PROJECT MANAGEMENT
KUK4412
OVERVIEW &
INTRODUCTION TO
PROJECT
MANAGEMENT
TOPIC OUTLINE
1. Overview of project management
2. What is a project?
3. What is project management?
4. Project life cycle
5. Triple constraints
2
LESSON OUTCOMES
LO1
Describe what project and project management is
LO2
Identify the different stages of product life cycle
LO3
Recognise means of balancing the product constraints
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OVERVIEW OF PROJECT MANAGEMENT
o Organizations with worldwide impact on the practice of project management:
1. Project Management Institute (PMI) - United States
2. International Project Management Association (IPMA) – Switzerland
Project Management Institute (PMI)
▪ Founded in 1969.
▪ Non-profit PM professional association.
▪ Most widely recognized organization in promoting PM best practices.
▪ Premise - tools and techniques of PM are common among the widespread application of projects from the
software to the construction industry.
▪ Fist offering the Project Management Professional (PMP) certification exam in 1984.
▪ PM discipline has evolved into a working body of knowledge (PMBOK).
▪ A Guide to the Project Management Body of Knowledge (PMBOK Guide) introduced in 1987.
▪ To provide framework for managing project and keep PM terms and concepts clear and consistent.
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REASONS FOR PROJECT PROFESSIONALS JOINING PMI
1. Download the PMBOK® Guide for free
2. Save money on globally recognized certifications and more
3. Master new skills through free webinars and events
4. Stay ahead of deadlines using 1,000+ free tools and templates
5. Join PM community to make local and global connections
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10 PMBOK KNOWLEDGE AREAS
▪ Fundamental knowledge needed for managing a project are categorized into 10 knowledge areas:
1. Project Integration Management
2. Project Scope Management
3. Project Schedule Management
4. Project Cost Management
5. Project Quality Management
6. Project Resource Management
7. Project Communications Management
8. Project Risk Management
9. Project Procurement Management
10.Project Stakeholder Management
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WHAT IS A PROJECT?
Project =
➢ Attempt / effort to accomplish a specific objective through
a unique set of interrelated tasks & the effective utilization
of resources.
Project Defined
➢ A complex, non-routine, one-time effort limited by time,
budget, resources, and performance specifications
designed to meet customer needs.
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Characteristics of A Project
•
A project is a temporary effort, which has a defined:
 life span/time - start and end, task durations, dependencies, etc
 money - costs, contingencies and profit
 resources - staff, equipment, material
 scope/performance specifications - size, goals, requirements
•
Has an established objective.
•
Requires across-the-organizational and stakeholders participation.
▪ sponsors and funding body, customer and suppliers, HSE/environmental agency
•
Involves doing something never been done before.
•
Single unit and many related activities
•
Difficult production planning and inventory control
•
General purpose equipment and require high labour skills
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EXAMPLE OF PROJECTS
Developing
& introducing
a new
product
Hosting a
conference
Designing
and
implementing
a computer
system
Designing &
producing a
brochure
Building a
shopping
mall
Hosting a
dinner for 20
relatives
Organizing
a community
festival
Apple’s new iPhone hits the market
Hospital restructuring and
Upgrading information system
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COMPARISON OF ROUTINE WORK WITH PROJECTS
Routine, Repetitive Work
Taking class notes
Daily entering sales receipts into
the accounting ledger
Responding to a supply-chain
request
Routine manufacture of an Apple
iPod
Attaching tags on a manufactured
product
Projects
Writing a term paper
Setting up a sales kiosk for a professional
accounting meeting
Developing a supply-chain information system
Designing an iPod that is approximately 2 X 4
inches, interfaces with PC, and stores 10,000
songs
Wire-tag projects for Wal-Mart
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CRITERIA TO DETERMINE IF IT IS A PROJECT
Criteria
Projects are unique.
Projects are temporary in nature.
Assessment
Is it unique?
Does the product have a limited timeframe?
Is there a way to determine when the project is completed?
Projects are completed when the
project goals are achieved.
Is there a way to determine stakeholder satisfaction?
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PROJECTS VERSUS PROGRAMS VERSUS PORTFOLIOS
Program Defined
 A series of coordinated, related, multiple projects that continue over an extended time
and are intended to achieve a goal.
 A project may or may not be part of a program but a program will always have
projects.
 Centralized coordinated management of a program to achieve the program’s strategic
objective and benefits.
 Focuses on the project interdependencies and helps to determine the optimal approach
for managing them.
 A higher level group of projects targeted at a common goal.
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Portfolio Defined
 Collection of projects or programs and other work that are grouped together to facilitate effective
management of that work to meet strategic business objective.
 Centralized management of one or more portfolios [identifying, prioritizing, authorizing, managing and
controlling projects, programs and other related work to achieve strategic business objectives].
 Enables wide planning and resource allocation -intense competition internally with regard to financing /
staffing projects.
 Balance risks across all projects.
