Projectmanagement

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Projectmanagementisthedisciplineofinitiating,planning,executing,controlling,andclosingtheworkofateamtoachievespecificgoalsandmeetspecific
successcriteria.Aprojectisatemporaryendeavordesignedtoproduceauniqueproduct,serviceorresultwithadefinedbeginningandend(usuallytime
constrained,andoftenconstrainedbyfundingordeliverables)undertakentomeetuniquegoalsandobjectives,typicallytobringaboutbeneficialchangeoradded
value.[1][2]Thetemporarynatureofprojectsstandsincontrastwithbusinessasusual(oroperations),[3]whicharerepetitive,permanent,orsemipermanent
functionalactivitiestoproduceproductsorservices.Inpractice,themanagementofthesetwosystemsisoftenquitedifferent,andassuchrequiresthe
developmentofdistincttechnicalskillsandmanagementstrategies.[4]
Theprimarychallengeofprojectmanagementistoachievealloftheprojectgoalswithinthegivenconstraints.[5]Thisinformationisusuallydescribedinauseror
projectmanual,whichiscreatedatthebeginningofthedevelopmentprocess.Theprimaryconstraintsarescope,time,qualityandbudget.[6]Thesecondaryand
moreambitiouschallengeistooptimizetheallocationofnecessaryinputsandintegratethemtomeetpredefinedobjectives.

Contents
1 History
2 Approaches
2.1 Thetraditionalapproach
2.2 PRINCE2
2.3 Criticalchainprojectmanagement
2.4 Processbasedmanagement
2.5 Leanprojectmanagement
2.6 Extremeprojectmanagement/Megaproject
2.7 Benefitsrealizationmanagement
3 Processes
3.1 Initiating
3.2 Planning
3.3 Executing
3.4 Monitoringandcontrolling
3.5 Closing
3.6 Projectcontrollingandprojectcontrolsystems
4 Topics
4.1 Projectmanagers
4.2 Projectmanagementtypes
4.3 RiskManagement

4.3 RiskManagement
4.4 Workbreakdownstructure
4.5 Internationalstandards
4.6 Projectportfoliomanagement
4.7 Projectmanagementsoftware
4.8 Virtualprojectmanagement
5 Seealso
6 References
7 Externallinks

History
Until1900,civilengineeringprojectsweregenerallymanagedbycreativearchitects,engineers,andmaster
buildersthemselves,forexample,Vitruvius(firstcenturyBC),ChristopherWren(16321723),ThomasTelford
(17571834)andIsambardKingdomBrunel(18061859).[7]Itwasinthe1950sthatorganizationsstartedto
systematicallyapplyprojectmanagementtoolsandtechniquestocomplexengineeringprojects.[8]
Asadiscipline,projectmanagementdevelopedfromseveralfieldsofapplicationincludingcivilconstruction,
engineering,andheavydefenseactivity.[9]TwoforefathersofprojectmanagementareHenryGantt,calledthe
fatherofplanningandcontroltechniques,[10]whoisfamousforhisuseoftheGanttchartasaproject
managementtool(alternativelyHarmonogramfirstproposedbyKarolAdamiecki[11])andHenriFayolforhis
creationofthefivemanagementfunctionsthatformthefoundationofthebodyofknowledgeassociatedwith
projectandprogrammanagement.[12]BothGanttandFayolwerestudentsofFrederickWinslowTaylor'stheories
ofscientificmanagement.Hisworkistheforerunnertomodernprojectmanagementtoolsincludingwork
breakdownstructure(WBS)andresourceallocation.

Romansoldiersbuildingafortress,Trajan's
Column113AD

The1950smarkedthebeginningofthemodernprojectmanagementerawherecoreengineeringfieldscometogethertoworkasone.Projectmanagementbecame
recognizedasadistinctdisciplinearisingfromthemanagementdisciplinewithengineeringmodel.[13]IntheUnitedStates,priortothe1950s,projectswere
managedonanadhocbasis,usingmostlyGanttchartsandinformaltechniquesandtools.Atthattime,twomathematicalprojectschedulingmodelswere
developed.The"CriticalPathMethod"(CPM)wasdevelopedasajointventurebetweenDuPontCorporationandRemingtonRandCorporationformanaging
plantmaintenanceprojects.Andthe"ProgramEvaluationandReviewTechnique"orPERT,wasdevelopedbytheUnitedStatesNavyinconjunctionwiththe
LockheedCorporationandBoozAllenHamiltonaspartofthePolarismissilesubmarineprogram.[14]

