The document outlines the project life cycle and its relationship with organizational structure, emphasizing the importance of understanding the broader context of project management. It discusses various project phases and stakeholder influences, including the need for continuous stakeholder identification and management. Additionally, it highlights how organizational culture and structure impact project execution and success.

1. CHAPTER 2
PROJECT LIFE CYCLE AND ORGANIZATION
Ahmad H. Maharma
PMP®

2. PROJECT LIFE CYCLE AND ORGANIZATION
• Projects and project management take place in an environment
that is broader than that of the project itself.
• Understanding this broader context helps ensure that work is
carried out in alignment with the goals of the enterprise and
managed in accordance with the established practice
methodologies of the organization.
• This chapter describes the basic structure of a p j
p project as well as
other important high-level considerations including how projects
impact ongoing operational work, the influence of stakeholders
beyond the immediate project team, and how organizational
structure affects the way the project is staffed, managed, and
executed.

3. 2.1 The Project Life Cycle-0verview
•A project life cycle is a collection of generally sequential and
sometimes overlapping project phases whose name and number are
determined by the management and control needs of the organization
or organizations involved in the project, the nature of the project itself,
and its area of application.
•While every project has a definite start and a definite end, the
specific deliverables and activities that take place in between will vary
widely with the p j
y project.
•The life cycle provides the basic framework for managing the project,
regardless of the specific work involved.

4. 2.1 The Project Life Cycle-0verview

5. 2.1 The Project Life Cycle-0verview

8. 2.1.2 Product vs. Project Life Cycle Relationships
The product life cycle consists of generally sequential, non-overlapping
product phases determined by the manufacturing and control need of the
organization.
The last product life cycle phase for a product is generally the product's
retirement. Generally, a project life cycle is contained within one or
more product life cycles.
Care should be taken to distinguish the project life cycle from the product
life cycle.
All projects have a purpose or objective, but in those cases where the
objective is a service or result, there may be a life cycle for the service or
result, not a product life cycle.

9. 2.1.3 Project Phases
•Project phases are divisions within a project where extra control is
needed to effectively manage the completion of a major deliverable .
• Project phases are typically completed sequentially, but can overlap in
some project situations.
•The high level nature of project phases makes them an element of the
project life cycle.
• A project phase is not a project management process group. Regardless
of the number of phases comprising a project, all phases have similar
characteristics:

11. Project Phases
When phases are sequential, the close of a phase ends with some form of
transfer or handoff of the work product produced as the phase deliverable.
This phase end represents a natural point to reassess the effort underway
and to change or terminate the project if necessary.
These points are referred to as phase exits, milestones, phase gates,
decision gates stage gates, or kill points The work has a distinct focus that
gates, gates points.
differs from any other phase.
This often involves different organizations and different skill sets. The
primary d li
i deliverable or objective of the phase requires an extra d
bl bj i f h h i degree of
f
control to be successfully achieved..

13. Projects vs. Operational Work Organizations
Projects Operations
• Performed by people
Performed by people • Performed by people
yp p
• Constrained by limited • Constrained by limited
resources resources
• Planned executed and
Planned, executed and • Planned executed and
Planned, executed and
controlled controlled
• Temporary • Ongoing
• Unique • Repetitive

14. STAKEHOLDERS

15. 2.3 Stakeholders
Definition:
Stakeholders are
persons or organizations who are actively involved in the project
or
whose interests may be positively or negatively affected
by the performance or completion of the project.
b h f l i f h j
Examples of persons or organizations
Examples of persons or organizations
customers
sponsors
p
the performing organization
the public

16. 2.3 Stakeholders
Exert influence on the project, its deliverables, and the project
p j , , p j
team members.
The project management team must
identify both internal and external stakeholders
in order to determine the
in order to determine the
project requirements and expectations of all parties involved.
Furthermore, the project manager must
manage the influence of the various stakeholders
in relation to the project requirements to ensure a successful
outcome.

