Chapter 2
Project Management Cycle
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Project life cycle
• Phases of a project
• Phase exits or stage gates
• Stakeholders
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Project management is about acquiring or achieving the project goal
• Most projects need to be broken down into a logical sequence of ‘phases’, known as the project life cycle .
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Organisations normally break a project down into several project phases for better management control
• Collectively, the project phases are known as the project life cycle
• Each project phase is marked by the completion of one or more deliverables.
How do you eat an elephant?
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Each phase ends with a review of the deliverables and performance in order to detect and correct errors and to decide if the project should continue into the next phase.
• The phase end reviews are often called phase exits or stage gates .
Dr. Jana Jagodick Polytechnic of Namibia, 2012
4 Phases of a Project
• project initiation
• project planning
• project execution and control
• project closure
Collectively these four phases represent the
‘ project life cycle .’
Dr. Jana Jagodick Polytechnic of Namibia, 2012
4 Phases of a Project
Project
Initiation
Project
Planning
Scope identification
Team set up
Project definition
WBS
OBS
Scheduling
Project execution and control
Project closing
Network diagrams
Reporting
Project life cycle
Hand over
Commission
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Initiation Planning Execution and control Closing time
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Initiation Planning Execution and control Closing time
Dr. Jana Jagodick Polytechnic of Namibia, 2012
What does the chart tell you about typical v ideal project life cycle?
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Many projects don’t get adequate resources in the early stages
• Low resourcing in the planning stage results in delays in completing the project on time, to the right quality and within the budget
Initiation Planning Execution and control Closing
Dr. Jana Jagodick Polytechnic of Namibia, 2012 time
10% Initiation
20%
Initiation
Planning
25%
30%
Planning
60%
Implementation
5% Closing
Typical
40% Implementation
10% Closing
Successful projects
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Good or bad project?
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Planned -
• Actual -
-
-
1959 to 1963 (4 years)
$7 million
1959 to 1973 (14 years)
$100 million
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• PLC is a management tool to make it easier to manage the project sequence
• The choice of phases vary from industry to industry and the PLC will vary to suit the needs of the participants
• Different project managers choose different
PLC’s, depending on the nature of the task i.e.
Engineering, software development etc.
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• To maintain an overview of the project
• To help identify tasks
• Break the project into manageable parts
• Integrate activities (bite sized chunks)
• To help with the timing of decisions (go/no go)
• To guide the level of contingency needed
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Common characteristics of PLCs
• Cost and staff levels low in early phases of the project
• Probability of failure, risk and uncertainty are highest in the early phases
• Ability of stakeholders to influence the outcome of the project are highest at the beginning of the project
• Although many projects have similar phase names, with similar work requirements, few are identical
• Sub-projects within a project also have distinct project life cycles
Dr. Jana Jagodick Polytechnic of Namibia, 2012
•
• Project stakeholders are individuals and/ or organisations who are actively involved in the project and whose interests are directly affected by the outcome of the project
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Key Stakeholders
• the project advocate or champion (promotes the idea)
• the project sponsor (for funding)
• the project manager (for the execution)
• customer or client (the user)
• the performing organisation (the team)
• Other categories of stakeholders can be identified such as internal and external clients, team members & families, suppliers, contractors, Government etc.
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Managing stakeholders expectations can be difficult because of the sometimes widely different objectives of the various groups of stakeholders
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Your understanding of the project needs to match stakeholders’
Dr. Jana Jagodick Polytechnic understanding. Work to make sure it is what you end up with!
of Namibia, 2012
Stakeholders Identification
• Let’s take you completing this course as a project (some people might argue that it isn’t a project – but it is – it has a start and an end date, a clear goal and some phases to it
• Who are all the stakeholders?
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Stakeholder Cycle
Implement
Stakeholder
Management
Strategy
Predict
Stakeholder
Behavior
Identify
Stakeholders
Gather
Information on Stakeholders
Project
Management
Team
Identify
Stakeholders'
Mission
Identify
Stakeholder
Strategy
Determine
Stakeholder
Strengths and
Weaknesses
Dr. Jana Jagodick Polytechnic of Namibia, 2012
More information
• Chapter 2 – Project Management for Success,
Knipe et al
Dr. Jana Jagodick Polytechnic of Namibia, 2012
• Think about a project you have undertaken
– with your studies, at home, at work or anywhere else
• Identify the phases of the project - did you follow each of the 4 phases?
• Identify the stakeholders for that project
Dr. Jana Jagodick Polytechnic of Namibia, 2012
Common characteristics of PLCs
• Cost and staff levels low in early phases of the project
• Probability of failure, risk and uncertainty are highest in the early phases
• Ability of stakeholders to influence the outcome of the project are highest at the beginning of the project
• Although many projects have similar phase names, with similar work requirements, few are identical
• Sub-projects within a project also have distinct project life cycles
Dr. Jana Jagodick Polytechnic of Namibia, 2012
1. What is meant by the term ‘deliverable’?
2. What is meant by the term ‘stakeholder’?
3. List the 4 different phases of a project life cycle
4. List at least 3 benefits from using project life cycle to manage projects
Dr. Jana Jagodick Polytechnic of Namibia, 2012
1. What is meant by the term ‘deliverable’?
• an output from a stage of the project
2. What is meant by the term ‘stakeholder’?
• individuals and/ or organisations who are actively involved in the project and whose interests are directly affected by the outcome of the project
3. What is meant by the term ‘contingency’?
• The buffer or safety margin built into a project
Dr. Jana Jagodick Polytechnic of Namibia, 2012
3. List the 4 different phases of a project life cycle
– project initiation
– project planning
– project execution and control
– project closure
4. List at least 3 benefits from using project life cycle to manage projects
– To maintain an overview of the project
– To help identify tasks
– Break the project into manageable parts
– Integrate activities (bite sized chunks)
– To help with the timing of decisions (go/no go)
– To guide the level of contingency needed
Dr. Jana Jagodick Polytechnic of Namibia, 2012