UNIT ONE: Projects and the Scope of Project

1.1. Definitions of Projects

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  What do you think is a project?
 Can you list few examples of projects ?

The term project originated from the Latin verb ‘projectum’ meaning to throw forward. This
denotes the idea that proposals which may introduce new ideas improvements and changes are put
forward. Organizations perform works which generally involve either operations or projects,
although the two may overlap. Operations and projects share many characteristics; for example,
they are:
 Performed by people
 Constrained by limited resources
 Planned, executed and controlled
Projects are often implemented as a means of achieving an organization’s strategic plan. Projects
and operations differ primarily in that operations are on going and repetitive while projects are
temporary and unique. The Unique nature of a project implies to the product or service different in
some distinguishing way from all other products or services.
For many organizations, projects are means to respond to those requests that cannot be addressed
within the organization’s normal operational units.
It is difficult to have a single and comprehensive definition of a project mainly because projects are
different in their nature, objectives and people forwarding definitions have different knowledge,
skill, view etc. Accordingly, some of the definitions include the following.
 Project is a specific activity with specific starting and ending points intended to accomplish
a specific objective.
 A project is a plan that has a beginning and an end. It has specific goals, conditions and
responsibilities. You can have a project in a community or in a household.
 A project is an investment activity up on which resources are expended to create capital
assess that will produce benefits over an extended period of time which logically lends to
planning, financing, implementing as a unit.
 A project is seen primarily as a planning process which uses one or more scarce resources
during a specific time for the purpose of producing some economic returns or output at a
later date.
 A project is a capital investment to develop facilities to provide goods and service.
 A project is a problem scheduled for solution”. Problem refers to the gap between where
you are and where you want to be, with an obstacle that prevents easy movement to close
the gap.

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  Projects are a group of activities that have to be performed with limited resources to yield
specific objectives, in a specific time, and in a specific locality. Thus, a project is a
temporary endeavour employed to create a unique product, service or results.
 According to the Project Management Institute (PMI) (2004) a project is any work that
happens only once, has a clear beginning and end, and is intended to create a unique product
or knowledge. It may involve only one person, or thousands. It may last several days, or
many years. It may be undertaken by a single organization, or by an alliance of several
stakeholders. A project may be as simple as organizing a one-day event or as complex as
constructing a dam on a river.
 A project can also be taken as to mean a set of investment activities aimed at achieving
specific development objectives within a pre-determined time frame and resources.
 A project is a means by which a local, regional or national development plans or ideas are
realized.
Projects are undertaken at all levels of the organization. They may involve a single person or many
thousands. Their duration ranges from a few weeks to more than five years. Projects may involve a
single unit of one organization or may cross organizational boundaries, as in joint ventures and
partnering.
Projects are critical to the realization of the performing organization’s business strategy because
projects are a means by which strategy is implemented. Examples of projects include:
 Developing a new product or service
 Effecting a change in structure, staffing, or style of an organization
 Designing a new transportation vehicle
 Developing or acquiring a new or modified information system
 Constructing a building or facility
 Building a water system for a community
 Running a campaign for political office
 Implementing new business procedure or process
 Building new schools or additional classrooms

In general project is simply task or series of tasks that has a definable beginning and end, and requires the
expenditure of one or more resources that must be completed in order to achieve the objective for which it is
instituted. It can be seen as an act of capital investment using (scarce) resources to develop facilities for the
provision of good and services. In other words, a project is that it is an activity on which money will spend in
expectation of returns, and which logically seems to lend itself to planning, financing, and

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implementation as a unit. It is specific activity with a specific starting point, and a specific ending point
intended to accomplish a specific objective.

1.2. Origins and Characteristics of Projects

 How projects are evolved? ,
 Can you list the major characteristics of projects?

