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Chapter 1 Lecture Notes

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Chapter 1 Lecture Notes

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Esra Üreten
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© © All Rights Reserved
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Chapter 1:

Introduction to Project
Management
Information Technology Project Management, Ninth Edition
Note: See the text itself for full citations

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Learning Objectives (1 of 2)

• Articulate the growing need for better project management.


• Explain what a project is, list various attributes of projects,
and describe constraints of project management
• Define project management and discuss key elements of the
project management framework, including project
stakeholders, the project management knowledge areas,
common tools and techniques, and project success

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

1
Learning Objectives (2 of 2)

• Discuss the relationship between project, program, and


portfolio management and the contributions each makes to
enterprise success
• Summarize the role of project managers by describing what
they do, what skills they need, the talent triangle.
• Recall key aspects of the project management profession,
including important components of its history, the role of
professional organizations like the Project Management
Institute (PMI), the importance of certification and ethics, and
the advancement of project management software

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Introduction (1 of 3)

• Many people and organizations today have a new or renewed


interest in project management
• Worldwide IT spending was $3.5 trillion in 2017, a 2.4 percent
increase from 2016 spending
• The Project Management Institute reported that the number
of jobs reached almost 66 million in 2017. By 2027, employers
will need 87.7 million individuals working in project
management–oriented roles

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

2
Introduction (2 of 3)

• In 2017, the average annual salary (without bonuses) for


someone in the project management profession was
$112,000 in the U.S. and $130,866 in Switzerland
• The top skills employers look for in new college graduates are
all related to project management: team-work, problem-
solving, and verbal communications
• Organizations waste $97 million for every $1 billion spent on
projects, according to PMI’s Pulse of the Profession® report

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Introduction (3 of 3)

• Advantages of Using Formal Project Management:


• Better control of financial, physical, and human resources
• Improved customer relations
• Shorter development times
• Lower costs and improved productivity
• Higher quality and increased reliability
• Higher profit margins
• Better internal coordination
• Positive impact on meeting strategic goals
• Higher worker morale

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

3
What Is a Project?

• A project is “a temporary endeavor undertaken to create a


unique product, service, or result” (PMBOK® Guide, Sixth
Edition, 2017)
• Operations is work done to sustain the business
• Projects end when their objectives have been reached or the
project has been terminated

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Project Attributes

• A project
• has a unique purpose
• is temporary
• drives change and enable value creation
• is developed using progressive elaboration
• requires resources, often from various areas
• should have a primary customer or sponsor
• The project sponsor usually provides the direction and funding for the project
• involves uncertainty
• Project managers work with project sponsors, team, and
other people involved in a project to achieve project goals

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

4
Project Constraints

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

What is Project Management? (1 of 2)

• Project management is “the application of knowledge, skills,


tools and techniques to project activities to meet project
requirements” (PMBOK® Guide, Sixth Edition, 2017)
• Project managers strive to meet the triple constraint (project
scope, time, and cost goals) and also facilitate the entire
process to meet the needs and expectations of project
stakeholders

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

10

5
What is Project Management? (2 of 2)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

11

Project Stakeholders

• Stakeholders are the people involved in or affected by project


activities
• Stakeholders include
• the project sponsor
• banks and other financial institutions
• the project manager
• the project team
• support staff
• suppliers
• opponents to the project

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

12

6
Project Management Knowledge Areas

• Knowledge areas describe the key competencies that project


managers must develop
• Project managers must have knowledge and skills in all 10
knowledge areas (scope, schedule, cost, quality, resource,
communications, risk, procurement, stakeholder, and project
integration management)
• This text includes an entire chapter on each knowledge area

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

13

Project Management Tools and Techniques (1 of 2)

• Project management tools and techniques assist project


managers and their teams in various aspects of project
management
• Some specific ones include
• Project charter, scope statement, and WBS (scope)
• Gantt charts, network diagrams, critical path analysis, critical chain
scheduling (time)
• Cost estimates and earned value management (cost)
• See Table 1-1 for many more

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

14

7
Project Management Tools and Techniques (2 of 2)

• PMBOK® Guide – Sixth Edition lists tools and techniques


based on their purpose:
• Data gathering
• Data analysis
• Data representation
• Decision making
• Communication
• Interpersonal and team skills
• Ungrouped

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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Project Success (1 of 4)

• There are several ways to define project success:


• The project met scope, time, and cost goals
• The project satisfied the customer/sponsor
• The results of the project met its main objective, such as making or
saving a certain amount of money, providing a good return on
investment, or simply making the sponsors happy

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

16

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Project Success (2 of 4)

Factors of Success Points

Executive sponsorship 15

Emotional maturity 15

User involvement 15

Optimization 15

Skilled resources 10

Agile processes 7

Modest execution 6

Project management expertise 5

Clear business objectives 4

Source: The Standish Group, CHAOS Manifesto 2015 (2015)


Table 1-2 What Helps Projects Succeed?

