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Topic1INTRODUCTION+PROJECTSELECTIONI.Introduction1.EvolutionofanIdea•PeoplehavebeenplanningandmanagingProjectssincethedawnoftime.Wheneverandwherevercivilizationstookroot,therewereprojectstomanage:buildingtoerect,roadstopave,lawstowrite.Withouttheadvancedtools,techniquesandmethodologieswehavetoday,peoplecreatedprojecttimelines,locatedmaterialsandresourcesandweighedtheriskinvolved.•Examples:greatwall……•Overtime,peoplerealizedthatthetechniquesforcostcontrol,timelinedevelopment,resourceprocurementandriskmanagementwereapplicabletoawiderangeofprojects,whethererectingbridges,rotatingcropsordecidinghowtogovernthemselves.Theseearlyideaweretheprecursorstoasetofmanagementtechniqueswenowknowas“modernprojectmanagement”.•Modernorganizationsarefindingthatprojectmanagementprovidesmanyadvantages--nottheleastofwhichisimprovingthebottomline!Savvycustomersdemandmoreandbetterproductsandfasterservices.Time-to-marketpressuresforcesgreaterefficiency.Professionalprojectmanagementhasfounditsplaceintoday’scompetitive,globalbusinessarena.•ThepastseveraldecadeshavebeenmarkedbyarapidgrowthintheuseofprojectmanagementasameansbywhichOrg.achievetheirobjectives.•PMhasemergedbecausethecharacteristicsofourlate20thsocietydemandthedevelopmentofnewmethodsofmanagement.•Theexponentialexpansionofhumanknowledge;•Thegrowingdemandforbroadrangeofcomplex,sophisticated,customizedgoodsandservices;•Theevolutionofworldwidecompetitivemarkets.•All3forcescombinetomandatetheuseofTEAMtosolveproblemsthatusedtobesolvablebyindividuals.•Knowledgeexpansion-TEAM:callforhighlevelofcoordinationandcooperationbetweengroupsofpeople.•IntensiveCompetition-maketheircomplex,customizedoutputsavailableasquicklyaspossible.“Time-to-market”iscritical.•Theprojectsundertakearelargeandgettinglarger.“Themorewecando,themorewetrytodo”.Projectfailstoooften•Systemsprojects:30-45%ofsystemprojectsfailpriortocompletion.Overhalfofallsystemprojectsoverruntheirbudgetsandschedulesbyup200%ormore.Combinedcostsoffailureandoverrunstotalinthehundredsofbillionsofdollars.•Computerworld’ssurvey:failedsystemprojectscostmorethan$100billionperyear;oneoftwoprojectsoverrunitsbudgetby180%ormore;AsurveyofwhatwasmissinginPMprocessindicated:•projectoffice-42%;integratedmethods-41%;trainingandmonitoring-38%;policiesandprocedures-35%;implementationplans-23%;executivesupport-22%•Exampleoffailedproject……China,Restoftheworld2.WhatisaProject?•Org.Performwork.Workgenerallyinvolveseitheroperationsorprojects.•Operation:ongoingandrepetitive•Project:temporaryandunique•projectisatemporaryendeavorundertakentoachieveaparticularaim.Everyprojecthasadefinitebeginningandadefiniteend.•Examples:runningapoliticalcampaign…...•Inthebroadestsense,aprojectisaspecific,finitetasktobeaccomplished.Whetherlarge-orsmall-scaleorwhetherlong-orshort-runisnotparticularlyrelevant.Whatrelevantisthattheprojectbeseenasaunit.•Attributes:Purpose,Lifecycle,Interdependencies,Uniqueness,Conflict•M&M,p.8-9•Projectstakeholdersandconflict•Individualsororganizationswhoareactivelyinvolvedintheproject,orwhoseinterestmaybepositivelyornegativelyaffectedasaresultofprojectexecutionorsuccessfulprojectcompletion.•Theyinclude:projectmanager,customers,performingorganization,sponsor,suppliersandcontractors,teammembersandtheirfamilies,governmentagency,lobbyingorganizationsetc•thestakeholdersoftenhaveverydifferentobjectivesthatmaycomeintoconflict.Examples:theownerofrealestatedevelopmentproject,localgoverningbody,environmentgroup,nearbyresidents…...Theprojectlifecycle•%ofprojectcompletion:•Slowstart----Quickmomentum----Slowfinish(Fig.1-2,p.13)•100•Projectlifecycle(Fig.1-3):•Conception•Selection•Planning,scheduling,monitoring,control•Evaluationandtermination•ExamplesofProjectlifecycle:seePMBOK1996,p.13-16,Fig,2-2,2-3,2-4,2-5.•Levelofeffort••peakeffortlevel•conceptionselectionplanning--controlevaluationandtermination•Uncertaintyoftheprojectcostatspecificpointsintime•cost•ttime3Whatisprojectmanagement•Projectmanagementistheapplicationofknowledge,skills,toolsandtechniquestoabroadrangeofactivitiesinordertomeetorexceedstakeholderneedsandexpectationsfromaproject.Thiswillinvolvebalancingcompetingdemandsamong:•Scope,time,cost,andquality;•Stakeholderswithdifferingneedsandexpectations;•Identifiedrequirementsandunidentifiedrequirements.•Project’sGeneralObjectives:performance,costandtime•Fig.1-1,p.3:Performance,cost,time,andprojecttargetsrequiredperformance--budgetlimit--duedatetrade-offs•TARGET•Projectmanagementfocusescriticalattentionontheinterdependentnatureofcomplextasks--anaction,orfailuretotakeaction,inoneareawillusuallyaffectotherareas.Theprojectmanagementknowledgeareas•Projectintegrationmanagement:projectplandevelopment,projectplanexecution,overallchangecontrol•Projectscopemanagement:initiation,scopeplanning,scopedefinition,scopeverification,scopechangecontrol•Projecttimemanagement:activitydefinition,activitysequencing,activitydurationestimating,scheduledevelopment,schedulecontrol•Projectcostmanagement:resourcesplanning,costestimating,costbudgeting,costcontrol•Projectqualitymanag