1.

Major An established objective; A defined life span with a beginning Characteristics of and an end; the involvement of several departments and a Project professionals; something that has never been done before; specific time cost and performance requirements 2. Scope and Time 3. Program Main difference between project and program Series of coordinated related multiple projects that continue over e!tended time intended to achieve a goal. A higher level group of projects.

". Stages in a #efining Stage; $lanning Stage; %!ecution Stage and #eliver& Product Life Cycle Stage. '. Defining Stage Stage in the project life c&cle where specifications of the project are defined; project objectives are established; teams are formed and major responsibilities are assigned. Stage in the project life c&cle where the level of effort increases; and plans are developed to determine what the project will entail when it will be schedules whom it will benefit what qualit& level should be maintained and what the budget will be. Stage in the project life c&cle where a major portion of the project wor* ta*es place + both ph&sical and mental. ,ime cost and specification measures are used for control. Stage in the project life c&cle that includes two activities + delivering the project product to the customer and redeplo&ing project resources /ndividual who plans schedules motivates and controls. ,he& are however unique because the& manage temporar& non+ repetitive activities to complete a fi!ed life project. 1ompression of the product life c&cle; global competition; *nowledge e!plosion; corporate downsi2ing; increased customer focus; small project represent big problems S&stem in which all parts of the project are interrelated

(. Planning Stage

). Execution Stage

-. Delivery Stage

.. Project Manager

10. Importance of Project Management 11. Integrated project management system 12. External Environment actors 13. Technical Dimension of the

$%S,; $olitical %conomic Social ,echnological

Scope 34S Schedules 5esources Allocation 4aseline 4udgeting Status 5eports. #eals with the science of a project

Project Management Process 1". Socio!cultural Dimension of Project Management 1'. Strategic Management 6eadership $roblem Solving ,eamwor* 7egotiation $olitics 1ustomer %!pectations; #eals with the art of managing a project

,he process of assessing 83hat we are8 and deciding and implementing 8what we intend to be and how are we going to get there8 #escribes how an organi2ation intends to compete with the resources available in the e!isting and perceived future environment 5esponding to changes in the e!ternal environment and allocating scarce resources of the firm to improve its competitive position 5eview and define the organi2ational mission; set long range goals and objectives; anal&2e and formulate strategies to reach objectives; implement strategies through projects SMA5,

1(. Strategy

1). Dimension of Strategic Management 1-. Strategic Management Process 1.. Specific" Measura#le" $ssigna#le" %ealistic" Time %elated 20. $dvantages of a Project Portfolio Management System 21. Types of Projects 22. Compliance Project 23. &perational Projects

5educe or eliminate the impact of the implementation gap organi2ational politics and resource conflicts and multitas*ing

1ompliance 9must do: Strategic ;perational $rojects that t&picall& need to meet regulator& conditions required to operate in a region 9/S; .000: $rojects that are needed to support current operations e.g. improvement of deliver& s&stems reduction of production costs

2". Strategic Projects $rojects that directl& support the long term mission of the organi2ation 2'. Selection Criteria for Selecting Projects <inancial and non+<inancial

2(.

inancial Model

,he preferred method to evaluate projects. Appropriate when there is a high level of confidence associated with estimated of future cash flows.

2). Types of financial 7et present value and pa&bac*. model 2-. Pay#ac' financial Model that measures the time it ta*es to recover the project model investment. Shorter periods are more desirable. Simplest and most widel& used model. %mphasi2es cash flow. 2.. Pay#ac' Period 30. Dra(#ac' of Pay#ac' Period %stimated $roject 1ost=Annual Savings /gnore the time value of mone& assumes cash influences for the investment

31. )et Present *alue Model that uses management>s minimum desired rate of return financial Model to compute the present value of all net cash flow. ?igher values are desirable. 32. Chec'list Models Most frequentl& used multi+criteria selection model. @ses a list of questions to review potential projects and to determine their acceptance or rejection. Model that uses several weight selection criteria to evaluate project proposals. 3ill generall& include qualitative or quantitative criteria. #iscipline accountabilit& responsibilit& constraints reduced fle!ibilit& and loss of power Major responsibilit& of the priorit& team

33. Multi!+eighted Scoring Model

3". Prioriti,ing

3'. -alance Projects #y type" ris' and resource 3(. &rgani,ational and Specific 3). &rgani,ational %is's 3-. Specific %is's

,&pes of 5is*s associated with projects

Mar*et ris* abilit& to e!ecute time to mar*et and technolog& advances 5is* regarding schedule cost and technical.

