Académique Documents
Professionnel Documents
Culture Documents
Project
management.
Discuss
the
need
for
project management.
The economy of India has been growing over the last few years. Many
i n d u s t r i e s h a ve c o m e u p i n v a r i o u s s e c t o r s . T h e g o v e r n m e n t i s a l w a y s l o o k i n g f o r g r o w t h o f th e c o u n t r y . I n s u c h a b o o m i n g m a r k e t , a h u g e a m o u n t o f m o n e y i s b e i n g i n ve s t e d i n v a r i o u s p r o j e c t s . I n t h i s p e r s p e c t i v e i t b e c o m e s v e r y i mp o r t a n t f o r m a n a g e r s t o m a n a g e t h e p r o j e c t s e f f e c t i v e l y i n o r d e r t o m a x i m i z e the returns. Faced with unprecedented growth in business, todays corporate world needs proper and effective project management. Hence efficient and effective project managers have become the need of the hour.
D efi ni tio n of P roject Ma na g em ent : He re a re de finition of s om e v oc a bula ry tha t ofte n e nc ounte r in a proje c t ma n a ge m e n t dis c us s ion. P roj ec t A proje c t is a se t of ac tiv itie s whic h a re ne twork e d in a n orde r an d a im e d at a c hie v ing the de fine d goa ls for whic h the proje c t is
u n de rt ak e n . U pon c om ple tion of a ll the a c tiv itie s , the goa ls of the proje c t w ou ld h a v e be e n ac hie v e d. Ma na g em en t Ma na ge m e nt is the te c hnique of unde rs ta ndin g the
proble m s a n d ne e ds and c ontrol ling the use of re s ourc e s , s uc h a s c os t , t im e , m a n powe r, a nd ma te ria ls . P roj ec t Ma na g em ent It is an a rt of c ontrolli ng the c os t , t im e ,
ma n pow e r, and ha rdwa re and s oftwa re res ourc e s inv olv e d in a proje c t .
P roj ec t C yc le A proje c t c y c le bas ic a lly c ons is ts of the va rious ac t iv it ie s of ope ra t ion s , res ourc e s and the lim ita tions im pos e d on the m . P roc ess A proc e s s is pa rt of the proje c t whic h c ons is ts of s im ple a n d rou t in e in s t ruc tions to a c hie v e a des ire d res ult of any ac tiv ity of t h e proje c t . A proc e ss is re s pons ible to bring a bout the c ha nge s in t h e in pu t fe d t o t h e proc e ss a nd to giv e out des ire d outputs as a res ult of t h e proc e s s . Resou rc e It re fe rs to m a npowe r, ma c hine ry , m one y a nd ma t e ria ls
re qu ire d in t he proje c t. Sc op e It re fe rs to the va rious pa ra m e te rs tha t a ffe c t the proje c t in it s pla n n in g, form ula tion and e xe c ution. P roj ec t C ost It is the budge te d e x pe nditure of the proje c t. E xa m p les of a P roject : C om m iss ioning a ne w indus tria l unit C on s t ru c ting a house Se t t in g up a n offic e De v e loping a te c hnology La u n c h ing a ne w produc t in the m a rk e t Need for P roject Ma na g em ent : Proje c t m a na ge m e nt is ne c e ss a ry be c a us e it he lps an orga n iz a t ion
a) P reven ti ng P rojec t Fa ilure: A proje c t re quire s huge inv e s t m e n t s w h ic h sh ou ld not go was te . A loss in a ny proje c t would ha v e dire c t or in dire c t im pa c t on the s oc ie ty . Proje c t m a na ge m e nt he lps a n orga n iz a t ion pre v e n t fa ilu re s in proje c ts . b) C ontrol l i ng P roject Scop e: Sc ope of the proje c t a c tiv ity ma y u n de rgo a c h a n ge . Proje c t ma na ge m e nt he lps a n orga niz a tion de fine a nd c on t rol proje c t s c ope . c) I m p rovi ng the und er sta nd ing : le a ds La c k to of unde rs ta nding Proje c t of the proje c t h e lps
am on g
fa ilure .
