Download - Project Management Introduction
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Copyright 2009 John Wiley & Sons, Inc.
Chapter 1
Projects in Contemporary Organizations
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Introduction
Much of project management developed by the military
– Navy’s Polaris program– NASA’s space program– Strategic defense initiative
Project management has found wide acceptance in industry
It has many applications outside of construction– Managing legal cases– Managing new product releases
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Introduction Continued
Main forces in driving the acceptance of project and other forms of management:
1. The exponential growth of human knowledge2. The growing demand for a broad range of
complex goods and services3. Increased worldwide competition
All of these contribute to the need for organizations to do more and to do it faster
Project management is one way to do more faster
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Projects Tend to be Large
Projects tend to be large– The Channel Tunnel, or Chunnel– Denver International Airport– Panama Canal expansion project– Three Gorges Dam, China
Projects are getting larger over time– Flying: balloons planes jets rockets
reusable rockets
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Main Goals of Project Management
1. Time2. Cost3. Performance
Time, cost, and performance are all related on a project
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Direct Project Goals: Performance, Cost, Time
Figure 1-1
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Project Management Institute (PMI)
The Project Management Institute is the major project management organization
Founded in 1969 Grew from 7,500 members in 1990 to over
260,000 in 2007 The Project Management Journal and PM
Network are the leading project management journals
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Project Manager
Project manager is the key individual on a project
Project manager is like a mini-CEOWhile project manager always has
responsibility, may not have necessary authority
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The Definition of a “Project”
A ‘Project’ is a temporary endeavour, having a defined beginning and end (usually constrained by date, but can be by funding or deliverables).
E.g.- hospital, freeways, new website, movie, insurance policy etc.
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Major Characteristics of a Project
Importance Performance Life cycle with a finite due date Interdependencies Uniqueness Resources Conflict
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Why Project Management?
The main purpose for initiating a project is to accomplish some goal
Project management increases the likelihood of accomplishing that goal
Project management gives us someone (the project manager) to spearhead the project and to hold accountable for its completion
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Negative Side to Project Management
Greater organizational complexityHigher probability organizational policy
will be violatedSays managers cannot accomplish the
desired outcomeConflict
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The Project Life Cycle
Figure 1-3
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Time Distribution of Project Effort
Figure 1-4
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Another Possible Project Life Cycle
Figure 1-5
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Risk During at the Start of the Life Cycle
Figure 1-6
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Risk During the Life Cycle
Figure 1-7
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The Structure of this Course
Follows the project life cycleSome topics stand-aloneOther topics incorporated throughoutExercisesCase-studiesTutorials
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Part I: Project Initiation
1. Projects in Contemporary Organizations
2. Strategic Management and Project Selection
3. The Project Manager
4. Negotiation and the Management of Conflict
5. The Project in the Organizational Structure
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Part II: Project Planning
6. Project Activity Planning
7. Budgeting and Cost Estimation
8. Scheduling
9. Resource Allocation
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Part III: Project Execution
10. Monitoring and Information Systems
11. Project Control
12. Project Auditing
13. Project Termination