17. 2.3 Stakeholders
Concepts:
p
Project Team [Members]
Project Management Team
Operations Management
i
Functional Managers
Functional Managers

18. 2.3 Stakeholders
Stakeholders Responsibility and Authority:
p y y
Varying levels when participating on a project
Change over the course of the project life cycle.
RANGE from occasional contributions to full project sponsorship
Caution! Can have an adverse IMPACT on the project objectives.

19. 2.3 Stakeholders
Stakeholder Identification:
Stakeholder identification is a continuous process
It can be difficult.
Identifying stakeholders and understanding their relative degree of
influence on a project is critical. Failure to do so can extend the
influence on a project is critical. Failure to do so can extend the
timeline and raise costs substantially.
Impact of late recognition of a stakeholder

20. ORGANIZATIONAL INFLUENCES ON
PROJECT MANAGEMENT
PROJECT MANAGEMENT
ORGANIZATIONAL CULTURES AND STYLES

21. 2.4 Organizational Influences on Project Management
The organizational culture, style, and structure influence how
g , y ,
projects are performed.
A project manager should understand these as they affect a project.
An organization’s
An organization’s
degree of project management maturity and
its project management systems
its project management systems
can also influence the project.
When a project involves more than one organizations, the project
will be influenced all of them.
The organizational culture is an enterprise environmental factor.

22. 2.4 Organizational Influences on Project Management
Cultures and styles may have a strong influence on a project’s ability
y y g p j y
to meet its objectives.
Cultures and styles are typically known as “cultural norms”
The “norms” include [Or What do the cultural norms include?]
The “norms” include [Or What do the cultural norms include?]
a common knowledge regarding how to approach getting the work
done,
what means are considered acceptable for getting the work done,
and
who is influential in facilitating the work getting done.
The project manager must know which individuals in the
organization are the decision makers and work with them to
organization are the decision makers and work with them to
influence project success.

23. 2.4 Organizational Influences on Project Management
Most organizations have developed unique cultures that manifest in
g p q
numerous ways including, but not limited to:
• Shared visions, values, norms, beliefs, and expectations,
• Policies, methods, and procedures,
• View of authority relationships, and
• Work ethic and work hours.
• Work ethic and work hours
Detailed study of organizational culture is beyond the scope of this
Detailed study of ‘organizational culture’ is beyond the scope of this
course.

24. ORGANIZATIONAL INFLUENCES ON
PROJECT MANAGEMENT
PROJECT MANAGEMENT
ORGANIZATIONAL STRUCTURE

25. 2.4 Organizational Influences on Project Management
Organizational structure is an enterprise environmental factor
Why it is important to by understood?
It affect the availability of resources and influence how projects are
conducted.
conducted
What are the different types of structures?
What are the different types of structures?
Organizational structures range from functional to projectized, with a
variety of matrix structures between them.
Functional Structure
Matrix Structures [Weak, Balanced, and Strong]
Projectized Structure
P j i dS

26. 2.4 Organizational Influences on Project Management

27. 2.4 Organizational Influences on Project Management
Functional Organization: Key Points
g y
Each employee has one clear superior [Unity of Command]
Employees are grouped by specialty [Finance, HR, Marketing etc]
Each department will do its project work independent of other
department.

28. 2.4 Organizational Influences on Project Management

29. 2.4 Organizational Influences on Project Management
Projectized Organization: Key Points
j g y
Team members are co‐located
Most of the organization’s resources are involved in project work
Project Managers have great deal of independence and authority
j h d l fi d d d h i
Projectized organizations often have organizational units called
Projectized organizations often have organizational units called
departments, but these groups either report directly to the project
manager or provide support services to the various projects.

30. 2.4 Organizational Influences on Project Management
Projectized Organization: Key Points
j g y

31. 2.4 Organizational Influences on Project Management
Matrix Organizations: Advantages and Disadvantages
g g g
Matrix Organizations are a blend of functional and projectized
characteristics.
Advantages Disadvantages
Highly visible project objectives
g y p j j Extra administration is required
q
Improved project manager control More than one boss for project teams
over resources
More support from functional areas
f f i l More complex to monitor and control
l i d l
Maximum utilization of scarce Tougher problems with resource
resources allocation
Better coordination Need extensive policies and procedures
Better horizontal and vertical Functional manager may have different
dissemination of information
f f priorities than project managers
Team members maintain a “home” Higher potential for conflict

32. 2.4 Organizational Influences on Project Management

33. 2.4 Organizational Influences on Project Management
Weak Matrix Organization: Key Points
g y
Maintain many of the characteristics of a functional organization
Project Manager’s role is more of a coordinator or expediter than
that of a true project manager.