PERTandCPMareverysimilarintheirapproachbutstillpresentsomedifferences.CPMisusedforprojectsthatassume
deterministicactivitytimesthetimesatwhicheachactivitywillbecarriedoutareknown.PERT,ontheotherhand,allowsfor
stochasticactivitytimesthetimesatwhicheachactivitywillbecarriedoutareuncertainorvaried.Becauseofthiscoredifference,
CPMandPERTareusedindifferentcontexts.Thesemathematicaltechniquesquicklyspreadintomanyprivateenterprises.
Atthesametime,asprojectschedulingmodelswerebeingdeveloped,technologyforprojectcostestimating,costmanagement
andengineeringeconomicswasevolving,withpioneeringworkbyHansLangandothers.In1956,theAmericanAssociationof
CostEngineers(nowAACEInternationaltheAssociationfortheAdvancementofCostEngineering)wasformedbyearly
practitionersofprojectmanagementandtheassociatedspecialtiesofplanningandscheduling,costestimating,andcost/schedule
control(projectcontrol).AACEcontinueditspioneeringworkandin2006releasedthefirstintegratedprocessforportfolio,
programandprojectmanagement(TotalCostManagementFramework).
TheInternationalProjectManagementAssociation(IPMA)wasfoundedinEuropein1967,[15]asafederationofseveralnational
projectmanagementassociations.IPMAmaintainsitsfederalstructuretodayandnowincludesmemberassociationsonevery
continentexceptAntarctica.IPMAoffersaFourLevelCertificationprogrambasedontheIPMACompetenceBaseline(ICB).[16]
TheICBcoverstechnical,contextual,andbehavioralcompetencies.

HenryGantt(18611919),
thefatherofplanningand
controltechniques

In1969,theProjectManagementInstitute(PMI)wasformedintheUSA.[17]PMIpublishesAGuidetotheProject
ManagementBodyofKnowledge(PMBOKGuide),whichdescribesprojectmanagementpracticesthatarecommonto
"mostprojects,mostofthetime."PMIalsooffersmultiplecertifications.

Approaches
Thereareanumberofapproachesformanagingprojectactivitiesincludinglean,iterative,incremental,andphased
approaches.

PERTnetworkchartforasevenmonth
projectwithfivemilestones

Regardlessofthemethodologyemployed,carefulconsiderationmustbegiventotheoverallprojectobjectives,timeline,
andcost,aswellastherolesandresponsibilitiesofallparticipantsandstakeholders.

Thetraditionalapproach
Atraditionalphasedapproachidentifiesasequenceofstepstobecompleted.Inthe"traditionalapproach",[18]fivedevelopmentalcomponentsofaprojectcanbe
distinguished(fourstagespluscontrol):
1.initiation
2.planninganddesign
3.executionandconstruction

4.monitoringandcontrollingsystems
5.completionandfinishpoint
Manyindustriesusevariationsoftheseprojectstages.Forexample,whenworkingonabrickandmortar
designandconstruction,projectswilltypicallyprogressthroughstageslikepreplanning,conceptual
design,schematicdesign,designdevelopment,constructiondrawings(orcontractdocuments),and
constructionadministration.Insoftwaredevelopment,thisapproachisoftenknownasthewaterfall
Typicaldevelopmentphasesofanengineeringproject
model,[19]i.e.,oneseriesoftasksafteranotherinlinearsequence.Insoftwaredevelopmentmany
organizationshaveadaptedtheRationalUnifiedProcess(RUP)tofitthismethodology,althoughRUPdoes
notrequireorexplicitlyrecommendthispractice.Waterfalldevelopmentworkswellforsmall,welldefinedprojects,butoftenfailsinlargerprojectsofundefined
andambiguousnature.TheConeofUncertaintyexplainssomeofthisastheplanningmadeontheinitialphaseoftheprojectsuffersfromahighdegreeof
uncertainty.Thisbecomesespeciallytrueassoftwaredevelopmentisoftentherealizationofanewornovelproduct.Inprojectswhererequirementshavenotbeen
finalizedandcanchange,requirementsmanagementisusedtodevelopanaccurateandcompletedefinitionofthebehaviorofsoftwarethatcanserveasthebasis
forsoftwaredevelopment.[20]Whilethetermsmaydifferfromindustrytoindustry,theactualstagestypicallyfollowcommonstepstoproblemsolving"defining
theproblem,weighingoptions,choosingapath,implementationandevaluation."

