Statistics
• Personnel training
• Accounting and finance
Organizational Structure
• The organizational structure of the company can take
a number of shapes, the most common being the
pyramid shape, with tree organizational levels:
• Top Level Management ( Corporate Level Management )
Duties : Making Policies and Procedure , Vision and Mission
• Middle Management (Functional Level Management )
Duties : Managing People , task and Supervision
• Lower Level / Bottom Level Management
( Operating Level Management )
Duties : Execution of Plans , Policies , Procedure and various
tasks
STEPS IN ORGANISATIONAL DESIGN INCULUDES……
The design of the organization usually include the following
steps:
• The goals and objective for the business are stated
• The functions that are necessary to achieve the goals
• The necessary functions to be grouped or related
• The organizational framework or structure is designed
• All key jobs are to be analyzed, designed and to be
described
• A recruiting and training program is to be prepared
STEPS IN ORGANISATIONAL DESIGN INCULUDES……
General Management – Feasibility study towards staffing requirement ,
Estimates of Personnel , Managing Expenditures etc.
Accounting and Financial Control – collecting information and analysis
towards Production , service administration and financial cost centers.
Marketing Organization – Marketing functions like the nature of the
product, its geographical distribution and the sales and distribution.
Organization of Supplies - it includes inputs of materials and services,
shipping of the goods, storage and inventory control.
Organization of Storage - Flow of materials (purchasing – manufacture ,
delivery) needs to be organized
Organization of Production - Production process and in line with the
availability of human resources.
Organisational design includes
Organization of Quality Assurance - Quality assurance ,
industry and size of the project , Labour and skills requirement
, quality monitoring of research, engineering, production and
service
Organization of Maintenance - maintenance policy ,
equipment supplier, maintenance contractors , preventive
maintenance and emergency repairs, maintenance operations
, preventive and corrective maintenance , plant equipment,
secondary equipment and buildings , staffed with the
technicians , daily maintenance operations.
Organization of Personnel - human resources , recruitment
and training of personnel and updating and developing skills
and knowledge.
Organisational design includes…..
Overhead Cost
Factory Overheads - Wages and salaries, Factory supplies
, such as utilities (water, power, gas, steam) effluent
disposal, office suppliers , Maintenance
Administrative overheads – Rents , Insurance (property) ,
Taxes (properties)
Marketing Overheads - selling and distribution costs ,
packaging and forwarding costs, commissions and
discounts
Depreciation Costs
Financial Costs - interest on term loans , forecasting
overhead costs ,
Project Planning
• Project planning is part of project management, which relates to the use
of schedules such as Gantt charts to plan and subsequently report progress
within the project environment.
• Project planning is often used to organize different areas of a project,
including project plans, work loads and the management of teams and
individuals.
• Project planning is essentially unclear as it must be done before the project
is actually started.
Project Planning
 Project planning is essentially uncertain as it must be
done before the project is actually started.
 time in the schedule can be calculated
 Necessary resources can be estimated and costs for
each activity can be allocated to each resource,
giving the total project cost.
 The project schedule may be optimized to achieve the
appropriate balance between resource usage and
project duration to comply with the project
objectives.
 Progress will be measured against the baseline
schedule throughout the life of the project.
PROJECT PLANNING
 The outputs of the project planning phase include the
project requirements, the project schedule, and the project
management plan.
PROJECT CONTROL
DEFINITION :
Project controls are the data gathering, management and analytical
processes used to predict, understand and constructively influence the
time and cost outcomes of a project or program; through the
communication of information in formats that assist effective
management and decision making.
Project control includes :
• Project strategy, undertaking planning and methods studies to help the PM
optimise future outcomes;
• Scheduling including development, updating and maintenance;
• Cost estimation, cost engineering/control and value engineering;
• Risk management, including maintaining the risk register and risk
analysis/assessment;
• Earned Value Management and Earned Schedule, including breakdown structures,
• Document control;
• Forensic Assessment for required diagnosis of schedule and cost
• Supplier performance measurement
Importance of Project control
 The execution of a project is based on a healthy
project plan and can only be achieved through an
effective schedule control methodology.
 The development of a suitable Project Control system
is an important part of the project management
effort.
 It is widely recognised that planning and monitoring
plays a major role.
 Continuous evolution in the project management
Pre requisites for successful project Implementation
 Prepare the infrastructure
 Coordinate with the organizations involved
in implementation.