1.2.1 Origins of Projects

Projects have existed for as long as people have set out to accomplish a specific objective with
limited resources. However, until relatively recently, these ‘objectives’ were not seen as projects;
they were seen as acts of worship, engineering, nation building, war, etc., and the people controlling
the endeavours called themselves priests, engineers, architects, generals, etc. The use of the terms
‘project’ and ‘project management’ have only become common within the last 50 years and largely
align with the growth of ‘project management associations’. Despite the abundance of projects in
earlier times, no one talked about ‘project management’ until the 1950s; and the spread of
discussions around and about project management seems to have closely followed the spread of
scheduling in the 1960s. Certainly, the advent of scheduling as a discipline completed the iron
triangle of time, cost and scope; as defined by Dr. Martin Barnes in 1969.

The evolution of project management also seems to have mirrored the evolution in general
management; starting with a focus on ‘scientific’ (or hard) processes in the early years, moving to a
softer skills focus in the 21st century.
The appointment of people as ‘project managers’ only started to emerge in the 20 th century. In
earlier times, the leadership of the project endeavor moved from a generalist role held by the
coordinating architects such as Wren (15 th to 17th C), responsible for all aspects of design and
delivery including cost control and time management; to more specialist roles and responsibilities
assigned by contract in the 18 th and 19th centuries to ‘program’ and then ‘project’ management in
the 20th century. Sophisticated contractual arrangements for the execution of major building works
were in use 2500 years ago. The Long Walls in Athens were managed by the Architect Callicrates
with the work let to ten contractors. A few centuries later the Coliseum was built by four
contractors.
These contracts contained detailed specifications of the work and requirements for guarantees,
methods of payment and completion time were usually important considerations. Much of this

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sophistication was lost with the collapse of the Roman Empire in the 5 th century and only started to
re-emerge in Europe during the Renaissance.
These trends continued into the 17 th and 18th centuries with contractual transactions forming an
important part of the realization of most projects. By the 18th century the professions of (design)
Engineer and Architect had evolved into professional societies and those who built the projects
were contractually and organizationally separate from the designers. One of the earliest business
management roles that could be defined as ‘project management’ was the role of Proctor and
Gamble’s ‘brand managers’ in the mid to late 1920’s. These managers were responsible for the
overall marketing, planning and control of a product and the integration of those functions
influencing the success of the venture. By the 1930’s the US Air Force was starting to use ‘project
offices’ to monitor the progress of aircraft developments and process engineering companies such
as Exxon had begun to develop the ‘Project Engineer’ function to follow a project as it progressed
through various functional departments15. These developments are definitely a pre-cursor to the
shift from functional organization structures to matrix management, and are close to project
management, but lack the emphasis on implementation and the processes found in project
management. These techniques grew out of the development of general management theory.
By the end of the 1950s the idea of appointing a ‘project manager’ either as an individual or as an
organization to take full and undivided responsibility for achieving the project objectives had
arrived and was starting to spread. The genesis of the ideas that led to the development of modern
project management can arguably be traced back to the protestant reformation of the 15th century.
Since the 1960s, new or modern management viewpoints have also emerged.
To sum up the 1950s marked the beginning of the modern project management era where core
engineering fields come together to work as one. Project management became recognized as a
distinct discipline arising from the management discipline with engineering model.
As a discipline, project management developed from several fields of application including civil
construction, engineering, and heavy defense activity. Two forefathers of project management are
Henry Gantt, called the father of planning and control techniques, who is famous for his use of the
Gantt chart as a project management tool (alternatively Harmonogram first proposed by Karol
Adamiecki; and Henri Fayol for his creation of the five management functions that form the
foundation of the body of knowledge associated with project and program management
1.2.2. Characteristics of Projects
Though projects can be defined in various ways and differ in many respects, they have the
following common features:

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  Projects in expectation of future benefits
 Projects are activities that are capable of being planned, financed, and implemented as a unit
 Projects have defined sets of objectives and specific start and end time frames
 Projects have their own geographical or locational boundaries in which they are to be
implemented
 Projects have a partially or wholly independent management or administrations
 Projects have pre-determined objectives, time frame, inputs, mode of operations, outputs
and impacts
 Projects can range from very large national level activities with millions of Birr investment
to very small community level projects with a few thousand Birr investment. The huge
national level projects are often known as macro projects while the smaller ones are termed
as micro and mini projects.
Whatever level of projects we are considering, the definition and main features are more or less
similar although the amount of resources and level of complexity could be different. Moreover,
projects may have intended and unintended social, economic, and environmental impacts that far
outlast the projects themselves.
1.3. Plans, Programmes and Projects
What is the relationship between plans, programmes and project?