PRINCE2
PRINCE2isastructuredapproachtoprojectmanagementreleasedin1996asagenericprojectmanagement
method.[21]ItcombinestheoriginalPROMPTmethodology(whichevolvedintothePRINCEmethodology)
withIBM'sMITP(managingtheimplementationofthetotalproject)methodology.PRINCE2providesa
methodformanagingprojectswithinaclearlydefinedframework.
PRINCE2focusesonthedefinitionanddeliveryofproducts,inparticulartheirqualityrequirements.Assuch,
itdefinesasuccessfulprojectasbeingoutputoriented(notactivityortaskoriented)throughcreatingan
agreedsetofproducts[22]thatdefinethescopeoftheprojectandprovidesthebasisforplanningandcontrol,
thatis,howthentocoordinatepeopleandactivities,howtodesignandsuperviseproductdelivery,andwhatto
doifproductsandthereforethescopeoftheprojecthastobeadjustedifitdoesnotdevelopasplanned.
Inthemethod,eachprocessisspecifiedwithitskeyinputsandoutputsandwithspecificgoalsandactivitiesto
becarriedouttodeliveraproject'soutcomesasdefinedbyitsBusinessCase.Thisallowsforcontinuous
assessmentandadjustmentwhendeviationfromtheBusinessCaseisrequired.

ThePRINCE2processmodel

PRINCE2providesacommonlanguageforallparticipantsintheproject.ThegovernanceframeworkofPRINCE2itsrolesandresponsibilitiesarefully
describedandrequiretailoringtosuitthecomplexityoftheprojectandskillsoftheorganization.[22]

Criticalchainprojectmanagement

Criticalchainprojectmanagement(CCPM)isamethodofplanningandmanagingprojectexecutiondesignedtodealwithuncertaintiesinherentinmanaging
projects,whiletakingintoconsiderationlimitedavailabilityofresources(physical,humanskills,aswellasmanagement&supportcapacity)neededtoexecute
projects.
CCPMisanapplicationofthetheoryofconstraints(TOC)toprojects.Thegoalistoincreasetheflowofprojectsinanorganization(throughput).Applyingthe
firstthreeofthefivefocusingstepsofTOC,thesystemconstraintforallprojectsisidentifiedasaretheresources.Toexploittheconstraint,tasksonthecritical
chainaregivenpriorityoverallotheractivities.Finally,projectsareplannedandmanagedtoensurethattheresourcesarereadywhenthecriticalchaintasksmust
start,subordinatingallotherresourcestothecriticalchain.
Theprojectplanshouldtypicallyundergoresourceleveling,andthelongestsequenceofresourceconstrainedtasksshouldbeidentifiedasthecriticalchain.In
somecases,suchasmanagingcontractedsubprojects,itisadvisabletouseasimplifiedapproachwithoutresourceleveling.
Inmultiprojectenvironments,resourcelevelingshouldbeperformedacrossprojects.However,itisoftenenoughtoidentify(orsimplyselect)asingle"drum".
Thedrumcanbearesourcethatactsasaconstraintacrossprojects,whicharestaggeredbasedontheavailabilityofthatsingleresource.
Onecanalsousea"virtualdrum"byselectingataskorgroupoftasks(typicallyintegrationpoints)andlimitingthenumberofprojectsinexecutionatthatstage.

Processbasedmanagement
TheincorporationofprocessbasedmanagementhasbeendrivenbytheuseofMaturitymodelssuchastheOPM3andtheCMMI(capabilitymaturitymodel
integrationseethisexampleofapredecessor)andISO/IEC15504(SPICEsoftwareprocessimprovementandcapabilityestimation).UnlikeSEI'sCMM,the
OPM3maturitymodeldescribeshowtomakeprojectmanagementprocessescapableofperformingsuccessfully,consistently,andpredictablyinordertoenactthe
strategiesofanorganization.(http://www.opmexperts.com/opm3/)

Leanprojectmanagement
Leanprojectmanagementusestheprinciplesfromleanmanufacturingtofocusondeliveringvaluewithlesswasteandreducedtime.

