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Modern Project Management
What Is a Project? ,[object Object],[object Object]
Major Characteristics of a Project? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Major Characteristics of a Project? ,[object Object],[object Object],[object Object],[object Object]
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
Project Management in Action-Others ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Life Cycle FIGURE 1.2
The Challenge of Project Management: The Project Manager ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Importance/Age of Project Management ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Growth in PMP Certification
Integrated Management of Projects FIGURE 1.3
Project Management Process   The Technical and Socio-cultural Dimensions FIGURE 1.4
PM Today: Integrated Project Management Systems ,[object Object],[object Object],[object Object],[object Object],[object Object]
Evolution of Project Driven Organization ,[object Object],[object Object],[object Object],[object Object],[object Object]
Organization Strategy and Project Selection “If you don’t know where you are going, any road will take you there”…Confucius
Integrated Management of Projects FIGURE 1.3
Why Project Managers Need to Understand the Strategic Management Process? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Strategic Management Process FIGURE 2. 1
The Strategic Management Process:  An Overview ,[object Object],[object Object],[object Object],[object Object],[object Object]
Strategic Management Process (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object]
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.
Checklist Selection Model ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Screening Matrix FIGURE 2.3
Applying a Selection Model ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Proposals ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Major Project Proposal FIGURE 2.4A
Risk  Analysis FIGURE 2.4B
Project Screening Process FIGURE 2.5
Priority  Analysis FIGURE 2.6
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 ”
Project Management Structures ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Management Structures ,[object Object],[object Object],[object Object],[object Object]
Functional Organizations FIGURE 3.1
Functional Organization of Projects ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Management Structures (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Dedicated Project Team FIGURE 3.2
Project Organization: Dedicated Team ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Organizational Structure FIGURE 3.3
Project Management Structures (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Matrix Organization Structure FIGURE 3.4
Different Matrix Forms ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Organization: Matrix Form ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Choosing the Appropriate Project Management Structure ,[object Object],[object Object],[object Object],[object Object]
Choosing the Appropriate Project Management Structure (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Organizational Culture ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Key Dimensions Defining an Organization’s Culture FIGURE 3.6
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…….”
Defining the Project ,[object Object],[object Object],[object Object],[object Object],[object Object]
Step 1: Defining the Project Scope ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Scope Checklist ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Scope: Terms and Definitions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Scope: Example ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Project Scope: Example ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Step 2: Establishing Project Priorities ,[object Object],[object Object],[object Object],[object Object],[object Object]
Project Management Trade-offs FIGURE 4.1
Step 2: Establishing Project Priorities ,[object Object],[object Object],[object Object],[object Object]
Step 3: Creating the Work  Breakdown Structure ,[object Object],[object Object],[object Object],[object Object]
Hierarchical Breakdown of the WBS FIGURE 4.3
Work Breakdown Structure FIGURE 4.4
Work Packages ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Step 4: Integrating the WBS  with the Organization ,[object Object],[object Object],[object Object],[object Object],[object Object]
Step 5: Coding the WBS  for the Information System ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
WBS Coding
Estimating Project Time and Costs
Estimating Projects   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Factors Influencing the Quality of Estimates Quality of Estimates Project Duration People Project Structure and Organization Organization Culture Planning Horizon
Estimating Guidelines for Times,  Costs, and Resources ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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
Estimating Projects: Preferred Approach ,[object Object],[object Object],[object Object],[object Object],[object Object]
Methods for Estimating Project  Times and Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],Project Estimate Times Costs
Apportion Method of Allocating Project Costs Using the Work Breakdown Structure FIGURE 5.1
Simplified Basic Function Point Count Process for a Prospective Project or Deliverable TABLE 5.2
Example: Function Point Count Method TABLE 5.3
Methods for Estimating Project  Times and Costs (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Level of Detail ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Three Views of Cost FIGURE 5.6
Types of Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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
Refining Estimates ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Refining Estimates (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Creating a Database for Estimating FIGURE 5.7 Estimating Database Templates
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
Developing the Project Plan ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
From Work Package to Network FIGURE 6.1 WBS/Work Packages to Network
From Work Package to Network (cont’d) FIGURE 6.1 (cont’d) WBS/Work   Packages to Network (cont’d)
Constructing a Project Network ,[object Object],[object Object],[object Object],[object Object],A C B D
Constructing a Project Network (cont’d) ,[object Object],[object Object],[object Object],D (Assumes that minimum of A + B > minimum of C in length of times to complete activities.) C A B
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Constructing a Project Network (cont’d) B D A C
Basic Rules to Follow in Developing  Project Networks ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Activity-on-Node Fundamentals FIGURE 6.2
Activity-on-Node Fundamentals (cont’d) FIGURE 6.2 (cont’d)
Network Computation Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Activity-on-Node Network FIGURE 6.5
Activity-on-Node Network Forward Pass FIGURE 6.6
Activity-on-Node Network Backward Pass FIGURE 6.7
Determining Slack (or Float) ,[object Object],[object Object],[object Object],[object Object]
Activity-on-Node Network with Slack FIGURE 6.8
Activity-on-Arrow Network Building Blocks FIGURE A6.1
Activity-on-Arrow Network Fundamentals FIGURE A6.2
Activity-on-Arrow Network Fundamentals FIGURE A6.2 (cont’d)
Managing Risk
Risk Management Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Risk Event Graph FIGURE 7.1
Risk Management’s Benefits ,[object Object],[object Object],[object Object],[object Object],[object Object]
The Risk Management Process FIGURE 7.2
Managing Risk ,[object Object],[object Object],[object Object],[object Object],[object Object]
Step 1: Partial Risk Profile for  Product Development Project FIGURE 7.4
Step 1: Risk Breakdown Structure FIGURE 7.3
Step 2: Risk Assessment Form FIGURE 7.6
Impact Scales FIGURE 7.5
Risk Severity Matrix FIGURE 7.7
Managing Risk (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contingency Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Risk Response Matrix FIGURE 7.8
Risk and Contingency Planning ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Risk and Contingency Planning (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contingency Funding and Time Buffers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Contingency Fund Estimate (000s) TABLE 7.1
Managing Risk (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

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Project management - Indian Business Academy