Project management is explained here in simple ways. This will surely help you to give a presentation on this particular topics like What is project? , Characteristics of Projects, What is Project Management? , History of Project Management, Advantages of Using Formal Project Management, The Triple Constraint concept, Project Stakeholders, Project Management Knowledge Areas,Project Management Tools and Techniques.
Introduction to Project Management
What Is a Project?’
A project is “a temporary endeavor undertaken to accomplish a unique product or service”
Attributes of projects
unique purpose
temporary
require resources, often from various areas
should have a primary sponsor and/or customer
involve uncertainty
Characteristics of Projects
Single unit
Relatively low frequency
Defined starting points and ending points
Defined outcomes / goals
Complex interrelated tasks, often transcending functional boundaries
Require special management tools
What is a project?
What is Project Management?
Project management is “the application of knowledge, skills, tools, and techniques to project activities in order to meet project requirements” (PMI)
History of Project Management
Some people argue that building the Egyptian pyramids was a project, as was building the Great Wall of China
Most people consider the Manhattan Project to be the first project to use “modern” project management
Project Management Statistics
The U.S. spends $2.3 trillion on projects every year, an amount equal to one-quarter of the nation’s gross domestic product.
The world as a whole spends nearly $10 trillion of its $40.7 trillion gross product on projects of all kinds.
More than sixteen million people regard project management as their profession; on average, a project manager earns more than $82,000 per year.
Advantages of Using Formal Project Management
- Better control of financial, physical, and human resources
- Improved customer relations
- Shorter development times
- Lower costs
- Higher quality and increased reliability
- Higher profit margins
- Improved productivity
- Better internal coordination
- Higher worker morale
The Triple Constraint
Every project is constrained in different ways by its
Scope goals: What is the project trying to accomplish?
Time goals: How long should it take to complete?
Cost goals: What should it cost?
It is the project manager’s duty to balance these three often competing goals
The Triple Constraint of Project Management
Reasons for performance Improvements
“The reasons for the increase in successful projects vary. First, the average cost of a project has been more than cut in half. Better tools have been created to monitor and control progress and better skilled project managers with better management processes are being used. The fact that there are processes is significant in itself.“*
Project Stakeholders
Stakeholders are the people involved in or affected by project activities
Stakeholders include
the project sponsor and project team
support staff
customers
users
suppliers
opponents to the project
Project Management Knowledge Areas
Knowledge areas describe the key competencies that project managers must develop
4 core knowledge areas lead to specific project objectives (scope, time, cost, and quality)
4 facilitating knowledge areas are the means through which the project objectives are achieved (human resources, communication, risk, and procurement management)
1 knowledge area (project integration management) affects and is affected by all of the other knowledge areas
Project Management Tools and Techniques
Project management tools and techniques assist project managers and their teams in various aspects of project management
Some specific ones include
Project Charter, scope statement, and WBS (scope)
Gantt charts, network diagrams, critical path analysis, critical chain scheduling (time)
Cost estimates and earned value management (cost)
How Project Management Relates to Other Disciplines
Much of the knowledge needed to manage projects is unique to the discipline of project management
Project mangers must also have knowledge and experience in
general management
the application area of the project
The Project Management Profession
The job of IT Project Manager is in the list of the top ten most in demand IT skills
Professional societies like the Project Management Institute (PMI) have grown tremendously
Project management research and certification programs continue to grow
Project Management Certification
PMI provides certification as a Project Management Professional (PMP)
A PMP has documented sufficient project experience, agreed to follow a code of ethics, and passed the PMP exam
The number of people earning PMP certification is increasing quickly
PMI and other organizations are offering new certification programs
Ethics in Project Management
Ethics is an important part of all professions
Project managers often face ethical dilemmas
In order to earn PMP certification, applicants must agree to the PMP code of professional conduct
Project Management Applications
Project management applies to work as well as personal projects
Project management applies to many different disciplines (IT, construction, finance, sports, event planning, etc.)
Project management skills can help in everyday life
Project Management Framework
Project life cycle
Projects have beginnings, middle periods and endings.
Where you are in the project life cycle determines what you should be doing and what alternatives are available
Iron law of a life cycle: problems downstream are symptoms of neglect upstream.