Extremeprojectmanagement/Megaproject
IncriticalstudiesofprojectmanagementithasbeennotedthatseveralPERTbasedmodelsarenotwellsuitedforthemultiprojectcompanyenvironmentof
today.Mostofthemareaimedatverylargescale,onetime,nonroutineprojects,andcurrentlyallkindsofmanagementareexpressedintermsofprojects.
Usingcomplexmodelsfor"projects"(orrather"tasks")spanningafewweekshasbeenproventocauseunnecessarycostsandlowmaneuverabilityinseveral
cases.ThegeneralizationofExtremeProgrammingtootherkindsofprojectsisextremeprojectmanagement,whichmaybeusedincombinationwiththeprocess
modelingandmanagementprinciplesofhumaninteractionmanagement.

Benefitsrealizationmanagement
Benefitsrealizationmanagement(BRM)enhancesnormalprojectmanagementtechniquesthroughafocusonoutcomes(the
benefits)ofaprojectratherthanproductsoroutputs,andthenmeasuringthedegreetowhichthatishappeningtokeepaproject
ontrack.Thiscanhelptoreducetheriskofacompletedprojectbeingafailurebydeliveringagreeduponrequirements/outputs
butfailingtodeliverthebenefitsofthoserequirements.
Inaddition,BRMpracticesaimtoensurethealignmentbetweenprojectoutcomesandbusinessstrategies.Theeffectivenessof
thesepracticesissupportedbyrecentresearchevidencingBRMpracticesinfluencingprojectsuccessfromastrategicperspective
acrossdifferentcountriesandindustries.[23]
Anexampleofdeliveringaprojecttorequirementsmightbeagreeingtodeliveracomputersystemthatwillprocessstaffdata
andmanagepayroll,holidayandstaffpersonnelrecords.UnderBRMtheagreementmightbetoachieveaspecifiedreductionin
staffhoursrequiredtoprocessandmaintainstaffdata.

Planningandfeedbackloops
inExtremeprogramming(XP)
withthetimeframesofthe
multipleloops.

Processes
Traditionally,projectmanagementincludesanumberofelements:fourtofiveprojectmanagementprocessgroups,anda
controlsystem.Regardlessofthemethodologyorterminologyused,thesamebasicprojectmanagementprocessesor
stagesofdevelopmentwillbeused.Majorprocessgroupsgenerallyinclude:[6]
Initiation
Planning
Productionorexecution
Monitoringandcontrolling
Closing
Inprojectenvironmentswithasignificantexploratoryelement(e.g.,researchanddevelopment),thesestagesmaybe
supplementedwithdecisionpoints(go/nogodecisions)atwhichtheproject'scontinuationisdebatedanddecided.An
exampleisthePhasegatemodel.

Initiating

Theprojectdevelopmentstages[24]

Theinitiatingprocessesdeterminethenatureandscopeoftheproject.[25]Ifthisstageisnotperformedwell,itisunlikelythattheprojectwillbesuccessfulin
meetingthebusinessneeds.Thekeyprojectcontrolsneededhereareanunderstandingofthebusinessenvironmentandmakingsurethatallnecessarycontrols
areincorporatedintotheproject.Anydeficienciesshouldbereportedandarecommendationshouldbemadetofixthem.

Theinitiatingstageshouldincludeaplanthatencompassesthefollowingareas:

Initiatingprocessgroupprocesses[24]

analyzingthebusinessneeds/requirementsinmeasurablegoals
reviewingofthecurrentoperations
financialanalysisofthecostsandbenefitsincludingabudget
stakeholderanalysis,includingusers,andsupportpersonnelfortheproject
projectcharterincludingcosts,tasks,deliverables,andschedules

Planning
Aftertheinitiationstage,theprojectisplannedtoanappropriatelevelofdetail(seeexampleofaflowchart).[24]Themainpurposeistoplantime,costand
resourcesadequatelytoestimatetheworkneededandtoeffectivelymanageriskduringprojectexecution.AswiththeInitiationprocessgroup,afailureto
adequatelyplangreatlyreducestheproject'schancesofsuccessfullyaccomplishingitsgoals.
Projectplanninggenerallyconsistsof[26]
determininghowtoplan(e.g.bylevelofdetailorRollingWaveplanning)
developingthescopestatement
selectingtheplanningteam
identifyingdeliverablesandcreatingtheworkbreakdownstructure
identifyingtheactivitiesneededtocompletethosedeliverablesandnetworkingtheactivitiesintheirlogicalsequence
estimatingtheresourcerequirementsfortheactivities
estimatingtimeandcostforactivities
developingtheschedule
developingthebudget
riskplanning
gainingformalapprovaltobeginwork.
Additionalprocesses,suchasplanningforcommunicationsandforscopemanagement,identifyingrolesandresponsibilities,determiningwhattopurchaseforthe
projectandholdingakickoffmeetingarealsogenerallyadvisable.
Fornewproductdevelopmentprojects,conceptualdesignoftheoperationofthefinalproductmaybeperformedconcurrentwiththeprojectplanningactivities,
andmayhelptoinformtheplanningteamwhenidentifyingdeliverablesandplanningactivities.

