mit bbm(ib)ipm-session 1.1n

Upload: yogesh-adhate

Post on 03-Apr-2018

222 views

Category:

Documents


0 download

TRANSCRIPT

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    1/36

    MIT,BBM(IB),Semester VI

    Session 1.1

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    2/36

    The word project was first used in or aroundthe sixteenth century and derives from the Latinprojicere (= throw forward).

    The Latinroot thus suggests movement, a

    trajectory, a certain relationship with space andtime.

    The implied process involves:

    a point of departure

    used as a base, from which

    one throws oneself forward

    towards a goal.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    3/36

    Historically, the word and concept were first usedby architects. In the fifteenth century, FilippoBrunelleschi made two innovations in thearchitectural practice of his time:

    Brunelleschi rationalized architecture and gave ita new temporal perspective an approach whichmade it possible to separate planning andperformance, project and implementation.

    His example suggests that we should rethink theterm project and see it as a concept whichserves to organize action

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    4/36

    envisaging, planning and defining a course of action onewishes to pursue to achieve a specific future situation;

    describing, at a specific time and in a specific situation,the processes of change one needs to initiate to create anew situation at a definite time in the future;

    a process which involves setting up a comprehensive

    scheme, which takes account of the various aspects of onesituation, for the purpose of arriving at another;

    a dream, a process, an instrument which one can use toproject oneself into the future, to set oneself goals andobjectives;

    drawing on the present to envisage the future (tomorrow).A destination worked out together.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    5/36

    The Oxford English Dictionary definesproject as An individual or collaborativeenterprise that is carefully planned anddesigned to achieve a particular aim: [e.g.] a

    research project /a nationwide project toencourageright to education.

    A Project is a temporary attempt or endeavormade to produce some kind of a tangible orintangible result (a unique product, service,benefit, competitive advantage, etc.).

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    6/36

    There are many written definitions of a project,however, there is a formal definition of a projectthe Project Management Body of Knowledge(PMBOK).

    defines a project as a temporary endeavorundertaken to create a unique product, service orresult. The temporary nature of projects indicatesa definite beginning and end. The end is reachedwhen the projects objectives have been achieved

    or when the project is terminated because itsobjectives will not or cannot be met, or when theneed for the project no longer exists.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    7/36

    The Chartered Management Institute define a projectas

    an activity that has a beginning and an end which iscarried out to achieve a particular purpose to a setquality within given time constraints and cost limits.

    Process in which all aspects of a proposed project areexplored to examine the relationshipbetweenactivities, events, durations, and costs. Areas ofuncertainty or conflict are identified, and possiblealternatives or trade-offs are developed to strike asatisfactory balance.

    . A project, according to PMI, is a temporaryendeavor undertaken to create a unique product orservice.

