Fundamentals of Project Management

“1 hour spent on planning = 3 hours saved on execution”

Dima Semchuk

Agenda

1. Overview2. Project failure stats3. PM role4. What is project5. Project phases6. Initiation7. Planning8. Scheduling9. Control

“General Provision”

• “FOPM” henceforth – the book

• Discuss all stuff in terms of outsourcing

• And in terms of Eleks

• Speak about 100-times familiar things

• May take more than 1 session

• WBS and estimation topics are excluded

What and Why

Project Management VS General Management

FOPM:

Project – more schedule intensive, and people in project teams don’t report directly to PM, but to general managers.

“Problem scheduled for solution” J.M. Juran

Project failure statistic (~2001)

Failed / Canceled

Goal / Target Changed

Originally Done

Share 1/3 50% 17%

Lost money $140 billion 63.6 billion 0

USA spent about 140 billion dollars on cancelled projects. Statistically 30% of requirements is actually new work. 2001 year software development magazine.

220 billion / 424 billion = ~52% of effective cost

204 billion dollars was wasted or unexpected costs

Because of this

Seat-of-the-pants approach

Poor Planning

So Who is PM?

Do and Apply:

• Knowledge

• Skills

• Tools

• Techniques

To achieve requirements and goals

• Leadership

• Facilitation

• Emotional Intelligence

• Team Building

• Conflict resolution

• Self Motivation

What PM does?

Common (maybe useless) definition – gets work done by other people.FOPM:• Understands mission and vision of the

organization• Sees how project meshes with organization’s

mission• Ensures that the interests of the organization are

met• Meets project constraints• Deals with people

People management …

On top – it’s about authority

“Moment of truth”

Who is Project?

Temporary endeavor undertaken to produce a unique product, service, or result (PMBOK 3)

FOPM constraints:

Scope

Wrong Phases

Right Phases

Wild Enthusiasm

• Problem – gap between where you are and where you want to be.

• Vision – how the problem should be solved. (Musts, Wants, Nice to have)

• Mission – what are we going to do and for whom (Find solution that meets all musts and as many other as possible)

• SMART Goals development

Initiation/Definition Phase

Planning

• “Scheduling Creativity”

• Strategy

• Tactics

• Logistics

Planning (seriously)

Input:• Problem, Mission, Vision, Goals• Requirements (ALL types)• DOD• End-item spec • WBS• Schedules• Resources• Control system• Major contributors (Linear

responsibility chart)• Risk areas with contingencies• Change management

Output:

• Signed-off Project plan

Scheduling (1960’s – Present)

Tips:• 2 ways to schedule• Firstly - schedule what is logistically possible• Person-related estimates

Tools:• Bar chart• Critical path method• Arrow diagram• PERT

Control

• Macro and micro levels

• Building control system related to mission.

• System should be able to give data for review (current or overall)