34. 2.4 Organizational Influences on Project Management

35. 2.4 Organizational Influences on Project Management
Balanced Matrix Organization: Key Points
g y
Balanced Matrix organization recognizes the need for a project
manager. But it does not provide the project manager with the full
authority over the project and project funding.
th it th j t d j t f di

36. 2.4 Organizational Influences on Project Management

37. 2.4 Organizational Influences on Project Management
Strong Matrix Organization: Key Points
g g y
Have many of the characteristics of the projectized organization
Can have a full‐time project managers with considerable authority
Can have full‐time project administrative staff

38. 2.4 Organizational Influences on Project Management
Project Expeditor
j p
Act primarily as staff assistant and communication coordinator
Cannot personally make or enforce decision

39. 2.4 Organizational Influences on Project Management
Project Coordinator
j
Has some power make decision, some authority
Report to a high level manager

40. 2.4 Organizational Influences on Project Management

41. 2.4 Organizational Influences on Project Management

42. ORGANIZATIONAL INFLUENCES ON
PROJECT MANAGEMENT
PROJECT MANAGEMENT
ORGANIZATIONAL PROCESS ASSETS

43. 2.4 Organizational Influences on Project Management
Definition:
Organizational process assets include any or all process related
assets, from any or all of the organizations involved in the project
that can be used to influence the project’s success.
th t b d t i fl th j t’
Examples:
formal and informal plans, policies, procedures, and guidelines.
formal and informal plans policies procedures and guidelines
organization’s knowledge bases such as lessons learned and
historical information.
completed schedules, risk data, and earned value data.
Key Points:
Updating and adding to the organizational process assets is
necessary throughout the project
necessary throughout the project
Generally, is the responsibility of the project team members.

44. 2.4 Organizational Influences on Project Management
Categorization:
g
Organizational process assets may be grouped into two categories:
1. Processes and Procedures
>> for conducting work
2. Corporate Knowledge Base
>> for storing and retrieving information
>> for storing and retrieving information

45. 2.4 Organizational Influences on Project Management
Processes and Procedures
Organizational standard processes such as
standards
policies [safety and health, ethics, and project management]
standard product and project life cycles
quality policies and procedures [
li li i d d [process audits, improvement
di i
targets, checklists, and standardized process definitions for
g
use in the organization]]
Standardized guidelines, work instructions, proposal evaluation
criteria, and performance measurement criteria
Templates [risk, work breakdown structure, project schedule
Templates [risk work breakdown structure project schedule
network diagram, and contract templates]

46. 2.4 Organizational Influences on Project Management
Processes and Procedures
Guidelines and criteria for tailoring the organization’s set of
standard processes to satisfy the specific needs of the project;
Organization communication requirements
Project closure guidelines or requirements
Financial controls procedures
Financial controls procedures
Issue and defect management procedures
Change control procedures
Change control procedures
Risk control procedures
Procedures for prioritizing, approving, and issuing work
authorizations.

47. 2.4 Organizational Influences on Project Management
Corporate Knowledge Base
p g
Process measurement databases used to collect and make available
measurement data on processes and products,
Project files
Historical information and lessons learned knowledge bases
Issue and defect management databases
Issue and defect management databases
Configuration management knowledge bases
Financial databases
Financial databases

48. For more information do not hesitate to contact me.
Ahmad H. Maharma ‐ PMP®
Ramallah, Palestine
Phone: + (972) (2) 2968644
Phone: + (972) (2) 2968644
Mobile: + (972) (599) 001155
E‐Mail: ahmad.maharma@gmail.com