    http://www.businessdictionary.com/definition/process.htmlhttp://www.businessdictionary.com/definition/project.htmlhttp://www.businessdictionary.com/definition/process.htmlhttp://www.businessdictionary.com/definition/examine.htmlhttp://www.businessdictionary.com/definition/relationship.htmlhttp://www.businessdictionary.com/definition/project.htmlhttp://www.businessdictionary.com/definition/activity.htmlhttp://www.businessdictionary.com/definition/events.htmlhttp://www.businessdictionary.com/definition/events.htmlhttp://www.businessdictionary.com/definition/examine.htmlhttp://www.businessdictionary.com/definition/duration.htmlhttp://www.businessdictionary.com/definition/duration.htmlhttp://www.businessdictionary.com/definition/duration.htmlhttp://www.businessdictionary.com/definition/relationship.htmlhttp://www.businessdictionary.com/definition/costs.htmlhttp://www.businessdictionary.com/definition/costs.htmlhttp://www.businessdictionary.com/definition/uncertainty.htmlhttp://www.businessdictionary.com/definition/uncertainty.htmlhttp://www.businessdictionary.com/definition/uncertainty.htmlhttp://www.businessdictionary.com/definition/events.htmlhttp://www.businessdictionary.com/definition/conflict.htmlhttp://www.businessdictionary.com/definition/conflict.htmlhttp://www.businessdictionary.com/definition/conflict.htmlhttp://www.businessdictionary.com/definition/duration.htmlhttp://www.businessdictionary.com/definition/costs.htmlhttp://www.businessdictionary.com/definition/uncertainty.htmlhttp://www.businessdictionary.com/definition/conflict.htmlhttp://www.businessdictionary.com/definition/developed.htmlhttp://www.businessdictionary.com/definition/strike.htmlhttp://www.businessdictionary.com/definition/balance.htmlhttp://www.businessdictionary.com/definition/developed.htmlhttp://www.businessdictionary.com/definition/strike.htmlhttp://www.businessdictionary.com/definition/balance.htmlhttp://www.businessdictionary.com/definition/balance.htmlhttp://www.businessdictionary.com/definition/strike.htmlhttp://www.businessdictionary.com/definition/developed.htmlhttp://www.businessdictionary.com/definition/conflict.htmlhttp://www.businessdictionary.com/definition/uncertainty.htmlhttp://www.businessdictionary.com/definition/costs.htmlhttp://www.businessdictionary.com/definition/duration.htmlhttp://www.businessdictionary.com/definition/events.htmlhttp://www.businessdictionary.com/definition/activity.htmlhttp://www.businessdictionary.com/definition/relationship.htmlhttp://www.businessdictionary.com/definition/examine.htmlhttp://www.businessdictionary.com/definition/project.htmlhttp://www.businessdictionary.com/definition/process.html
  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    8/36

    A project can be defined as initiative to bring about change. This is donein order to achieve specific objectives, within a timescale, in a givencontext. A project is normally allocated a budget. Viv Martin (cited inBaume, Martin and Yorke, 2002:1) lists the attributes of a project asfollows. A project :

    has a clear purpose that can be achieved in a limited time;

    has a clear end when the outcome has been achieved;

    is resourced to achieve specific outcomes;

    has someone acting as sponsor who expects the outcomes to bedelivered on time; and

    is a one-off activity that would not normally be repeated.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    9/36

    Sequence of tasks Planned from beginning to end Bounded by time, resources, & required results Defined outcome and "deliverables"DeadlineBudget limits number of people, supplies, and capital

    Resources (and Constraints) Time

    PeopleMoneyEquipment

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    10/36

    Defined beginning, end, schedule, andapproach Use resources specifically allocated to thework End results have specific goals (time, cost,performance/quality) Follows planned, organized approach Usually involves a team of people

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    11/36

    Projects have a purpose: projects haveclearly-defined aims and set out to produceclearly-defined results. Their purpose is tosolve a problem, and this involves analyzing

    needs beforehand. Suggesting one or moresolutions, it aims at lasting social change.

    Projects are realistic: their aims must beachievable, and this means taking accountboth of requirements and of the financial andhuman resources Available.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    12/36

    Projects are limited in time and space: theyhave a beginning and an end, and areimplemented in a specific place and context.

    Projects are complex: projects call on variousplanning and implementation skills, andinvolve various partners and players.

    Projects are collective: projects are theproduct of collective Endeavour. They are runby teams, involve various partners and caterfor the needs of others.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    13/36

    Projects are unique: all projects stem fromnew ideas. They provide a specific responseto a need (problem) in a specific context.They are innovative.

    Projects are an adventure: every project isdifferent and ground-breaking; they alwaysinvolve some uncertainty and risk.