ma na ge me n t
pa rt ic ipa n t s unde rs ta nd the proje c t and its purpos e . d) Ma na g i ng Risk s: A proje c t is v ulne ra ble to v a rious ris ks . A proje c t is a ffe c t e d if t he te c hnology us e d is c ha nge d during the c ours e of proje c t e xe c u t ion . Sim ila rly c ha nges in e c onom ic c onditions ma y a ffe c t a proje c t . Proje c t m a na ge m e nt is v e ry us e ful in as se ss ing and m itiga ting suc h risk s . e) Ma na g i ng P roject ca n P rob lem s: be v e ry C ons e que nc e s Proje c t of ignoring proje c t h e lps in
re la t e d
proble m s
se rious .
m a na ge m e nt
Q.2 What
is
meant
by
risk
management
Explain
the
Ris ks a re t h os e ev e nts or c onditions tha t ma y oc c ur a nd whos e oc c u rre n c e ha s a ha rm ful or ne ga tiv e im pa c t on a proje c t. Ris k m a na ge m e nt a ims t o ide n t ify t h e ris ks a nd the n tak e ac tions to m inim is e the ir e ffe c t on t h e proje c t . Ris k m a na ge m e nt e nta ils a dditiona l c os t. He nc e ris k ma n a gem e n t ca n be c on s ide re d c os t-e ffe c t iv e only if the c os t of ris k m a na ge m e n t is c on s ide ra bly les s tha n the c os t inc urre d if the ris k m a te ria lis es . C om p onen ts of Risk Ma na g em e nt :
Be low a re t h e brie fing ac tions inv olv e d in ea c h of the c om pone nts . a) Ri sk A ssessm ent Ide ntify the pos s ible ris k s a nd as se ss the
c on s e qu e n c es by me a ns of c he c k lis ts of poss ible risk s , surv e y s , me e t in gs an d bra in s t orm ing a nd re v ie ws of pla ns , proc e s s es a nd produ c t s . Th e proje c t ma n a ge r ca n a ls o us e the proc e s s da ta ba s e to ge t inform a t io n abou t ris ks and ris k m a na ge m e nt on s im ila r proje c ts . b) Ri sk C ontr ol Ide ntify the ac tions ne e de d to m inim iz e t h e ris k
c on s e qu e n c es . This is a ls o known a s ris k m itiga tion. De v e lop a risk ma n a ge m e n t pla n. Foc us on the highe s t prioritiz e d ris ks . Priorit iz a t ion
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re qu ire s an a ly s ing the poss ible e ffe c ts of the ris k e v e nt in ca s e it ac t u a lly oc c u rs . Th is a pproa c h re quire s a qua ntita tiv e as se ss m e nt of t h e risk proba bilit y a nd the ris k c ons e que nc es . For e a c h ris k , de te rm ine t h e ra t e of it s oc c u rre nc e and indic a te whe the r the ris k is low, m e dium or of h igh ca t e gory . If ne c e ss a ry , a ss ign proba bil ity v a lue s in the ra n ge s as
pre s c ribe d bas e d upon e x pe rie nc e . If ne c es sa ry a ss ign a we ight on a sc a le of 1 t o 10. c ) Ri sk Ra nk ing Ra nk the risk bas e d on the proba bility a nd e ffe c ts on t h e proje c t ; for e x a m ple , a h igh proba bil ity , high im pa c t ite m w ill ha v e h igh e r ra nk tha n a ris k ite m with a me dium proba bility a nd high im pa c t . In ca s e of c on flic t, us e judgm e nt. d) Ri sk Mi tig a ti on Se le c t the top fe w ris k ite m s for m itiga t ion an d t ra ck in g. Re fe r to a lis t of c om m only us e d risk m itiga tion ste ps for v a riou s risk s from t he pre v ious ris k logs ma inta ine d by the proje c t m a na ge r a n d se le c t su it a ble risk m itiga tion ste p. The ris k m itiga tion s te p m u s t be prope rly ex e c ute d by inc orpora tin g the m into the proje c t sc he du le . In addit ion t o m onitoring the progre s s of the pla nne d ris k m itiga tion s t e ps , pe riodic a lly re v is it the ris k pe rc e ption for the entire proje c t. Th e res u lt s of t h is re v ie w a re re porte d in e a c h m ile s tone a na ly s is re port. To pre pa re t h is re port , m ak e fre s h risk ana ly s is to de te rm ine whe the r the prior it ie s ha v e c h a n ge d.