Executing
Theexecution/implementationphaseensuresthattheprojectmanagementplan'sdeliverablesareexecutedaccordingly.Thisphaseinvolvesproperallocation,co
ordinationandmanagementofhumanresourcesandanyotherresourcessuchasmaterialandbudgets.Theoutputofthisphaseistheprojectdeliverables.

Monitoringandcontrolling
Monitoringandcontrollingconsistsofthoseprocessesperformedtoobserveprojectexecutionsothat
potentialproblemscanbeidentifiedinatimelymannerandcorrectiveactioncanbetaken,whennecessary,
tocontroltheexecutionoftheproject.Thekeybenefitisthatprojectperformanceisobservedand
measuredregularlytoidentifyvariancesfromtheprojectmanagementplan.
Monitoringandcontrollingincludes:[27]
Measuringtheongoingprojectactivities('whereweare')
Monitoringtheprojectvariables(cost,effort,scope,etc.)againsttheprojectmanagementplanand
theprojectperformancebaseline(whereweshouldbe)
Identifyingcorrectiveactionstoaddressissuesandrisksproperly(Howcanwegetontrackagain)
Influencingthefactorsthatcouldcircumventintegratedchangecontrolsoonlyapprovedchangesare
implemented.

Executingprocessgroupprocesses[24]

Inmultiphaseprojects,themonitoringandcontrolprocessalsoprovidesfeedbackbetweenprojectphases,
inordertoimplementcorrectiveorpreventiveactionstobringtheprojectintocompliancewiththeproject
managementplan.
Projectmaintenanceisanongoingprocess,anditincludes:[6]
Continuingsupportofendusers
Correctionoferrors
Updatestotheproductovertime

Monitoringandcontrollingprocessgroupprocesses[24]

Inthisstage,auditorsshouldpayattentiontohoweffectivelyandquicklyuserproblemsareresolved.
Overthecourseofanyconstructionproject,theworkscopemaychange.Changeisanormalandexpectedpartofthe
constructionprocess.Changescanbetheresultofnecessarydesignmodifications,differingsiteconditions,material
availability,contractorrequestedchanges,valueengineeringandimpactsfromthirdparties,tonameafew.Beyond
executingthechangeinthefield,thechangenormallyneedstobedocumentedtoshowwhatwasactuallyconstructed.
Thisisreferredtoaschangemanagement.Hence,theownerusuallyrequiresafinalrecordtoshowallchangesor,more
specifically,anychangethatmodifiesthetangibleportionsofthefinishedwork.Therecordismadeonthecontract
documentsusually,butnotnecessarilylimitedto,thedesigndrawings.Theendproductofthiseffortiswhatthe
industrytermsasbuiltdrawings,ormoresimply,"asbuilt."Therequirementforprovidingthemisanormin

Monitoringandcontrollingcycle

constructioncontracts.Constructiondocumentmanagementisahighlyimportanttaskundertakenwiththeaidanonlineordesktopsoftwaresystem,ormaintained
throughphysicaldocumentation.Theincreasinglegalitypertainingtotheconstructionindustriesmaintenanceofcorrectdocumentationhascausedtheincreasein
theneedfordocumentmanagementsystems.
Whenchangesareintroducedtotheproject,theviabilityoftheprojecthastobereassessed.Itisimportantnottolosesightoftheinitialgoalsandtargetsofthe
projects.Whenthechangesaccumulate,theforecastedresultmaynotjustifytheoriginalproposedinvestmentintheproject.Successfulprojectmanagement
identifiesthesecomponents,andtracksandmonitorsprogresssoastostaywithintimeandbudgetframesalreadyoutlinedatthecommencementoftheproject.