    Projects can be assessed: projects areplanned and broken down into measurableaims, which must be open to evaluation.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    14/36

    Projects are made up of stages: projects havedistinct, identifiable stages. Projects have a definite start and end,meaning they have a defined duration. Projects have temporary teams of people,assembled or teamed to perform the specifictasks and these teams are generally

    dismantled/disbanded after completion ofthe project.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    15/36

    Project management is the science (and art) oforganizing the components of a project, whetherthe project is development of a new product, thelaunch of a new service, a marketing campaign,

    or a wedding. A project isn't something that'spart of normal business operations. It's typicallycreated once, it's temporary, and it's specific. Asone expert notes, "It has a beginning and an

    end." A project consumes resources (whetherpeople, cash, materials, or time), and it hasfunding limits.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    16/36

    Project management, then, is the applicationof knowledge, skills and techniques toexecute projects effectively and efficiently.Its a strategic competency for organizations,

    enabling them to tie project results tobusiness goals and thus, better compete intheir markets.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    17/36

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    18/36

    Project management is a carefully planned andorganized effort to accomplish a successful project.

    Project management includes developing a projectplan, which includes defining and confirming theproject goals and objectives, identifying tasks and

    how goals will be achieved, quantifying the resourcesneeded, and determining budgets and timelines forcompletion. It also includes managing theimplementation of the project plan, along withoperating regular 'controls' to ensure that there is

    accurate and objective information on 'performance'relative to the plan, and the mechanisms toimplement recovery actions where necessary.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    19/36

    The PMBOK Guide defines projectmanagement as the application of knowledge,skills, tools and techniques to projectactivities to meet project requirements. In

    other words, it involves planning, organizing,monitoring and controlling the projectactivities in order to accomplish the projectrequirements. Essentially what we're talkingabout here are the five process groups andwe'll be going over those in great detail lateron in this course.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    20/36

    Better efficiency in delivering services: Projectmanagement provides a roadmap that is easily followedand leads to project completion. Once you know where toavoid the bumps and pots holes it stands to reason thatyoure going to be working smarter and not harder andlonger.

    Improved/increased/enhanced customer satisfaction:Whenever you get a project done on time and underbudget, the client walks away happy. And a happy client isone youll see again. Smart project management providesthe tools that enable this client/manager relationship tocontinue.

    Enhanced effectiveness in delivering services: The sameproject management strategies that allowed you tosuccessfully complete one project will serve you manytimes over.

    http://www.brighthub.com/office/project-management/articles/26374.aspxhttp://www.brighthub.com/office/project-management/articles/26374.aspxhttp://www.brighthub.com/office/project-management/articles/11640.aspxhttp://www.brighthub.com/office/project-management/articles/11640.aspxhttp://www.brighthub.com/office/project-management/articles/11640.aspxhttp://www.brighthub.com/office/project-management/articles/26374.aspx
  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    21/36

    Improved growth and development within yourteam: Positive results not only command respectbut more often than not inspire your team tocontinue to look for ways to perform moreefficiently.

    Greater standing and competitive edge: This isnot only a good benefit of project managementwithin the workplace but outside of it as well;word travels fast and there is nothing likesuperior performance to secure your place in the

    marketplace. Opportunities to expand your services: A by-

    product of greater standing. Great performanceleads to more opportunities to succeed.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    22/36

    Better Flexibility: Perhaps one of the greatest benefits of projectmanagement is that it allows for flexibility. Sure projectmanagement allows you to map out the strategy you want totake see your project completed. But the beauty of suchorganization is that if you discover a smarter direction to take,you can take it. For many small-to-midsize companies, thisalone is worth the price of admission.

    Increased risk assessment: When all the players are lined up andyour strategy is in place potential risks will jump out and slapyou in the face. And thats the way it should be. Projectmanagement provides a red flag at the right time: before youstart working on project completion.

