Strategic Project Management is the management of projects in such a way as to develop competencies

and capabilites, which contribute to firm's sustainable competitive advantage (Porter 1987, Prahalad
and Hamel 1990; Stalk, Evans and Schulman 1992).
Competencies and capabilities a direct relationship to soft side of project management.
Role of Project leader in project successs
* Skill in managing relationship
* An organizational willingness to foster these skills
* learn to manage people and relationshops across organizational functions and boundaries
Perception of project managers
*Continous improvement in project management methodology
* extending value of project management beyond financial performance and project/process outcomes
(cost, scope, time quality), to measure customer satisfaction, learning and growth.

Project strategy is an emerging concept in the research literature on project management.

Several researchers focus their attention on strategic aspects of project management and claim that
such an approach helps organizations improve their performance since it seems that the traditional
emphasis on meeting time, budget and project performance goals is no longer sufficient to guarantee
the achievement of organizational objectives (Cleland, 1998; Shenhar and Dvir, 2007).
The strategic approach to project management does not discard the traditional mindset that emphasizes
time, budget and quality goals. What it implies is that organizations, project teams, project managers,
and executives must better learn how to focus project execution on achieving the business results of the
organization more profits, additional growth, and improved market position, to name a few (Cleland,
1998; Shenhar, 2004)
Studies also show that a proper development strategy in combination with a proper development
process leads to an increase in new product development (NPD) performance and in the firms
performance (Barczak, 1995; Thomke and Reinertsen, 1998)

Strategic project management consists of two main stages : evaluation and control (Amram and
Kulatilaka, 1999).
*Evaluation involves framinf (i.e drawing up a strategc project after its inception), planning and valuing a
strategic project; evaluation ends with authorisation of the project.
*Control comprises the management, review and redesign of a strategic project through to its
completion.

Strategic projects are considered to be managed successfully if they are successfully complted, are
financially successful and are successful for strategic (non-financial) reasons.
techniques for managing strategic projects
* Traditional
* Accounting and financial measures (ROI, NPV, Cost benefit analysis etc)
* Sensitivity Analysis
* Techniques that incorporate uncertainity (risk adjusted NPV, decision tree analysis, risk analysis,
forecastig etc)
* Techniques that deal with some degree of mathematical complexity
*Recent Developed Techniques
* Balanced Scorecard
* Real options
* Game theory
Case study done on one UK based oil and gas organization concluded
*Evaluation - includes allocation of company's best resources and capabilities to realise planned actions
in order to create and acquire a competitive advantage
*Controlling - Aims to check whether goals are attained and are performed as planned and results are
successfully achieved.