This document outlines key points about modern project management: - It describes the importance of project management in society and organizations, and in executing strategy. - It explains that projects are multi-disciplinary, non-routine efforts with defined time/budget constraints to meet customer needs. - It discusses what differentiates projects from routine work, and how programs relate to multiple coordinated projects targeting a common goal. - It describes the role of a project manager in leading temporary and independent project teams to success.

1. Project Management: Session 1 Modern Project Management

2. Session Outcomes After completion of this session the learner should be able to: Describe the importance of project management in modern society; Describe the importance of projects in organizations; Describe the importance of projects in executing strategy; Explain the multi-disciplinary nature of projects; Describe the following: What is a project; Routine vis a vis project work; Programs in relation to projects; Integrated project management.

3. Importance of Project Management Hubble Space Probe $ 1.5 billion initial cost; Approximately $ 250 million per annum to maintain

4. Importance of Project Management World Bank Project Investment in South Africa, approximately; $ 170 million

5. Importance of Project Management SAP R/3 Enterprise Software 19,300 companies, in 120 countries With 60,100 installations

6. Importance of Project Management Professional Services Project Executive US $ 85,000 Vice President Project Services US $ 145,000 IT Project Manager US $ 175,000 monster.com 2003

7. Importance of Project Management The Project Management Institute (PMI); Established 1969; Current membership 125,000 in 125 countries

8. Importance of Project Management Factors leading to the increased use of project management: Compression of the product life cycle; Global competition; Knowledge explosion; Corporate downsizing; Increased customer focus; Rapid development of Third World and closed economies; Small projects that represent big problems.

9. Importance of Project Management

10. What then is a project ?

11. What is a Project? Definition: A complex , non-routine, one-time effort limited by time , budget, resources , and performance specifications designed to meet customer needs . Major Characteristics of a Project Has an established objective; Has a defined life span with a beginning and an end; Requires across-the-organizational participation; Involves doing something never been done before; Has specific time, cost, and performance requirements.

12. What is a Project? PMBOK “ …a project is a temporary endeavor undertaken to create a unique product or service … “ Temporary means that every project has a defined begin or end state; Unique in the sense that the aim is to produce something that can be distinguishable from all similar products and or services”.

13. Routine vis a vis Project Work Routine, Repetitive Work 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 Projects 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 approximately 2 X 4 inches, interfaces with PC, and stores 10,000 songs

14. Routine vis a vis Project Work Uniqueness Repetitiveness Low High High Space station Housing Motor manufacturing Coin manufacturing

15. Programs Versus Projects Program Defined: A series of coordinated, related, multiple projects that continue over an extended time and are intended to achieve a goal. A higher level group of projects targeted at a common goal. Example: Project: completion of a required course in project management. Program: completion of all courses required for a business major.

16. Project Manager The Project Manager: Manages temporary, non-repetitive activities and frequently acts independently of the formal organization: Marshals resources for the project; Is linked directly to the customer interface; Provides direction, coordination, and integration to the project team; Is responsible for performance and success of the project; Must induce the right people at the right time to address the right issues and make the right decisions.

17. The Project Cycle Initiation Close Out

18. The Project Process Groups Initiation Close Out Control

19. Integrated Project Management Systems Direction Execution – cross functional and concentration of resources Selection and Coordination

20. Integrated Project Management Systems

21. Practical