 Implement training
 Install the production solution
 Convert the data
 Perform final verification in production
 Implement new processes and procedures
 Monitor the solution
THANK YOU
END OF UNIT - V
IMPORTANT DATES
 PROJECT TOPIC SUBMISSION AND
APPROVAL – JAN 31 , 2016
 TEST FOR 20 MARKS – FEB 21
 PROJECT REPORT SUBMISION – FEB 28
 PROJECT REPORT PRESENTATION –
MARCH 5TH
 FINAL EXAM – MARCH 24 , 2016

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MBA UNIT 5.pptx

  • 1. CHAPTER V - PROJECT IMPLEMENTATION, MONITORING AND EVLAUATION 5.1. Organization 5.1.1. Line and Staff Organization 5.1.2. Divisional Organization 5.1.3. Matrix Organization 5.2. Project Planning 5.3. Project Control 5.4. Human Aspects of Project Management 5.5. Pre – requisites for Successful Project Implementation UNIT - V PROJECT IMPLEMENTATION
  • 2. Organising – Meaning It is a process of grouping the HR and Material from the different sources at a cheaper optimal price to facilitate the organisation to achieve its target in a short span of time with appropriate things. Its divided in to two major parts Human Organising and Material organising
  • 3.
  • 4.
  • 5. Organization – Meaning A social Unit of people that is Structured and managed to meet a need or to pursue collective goals . All organizations have a management structure that determines relationships between the different activities and the members , and subdivides and assigns roles , responsibilities , and authority to carry out different tasks. Organizations are open systems they affect and are affected by their environment .
  • 6. Formal Organisation • 1. Formal organization – • a. The establishment and the development of this type of the organization are very formal in the nature. b. Helps in providing a shape to the various activities. c. The Formal organization is developed for a continuous purpose mainly involving the activities that are repetitive in the nature. d. This organization looks after the growth and the stability in the business. e. In the Formal organization, the design is such that it acts as a great support for the distribution of the authority, creation of the positions, linkage of the various functions etc. f. The Formal organization is not at all born by itself. g. Efforts of someone to get the organization established in the order to make Formal organization. h. The Formal organization is registered with some legal provision in the acts as those meant for the shop establishment, the companies, the cooperatives, the trusts, the societies etc, to provide it the legal existence in its own name.
  • 7. Informal Organisation a. Here, the people come together informally through their acquaintance. b. Informal relations are created within the same organization which may not be formally planned. c. The Informal organization is born of itself. d. Whenever there is a formal organization, an informal organization is born. e. The Informal organization comes up with the help of the social relations such as the trust, the dependence, the liking etc. f. A different communication channel is created by the informal organization and this is referred to as the grape vine. g. With the help of the informal communication, the situation in the organization can be sensed in a different way all together. h. The gossip can be conveyed with the help of the informal communication.
  • 8. Matrix organization a. According to the principle of the unity of the command, one person should take the order from only one person. b. Plurality of the persons giving the orders should not be present.
  • 9. • a. One goes for the project with the establishment of the temporary organization with a fixed end in mind. b. Anything that has a beginning and an end, is referred to as the project organization. c. The main responsibility of this type of the organization is to handle the complete project in a especial managerial way as the project is not going to be a continuous process at anytime. d. The specialized, skilled people are required at the different stages and also, in this type of the organization, the replacement of the specialized people can be done depending on the different types of the situations that may arise during the project. 4. The project organization
  • 10. 5. Virtual organization This type of the organization, does not look like to be physically operating but very well works like the one, due to the modern communication equipment which may include the following functions – • I. Digital mail II. Voice communication III. Cameras IV. Projection systems V. Audio and video conferencing
  • 11. Line and staff organisation A military-type organizational structure commonly employed in large centralized corporation. Line and staff management has two separate hierarchies: (1) Line hierarchy : In the departments are revenue generators (manufacturing, selling), and their managers are responsible for achieving the organization's main objectives by executing the key functions (such as policy making, target setting, decision making); (2) Staff hierarchy : In which the departments are revenue consumers, and their managers are responsible for activities that support line functions (such as accounting, maintenance, personnel management).
