Summary Solution Manual for Project Management The Managerial Process
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Solution
P roject M anagement
Chapter 1Chapter 1
Modern Project Management
Project ManagementProject Management
• PM is the wave of the future
• Tools used to plan, implement, manage
• A results-oriented management style
• Originated in construction, DoD, Hollywood,
consultingconsulting
•...
Project Management Project Management
• PM is the wave of the future
• Tools used to plan, implement, manage
• A results-oriented management style
• Originated in construction, DoD, Hollywood,
consulting
• Profound impact on IT
• Emergency aid to natural disaster victims
• Community playground
Chapter 1
Modern Project Management
PMI What is a Project?
• Project Management Institute • Project Defined
• http://www.pmi.org “A complex, non-routine, one-time effort limited by
time, budget, resources, and performance
• PM is not just a job title specifications designed to meet customer needs”
• GE quote (p. 5) • Examples
• Project
P j t managementt skills kill will
ill give
i you an edge
d –HD TV enters market
on the job hunt competition –New movie nears completion
–Concert raises millions
–Link Breaks Ground
What is a Project? NOT A Project
• Major Characteristics of a Project (different than other • NOT everyday work
organization endeavors)
• NOT routine
– Has an established objective.
– Has a defined life span with a beginning and an end. • NOT repetitive work
• PMs move from one job to the next
– Usually, the involvement of several departments and
professionals. • A project
j t is
i only
l d
done once
– Usually, doing something that has never been done before.
• When the project is done, a new product or
• Sets of routines vs. customization
– Has specific time, cost, and performance requirements.
service exists
• High degree of accountability • Table 1.1, p. 6
• balance/trade-off
• Satisfy Customer
, 9/3/200
Programs versus Projects Programs versus Projects
• Terms are often interchanged • Program Defined
• Both are directed toward goals and require “A series of coordinated, related, multiple projects that
plans and resources to reach their goals continue over an extended time and are intended to
achieve a goal.”
• Both use similar tools, methods, policies
• Differences lies primarily in scope and time –A higher level group of projects targeted at a common
horizon goal.
–Example:
• Project: completion of a required course in project
management.
• Program: completion of all courses required for a business
major.
The Project Life Cycle The Challenge of Project Management
• p. 7, Fig 1.2, Generic Project Life-Cycle • Marketing manager, production manager,
financial manager
• The Project Manager
• Illustrates the unique nature of project work
–Manages temporary, non-repetitive activities and
• Can be used as cornerstone to managing frequently acts independently of the formal
projects organization.
organization
• Marshals resources for the project.
• Level of effort is exemplified • Is linked directly to the customer. Manages customer
expectations and what is reasonable and feasible.
• Provides direction, coordination, and integration to the project
team, who are functional participants
• Is responsible for performance and success of the project
(frequently with little authority).
The Challenge of Project Management The Importance of Project Management
• The Project Manager • Becoming a standard way of doing business
–Ensure appropriate trade-offs are made between time, • Reasons why:
cost, and performance.
–Compression of the product life cycle
–Generally only possess rudimentary technical • Need to get products to market faster
knowledge
–Global
Global competition
–Must induce the right people at the right time to
• Need to lower costs and improve quality
address the right issues and make the right decisions.
–Knowledge explosion
• Increased complexity of products
, 9/3/200
The Importance of Project Management Integrated Project Management Systems
• Reasons why: • Piecemeal Approach: Use of different pieces of systems
for managing projects
–Corporate downsizing
• Coordinating outsourced services • PM Problem: Need to get it right the first time
–Increased customer focus • Problems w/ piecemeal project management systems:
• Customization
– Do not tie together the overall strategies of the firm
firm.
–Rapid development of Third World and closed
– Fail to prioritize selection of projects by their importance of their
economies contribution to the firm.
• Quickly establish distribution channels, expansions
– Are not integrated throughout the project life cycle.
–Small projects that represent big problems
– Do not match project planning and controls with organizational
• Cumulative impact of many small projects can be overlooked culture to make appropriate adjustments in support of project
endeavors.
Integrated Project Management Systems Integrated Project Management Systems
• Emphasis today is on integrated PM process • Integration of Projects with strategic plan (p.13)
–Strategic plan written by one group, project selection
• Focus on: by another, project implementation by another
– PM tool mastery –Leads to conflict, confusion, unsatisfied customer
–Interpersonal skills
• Integration w/in the process of managing actual
–Domain expertise projects (p. 13)
• Integration of Projects with strategic plan –2 sides:
• Technical (science): formal, disciplined, logic (planning,
• Integration w/in the process of managing actual scheduling, controlling)
projects • Sociocultural (art): implementation (“works well with others”,
p.15)
In--class Exercise
In
• Search job / company websites
• Report on extent of project management skills
required
, Project Management
THE MANAGERIAL PROCESS
Chapter 2
Organizational Strategy and Project Selection
Strategy / Projects Strategy / Projects
• Strategy is implemented through projects • Companies that have a coherent link…
• Therefore, every project should have a clear link to the –Have more cooperation across the organization
organization’s strategy
–Perform better on projects
• Problem: PMs should have motivation to complete
project –Have fewer projects
– Where did project come from?
• How? … Integration
– Which project should have priority
–Existence of a Strategic Plan
– Why are we doing this project?
– Where are we going to get the resources to do this one? –Process for prioritizing projects by their contribution to
the plan
• Problem: Not an easy thing to do. Not many companies
do it well –Process that is transparent to all participants
This Lecture / Chapter Why Project Managers Need to Understand
the Strategic Management Process
• Process for developing Strategic Plan
• Methodology for ensuring integration • Old School thinking:
–PM is planning and execution of projects
–Strategy
gy is for senior management
g responsibility
p y
• New School thinking:
–PM goes from operational to strategic
–PMs go from getting the job done to achieving
business results and winning in the marketplace
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