Closing
Closingincludestheformalacceptanceoftheprojectandtheendingthereof.Administrativeactivitiesincludethe
archivingofthefilesanddocumentinglessonslearned.
Thisphaseconsistsof:[6]
Contractclosure:Completeandsettleeachcontract(includingtheresolutionofanyopenitems)andclose
eachcontractapplicabletotheprojectorprojectphase.
Projectclose:Finalizeallactivitiesacrossalloftheprocessgroupstoformallyclosetheprojectoraproject
phase

Closingprocessgroupprocesses. [24]

AlsoincludedinthisphaseisthePostImplementationReview.Thisisavitalphaseoftheprojectfortheprojectteamtolearnfromexperiencesandapplyto
futureprojects.NormallyaPostImplementationReviewconsistsoflookingatthingsthatwentwellandanalyzingthingsthatwentbadlyontheprojecttocome
upwithlessonslearned.

Projectcontrollingandprojectcontrolsystems
Projectcontrolling(alsoknownasCostEngineering){{Citationneeded|reason=ProjectControlscoveranumberofelementssuchasDesign,Cost,
Schedule,QualityandRisk.Anumberofdisciplinescoverthisarea.|date=November2016}}shouldbeestablishedasanindependentfunctioninproject
management.Itimplementsverificationandcontrollingfunctionduringtheprocessingofaprojectinordertoreinforcethedefinedperformanceandformal
goals.[28]Thetasksofprojectcontrollingarealso:
thecreationofinfrastructureforthesupplyoftherightinformationanditsupdate
theestablishmentofawaytocommunicatedisparitiesofprojectparameters
thedevelopmentofprojectinformationtechnologybasedonanintranetorthedeterminationofaprojectkeyperformanceindicatorsystem(KPI)
divergenceanalysesandgenerationofproposalsforpotentialprojectregulations[29]
theestablishmentofmethodstoaccomplishanappropriateprojectstructure,projectworkfloworganization,projectcontrolandgovernance
creationoftransparencyamongtheprojectparameters[30]

Fulfillmentandimplementationofthesetaskscanbeachievedbyapplyingspecificmethodsandinstrumentsofprojectcontrolling.Thefollowingmethodsof
projectcontrollingcanbeapplied:
investmentanalysis
costbenefitanalysis
valuebenefitanalysis
expertsurveys
simulationcalculations
riskprofileanalysis
surchargecalculations
milestonetrendanalysis
costtrendanalysis
target/actualcomparison[31]
Projectcontrolisthatelementofaprojectthatkeepsitontrack,ontimeandwithinbudget.[27]Projectcontrolbeginsearlyintheprojectwithplanningandends
lateintheprojectwithpostimplementationreview,havingathoroughinvolvementofeachstepintheprocess.Projectsmaybeauditedorreviewedwhilethe
projectisinprogress.Formalauditsaregenerallyriskorcompliancebasedandmanagementwilldirecttheobjectivesoftheaudit.Anexaminationmayincludea
comparisonofapprovedprojectmanagementprocesseswithhowtheprojectisactuallybeingmanaged.[32]Eachprojectshouldbeassessedfortheappropriate
levelofcontrolneeded:toomuchcontrolistootimeconsuming,toolittlecontrolisveryrisky.Ifprojectcontrolisnotimplementedcorrectly,thecosttothe
businessshouldbeclarifiedintermsoferrorsandfixes.
Controlsystemsareneededforcost,risk,quality,communication,time,change,procurement,andhumanresources.Inaddition,auditorsshouldconsiderhow
importanttheprojectsaretothefinancialstatements,howreliantthestakeholdersareoncontrols,andhowmanycontrolsexist.Auditorsshouldreviewthe
developmentprocessandproceduresforhowtheyareimplemented.Theprocessofdevelopmentandthequalityofthefinalproductmayalsobeassessedif
neededorrequested.Abusinessmaywanttheauditingfirmtobeinvolvedthroughouttheprocesstocatchproblemsearlieronsothattheycanbefixedmore
easily.Anauditorcanserveasacontrolsconsultantaspartofthedevelopmentteamorasanindependentauditoraspartofanaudit.
Businessessometimesuseformalsystemsdevelopmentprocesses.Thesehelpassuresystemsaredevelopedsuccessfully.Aformalprocessismoreeffectivein
creatingstrongcontrols,andauditorsshouldreviewthisprocesstoconfirmthatitiswelldesignedandisfollowedinpractice.Agoodformalsystems
developmentplanoutlines:
Astrategytoaligndevelopmentwiththeorganization'sbroaderobjectives
Standardsfornewsystems
Projectmanagementpoliciesfortimingandbudgeting
Proceduresdescribingtheprocess
Evaluationofqualityofchange