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

17

Project Success (3 of 4)

• Top three reasons why federal technology projects succeed


• Adequate funding
• Staff expertise
• Engagement from all stakeholders

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

18

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Project Success (4 of 4)

• Research findings show that companies that excel in project


delivery capability:
• Use an integrated toolbox
• Grow project leaders
• Develop a streamlined project delivery process
• Measure project health using metrics, like customer satisfaction or
return on investment

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

19

Program and Project Portfolio Management

• About one-quarter of the world’s gross domestic product is


spent on projects
• Two important concepts that help projects meet enterprise
goals:
• Use of programs
• Project portfolio management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

20

10
Programs

• A program is “a group of related projects managed in a


coordinated manner to obtain benefits and control not
available from managing them individually” (PMBOK® Guide
— Sixth Edition, 2017)
• Examples of common programs in the IT field include
infrastructure, applications development, and user support
• A program manager provides leadership and direction for the
project managers heading the projects within the program

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

21

Project Portfolio Management (1 of 2)

• As part of project portfolio management, organizations group


and manage projects and programs as a portfolio of
investments that contribute to the entire enterprise’s success
• Portfolio managers help their organizations make wise
investment decisions by helping to select and analyze projects
from a strategic perspective

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

22

11
Project Portfolio Management (2 of 2)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

23

Organizational Project Management (1 of 2)

• Organizational project management


• Framework in which portfolio, program, and project management are
integrated with organizational enablers in order to achieve strategic
objectives

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

24

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The Role of the Project Manager

• Project managers must work closely with the other


stakeholders on a project, especially the sponsor and project
team
• They are also more effective if they are familiar with the 10
project management knowledge areas
• And the various tools and techniques related to project management

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

25

Project Manager Job Description

• Job descriptions vary, but most include responsibilities like


planning, scheduling, coordinating, and working with people
to achieve project goals
• Project management is a skill needed in every major IT field,
from database administrator to network specialist to technical
writer

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

26

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Suggested Skills for Project Managers (1 of 2)

• The Project Management Body of Knowledge


• Application area knowledge, standards, and regulations
• Project environment knowledge
• General management knowledge and skills
• Soft skills or human relations skills

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

27

Suggested Skills for Project Managers (2 of 2)

• Six traits of highly effective project managers as follows:


• Be a strategic business partner
• Encourage and recognize valuable contributions
• Respect and motivate stakeholders
• Be fully vested in success
• Stress integrity and accountability
• Work in the gray/Be able to deal with ambiguity

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

28

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PMI Talent Triangle® and the Importance of
Leadership Skills*

• The talent triangle includes:


• Technical project management skills
• Strategic and business management skills
• Leadership skills
• Leadership styles include:
• Laissez-faire
• Transactional
• Servant leader
• Transformational
• Charismatic
• Interactional

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

29

The Project Management Profession

• The profession of project management is growing at a very


rapid pace
• It is helpful to understand the history of the field, the role of
professional societies like the Project Management Institute,
and the growth in project management software

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

30

15
History of Project Management (1 of 4)

• Some people argue that building the Egyptian pyramids was a


project, as was building the Great Wall of China
• Most people consider the Manhattan Project to be the first
project to use “modern” project management
• This three-year, $2 billion (in 1946 dollars) project had a
separate project manager and a technical manager

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

31

History of Project Management (2 of 4)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

32

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History of Project Management (3 of 4)

• In the 1990s, many companies began creating PMOs to help


them handle the increasing number and complexity of
projects
• A Project Management Office (PMO) is an organizational
group responsible for coordinating the project management
function throughout an organization

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

33

History of Project Management (4 of 4)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

34

17
The Project Management Institute

• The Project Management Institute (PMI) is an international


professional society for project managers founded in 1969
• PMI has continued to attract and retain members, reporting
more than 500,000 members worldwide by late 2017
• There are communities of practices in many areas, like
information systems, financial services, and health care
• Project management research and certification programs
continue to grow

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

35

PMI Student Membership

• Students can join PMI at a reduced fee and earn the Certified
Associate in Project Management (CAPM) certification(see PMI
for details)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

36

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Project Management Certification (1 of 2)

• PMI provides certification as a Project Management


Professional (PMP®)
• A PMP® has documented sufficient project experience,
agreed to follow a code of ethics, and passed the PMP® exam
• The number of people earning PMP® certification is
increasing quickly

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

37

Project Management Certification (2 of 2)

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

38

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Ethics in Project Management

• Ethics, loosely defined, is a set of principles that guide our


decision making based on personal values of what is “right”
and “wrong”
• Project managers often face ethical dilemmas
• In order to earn PMP® certification, applicants must agree to
PMI’s Code of Ethics and Professional Conduct
• Several questions on the PMP® exam are related to
professional responsibility, including ethics

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

39

Project Management Software*

• There are hundreds of different products to assist in


performing project management
• Three main categories of tools:
• Low-end tools: Handle single or smaller projects well, cost under
$200 per user
• Midrange tools: Handle multiple projects and users, cost $200-
$1,000 per user, Microsoft Project is still the most popular
• High-end tools: Also called enterprise project management software,
often licensed on a per-user basis
• Several free or open-source tools are also available

Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

40

20
Chapter Summary

• A project is a temporary endeavor undertaken to create a


unique product, service, or result
• Project management is the application of knowledge, skills,
tools, and techniques to project activities to meet project
requirements
• A program is a group of related projects managed in a
coordinated way
• Project portfolio management involves organizing and
managing projects and programs as a portfolio of investments
• Project managers play a key role in helping projects and
organizations succeed
• The project management profession continues to grow and
mature
Information Technology Project Management, Ninth Edition. © 2019 Cengage. May not be copied, scanned, or duplicated, in whole or in part, except
for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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