 Improves communication and supports agreement on project goals.
 Consistent and align with organizational strategies.
 Example: Tanah Makmur Berhad
 Portfolios – plantation & property development.
 Programs: plantation – oil palm plantation, palm oil mill
property development – KotaSAS residential and commercial properties.
 Projects: oil palm plantation – 13 plantation estates
property development – homes, commercial complex, community centres etc.
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WHAT IS PROJECT MANAGEMENT ?
The art of directing and coordinating human and material resources throughout the life of a
project by using modern management techniques to achieve the pre-determined objectives of
scope, cost, time, quality and participant satisfaction.
1.
Project Management includes work processes of initiate, plan, execute, control and close
out
(Project Life Cycle)
2. The processes involved:
▪ Scope,
▪ Quality,
▪ Cost and
▪ Schedule
(Project Objectives)
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MANAGEMENT OF PROJECTS
The technical dimensions of the projects management process
includes:
1.
Planning - goal setting, defining the project, team
organization
2.
Scheduling - relates people, money, and supplies to specific
activities and activities to each other
3.
Controlling - monitors resources, costs, quality, and budgets;
revises plans and shifts resources to meet time and cost
demands
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CHALLENGE OF PROJECT MANAGEMENT
The Project Manager:
 Manages temporary, non-repetitive activities and frequently acts
independently of the formal organization.
o Is linked directly to the customer interface.
o Provides direction, coordination, and integration to the project team.
o Is responsible for performance and success of the project.
 Must induce the right people at the right time to address the right issues
and make the right decisions.
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IMPORTANCE OF PROJECT MANAGEMENT
Factors leading to the increased use of
project management:
o Compression of product life cycle
o Global competition
o Increased customer focus
o Knowledge explosion
o Corporate downsizing
o Small projects that represent big
problems
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PROJECT LIFE CYCLE
Initiating
Planning
Performing
Closing
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Project Life Cycle Effort
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Project Life Cycle Effort
Projects are
identified &
selected. They
are authorized
using Project
Charter.
CHAP 2, 3
Includes:
define project
scope,
identify
resources,
developing
budget &
schedule,
identify risk =
Baseline Plan.
Project plan is executed &
activities are carried out to
produce all the project
deliverables & project
objectives.
Project progress is monitored
& controlled.
CHAP 4, 5, 6, 7, 8
Evaluate
project,
document &
identify
lessons to
improve on
future
projects.
CHAP 8
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TRIPLE CONSTRAINTS
• Addressing the various needs, concerns
and expectations of the stakeholders as
the project is being planned and carried
out
• Balancing the competing project
constraints;
– Scope
- Costs/Budget
– Quality
- Resources
– Schedule - Risks
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PROJECT SCOPE – A SAMPLE
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BALANCING PROJECT CONSTRAINTS
The accomplishment of project objective are constrained by many factors:
Scope
Quality
Schedule
Budget
Resources
Risks
Customer Satisfaction
Successfully completing the
project requires finishing the
scope of work within budget,
within time frame, while
managing resources utilization,
meeting quality specifications
and managing risk – while
assuring customer satisfaction.
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BALANCING PROJECT CONSTRAINTS
1. Project Scope
 All the work that must be done to produce all project
deliverables, satisfy the customer that the deliverables
meet the requirements and accomplish project objective.
2. Quality
 The project work scope must be accomplished in a quality
manner and meet specifications.
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BALANCING PROJECT CONSTRAINTS
3. Schedule
 The timetable that specifies when each task or
activity should start & finish in order to meet the
project completion date.
4. Budget
 The amount the sponsor / customer has agreed to
pay for acceptable project deliverables.
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BALANCING PROJECT CONSTRAINTS
5. Resources
 Are needed to perform the project tasks &
accomplish the project objective.
 Resources – People, materials, equipment,
facilities and many more.
6. Risk
 There could be risks that adversely affect
accomplishing the project objective.
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BALANCING PROJECT CONSTRAINTS
7. Customer Satisfaction
 It’s the responsibility of the project manager to
ensure the customer is satisfied. Requires ongoing
communication with customer to keep them
informed and determine whether expectations
have changed.
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Q: How to ensure Project
Objectives will be achieved?
Factors Constraining Project Success
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Q: How to ensure Project
Objectives will be achieved?
A: Develop a plan before starting the
project work
Factors Constraining Project Success
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BALANCING PROJECT CONSTRAINTS
Unforeseen disruption on project objective with respect to
scope, budget, or schedule:
The cost of some of the materials
is more than originally estimated.
Weather
causes a delay.
Additional redesign and modifications are
required to meet performance specifications.
Delivery of a critical component
is delayed several months.
A key project team member with unique
technical knowledge decides to retire.
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Q: How to ensure Project
Objectives will be achieved?
A: Good planning & communication can
prevent problems from occurring /
minimize their impact if they do occur.
Factors Constraining Project Success
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Q&A
THANK YOU
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