Project life cycle
Purpose of project life cycle:
tells us what needs to be done when – upstream problems can only be solved upstream
overcome iron law of a life cycle
Project life cycle phases:
concept
definition / design
execution / implementation
close-out
Project life cycle: concept phase
Clarify customer requirements
Identify all stakeholders
Finalize project objectives
Define key performance indicators
Generate and evaluate alternative solutions
Determine best solution & evaluate risk
Detailed plan for definition phase
Provisional base line
Life cycle: definition phase
Develop work breakdown structure (WBS)
Which contractor(s)?
Obtain cost and schedule estimates (estimating)
Develop detailed plan for implementation phase & preliminary plan for rest of life
Develop preliminary plan for rest of life
Prepare provisional baseline: decision-making milestone meeting
Life cycle: Implementation phase
Contract out or in – each task of implementation phase WBS
Monitor and control project performance
Launch corrective action whenever needed
Life cycle: close-out phase
Test all deliverables
Transfer to owner
Close project accounts
Reassign project team
Conduct project post-mortem
Alternative life cycle phase names: feasibility, preliminary design, detailed design, construction, commissioning
Decision-making milestones
Authenticate – accepts the recommendations of the previous project phase
Authorise – Customer permits the next phase to start
Project life cycle
Base lines
Formal change control
Performance measurement
Project life cycle = {activity phases, decision-making milestones, baselines}
Differentiate between phase & process
Project risk = certainty of project outcome
Project risk decreases and customer investment increases as the project progress
Terminology
Milestone
Specific major events to be completed at certain times in the project
Work breakdown structure (WBS)
Method by which a project is divided into tasks and subtasks
Gantt chart
Graphical technique that shows the amount of time required for each activity and the sequence in which activities are to be performed
Project life cycle
Project Formulation
Points to be considered:
The type and level of industrial activity
To match his financial resources with the
required amount
Prepare a nice project report
Broad Heads of Project Report
General Information
Project Description
Market potential
Capital Costs and Sources of Finance
Assessment of Working Capital
Other Financial Aspects
Economic and Social Vairables
General Information
Name and address of the entrepreneur
Qualification, Experience and other capabilities of entrepreneur
Reference of industry analysis
Constitution and organization structure of
enterprise
Registration details with Directorate of
Industries/ Registrar of FirmsUtility of the products
Project Description
Location
Raw Material
Skilled Labour
Power
Fuel
Water
Waste disposal
Communication systems
Project Description (cont.)
Transport
Other common facilities
List of Machinery
Capacity of the Plant
Technology
Manufacturing Process
Balancing of Plant
Quality Control
Research & Development
Market Potential
Total Demand & Supply
Estimation of Cost & Price
Marketing Strategy
After sales service
Seasonality
Transportation of Goods
Capital costs and Source of Finance
Capital Costs
Land and Building
Plant & Machinery
Other Miscellaneous Assets
Preliminary expenses
Contingency expenses
Margin on Working Capital
Source of Finance
Capital
Subsidy/ Incentives
Unsecured Loan
Loan from friends and relatives
Soft Loan
Term Loan
Assessment of Working Capital Requirement
Planning for working capital requirement
Estimate of working capital requirement
Other Financial Aspects
Projected Profit & Loss Account
Projected Balance Sheet
Projected Cash Flow Statement Break-Even Analysis Profitability Ratio Return on Investment Debt:Equity Ratio Debt Service Coverage Ratio
Economic and Social Variables
Promoting Employment
Import Substitution
Promoting ancillaries
Development of the area
Financial Appraisal
Capital Cost of Project
Source of Finance
Financial Projections
Ratio Analysis
Break-Even Point
Discounted Cash Flow
Technical Appraisal
Manufacturing Process – Technology
Technical Arrangements
Size of the Plant
Product Mix
Selection of Plant & Machinery
Procurement of Plant & Machinery
Location of the Project
Schedule of Project Implementation
Commercial Appraisal – Marketing
Demand Techniques of Forecasting
Supply – Depth of Competition
Pricing Policy
Life cycle of the product
Brand Name for the Product
Packing & Transport
Distribution Channels
Sales Promotion
Sources of Market information
Publications Useful to study various aspects of marketing
Management Appraisal
Qualities of an Entrepreneur
project management power point presentation ppt pdf notes
Various Forms of Organisation
Organisational Set-Up
Management Problems
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