    Increase in Quality: Goes hand-in-hand with enhancedeffectiveness

    Increase in Quantity: Often the result of better efficiency, asimple reminder regarding the benefits of project management.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    23/36

    Inability to stick with the project scope:Project Management, by definition, is unableto commit to the original project scope dueto constant change requests. Project

    Management acknowledges this with theformal integration of Change Management.This limitation causes a lot of problems, andis the reason why so many projects end up

    way over budget and many months/yearslate, sometimes even canceled or killed.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    24/36

    Inability to fully align the project objectives withthe business/organizational strategy: Bydefinition, Project Managers manage projects,not their organization. Although projects areusually initiated by stakeholders/executives with

    a clear relation and full alignment with the overallcorporate strategy, Project Managers areincapable, by themselves, to make sure that theirprojects are kept aligned with the companysstrategy. In order to solve this limitation inProject Management, Program Management wasintroduced as a higher layer of managerialcontrol to guarantee and sustain alignment.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    25/36

    Inability to manage projects with unspecified budgetand/or schedule: This is probably the biggest limitation inthe traditional incarnation of Project Management. Imagineif, thousands of years ago, pyramid building was restrictedto a budget and a schedule. Would the pyramids havelasted so long? Would they have been considered as

    marvelous wonders? Project Management imposes abudget and a deadline on any project and thus creates amajor problem: All projects finishing on time and onschedule (and they are very rare) have their qualitycompromised (when was the last time you saw perfectionin any project?). Resources are not allowed to give theirbest, gold plating is considered a bad practice, andresources finishing on time, regardless of the deliveredquality, are considered heroes.

    http://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.htmlhttp://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.htmlhttp://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.html
  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    26/36

    Dependence on functional management: Traditional (non-agile)Project Management is clear about the authority of the ProjectManager over the resources: he has none. It is the functionalmanagers who ownthe resources: they have their loyalty(resources are loyal to their functional managers as theyre theones who report quarterly on their performance), they have theirgratitude (most resources are hired directly by their functional

    managers), and they have their respect. The dependence onfunctional management is a major limitation in ProjectManagement, as Project Managers are constantly at the mercy ofboth the functional managers and the resources (indirectly, forexample, an excellent resource resenting the presence of theProject Manager might disobey him, while still being supportedand endorsed by his functional manager), and they have to

    compromise, or offer something in return, just to get thingsdone. Note that this limitation is almost negligible in highlyprojectile organizations.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    27/36

    Following an exclusive methodology Project Managementforces the Project Manager to choose and follow amethodology, be it the traditional (waterfall) methodology,or a newer methodology such as Agile. In ProjectManagement, a project can only be managed using onemethodology, and, in almost all cases, is not switched

    from one methodology to the other (usually methodologyswitching is not per project and is a decision made at theorganization level), even when the other methodology isproven to be highly successful for that type of project.Being restricted by an exclusive, non-changeablemethodology, either at the project level or theorganizational level undermines and limits the potential ofthe project as well as the resources.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    28/36

    The disadvantages of Project Management can be grouped into 3

    main categories: overhead, obsession, and non-creativity. Overhead Project Management presents 3 types of overhead: cost

    overhead, communication overhead, and time overhead.

    Cost overhead: Project Management costs money. Hiring ProjectManagers, training Project Managers, hiring Program Managersto make sure that projects are kept aligned with the overallbusiness strategy, creating a PMO to control the differentprojects, changing the organization to adopt and adapt toProject Management, etc are all actions that can cost asubstantial amount of money. In the case of small companies,

    even paying for just one Project Manager is huge overhead, asProject Managers are rarely paid below the $70k mark. Not tomention that small companies view Project Managers as(redundant) employees who do not produce tangible work.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    29/36

    Communication overhead: Project Management introducesanother layer of communication between management andteam members. Instead of having the information flowdirectly from functional managers down to the teammembers and back up, its all funneled through the ProjectManager.

    Time Overhead: The communication overhead statedabove is one cause of time overhead. For example,consider some wrong requirements that the ProjectManager mistakenly gathered and passed to the teammembers for implementation. Once the requirements arediscovered to be false, the team members have to scrap

    the implemented part based on the wrong requirements,the Project Manager has to re-gather the requirements,and finally pass them again to team members forimplementation.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    30/36

    Obsession : methodology obsession, process obsession, stakeholderobsession.