Q.3 Discuss the various steps in project monitoring and control. Ans.
P roject Monit ori ng a nd Control :
An y proje c t a im e d a t de liv e ring a produc t or a s e rv ic e has to go t h rou gh ph as es in a pla nne d m a nne r in orde r to me e t the re quire m e nts . It is v e ry im port a n t t o me as ure the pe rform a nc e of the c urre nt sta tus of the proje c t at an y t im e a ga ins t its pla nne d v e rs ion. This he lps to ta ck le an y
u n e x pe c t e d de v ia tion in tim e , e fforts a nd c os t. It is pos s ible t o w ork ac c ordin g t o the proje c t pla n only by c a re ful a nd c los e m onitor in g of t h e proje c t progre s s . It re qu ire s e sta blis hing c ontrol fa c tors to ke e p the proje c t on the t ra ck of progre s s . Th e res ults of a ny sta ge in a proje c t, de pe nds on the in pu t s t o t ha t st a ge . It is the re fore ne c es sa ry to c ontro l a ll the inputs a n d t h e c orre s pon ding outputs from a s ta ge . This is a c hie v e d through de v is in g prope r c on t rols for e ve ry sta ge . A proje c t m a na ge r m a y us e ce rta in s ta nda rd tools to ke e p the proje c t on t ra ck . Th e proje c t ma na ge r and the tea m m e m be rs s hould be fully aw a re of t h e t e c h n ique s a nd m e thods to re c tify the fa c tors influe nc ing de la y of t h e proje c t a nd its produc t. It is im porta nt for a ll s ta k e holde rs to k n ow t h e im pa c t of t he c ha nge s in a ny pa ra m e te rs to the ov e ra ll proje c t . Th e
6
va riou s s t e ps inv olv e d in m onitor ing and c ontrollin g a proje c t from s ta rt t o e n d a re shown in figure
Step s for m onitori ng a nd control : N ow le t us look into de ta il for ea c h of the s e ste ps . 1. P rel i m ina ry w ork Th e t ea m me m be rs unde rs ta nd the proje c t pla ns , proje c t s ta ge sc h e du le , progre s s c ontrols , tra ck ing s c he dule s , sum ma ry of the s ta ge c os t an d re la t e d w ork s he e ts . All the me m be rs ha v e to unde rs ta nd the tole ra n c e s in an y c ha n ge a nd m a inta in a c ha nge c ontrol log. The y m us t re a liz e t h e ne e d an d im port a nc e of qua lity for whic h the y ha v e to s tric tly foll ow a qu a lit y re v ie w s c h e dule a nd fre que ntly dis c us s the qua lity age ndas . Th e y m u s t u n de rs ta n d the s ta ge sta tus re ports , sta ge e nd re ports , sta ge end
approv a l re ports . 2. P roj ec t P rog ress Th e me m be rs m us t k ee p a tra c k of the proje c t progre s s a nd c om m u n ic a t e t h e s am e t o othe r re la te d m e m be rs of the proje c t. The y m us t m on it or an d
7
c on t rol proje c t progre s s , through the us e of re gula r c he c k points , qu a lit y c ha rt s , an d sta tis tica l ta bles ; c ontrol the qua lity fa c tors whic h a re lik e ly t o de v ia t e from e x pe c te d va lue s as a ny de v ia tion ma y re s ult in c h a n ges t o t h e s ta ge s c he dule . The proje c t m a na ge r e ns ure s tha t thes e c ha n ge s a re ma de sm oothly a nd orga niz e s re v ie w me e ting with the proje c t
ma n a ge m e n t group. Thus a ll the me m be rs a re a wa re a bout the progre s s of t h e proje c t a t a ll tim e s . This he lps the m to pla n we ll in a dva nc e for an y e x ige n c y a ris ing due to de v ia tion from pla nne d sc he dule . 3. Sta g e Control Th e m a na ge r m us t e s ta blis h a proje c t c he ck point c y c le . For t h is , a su it a ble s ta ge v e rs ion c ontrol proc e dure s ma y be followe d. The de t a ils a re t o be doc u m e nte d sta ge wise . Proje c t file s ha v e to be tim e ly upda t e d w it h appropr ia t e ma in t a in e d v e rs ion for ea c h c ontro l c ha nge . num be r Tea m and re v is ion a re sta tus s h ou ld who be w ill