Topics

Projectmanagers
Aprojectmanagerisaprofessionalinthefieldofprojectmanagement.Projectmanagerscanhavetheresponsibilityoftheplanning,execution,andclosingofany
project,typicallyrelatingtoconstructionindustry,engineering,architecture,computing,andtelecommunications.Manyotherfieldsofproductionengineering,
designengineering,andheavyindustrialhaveprojectmanagers.
Aprojectmanageristhepersonaccountableforaccomplishingthestatedprojectobjectives.Keyprojectmanagementresponsibilitiesincludecreatingclearand
attainableprojectobjectives,buildingtheprojectrequirements,andmanagingthetripleconstraintforprojects,whichiscost,time,andscope.
Aprojectmanagerisoftenaclientrepresentativeandhastodetermineandimplementtheexactneedsoftheclient,basedonknowledgeofthefirmtheyare
representing.Theabilitytoadapttothevariousinternalproceduresofthecontractingparty,andtoformcloselinkswiththenominatedrepresentatives,isessential
inensuringthatthekeyissuesofcost,time,qualityandaboveall,clientsatisfaction,canberealized.

Projectmanagementtypes
Projectmanagementcanapplytoanyproject,butitisoftentailoredtoaccommodatethespecificneedsofdifferentandhighlyspecializedindustries.Forexample,
theconstructionindustry,whichfocusesonthedeliveryofthingslikebuildings,roads,andbridges,hasdevelopeditsownspecializedformofprojectmanagement
thatitreferstoasConstructionprojectmanagementandforwhichprojectmanagerscanbecometrainedandcertifiedin.[33]TheInformationtechnologyindustry
hasalsoevolvedtodevelopitsownformofProjectmanagementthatisreferredtoasITProjectmanagementandwhichspecializesinthedeliveryoftechnical
assetsandservicesthatarerequiredtopassthroughvariouslifecyclephasessuchasplanning,design,development,testing,anddeployment.Similarly,and
closelyrelated,digitalprojectmanagementspecializesintheleading,planning,organizing,motivatinganddeliveryofwebenabledprojects,typicallyfor
marketingclients,usuallywithadirectconsumertouchpointanddeliveredthroughscreensorconnecteddevicesbydigitalagencies,studios,orinternalweb
teams.[34][35][36]Biotechnologyprojectmanagementfocusesontheintricaciesofbiotechnologyresearchanddevelopment.[37]
Foreachtypeofprojectmanagement,projectmanagersdevelopandutilizerepeatabletemplatesthatarespecifictotheindustrythey'redealingwith.Thisallows
projectplanstobecomeverythoroughandhighlyrepeatable,withthespecificintenttoincreasequality,lowerdeliverycosts,andlowertimetodeliverproject
results.

RiskManagement
TheUnitedStatesDepartmentofDefensestates"Cost,Schedule,Performance,andRisk,"arethefourelementsthroughwhichDepartmentofDefense
acquisitionprofessionalsmaketradeoffsandtrackprogramstatus.[38]Therearealsointernationalstandards.Riskmanagementappliesproactiveidentification
(seetools)offutureproblemsandunderstandingoftheirconsequencesallowingpredictivedecisionsaboutprojects.

Workbreakdownstructure

Theworkbreakdownstructure(WBS)isatreestructurethatshowsasubdivisionofeffortrequiredtoachieveanobjectiveforexampleaprogram,project,and
contract.TheWBSmaybehardware,product,service,orprocessoriented(seeanexampleinaNASAreportingstructure(2001)).[39]
AWBScanbedevelopedbystartingwiththeendobjectiveandsuccessivelysubdividingitintomanageablecomponentsintermsofsize,duration,and
responsibility(e.g.,systems,subsystems,components,tasks,subtasks,andworkpackages),whichincludeallstepsnecessarytoachievetheobjective.[20]
Theworkbreakdownstructureprovidesacommonframeworkforthenaturaldevelopmentoftheoverallplanningandcontrolofacontractandisthebasisfor
dividingworkintodefinableincrementsfromwhichthestatementofworkcanbedevelopedandtechnical,schedule,cost,andlaborhourreportingcanbe
established.[39]Theworkbreakdownstructurecanbedisplayedintwoformsoneinformofatablewithsubdivisionoftaskstwoinformofanorganisational
chart.

