The document explores the fundamental concepts of project management, emphasizing its role in creating unique products or services through temporary endeavors across various organizational levels. It outlines the differences between projects, programs, and portfolios, detailing their management strategies and objectives. Additionally, it discusses the evolution of project management as a discipline and highlights key methodologies such as PMBOK and PRINCE2.

1. Tathagat Varma
Tathagat Varma
Session 2/12: 21-May-2010

2.  Add more people?
 Buy more time?
 Offshore?
 Do Agile?
 Buy the latest and greatest tool?
 New ‘silver bullet’?
 Project Management has some answers
 However, no moneyback guarantees
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3.  A Project is a temporary endeavor
undertaken to create a unique product,
service or result
 Temporary doesn’t mean short duration
 Temporary doesn’t apply to product, service or
result created by a project
 Every project creates a unique product,
service or result, though repetitive elements
may be present in some project deliverables
 A project can involve single person, an
organizational unit, or multiple such units
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4.  Developing a new product or service
 Effecting a change in the structure,
staffing, or style of an organization
 Developing or acquiring a new or
modified information system
 Constructing a building or
infrastructure
 Implement a new business procedure
 Etc.

5.  An ongoing work effort is generally a
repetitive process because it follows an
organization’s existing procedures.
 In contrast, because of the unique nature of projects,
there may be uncertainties about the products,
services, or results that the project creates.
 Project tasks can be new to a project team, which
necessitates more dedicated planning than other
routine work.
 In addition, projects are undertaken at all
organizational levels. A project can involve a single
person, a single organizational unit, or multiple
organizational units.

6. Project Operations
Definition Projects typically create Perform the ongoing execution of
new product, service or activities that produce the same
result for an product or provide the repetitive
organization service
Tenure Temporary / one-time Permanent / ongoing
Result / Unique Repetitive
output
Nature of Typically involve Basically the same set of tasks
tasks creating a new result according to standards
and could entail institutionalized in a project lifecycle
uncertainties
Management Project Management Business Process Management or
Operations Management
Termination Terminates when Does not terminate when its current
project’s objectives are objectives are met but instead follow
met new directions to support the
organization’s strategic plans
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7.  Loksabha Elections 2009
 Bata wants to enter new market for Rs. 5,000+ shoes
 Times of India for 21-May-2010
 Organizing IPL3
 Prepare and declare Infosys quarterly results
 Planning family weekend outing
 Running an Air Traffic Control (ATC) tower
 Catching Veerapan task force
 Bangalore Metro
 Submit a monthly finance report
 Production of Maruthi 800 cars
 Hiring for next project
 Tata Nano
 Tonight’s home dinner
 File your annual taxes

8.  Project Management is the application of
knowledge, skills, tools, and techniques to project
activities to meet project requirements.
 Managing a project typically includes
 Identifying requirements
 Addressing various needs, concerns and expectation of
stakeholders
 Balancing the competing project constraints like
o Scope,
o Quality,
o Schedule,
o Budget,
o Resources and
o Risk
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9.  A Program is defined as a group of
projects related through the common
outcome or collective capability. If the
relationship between projects is only
that of a shared client, seller,
technology or resource, the effort
should be managed as a portfolio of
projects rather than a program
 Programsmay include elements of related work
outside the scope of the discrete projects in the
program
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10.  Program Management is centralized coordinated
management of a program to achieve program’s
strategic objectives and benefits that are not available
from managing the sub-projects individually
 Program Management focuses on the project
interdependencies and helps to determine the
optimal approach for managing them. Action related
to these interdependencies may include:
 Resolve resource constraints and/or conflicts that affect
multiple projects within the system
 Align organizational/strategic direction that affects project and
program goals and objectives
 Resolve issues and change management within a shared
governance structure

11.  A Portfolio refers to a collection of
projects and programs and other work
that are grouped together to facilitate
effective management of that work to
meet strategic business objectives.
 The
projects and programs of the portfolio
may not necessarily be interdependent or
directly related.
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12.  Portfolio Management refers to the
centralized management of one or more
portfolios, which includes identifying,
prioritizing, authorizing, managing, and
controlling projects, programs, and other
related work, to achieve specific strategic
business objectives. It focuses on ensuring
that projects and programs are reviewed to
prioritize resource allocation, and that the
management of the portfolio is consistent
with and aligned to organizational strategies.

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14. Projects Programs Portfolios
Scope Projects have defined objectives. Programs have a larger scope and Portfolios have a business scope
Scope is progressively provide more significant benefits that changes with strategic
elaborated throughout the goals of the organization
project lifecycle
Change Project managers expect change Program manager must expect Portfolio managers continually
and implement processes to change from both inside and outside monitor changes in the broad
keep change managed and the program and be prepared to environment
controlled manage it
Planning Project managers progressively Program managers develop overall Portfolio managers create and
elaborate high-level information program plan and create high-level maintain necessary processes
into detailed plans throughout plans to guide detailed planning at and communication relative to
the project life cycle the component level the aggregate portfolio
Management Project managers manage the Program managers manage the Portfolio managers may
project team to meet the project program staff and the project manage or coordinate portfolio
objectives managers; they provide vision and management staff
overall leadership
Success Success is measured by product Success is measured by the degree to Success is measured in terms of
and project quality, timeliness, which the program satisfies the needs aggregate performance of
budget compliance, and degree and benefits for which it was portfolio components
of customer satisfaction undertaken
Monitoring Project managers monitor and Program managers monitor the Portfolio managers monitor
control the work of producing progress of program components to aggregate performance and
the products, services or results ensure the overall goals, schedules, value indicators
that the project was undertaken budget, and benefits of the program
to product will be met 14 4/17/11