m e m be rs
ide ntifie d
e xe rc is e c on trols a t va rious points of the proje c t. 4. Resou rce s Pla n t h e re s ourc e s re quire d for v a rious s ta ge of the proje c t w e ll in adv a n c e . C om m unic a tion is the k e y . Brie f both the proje c t tea m a n d t h e ke y re s ou rc e s a bout the obje c tiv e s of e v e ry sta ge , pla nne d a c t iv it ie s , produ c t s , orga niz a tion, m e tric s a nd the proje c t c ontrols . This in c re a se s t h e v is ibilit y into the proje c t pe rform a nc e a nd he nc e a qua lity c on t rol ca n be a c h ie v e d. Alloc a ting a right re s ourc e at the right pla c e a nd t h e righ t
t im e w ill s ignific a ntly e nha nc e the e ffic ie nc y a nd e ffe c tiv e ne ss of t h e res ou rc e . 5. Q ua l i ty Control Th is is v e ry im porta nt in a ny proje c t. It is a tool whic h he lps in t ra ck in g t h e progre s s of va rious pa ra m e te rs a t a ny sta ge of the proje c t. A proje c t ma n a ge r m a y us e a s ta nda rd qua lity c ontrol or c us tom iz e a c c ordin g t o t h e re qu ire m e n t s . Qua lity c ontro l is pos s ible if the proje c t m e m be rs follow t h e qu a lit y c h a rts a nd norm s v e ry stric tly . It is a ls o im porta nt for all t h e proje c t t ea m me m be rs to k now the im porta nc e of s uc h qua lity c he ck s a n d sh ou ld ha v e a good v is ibility into proje c t pe rform a nc e . 6. Sc hed ul e Qua lity Review C on du c t qu a lity re v ie ws at re gula r inte rv a ls . It is re c om m e nde d t h a t qu a lit y re v ie w be s c he dule d a t the be ginning of the sta ge a nd a ls o at t h e e n din g of e v e ry s ta ge . This he lps the proje c t m a na ge r a nd te a m m e m be rs t o pla n w e ll in a dva nc e for any unfore s e e n de v ia tion. 7. A g end a for Qua lity Review C rea t e an d dis tribute a qua lity re v ie w a ge nda s pe c ify ing the obje c t iv e , produ c t s , logis tic s , role s , re s pons ibilitie s and tim e fra m e . This in c re as e s t h e e ffe c t iv e ne ss of the re v ie w a nd a ls o re duc e s the tim e ga p. 8. C ond uct Qua lity Revi ew
C on du c t t h e qua lity re v ie w in a s truc ture d a nd form a l ma nne r. Qu a lit y re v ie w s h ou ld foc us on produc t de v e lopm e nt and its qua lity fa c tors . F oc u s on w h e t h e r it me e ts the pre s c ribe d qua lity sta nda rd. 9. F ol l ow Up Re v is e t h e c om ple te qua lity re v ie w produc t sta tus from In- progre s s t o QR C om ple te . Follow up the ac tions pla nne d in s tric t m a nne r w h ic h e ns u re s c on form ity to the s ta nda rds . 10 . Review Qua lity Contro l P roced ure
Ve rify t ha t the qua lity obje c tiv e s for e a c h produc t a re a ppropria t e a n d t ha t a ll pa rt ic ipa nts a re s atis fie d both with the proc e ss a nd its ou t c om e . Th is is t o e ns ure tha t all the s ta k e holde rs of the proje c t a re in c on form it y of c on t rol proc e dure s . A Ca sele t on Qua lity Control Ac c ord Indus trie s L td. ( AI) , a c ontra c t Produc tion E ngine e rs C om pa n y ba s e d in Ne w Ze a la nd, ha d a v e ry s im ple qua lity c ontrol polic y . Th e y u s e d t o c h e c k on ly the firs t two produc ts tha t c om e off the a ss em bly lin e w it h the e n gin e e ring dra wing. If the produc ts a re as pe r the dra w in g,