Internationalstandards
Therehavebeenseveralattemptstodevelopprojectmanagementstandards,suchas:
ISO21500:2012Guidanceonprojectmanagement.ThisisthefirstprojectmanagementISO.
ISO31000:2009Riskmanagement.Riskmanagementis1ofthe10knowledgeareasofeitherISO21500orPMBoK5conceptofprojectmanagement.
ISO/IEC/IEEE163262009SystemsandSoftwareEngineeringLifeCycleProcessesProjectManagement[40]
CapabilityMaturityModelfromtheSoftwareEngineeringInstitute.
GAPPS,GlobalAllianceforProjectPerformanceStandardsanopensourcestandarddescribingCOMPETENCIESforprojectandprogrammanagers.
AGuidetotheProjectManagementBodyofKnowledgefromtheProjectManagementInstitute(PMI)
HERMESmethod,Swissgeneralprojectmanagementmethod,selectedforuseinLuxembourgandinternationalorganizations.
TheISOstandardsISO9000,afamilyofstandardsforqualitymanagementsystems,andtheISO10006:2003,forQualitymanagementsystemsand
guidelinesforqualitymanagementinprojects.
PRINCE2,PRojectsINControlledEnvironments.
AssociationforProjectManagementBodyofKnowledge[41]
TeamSoftwareProcess(TSP)fromtheSoftwareEngineeringInstitute.
TotalCostManagementFramework,AACEInternational'sMethodologyforIntegratedPortfolio,ProgramandProjectManagement.
VModel,anoriginalsystemsdevelopmentmethod.
TheLogicalframeworkapproach,whichispopularininternationaldevelopmentorganizations.
[AustralianInstituteofProjectManagement]AIPMhas4levelsofcertificationCPPP,CPPM,CPPD&CPPEforCertifiedPracticingProject...Partner,
Manager,DirectorandExecutive.

Projectportfoliomanagement
Anincreasingnumberoforganizationsareusing,whatisreferredtoas,projectportfoliomanagement(PPM)asameansofselectingtherightprojectsandthen
usingprojectmanagementtechniques[42]asthemeansfordeliveringtheoutcomesintheformofbenefitstotheperformingprivateornotforprofitorganization.

Projectmanagementsoftware
Projectmanagementsoftwareissoftwareusedtohelpplan,organize,andmanageresourcepools,developresourceestimatesandimplementplans.Dependingon
thesophisticationofthesoftware,functionalitymayincludeestimationandplanning,scheduling,costcontrolandbudgetmanagement,resourceallocation,
collaborationsoftware,communication,decisionmaking,workflow,risk,quality,documentationand/oradministrationsystems.[43][44]

Virtualprojectmanagement
Virtualprogrammanagement(VPM)ismanagementofaprojectdonebyavirtualteam,thoughitrarelymayrefertoaprojectimplementingavirtual
environment[45]Itisnotedthatmanagingavirtualprojectisfundamentallydifferentfrommanagingtraditionalprojects,[46]combiningconcernsoftelecommuting
andglobalcollaboration(culture,timezones,language).[47]

Seealso
Lists

Relatedfields
Comparisonofprojectmanagement
software
Glossaryofprojectmanagement
Listofcollaborativesoftware
Listofprojectmanagementtopics
Timelineofprojectmanagement
ComparisonofKanbansoftware

Relatedsubjects

Architecturalengineering
Constructionmanagement
Costengineering
Facilitation(business)
Industrialengineering
Projectmanagementsoftware
Projectportfoliomanagement
Projectworkforcemanagement
Softwareprojectmanagement
Systemsengineering
AgileConstruction

Collaborativeprojectmanagement
Decisionmaking
Earnedvaluemanagement
Humanfactors
Processarchitecture
Projectaccounting
Projectgovernance
Programmanagement
Projectmanagementsimulation
Smallscaleprojectmanagement
Softwaredevelopmentprocess
SystemsDevelopmentLifeCycle(SDLC)

References
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Externallinks
GuidelinesforManagingProjects(http://www.berr.gov.uk/files/file40647.pdf)fromtheUKDepartmentfor
Business,EnterpriseandRegulatoryReform(BERR)

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