15.  A PMO is an organizational body assigned
various responsibilities related to the
centralized and coordinated management of
those projects under its domain
 Responsibilities can range from providing
project management support to actually
being responsible for the direct management
of project
 Project supported or administered by PMO
may not be related, other than being
managed together
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16.  Primary functions:
 Managing shared resources across all projects
administered by PMO
 Identify and develop PM methodology, best
practices and standards
 Coaching, mentoring, training and oversight
 Monitor compliance with PM standard
policies, etc.
 Develop and manage project policies, etc.
 Coordinate communication across projects

17.  PMs and PMOs pursue different objectives and, as
such, are driven by different requirements. All of
these efforts, however, are aligned with the strategic
needs of the organization. Differences:
 PM focuses on the specified project objectives, while the PMO
manages major program scope changes which may be seen as
potential opportunities to better achieve business objectives
 PM controls the assigned project resources to best meet project
objectives while the PMO optimizes the use of shared
organizational resources across all projects
 PM manages the constraints (scope, schedule, cost, and
quality, etc.) of the individual projects while the PMO
manages the methodologies, standards, overall risk/
productivity, and independencies among projects at the
enterprise level
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18.  As a discipline, Project Management developed
from several fields of application including
construction, engineering, and defense activity.[8]
 Two forefathers of project management are
Henry Gantt, called the father of planning and
control techniques[9], who is famous for his use of
the Gantt chart as a project management tool; and
Henri Fayol for his creation of the 5 management
functions which form the foundation of the body of
knowledge associated with project and program
management.[10] Both Gantt and Fayol were students
of Frederick Winslow Taylor's theories of
scientific management. His work is the forerunner to
modern project management tools including
work breakdown structure (WBS) and 4/17/11
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resource allocation.

19.  The 1950s marked the beginning of the modern Project
Management era. Project management became recognized
as a distinct discipline arising from the management
discipline.[11] In the United States, prior to the 1950s,
projects were managed on an ad hoc basis using mostly
Gantt Charts, and informal techniques and tools. At that
time, two mathematical project-scheduling models were
developed. The "Critical Path Method" (CPM) was
developed as a joint venture between DuPont Corporation
and Remington Rand Corporation for managing plant
maintenance projects. And the "
Program Evaluation and Review Technique" or PERT, was
developed by Booz-Allen & Hamilton as part of the
United States Navy's (in conjunction with the
Lockheed Corporation) Polaris missile submarine
program;[12] These mathematical techniques quickly
spread into many private enterprises.

20.  At the same time, as project-scheduling models were
being developed, technology for project cost
estimating, cost management, and engineering
economics was evolving, with pioneering work by
Hans Lang and others. In 1956, the American
Association of Cost Engineers (now
AACE International; the Association for the
Advancement of Cost Engineering) was formed by
early practitioners of project management and the
associated specialties of planning and scheduling,
cost estimating, and cost/schedule control (project
control). AACE continued its pioneering work and
in 2006 released the first integrated process for
portfolio, program and project management (
Total Cost Management Framework).
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21.  The International Project Management Association
(IPMA) was founded in Europe in 1967,[13] as a
federation of several national project management
associations. IPMA maintains its federal structure
today and now includes member associations on
every continent except Antarctica. IPMA offers a Four
Level Certification program based on the IPMA
Competence Baseline (ICB).[14] The ICB covers
technical competences, contextual competences, and
behavioral competences.
 In 1969, the Project Management Institute (PMI) was
formed in the USA.[15] PMI publishes
A Guide to the Project Management Body of
Knowledge (PMBOK Guide), which describes project
management practices that are common to "most
projects, most of the time."

22. Framework / approach
Lifecycle
Organization Structure
Leadership Styles
Team formation
Planning
Scheduling
Execution
Monitoring & Control
Closure

23.  PMI / PMBoK
 PRINCE2
 CMMI
 Critical Chain Project Management
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25.  PRINCE2 is a structured method for effective
project management. It is a "de facto" standard
used extensively within UK government and
within both UK and international industry. It is a
public domain method offering best practice
guidance on project management.
 PRINCE2 adopts three principles of good project
management
 A project is a finite process, with a start date and an end
date
 Projects must be controlled to be successful
 All parties must be clear about
o Why the project is needed
o What is to be achieved
o How the outcome will be achieved
o What their responsibilities are

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27.  “A management environment that is created for the
purpose of delivering one or more business products
according to a specified Business Case”
 “A temporary organisation that is needed to produce a
unique and pre-determined outcome or result at a pre-
specified time using predetermined resources”
 A project has a number of characteristics:
 Finite and defined lifespan - the project is covered by a plan
showing the date when it is expected to start and the date when it
is expected to finish;
 Defined and measurable business products - a set of pre-defined
products which must be delivered to the Customer;
 Corresponding set of activities - A set of planned activities which
will deliver the products, including management and technical
activities;
 Defined amount of resources - an agreed amount of resource
which can be used to develop the products;
 Organization structure - a defined hierarchy and reporting
structure set up specifically for the project.

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29. Yahoo! Presentation, Confidential 29 4/17/11