ma n u fa c t u ring c ontinue d. In n o t im e AI fa c e d innum e ra ble c us tom e r c om pla ints . AI wa s forc e d t o c h a n ge its qua lity initia tiv e by im ple m e nting 100% ins pe c tion of a ll produ c t s . Th e a im was to e ns ure tha t a ll the produc ts m e t the des ire d
10
The
ope ra tors
we re
tra ine d
to
ope ra te
e qu ipm e n t s
e ffic ie n t ly a nd we re he ld e ntire ly re s pons ible for the produc t qua lit y . AI s oon re a liz e d tha t the qua lity initia tiv e is a k ey tool to driv e h igh qu a lit y a t low pric e . It furthe r e x te nde d the initia tiv e by form in g a t ra in in g t e a m a nd initia ting full tim e qua lity tra ining s es s ions for it s e m ploy e e s a nd ope ra tors . Soon a progra m m e for s ta tis tic a l proc e s s
c on t rol wa s initia te d. A Qua lity a uditor was als o appointe d to m on it or t h e proc e e din gs .
Q.4 What
is
Project
Management
Information
System
An in form a t ion s ys te m is m a inly a ime d a t prov iding the ma na ge m e n t a t diffe re n t le v e ls with inform a ti on re la te d to the s ys te m of the orga n iz a t ion . It h e lps in m a inta ining dis c ipline in the sy s te m . An in form a t ion s ys te m de a ling with proje c t ma na ge m e nt ta sk s is t h e proje c t ma n a ge me nt inform a tion sy s tem . It he lps in de c is ion m ak in g in a rriv in g a t optim um a lloc a tion of re s ourc e s . The inform a ti on s ys t e m is ba s e d on a da ta bas e of the orga niz a tion. A proje c t ma n a gem e n t
Th e in form a tion is c om m unic a te d to m a na ge rs a t diffe re nt le v e ls of t h e orga n iz a t ion de pe nding upon the ne e d. Let us find how a proje c t
U ppe r m a na ge rs
To
know
on
a ll
proje c ts
progre s s ,
proble m s , re s ourc e us a ge , c os ts a nd proje c t he lps the goa ls . the m proje c t. This ta k e The y at at
re v ie w m ile s tone
the a nd
proje c ts a rriv e
Proje c t m a na ge r de pa rt m e n t m a na ge rs
s c he dule ,
andprior ity a nd us e of res ourc e s to de te rm ine the m os t e ffic ie nt us e a c ros s the orga niz a tion.
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Proje c t m e m be rs
t e a mTo se e sc he dule , tas k lis ts and s pe c ific a tion s o tha t the y k now wha t ne e ds to be done ne x t.
Th e fou r m a jor a spe c ts of a PM IS a re a. Prov idin g inform a tion to the ma jor s ta k e holde rs b. Ass is t in g the te a m me m be rs , stak e holde rs , ma na ge rs with n e c es sa ry in form a t ion a nd sum m a ry of the inform a tion s ha re d to the high e r le v e l ma n a ge rs c . Ass is t in g the m a na ge rs in doing wha t if ana ly se s a bout proje c t st a ffin g, propos e d s ta ffing c ha nges and tota l a lloc a tion of re s ourc e s d. He lpin g orga niz a tiona l le a rning by he lping the m e m be rs of the
orga n iz a t ion le a rn a bout proje c t m a na ge m e nt Us u a lly , t h e tea m m e m be rs , a nd not the sy s te m s adm inis tra tors of t h e c om pa n y , de v e lop a good PM IS. Orga niz a tions te nd to a lloc a t e such
13
by
rota tion
am ong
m e m be rs
with
we ll
de s ign e d
and
Q.5 What is PERT chart ? What are the advantages of PERT chart ? Ans.
