project management stakeholder analysis n. agilan
TRANSCRIPT
Project Management
Stakeholder Analysis
N. Agilan
Content of the presentation
• Project, Project Management, Significance
• Project life cycle
• Project constraints
• Feasibility analysis
• Stakeholders and Stakeholder Management
• Stakeholder Mapping
Road Network Improvement Projects – Sri Lanka
Before Construction After Completion
Katunayake Expressway Project
Mattala Rajapakse International Airport Project
What is a Project?
‘ A project is a temporary endeavour undertaken to
create a unique product, service, or result.’
Project Management Institute (2008)
‘ A project is a complex, nonroutine, one-time effort
limited by time, budget, resources, and performance
specifications designed to meet customer needs’.
Gray et al (2010: 3)
Characteristics of a project
• An established objective
• A defined life span with a beginning and an end
• The involvement of several departments and
professionals
• Typically, doing something that has never been
done before
• Specific time, cost, and performance requirements
Gray et al (2010: 3)
Project Vs Routine Activities
How do you differentiate a project from a routine
activity? Explain using appropriate examples.
• Taking class notes and Writing an end semester
examination paper
• Entering sales receipts into the accounting ledger
and Setting up an accounting information system
Project Management
‘A systematic process used to initiate, plan,
execute, control, and close a project to meet
defined objectives.’
‘ A Science and an Art’
Mulcahy (2006: 9)
Importance of Project Management
• Compression of product life cycle (high-tech product
development)
• Global competition (Demand for cheaper and better
products)
• Knowledge explosion
• Increased customer focus (Development of
customized products and services)
Impact of variables on project
Project Time
Deg
ree
Low
High
Cost of Changes
Stakeholder influence, Risk, Uncertainty
Pro
ject
Man
agem
ent
Inst
itute
(20
08)
Project Life Cycle - Stages
1. Project Initiation
2. Project Planning
3. Project Execution
4. Project Monitoring & Controlling
5. Project Closing
Initiation Phase
• Select a project manager
• Collect procedures and historical information
• Identify stakeholders
• Document business need
• Determine project objectives
• Develop project charter
• Develop preliminary project scope statement
Planning Phase
• Create project scope statement
• Determine Team
• Create Work Breakdown Structure (WBS)
• Create activity list
• Create Network diagram
• Estimate resource requirements, time, cost
• Risk identification
• Determine performance measurement baselines
Executing Phase
• Acquire final team
• Execute the PM plan
• Send and receive information
• Continuous improvement
• Follow processes
• Team building
• Hold progress meetings
• Give recognition and rewards
Monitoring and Controlling phase
• Measure against the performance measurement
baselines
• Measure according to the management plans
• Determine variances
• Scope verification
• Recommend changes
• Risk audits
• Measure team member performance
Closing Phase
• Develop closure procedures
• Complete contract closure
• Confirm work is done to requirements
• Final performance reporting
• Update lessons learned (knowledge base)
• Hand off completed product
Triple Constraint
Cost
ScopeQ
uality
Customer Satisfaction
Risk
Tim
e
Adap
ted
from
: Mul
cahy
(200
6: 1
5)
Triple Constraint
• Scope – Scope describes what the organization
expects to deliver to the customer/client when
the project is complete.
• Risk – Events that can affect the project for better
or worse (Opportunities or Threats)
Importance of Feasibility Analysis
Financial Feasibility (Cost- Benefit
Analysis)Ecological Feasibility
Social Feasibility Technical Feasibility
Stakeholders
Fre
eman
(19
84)
Stakeholders
‘Stakeholders are persons or organizations who
are actively involved in the project or whose
interests may be positively or negatively affected
by the performance or completion of the project.’
Project Management Institute (2008)
Discussion
‘Identifying stakeholders and understanding their
relative degree of influence on a project is critical
to minimize adverse impact on the project
objectives.’ Discuss
Customers and Users
• Customers – Customers refer to the entity
acquiring the project’s product
• Users – Users refer to those who will directly
utilize the project’s product.
• Customers/users may be internal and/or external
to the performing organization.
Project Management Institute (2008)
Project Sponsor
‘A sponsor is the person or group that provides
the financial resources, in cash or in kind, for the
project. When the project is first conceived, the
sponsor champions the project’.
Project Management Institute (2008)
Stakeholder Theory
• Wealth is created, captured and distributed by a
variety of stakeholders.
• Managing the expectations and needs of diverse
stakeholders is of paramount importance
• Organizations should not try to fulfill only the
expectations of ‘shareholders’ alone.
Stakeholder Management
Identify All Possible Stakeholders
Prioritize Stakeholders (Stakeholder Matrix)
Develop Stakeholder Engagement Strategy
Bo
urn
e a
nd
Wal
ker
(200
6)
Stakeholder Analysis: Stakeholder Mapping
A B
CD
Minimal Effort Keep Informed
Key PlayersKeep Satisfied
Level of InterestLow High
Po
we
r
Low
High
Me
nd
elo
w (
199
1)
Stakeholder Management using the Stakeholder Mapping Process
Step 01: Identify all possible stakeholders
Step 02: Locate each stakeholder in the appropriate
quadrant (The current situation)
Step 03: Rearrange the stakeholders in the matrix the
way organization prefers them to be and develop
strategies to address each (The preferred situation).
Summary
• Project and its characteristics
• Projects Vs routine activities
• Project Management & Cycle
• Stakeholders and Stakeholder Management