Certain types of endeavours are closely related to projects. There is often a hierarchy of strategic
plan, program, project, and sub projects, in which a program consisting of several other associated
projects will contribute to the achievement of a strategic plan. Development policies and plans are
often broad. They usually show the general direction of actions that lead to achieving goals. As
plans are not suitable for operational purposes, there is a need to reduce them into smaller packages
of action.
The first step in cutting a development plan into package of action is called program. The second
stage is the project where the programs are reduced into smaller implementable units of action.
The related undertakings and definition of program, projects and plans are described as follows:

What is a Program?
Programs are bigger packages of action involving various projects directed towards achieving one
or more objectives. It is also a group of related projects managed in a coordinated way to obtain

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benefits and control not available from managing them individually. Programmes may include
elements of related work (e.g., ongoing operations) outside the scope of the discrete projects in a
program.
Programs and projects deliver benefits to organizations by enhancing current or developing new
capabilities for the organization to use. A benefit is an outcome of actions and behaviours that
provide utility to stakeholders. Benefits are gained by initiating projects and programs that invest in
the organization’s future. Programs, like projects, are means of achieving organizational goals and
objectives, often in the context of strategic plan.
Programs and program management have been in a wide spread use for some time and have come
to mean many different things. Some organizations and industries refer to ongoing or cyclical
streams of operational or functional work as programs.

What is program management?

Program management is the centralized, coordinated management of a program to achieve the
program’s strategic benefits and objectives. In addition, it allows for the application of several
broad management themes to help ensure the successful accomplishment of the programs. The
themes are: benefits management, stakeholder management, and program governance.
Managing multiple projects by means of a program allows for optimized or integrated cost,
schedules, or effort; integrated or dependent deliverables across the program, delivery of
incremental benefits, and optimization of staffing in the context of the overall program’s needs.
Projects may be interdependent because of the collective capability that is delivered, or they may
share a common attribute such as client, customer, seller, technology, or source.

A program may link projects in various other ways, including the following:
 Interdependencies of tasks among the projects, such as meeting a new regulatory requirement
for the organization or delivery of an enabling service
 Resource constraints that may affect projects within the program
 Risk mitigation activities that impact the direction or delivery of multiple projects
 Change in organizational direction that affects the work of projects and their relationships to
other projects and works
 Escalation points for uses, scope changes, quality, communications management, risks, or
program interface/ dependencies

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 Program management focuses on these project interdependencies and determines the optimal
pacing for the program. This enables appropriate planning, scheduling, executing, monitoring
and controlling of projects within the program. In essence, factors such as;
 Strategic benefits,
 Coordinated planning,
 Shared resources,
 Interdependencies, and
 Optimized pacing
Contribute to determining whether multiple projects should be managed as a program. Projects,
however, focus on the attainment of a specific objective which may be part of a programme. There
is some degree of relationship among projects, plans and programmes. There are also significant
differences among them. The following diagram illustrates the relationships among development
policies/plans, programmes and projects.