P E RT Cha rt :
A n u m be r of ac tiv itie s ma ke a proje c t. Due to te c hnolog ic a l ne ce ss it ie s , s ome ac t iv itie s ca n be pe rform e d only a fte r s om e othe rs ha v e be e n c om ple t e d. ac t iv it ie s . Diffe re n t ac tiv itie s ha v e diffe re nt dura tion for the ir c om ple tion . Som e proje c t s are big a nd a num be r of c le a rly dis tinguis ha ble s t a ges or Som e a c tiv itie s are inde pe nde nt of s om e othe r se t of
m ile s t on e s a re ide ntifie d. Sinc e s om e a c tiv itie s run c onc urre ntly , t h e re a re pos s ibilitie s tha t one s et of a c tiv itie s e nd up ea rly a nd ha v e t o w a it
14
for s om e ot he r a c tiv itie s to proc e e d furthe r. This m ea ns tha t th e re a re m ore pa t h s from the be ginning to the e nd, and one of the m tak e s m ore t im e t h a n t h e othe rs . We c a ll tha t c ritic a l pa th. A PE RT c ha rt he lps us t o follow t h e c ritic a l pa th. L e t us be c om e fa m ilia r with the PE RT c ha rt . PE RT s ta n ds for Progra m ( or Proje c t) E v a lua tion a nd Re v ie w Te c h n iqu e . It is a popu la r proje c t ma na ge m e nt m ode l des igne d to ana ly z e a nd re pre s e n t the t as ks inv olv e d in c om ple ting a giv e n proje c t. It a ls o h e lps in
ide n t ify in g t he m inim um tim e re quire d for c om ple ting the tota l proje c t . A PE RT c h a rt is a gra phic re pre s e nta tion of a proje c ts sc he dule , s h ow in g t h e se qu e n c e of tas ks . It a ls o s hows the tas ks tha t c a n be pe rform e d pa ra lle ly , a nd the c ritic a l pa th of ta sk s whic h ha s dire c t im pa c t on t h e proje c t sc h e dule . The tas ks in the c ritic a l pa th m us t be c om ple te d a s pe r sc h e du le in orde r for the proje c t to m e e t its c om ple tion dea dlin e . Th e c ha rt ca n be c ons truc te d with a v a rie ty of a ttribute s , suc h a s : e a rlie s t a n d la tes t s ta rt da tes for ea c h tas k e a rlie s t a n d la tes t finis h da tes for ea c h tas k s la c k t im e be twe e n ta sk s P E RT term inol og y : T erm i nol og y E vent/ M i l e st one A c ti vi ty Exp la na tio n It is a point tha t ma rk s the sta rt or c om ple tion of one or m ore ta sk s . It is the a c tua l pe rform a nc e of a tas k . It re pre s e nts the tim e , e ffort, and res ourc e s re quire d to m ov e from one e ve nt to a nothe r. An a c tiv ity c a nnot
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be c om ple te d until the e v e nt pre c e ding it ha s oc c urre d. O p ti m i sti c It is the m inim um pos s ible tim e ti m e re quire d for a c c om plis hing a ta sk , as sum ing e v e ry thing proc e e ds be tte r tha n is norm a lly e x pe c te d. P essi m i sti c It is the m a x im um pos s ible tim e ti m e re quire d to ac c om plis h a ta sk , as sum ing e v e ry thing goe s wrong ( but e x c luding ma jor ca tas trophe s ) . Most l i k elyIt is the bes t e s tim a te of the tim e ti m e re quire d to ac c om plis h a ta sk , as sum ing e v e ry thing proc e e ds a s norm a l. F l oa t It is the am ount of tim e tha t a ta sk in a proje c t ne twork c a n be de la y e d without c a us ing a de la y in Subs e que nt tas ks or Proje c t C om ple tion. C ri ti c a l P a th It is the longe s t pos