  • 12. Functional organisation / structure In the functional structure, the employees are working in different departments based on , what they are doing i.e. we have engineering department, maintenance department, finance department, research department, Warehouse department, purchasing department. This structure enhances the experience of each function
  • 16. Organizational Functions The organizational functions are the building blocks of the company. They may be grouped into organizational units in line with the specific requirements of the individual company: General management of the enterprise Finance, financial control and accounting Personal administration Marketing, sales and distribution Supplies, transport, storage Production Main plant Service plant Quality assurance Maintenance and repair
  • 17. ORGANISATIONAL FUNCTIONS • Planning • Budgeting • Costing • Statistics • Personnel training • Accounting and finance
  • 18. Organizational Structure • The organizational structure of the company can take a number of shapes, the most common being the pyramid shape, with tree organizational levels: • Top Level Management ( Corporate Level Management ) Duties : Making Policies and Procedure , Vision and Mission • Middle Management (Functional Level Management ) Duties : Managing People , task and Supervision • Lower Level / Bottom Level Management ( Operating Level Management ) Duties : Execution of Plans , Policies , Procedure and various tasks
  • 19. STEPS IN ORGANISATIONAL DESIGN INCULUDES…… The design of the organization usually include the following steps: • The goals and objective for the business are stated • The functions that are necessary to achieve the goals • The necessary functions to be grouped or related • The organizational framework or structure is designed • All key jobs are to be analyzed, designed and to be described • A recruiting and training program is to be prepared
  • 20. STEPS IN ORGANISATIONAL DESIGN INCULUDES…… General Management – Feasibility study towards staffing requirement , Estimates of Personnel , Managing Expenditures etc. Accounting and Financial Control – collecting information and analysis towards Production , service administration and financial cost centers. Marketing Organization – Marketing functions like the nature of the product, its geographical distribution and the sales and distribution. Organization of Supplies - it includes inputs of materials and services, shipping of the goods, storage and inventory control. Organization of Storage - Flow of materials (purchasing – manufacture , delivery) needs to be organized Organization of Production - Production process and in line with the availability of human resources.
  • 21. Organisational design includes Organization of Quality Assurance - Quality assurance , industry and size of the project , Labour and skills requirement , quality monitoring of research, engineering, production and service Organization of Maintenance - maintenance policy , equipment supplier, maintenance contractors , preventive maintenance and emergency repairs, maintenance operations , preventive and corrective maintenance , plant equipment, secondary equipment and buildings , staffed with the technicians , daily maintenance operations. Organization of Personnel - human resources , recruitment and training of personnel and updating and developing skills and knowledge.
  • 22. Organisational design includes….. Overhead Cost Factory Overheads - Wages and salaries, Factory supplies , such as utilities (water, power, gas, steam) effluent disposal, office suppliers , Maintenance Administrative overheads – Rents , Insurance (property) , Taxes (properties) Marketing Overheads - selling and distribution costs , packaging and forwarding costs, commissions and discounts Depreciation Costs Financial Costs - interest on term loans , forecasting overhead costs ,
  • 23. Project Planning • Project planning is part of project management, which relates to the use of schedules such as Gantt charts to plan and subsequently report progress within the project environment. • Project planning is often used to organize different areas of a project, including project plans, work loads and the management of teams and individuals. • Project planning is essentially unclear as it must be done before the project is actually started.
  • 24. Project Planning  Project planning is essentially uncertain as it must be done before the project is actually started.  time in the schedule can be calculated  Necessary resources can be estimated and costs for each activity can be allocated to each resource, giving the total project cost.  The project schedule may be optimized to achieve the appropriate balance between resource usage and project duration to comply with the project objectives.  Progress will be measured against the baseline schedule throughout the life of the project.
  • 25. PROJECT PLANNING  The outputs of the project planning phase include the project requirements, the project schedule, and the project management plan.
  • 26. PROJECT CONTROL DEFINITION : Project controls are the data gathering, management and analytical processes used to predict, understand and constructively influence the time and cost outcomes of a project or program; through the communication of information in formats that assist effective management and decision making. Project control includes : • Project strategy, undertaking planning and methods studies to help the PM optimise future outcomes; • Scheduling including development, updating and maintenance; • Cost estimation, cost engineering/control and value engineering; • Risk management, including maintaining the risk register and risk analysis/assessment; • Earned Value Management and Earned Schedule, including breakdown structures, • Document control; • Forensic Assessment for required diagnosis of schedule and cost • Supplier performance measurement
  • 27. Importance of Project control  The execution of a project is based on a healthy project plan and can only be achieved through an effective schedule control methodology.  The development of a suitable Project Control system is an important part of the project management effort.  It is widely recognised that planning and monitoring plays a major role.  Continuous evolution in the project management
  • 28. Pre requisites for successful project Implementation  Prepare the infrastructure  Coordinate with the organizations involved in implementation.  Implement training  Install the production solution  Convert the data  Perform final verification in production  Implement new processes and procedures  Monitor the solution
  • 29. THANK YOU END OF UNIT - V
  • 30. IMPORTANT DATES  PROJECT TOPIC SUBMISSION AND APPROVAL – JAN 31 , 2016  TEST FOR 20 MARKS – FEB 21  PROJECT REPORT SUBMISION – FEB 28  PROJECT REPORT PRESENTATION – MARCH 5TH  FINAL EXAM – MARCH 24 , 2016