Relationship among Policy/plans, Programmes and Projects

Development
policy/plan

Program
Program Program
3
1 2

Development Goals/Objectives
Project Project Project

1 2
Development Strategy 3

Development Plan

Relationship
Educationbetween projects, plans andIndustry
Agriculture programs Service

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Project Project Project Project Project Project

1 2 3 1 2 3
Examples of the relationship between programs and projects:
Let us assume that ABC organization has a goal of improving the standard of living of poor
disabled people in Dessie . This goal can be attained through several interventions such as:
 Increasing the education and health level of the target group
 Creating income-generating opportunities for the disabled people
 Upgrading the skills of disabled people to increase their chance of being employed
 Advocacy and resource support for the disabled
Each of the above packages of action can be projects on their own. They can meet specific
objectives. However, when they are put together, they become program that focus on improving the
living standards of the disabled.
Programs therefore have broader scopes than projects. Programs can also be of longer period of
time compared to projects which have shorter life and or specific objectives.

1.4. Scope of Projects

Can you explain scope of projects in education?

Projects can range from very large national level activities with millions of birr investment to very
small community level projects with a few thousand birr investment. The huge national projects are
often known as macro projects while the smaller ones are termed as micro and mini projects.

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Scope is, therefore, a statement that defines the boundaries of the project. It is also a magnitude or
size of the project. Projects are distinguished from operations and from programs when they are
critically examined based on project attributes such as;
 Temporary endeavour,
 Unique deliverable,
 Progressive elaboration and
 Involving uncertainty. Each of these attributes is discussed hereunder.
a) Temporary Endeavour
To be temporary signifies that there is a discrete and definable beginning and conclusion; the
management of a project requires tailored activities to support this characteristic, as such, a key
indicator of project success is how it performs against its schedule—that is, does is start and end on
time.
b) Unique Deliverable
The uniqueness of the deliverable, whether it is a product, service, or result, requires a special
approach in that there may not be a pre-existing blueprint for the project’s execution and there may
not be a need to repeat the project once it is completed. Uniqueness does not mean that there are not
similarities to other projects, but that the scope for a particular project has deliverables that must be
produced within constraints, through risks, with specific resources, at a specific place, and within a
certain period; therefore, the process to produce the deliverable as well as the deliverable itself is
unique.
c) Progressive Elaboration
This unique process and deliverable produces the third characteristic of a project: progressive
elaboration. Project management is a group of interrelated processes, implemented in a
progressively elaborative manner, in which to produce the deliverable. Progressive elaboration is
the revealing and focusing of details through time. For example, in the engineering design process,
a general and broad concept may be a starting point for the design team; but through the design
process, the concept is narrowed to a specific scope and is further elaborated to achieve the
completed design; moreover, it may continue to be elaborated and not be finalized until the product,
service, or result is delivered.
d) A project involves uncertainty

Because every project is unique, it is sometimes difficult to define the project’s objectives clearly,
estimate how long it will take to complete, or determine how much it will cost.

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External factors also cause uncertainty, such as a supplier going out of business or a project team
member needing unplanned time off. This uncertainty is one of the main reasons that make project
management so challenging.

1.4.1. Project Parameters

What do you think are project constraints?

Parameters are indicators one defines and then add to multiple categories of elements in a project.
They are specific to the project and cannot be shared with other projects. You can then use those

project parameters in multi-category or single-category schedules. Every project is constrained in

different ways by its scope, time, and cost goals. These limitations are sometimes referred to in
project management as the triple constraint. To create a successful project, a project manager must
consider scope, time, and cost and balance these three often-competing goals. He or she must
consider the following:
Scope: What work will be done as part of the project? What unique product, service, or
result does the customer or sponsor expect from the project?
Time: How long should it take to complete the project? What is the project’s schedule?
Cost: What should it cost to complete the project? What is the project’s budget?