    Methodology obsession: A few decades ago, the Waterfall term hasbeen introduced to describe the then linear process of ProjectManagement. Waterfall was applied to all kinds of projects(construction, engineering, etc), including software projects.

    Nearly a decade ago , a group of software professionals introduced acertain methodology called Agile, claiming that its much better formanaging software projects due to its iterative approach.

    each camp claims obsessivelythat their methodology is muchbetter, and one can never finish a project with the other

    methodology. Instead of just getting the project done, which is thewhole point of PM, some Project Managers have become so focusedand obsessed about the methodology that the latter has grown to bethe end rather than the mean to the end.

    This jeopardizes the delivery of the project and causes missedopportunities as Project Managers become so closed and so

    protective their ownmethodology that they refuse to experimentwith another one that might be faster and better for their current

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    31/36

    Process obsession: Quite a few Project Managers hinder theprogress of the project with their obsession for sticking to theprocess. For example, they require all the paperwork to be inperfectorder before processing anything, be it a new project, amajor change request, a minor change request (e.g. changing thefont color), the addition of a new resource, etc Unfortunately,rigidly following the process is encouraged by most references

    on Project Management as well as by experienced ProjectManagers. The reason why most Project Managers consider process

    obsession a good practice is because of the following: Insecurity: The vast majority of Project Managers are insecure, theyre

    afraid that if they dont have a proof of who approved what, they will bescapegoatif something goes wrong.

    Fear of loss of control: Most Project Managers think that if they dontenforce a process, then they will no longer be in control of the project(this, to a certain extent, is probably true).

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    32/36

    Stakeholder obsession: The term stakeholdermanagement, for quite a few Project Managers,means ensuring stakeholder satisfaction. Instead ofmanaging the stakeholders expectations, requests,and interference, and focusing on getting their

    support, these Project Managers try their best toaccommodate the stakeholders. This accommodation,which often manifests itself in gold plating, is costlyand needless. Unfortunately, stakeholder obsession ishere to stay, as, in most cases, this is a win-win

    situation: stakeholders love to be pampered, andProject Managers (for selfish, provincial reasons thathave nothing to do with the project) love to pampertheir stakeholders.

    http://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.htmlhttp://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.htmlhttp://www.projectmanagementlearning.com/what-is-gold-plating-in-project-management.html
  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    33/36

    Non-creativity Some organizations, when adopting Project Management,

    suffer from non-creativity. Non-creativity can be eithertechnical or managerial.

    Technical non-creativity: Project Management imposesdeadlines on resources, who have to work as fast as they

    can to finish their tasks on time. By nature, people like tobe creative, especially at work. For example, designers liketo come up with the perfect design, programmers like towrite elegant, smart, and scalable code, but when theres aProject Manager breathing down their necks all the time,their primary goal is just to finish on time; they dont care

    anymore about unleashing their creativity. Thisdemotivates the resources and adversely affects thequality of the end product.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    34/36

    Managerial non-creativity: Faithfully trusting andfollowing a routine process is not the dream ofany manager (at any level, whether lower, middle,or upper management). Project Management, by

    nature, enforces that routine process. Managers,usually leading humans, become lead by aprocess. Their managerial skills weaken, astheres no need to sharpen them anymore: the

    process is clear and it shouldbe followed.Likewise, managers (especially functionalmanagers) become demotivated.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    35/36

    Program Management is the management (non-technical) of several projects at the same timetaking into consideration their interdependenciesas well the organization's goal. Program

    Managers deal with Project Managers, as well asupper management/high profile stakeholders.

    Project Management is usually about managing

    one project and getting that project done. ProjectManagers deal directly with resources.

  • 7/29/2019 Mit Bbm(Ib)Ipm-session 1.1n

    36/36

    Program management is about defining andachieving organizational objectives throughthe management of complex projects andresources. It differs from project

    management as project management focuseson delivering a single project whereasprogram management coordinates multiple,related projects and operations toward

    achieving a common strategic objective.