project management

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INTRODUCTION TO
PROJECT MANAGEMENT
Unit 1:

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Introduction
• Projects have a major role to play in the economic
development of a country.
• Since the introduction of planning in our economy, we
have been investing large amount of money in projects
related to Health, industry, minerals, power,
transportation education etc. with a view to improve
the socio-economic conditions of the people.
• These projects are designed with the aim of efficient
management, earning adequate return to provide for
future development.

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Concept and Definition of Project
• The term project has a wider meaning. A project is
accomplished by performing a set of activities.
• For example, construction of a PHC is a project. The
construction of a PHC consists of many activities like
digging of foundation pits, construction of foundation,
construction of walls, construction of roof, fixing of
doors and windows,
fixing of sanitary fitting, wiring etc.
• Another aspect of project is the non-routine (irregular)
nature of activities.

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Concept and Definition of Project
• Each project is unique in the sense that the activities
of a project are unique and non routine.
• A project consumes resources. The resources required
for completing a project are men, material, money
and time.
• Thus, we can define a project as an organized
programme of pre determined group of activities that
are non-routine in nature and that must be completed
using the available resources within the given time
limit.

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Concept and Definition of Project
• “A project typically has a distinct mission that it is designed to
achieve and a clear termination point the achievement of the
mission”.
- Newman et. al
• “Project” as the whole complex of activities involved in using
resources to gain benefits.
-Gillinger
• “A system involving the co-ordination of a number of separate
department entities(units) throughout organization, in a way it
must be completed with prescribed schedules and time
constraints”.
-Project management institute, USA

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Concept and Definition of Project
• A project can be considered to be any series of
activities and tasks that:
● Have a specific objective to be completed within
certain specifications(Provision)
● Have defined start and end dates
● Have funding limits
● Consume human and nonhuman resources (i.e.
money, people, equipment)
● Are multifunctional (i.e., cut across several
functional lines)

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Concept and Definition of Project
• A health Project is defined as a temporary
intensive (concentrated) effort to set up and put
into operation a new or revised service (or
program) that will, it is believed, result in the
reduction of specific health and health related
problems.
• This “intensive effort” takes the form of
coordinated set of activities with well-defined
objectives and target dates for their achievements.

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Concept and Definition of Project
• Once the project objectives have been
achieved, once the program or service is set
up, the project disbands, leaving the service or
program to operate on its own.
• For ex. Construction of Water supply system,
Recruitment and training of a new type of
health workers, The initiation of Malaria
control program.

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Concept and Definition Program
• Programs can be regarded as subsystems. However,
programs are generally defined as time-phased
efforts, whereas systems exist on a continuous basis.
• Program is the integrated, time-phased tasks
necessary to accomplish a particular purpose.
- Air Force Definition
• Projects are also time-phased efforts (much shorter
than programs) and are the first level of breakdown
of a program.

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Concept and Definition Program
• The government sector tends to run efforts as
programs, headed by a program manager.
• The majority of the Private/industrial sectors prefer
to describe efforts as projects, headed by a project
manager.
• programs and projects will be discussed
interchangeably.
• projects are normally the first-level subdivision of a
program and that programs are more ongoing than
projects.

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Concept and Definition of Management
• Ever since people began forming groups to
accomplish goals that they could not achieve
as individual, managing has become essential
to assure the coordination of individual
efforts.
• Management is the operational part of
administration.

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Concept and Definition of Management
• Management is a set of interactive processes
through which the utilization of resources
results in the accomplishment of organization
objectives.
• Management is a process of organized
activities of people working towards some
purpose.

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Concept and Definition of Management
• The process of management includes the
process of planning, organizing, directing and
controlling.
• Thus management is a continuous process
wherein well defined activities lead to
effective and meaningful change in human
behavior to discharge the function.

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Concept and Definition of Management
Get the works done through efficient use of available
resources in a given situation
Management resources:
Remember 4 M’s
• M1= Manpower
• M2= Machine
• M3= Materials
• M4= Money
However, do not forget the Time.
It is most important resources for managing assigned task in
time

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Project Management
• Project management is the process of
systematically planning, organizing, and then
executing a pre-determined set of steps in
order to maximize resource use and achieve
specific objectives.
• According to a U.S. News and World report,
Project management is one of the top skill sets
sought(required) by employers.

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Project Management
• Project management involves five process
groups namely:
● Project initiation
● Project planning
● Project execution
● Project monitoring and control
● Project closure

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Project Management
• Successful project management can be defined
as having achieved the project objectives:
● Within time
● Within cost
● At the desired performance/technology level
● Utilizing the assigned resources effectively
and efficiently
● Accepted by the customer

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Benefit of Project Management
● Identification of functional responsibilities
to ensure that all activities are accounted
for, regardless of personnel turnover
● Minimizing the need for continuous
reporting
● Identification of time limits for scheduling
● Measurement of accomplishment against
plans

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Benefit of Project Management
● Early identification of problems so that
corrective action may follow
● Improved estimating capability for future
planning
● Knowing when objectives cannot be met
or will be exceeded

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Project Constraints/Limitations
● Project complexity
● Customer’s special requirements and scope
changes
● Organizational restructuring
● Project risks
● Changes in technology
● Forward(advanced) planning and pricing

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Understanding the Nature of Projects
1. Objectives : A project has a set of objectives . Once the objectives are
achieved the project is treated as completed.
2. Life cycle : A project has a life cycle. The life cycle consists of four stages.
3. Uniqueness : Every project is unique and no two projects are similar.
Setting up a cement plant and construction of a highway are two
different projects having unique features.
4. Team Work : Project is a team work and it normally consists of diverse
areas. There will be personnel specialized in their respective areas and
co-ordination among the diverse areas calls for team work.
5. Complexity : A project is a complex set of activities relating to diverse
areas.
6. Risk and uncertainty : Risk and uncertainty go hand in hand with
project. A risk-free, it only means that the element is not apparently
visible on the surface and it will be hidden underneath.

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Understanding the Nature of Projects
7. Customer specific nature : A project is always customer specific.
It is the customer who decides upon the product to be produced
or services to be offered.
8. Change : Changes occur through out the life span of a project.
The changes may very from minor changes to major changes
which may have very little to a big impact on the project.
9. Optimality : A project is always aimed at optimum utilization of
resources for the overall development of the economy.
10. Sub-contracting : A high level of work in a project is done
through contractors. The more the complexity of the project, the
more will be the extent of contracting.
11. Unity in diversity : A project is a complex set of thousands of
varieties. The varieties are in terms of technology, equipment and
materials, machinery and people, work, culture and others.

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PROJECT FAMILY TREE
A project normally originates from a plan, national plan or corporate plan.
The family tree for a project would be as given below:-
• Plan = National/Corporate plan with target for growth.
• Programme = health programme, educational
programme
• Project = Power plant, hospital, housing project etc.
• Work Package = Water supply, power supply and distribution
package.
• Task = Award of water supply contract, construction &
foundation.
• Activity = Excavation(digging), laying of cable, preparation of
drawing.

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Project Identification
• Identification of a new project is a complex problem.
• Project selection process starts with the generation
of project ideas.
• In order to select the most promising project, the
entrepreneur needs to generate a few ideas about
the possible project one can undertake.
• The project ideas as a process of identification of a
project begins with an analytical survey.
• The surveys and studies will give us ideas.

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The Project Life Cycle
• Formulation Phase
• Planning Phase (Developmental Phase)
• Implementation Phase
• Termination Phase

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