s ible c ontinuous pa thwa y ta ke n from the initia l e v e nt to the te rm ina l e v e nt. Any tim e de la ys a long the c ritic a l pa th will de la y the re a c hing of the te rm ina l e ve nt by a t le as t the s am e a m ount. Lea d ti m e It is the tim e by whic h a pre de c es s or e ve nt m us t be c om ple te d in orde r to a llow suffic ie nt tim e for the a c tiv itie s tha t m us t e la ps e be fore a s pe c ific e ve nt rea c he s c om ple tion. La g ti m e It the ea rlie s t tim e by whic h a suc c e ss or ev e nt c a n foll ow a s pe c ific e ve nt. Sl a c k The s la c k of an e ve nt is a m ea s ure of the e x c es s tim e a nd re s ourc e s av a ila ble in a c hie v ing this e ve nt. Pos itiv e s la c k would indic a te ahe a d of s c he dule ; ne ga tiv e sla ck be hind sc he dule ; a nd z e ro s la c k on sc he dule . Be low giv e n pic ture s hows a PE RT c ha rt for a se v e n-m onth proje c t w it h fiv e m ile s t one s ( 10 - 50) a nd s ix a c tiv itie s ( A - F) .
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A d va nta g es of P ERT cha rt : Av oid u nre a lis tic tim e ta ble s a nd s c he dule e x pe c ta tions . U n de rs ta nd the de pe nde nc ie s . Ide n t ify a nd s horte n ta sk s tha t a re bottle ne c ks . F oc u s a tte ntion on m os t c ritic a l ta sk s . Doc u m e nt an entire proje c t or a k ey pha s e of a proje c t.
Q.6 Write brief notes on the following : (i) Re-engineering and (ii) Re-structuring. Ans.
Reeng in eer ing :
Th is is a proc e s s by whic h ma na ge rs re de s ign a bundle of ta sk s in t o role s an d fu n c t ion s s o tha t orga niz a tiona l e ffe c tiv e ne s s is ac hie v e d. By doin g s o dra ma t ic im prov e m e nts in c ritic a l m ea s ure s of pe rform a nc e lik e c os t , qu a lit y a n d s e rv ic e a re e x pe c te d. The re will be a ra dic a l re think a bou t t h e bu s in es s proc e s s es a dopte d.
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A bu s in e ss proc e s s m a y be of any a c tiv ity lik e inv e ntory c ontro l, produ c t des ign , orde rs proc e s s ing, a nd de liv e ry s ys te ms . N o re fe re nc e is ta ke n t o t h e e x is t in g proc e s s a nd a n e ntire ly ne w proc e s s is a dopte d. Th e follo w in g rule s for re e ngin e e ring a re e ffe c tiv e : i) M ak e c ha nge s with the outc om e in m ind not the tas ks tha t re s u lt in them. ii) M ak e t h e us e rs of the res ults of the proc e s s e ffe c t the c ha nge . iii) Le t t h e pe ople on the spot de c ide on the s olution de c e ntra liz e . Restru ctu ring : Th is is a t t e m pte d with c ha n ge in a uthority a nd tas k re la tion s h ips of ma n a ge rs . The m ov e from the func tiona l form or a s ta nda rd div is ion st ru c t u re t o c om bine or div ide a rea s of c ontrol a nd authority to fa c ilit a t e be t t e r c oordina tion and/or work flow c a n be de s c ribe d a s re s truc t u rin g. In t h e proc e s s , a fe w jobs m a y not be the re . Fe w pe ople m a y ha v e m u lt ifu n c t ion a l ac tiv itie s . The m a in purpos e is to re duc e bure a uc ra t ic c os t s . Th is is be c a us e of a c ha nge in s tra te gy . Downs iz ing is a ls o a w a y of res t ru c t u rin g.
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