This document discusses various aspects of project management including defining a project, characteristics of projects, project life cycles, and estimating project time and costs. It defines a project as a complex, non-routine effort with established objectives, a defined life span, and cross-organizational participation. Successful project management requires understanding an organization's strategy and culture. Estimating project time and costs involves both top-down and bottom-up approaches.

1. Modern Project Management

5. Project Management in Action-UPS Moving the goods Project : Expand the delivering packages to helping net companies with everything from managing inventory to Tracking Shipment. Payoff : About 500,000 companies worldwide use the full package of UPS online logistics services, generating $ 1.4B in revenue. Action : UPS developed online system for e-tailers for everything from product delivery and tracking, managing inventories, and dealing with suppliers, to handling billings and payments. Cost are slashed for all stake holders in the supply chain to the final chain to the final customer. The UPS system leaves the competitors in a catch-up mode

7. Project Life Cycle FIGURE 1.2

10. Growth in PMP Certification

11. Integrated Management of Projects FIGURE 1.3

12. Project Management Process The Technical and Socio-cultural Dimensions FIGURE 1.4

15. Organization Strategy and Project Selection “If you don’t know where you are going, any road will take you there”…Confucius

16. Integrated Management of Projects FIGURE 1.3

18. Strategic Management Process FIGURE 2. 1

21. Characteristics of Objectives EXHIBIT 2. 1 S Specific Be specific in targeting an objective M Measurable Establish a measurable indicator(s) of progress A Assignable Make the objective assignable to one person for completion R Realistic State what can realistically be done with available resources T Time related State when the objective can be achieved, that is, its duration.

23. Project Screening Matrix FIGURE 2.3

26. Major Project Proposal FIGURE 2.4A

27. Risk Analysis FIGURE 2.4B

28. Project Screening Process FIGURE 2.5

29. Priority Analysis FIGURE 2.6

30. Organization Structure and Culture “ Successful project management can flourish within any structure, but the culture within the organization must support the four basic values of project management: Cooperation, Teamwork, Trust & Effective Communication ”

33. Functional Organizations FIGURE 3.1

36. Dedicated Project Team FIGURE 3.2

38. Project Organizational Structure FIGURE 3.3

40. Matrix Organization Structure FIGURE 3.4

46. Key Dimensions Defining an Organization’s Culture FIGURE 3.6

47. Defining the Project “ Select a dream Use your dream to set a goal Create a plan Consider resources Enhance skills and abilities Spend time wisely Start! Get organized and go…….”

55. Project Management Trade-offs FIGURE 4.1

58. Hierarchical Breakdown of the WBS FIGURE 4.3

59. Work Breakdown Structure FIGURE 4.4

63. WBS Coding

64. Estimating Project Time and Costs

66. Factors Influencing the Quality of Estimates Quality of Estimates Project Duration People Project Structure and Organization Organization Culture Planning Horizon

68. Macro versus Micro Estimating TABLE 5.1 Conditions for Preferring Top-Down or Bottom-Up Time and Cost Estimates Condition Macro Estimates Micro Estimates Strategic decision making X Cost and time important X High uncertainty X Internal, small project X Fixed-price contract X Customer wants details X Unstable scope X

71. Apportion Method of Allocating Project Costs Using the Work Breakdown Structure FIGURE 5.1

72. Simplified Basic Function Point Count Process for a Prospective Project or Deliverable TABLE 5.2

73. Example: Function Point Count Method TABLE 5.3

76. Three Views of Cost FIGURE 5.6

78. Contract Bid Summary Costs FIGURE 5.5 Direct costs $80,000 Direct overhead $20,000 G&A overhead (20%) $20,000 Profit (20%) $24,000 Total bid $144,000

81. Creating a Database for Estimating FIGURE 5.7 Estimating Database Templates

82. Developing a Project Plan “I had six honest serving men who taught me all I know: their names were- What? How? Why? When? Where? Who? …….. Rudyard Kipling

84. From Work Package to Network FIGURE 6.1 WBS/Work Packages to Network

85. From Work Package to Network (cont’d) FIGURE 6.1 (cont’d) WBS/Work Packages to Network (cont’d)

90. Activity-on-Node Fundamentals FIGURE 6.2

91. Activity-on-Node Fundamentals (cont’d) FIGURE 6.2 (cont’d)

93. Activity-on-Node Network FIGURE 6.5

94. Activity-on-Node Network Forward Pass FIGURE 6.6

95. Activity-on-Node Network Backward Pass FIGURE 6.7

97. Activity-on-Node Network with Slack FIGURE 6.8

98. Activity-on-Arrow Network Building Blocks FIGURE A6.1

99. Activity-on-Arrow Network Fundamentals FIGURE A6.2

100. Activity-on-Arrow Network Fundamentals FIGURE A6.2 (cont’d)

101. Managing Risk

103. The Risk Event Graph FIGURE 7.1

105. The Risk Management Process FIGURE 7.2

107. Step 1: Partial Risk Profile for Product Development Project FIGURE 7.4

108. Step 1: Risk Breakdown Structure FIGURE 7.3

109. Step 2: Risk Assessment Form FIGURE 7.6

110. Impact Scales FIGURE 7.5

111. Risk Severity Matrix FIGURE 7.7

114. Risk Response Matrix FIGURE 7.8

118. Contingency Fund Estimate (000s) TABLE 7.1