3.. -read and -utter ,&picall& involve evolutionar& improvements to current products Projects and services e.g. software upgrades and manufacturing cost reduction "0. Pearls 5epresent revolutionar& commercial advances using proven technical advances e.g. ne!t generation integrated circuit chip

and subsurface imaging to locate oil and gas "1. +hite Elephant $rojects that at one time showed promise but are no longer viable e.g. products for a saturated mar*et or potent energ& source with to!ic side effects. /nvolves technological brea*throughs with high commercial pa&offs e.g. embr&onic #7A treatments and new *inds of metal allo&s A project that is a favorite of a powerful management figure who is usuall& the champion of the project Matri! that assess a project>s portfolio. Measures project>s probabilit& of success vs. commercial value. $ersonalit& of an organi2ation

"2. &yster

"3. Sacred Co(

"". Project Portfolio Matrix "'. &rgani,ational Culture "(. unctional &rgani,ation

A hierarchical organi2ational structure in which departments represent individual disciplines such as engineering mar*eting purchasing 7o change; fle!ibilit&; /n+depth e!ercise; eas& post project transition

"). $dvantages of the functional organi,ation "-. Disadvantages ".. Independent Project Team

6ac* of focus; poor integration; slow; lac* of ownership ,eams that operate as separate units from the rest of the parent organi2ation. @suall& a full time project manager is designated to pull together a core group of specialists who wor* full time on the project Simple; <ast; 1ohesive; 1ross+<unctional /ntegration

'0. $dvantages of the dedicated project team

'1. Disadvantages of %!pensive /nternal Strife 6imited ,echnological %!pertise the dedicated #ifficult $ost $roject ,ransition project team '2. Matrix Management ?&brid organi2ational form in which a hori2ontal project management is overlaid on the normal formal functional hierarch&. #esigned to optimall& utili2e resources b& having individuals wor* on multiple projects as well as being capable of performing normal functional duties. A matri! structure in which functional managers have primar&

'3. +ea' matrix

control over project activities and the project manager coordinates project wor*. '". -alanced matrix A matri! structure in which the project manager and functional managers share roughl& equal authorit& over the project. ,he project manager decides what need to be done; functional managers are concerned with how it will be accomplished A matri! structure in which the project manager has primar& control over project activities and functional manager support project wor* A social phenomenon in which project members e!hibit inappropriatel& intense lo&alt& to the project. %fficient; Strong $roject <ocus; %asier $ost $roject ,ransition; <le!ibilit&

''. Strong matrix

'(. Projectitis

'). $dvantages of Matrix Management '-. Disadvantages of Matrix Management '.. &rgani,ational Culture (0. Mem#er identity

#&sfunctional 1onflict; /nfighting; Stressful; Slow

S&stem of shared norms beliefs values and assumptions which binds people together thereb& creating shared meanings ,he degree to which emplo&ees identif& with the organi2ation as a whole rather than with their t&pe of job or field of professional e!pertise ,he degree to which wor* activities are organi2ed around groups rather than individuals ,he degree to which management decisions ta*e into account the effect of outcomes on people within the organi2ation ,he degree to which units within an organi2ation are encouraged to operated in a coordinated or interdependent manner ,he degree to which rules policies and direct supervision are used to oversee and control emplo&ee behavior ,he degree to which emplo&ees are encouraged to be aggressive innovative and ris* see*ing. ,he degree to which rewards such as promotion and salar& increases are allocated according to emplo&ee performance rather than seniorit& favoritism or other nonperformance factors.

(1. Team emphasis

(2. Management focus (3. .nit integration

(". Control

('. %is' tolerance

((. %e(ard criteria

(). Conflict tolerance ,he degree to which emplo&ees are encouraged to air conflicts and criticisms openl& (-. Means vs/ end orientation (.. &pen system focus )0. Project Scope Chec'list )1. Delivera#le )2. Milestone )3. Statements of +or' )". Scope Creep ,he degree to which management focuses on outcomes rather than on techniques and processes used to achieve those results ,he degree to which the organi2ation monitors and responds to changes in the e!ternal environment $roject objective; deliverables; milestones technical requirements; limits and e!clusions; revisions with the customer ,he e!pected outcome over the life of the project A significant event in the project that occurs at a point in time. Another term for scope statement

,he tendenc& for the project scope to e!pand over time + usuall& b& changing requirements specifications and priorities. Map of the project where it is successivel& subdivided into smaller and smaller wor* elements. /t is an outline of the project with different levels of details. Sometimes called a linear chart and summari2es the tas*s to be accomplished and who is responsible for what on a project. $rovides a means for all participants in a project to view their responsibilities and agree on their assignments. A tas* at the lowest level of the 34S. 5esponsibilit& should be assigned to one person and if possible limited to -0 hours of wor*. A definition of the end result or mission of a project. ,&picall& include objectives deliverables milestones specifications and limits and e!clusions ,he process of forecasting or appro!imating the time and cost of completing project deliverables. $lanning ?ori2on; $roject duration; $eople; $roject Structure and ;rgani2ation; $adding %stimates; ;rgani2ational 1ulture; ;ther factors %stimates of current events that are close to 100 percent accurate but are reduced for more distant events.

)'. +or' -rea'do(n Structure

)(. %esponsi#ility Matrix

)). +or' Pac'age

)-. Scope Statement

).. Estimating

-0.

actors $ffecting the 0uality of Estimates

-1. Planning 1ori,on

-2. Top Do(n 1onsensus Methods; 5atio Methods; Apportion Methods; Methods of <unction $oint Methods; t&picall& used in the conceptual stage of Estimating Project the project Times and Cost -3. Consensus Method -". Delphi Method -'. $pportion methods Method that uses the pooled e!perience of senior and=or middle managers to estimate the total project duration and cost A group method used to predict future costs events %!tension of the ratio method. ,&picall& used when projects closel& follow past projects in features and costs. Aer& common in projects that are relativel& standard. ,&picall& used in the software industr&.

-(.

unction point method

-). -ottom .p ,emplate MethodsB $arametric $rocedures Applied to Specific $pproaches for ,as*s; #etailed estimates for the 34S 3or* $ac*ages Estimating Project Times and Costs --. Phase Estimating %stimating method that begins with a macro estimate for the project and then refines estimates for phases of the project as it is implemented 6abor; Materials; %quipment; ;ther #irect 1osts; $roject ;verhead 1osts; Ceneral and Administrative %lement in a project that consumes time but ma& or ma& not require resources and can include more than one wor* pac*ages. An activit& that has more than one activit& immediatel& preceding it 9more than one dependenc& arrow flowing into it: Activities that can ta*e place at the same time if the manager wishes. $arallel activities can however not occur simultaneousl& A sequence of connected dependent activities ,he path9s: with the longest duration through the networ*; if an activit& on the path is dela&ed the project is dela&ed the same amount of time ,his term is used to represent a point in time when an activit& is started or completed. /t does not consume time

-.. Direct Costs .0. Costs found in a project .1. $ctivity

.2. Merge $ctivity

.3. Parallel activities

.". Path .'. Critical Path

.(. Event

.). -urst $ctivity

,his activit& has more than one activit& immediatel& following it 9more than one dependenc& arrow flowing from it: A;7; Sometimes referred to as a precedence diagram A;A

.-. $ctivity on )ode ... $ctivity on $rro(

100. Concurrent Also called simultaneous engineering. 1ross functional teamwor* Engineering in new product development projects that provides product design qualit& engineering and manufacturing process engineering all at the same time 101. Pass 102. Pass 103. or(ard %arliest ,imes. ,he method for determining the earl& start and finish times for each activit& in the project networ* 6atest ,imes. ,he method used to compute the late start and finish times for each activit& in the project networ*. ,ells the amount of tome an activit& can be dela&ed and &et not dela& the project. @nique. /t is the amount of time an activit& can be dela&ed without dela&ing connected successor activities. 1an never be negative. A special purpose aggregate activit& that identifies the use of fi!ed resources or costs over a segment of the project e.g. a consultant. #erives its duration from the time span between other activities. /t is determined after the networ* plan is drawn ,he inabilit& to control chance events Attempts to recogni2e and manage potential and unforeseen trouble spots that ma& occur when the project is implemented 5is* /dentification; 5is* Assessment; 5is* 5esponse #evelopment; 5is* 5esponse 1ontrol

-ac'(ard

Total slac'

10".

ree Slac'

10'. 1ammoc' $ctivity

10(.

%is'

10). %is' Management 10-. %is' Management Process 10.. Scenario $nalysis 110. 111. %is' 112. %is' PE%T $voiding

,he easiest and most commonl& used technique for anal&2ing ris*s $rogram %valuation 5eview ,echnique. %limination of the ris* cause before the project begins

Mitigating

Action ta*en to either reduce the li*elihood that a ris* will occur and=or the impact the ris* will have on the project

113. %is'

Sharing

Allocating proportions of ris* to different parties

11". &rgani,atio ,he integration of project wor* pac*ages within the nal -rea'do(n organi2ation>s management structure Structure 11'. Cost $ccount ,he intersection of the 34S and the ;4S