The triple constraints of a Project

Projects are usually based on three major factors, time, cost, and scope. Once these three aspects are
defined, it is the project manager’s responsibility to manage within the constrained values. For
instance, if a project’s scope must be met at a maximum budget of 5 Million Birr, and completed
within fifteen months, then the project manager must continually evaluate the impact on cost, and
time, if additional project scope is proposed. This places the project manager in a unique role.
Technical personnel tend to place their highest priority on the technical aspects of the product

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(scope), and give lower priority to the schedule (time) and budget (cost). Finance personnel tend to
place their highest interest on cost, and generally remained unconcerned about time or scope.
When project managers face the need to trade-off one of these three constraints against another a
problem arises. Which of the three is to be sacrificed in order to meet the more important one? In
other words, if a proposed change in scope is being considered, and it can be accomplished by
adding more personnel (cost increase), or by extending the project completion date by working
within the number of available people, which is the best choice? The only way for the project
manager to make an intelligence choice is by knowing the priorities of the triple constraint factors.
While the term “triple constraint” implies that only three factors are important in many cases other
constraints must be considered. These may include vital aspects such as customer satisfaction,
product quality, and project risks. Whatever the established constraints are, it is the project
manager’s role to maintain a balance between them based on their priorities. Project managers must
avoid the mistake of establishing these priorities unilaterally. Instead, there must be agreement by
the project’s key stakeholders.

1.4.2. Project Classification

It is desirable to develop methods to classify the projects as the nature of the project will influence
the approach adopted to manage the project. It is particularly important to realize when the
traditional project management technique is in-appropriate and when it needs to be modified.
D'Herbemont and Cesar (1998) has described certain projects are sensitive on the basis of the
degree of technical and human difficulty. The technical difficulty involves dealing with
technology and related problems such as new and innovative technology, management of
technological development, risks and dependencies. While the human difficulty (usually politics)
resulting from the interests of internal and external stakeholders or public, who influence the
outcome of the project. The internal factors being project resourcing, conflict management and
agreement of client and suppliers on what is being delivered as per contract. The external factors are
impact from politics, laws and regulation, socio-economy, public opinion, market conditions and
project financing.
1. Technical Difficulty – The projects are technically complex due to uncertainty in technology
and/or work methods and project tasks. The uncertainty in technology projects is due to the
degree of innovation required or organizational change.

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In the case of organizational change project, the complexity will depend upon, if the change is
internal or external to the organization. What is the impact of the change? Will the change deliver
business benefit? In both of these types, the project tasks would need to be defined for the short
term and modified as the project develops. Such projects can be best managed using the direct-
strategy, which consists of defining the scope, logically structuring the project in successive tasks,
planning and controlling via tracking and reporting on the progress.
2. Human Difficulty - The human difficulties arise when people within and outside the
organization can exert significant influence on the project. Such projects are best managed using
indirect strategy, which enforces use of tactics to manage stakeholders (external and/or
internal). The required approach is usually to manage the conflict such that all parties are in
agreement. Internally, the project can face resourcing problem and when the technical projects
become dependent upon key people who posses certain skills that are difficult to replace if that
resource quits, it becomes an identified risk. Another key human related issue is documenting
the technical development - no one documents what they do. They just do it. It remains in their
heads. This introduces point of failures in the project. A documenting culture needs to be
promoted by the stakeholders to avoid these single points of failures. The human factor will be
limited to the technical skills and expertise.

Project Classification Elements

There are a number of factors, which combine to define the project classification:
 Project Focus –– is this piece of project work targeted at a new or changed business process
which will be implemented without changing the existing information technology systems
or is it about using information technology to enable and implement a change to the way we
try to improve the quality of services? Does the project is intended to reengineer the
business processes or improve access to information technology or enhancing the quality of
educational programs in schools.
 Project Risks - All projects have risks associated with them. Understanding the degree of
risk and the nature of these risks is important to the selection of the methodology elements.
The methodology identifies project risks at three levels – Low, Medium and High.
 Total Investment – Project size is measured in the overall investment, in the following
bands. For instance, we can classify educational projects based on the amount of fund to be
invested at national level as follows.
Under 250,000 Birr ---------------------Enhancement
250,000 to 1M Birr----------------------Small project

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 1M to 3M Birr----------------------------Medium project
3M to 10M Birr--------------------------Large project
10M or more Birr------------------------Very large project
The larger the investment involved in the project, the more rigid the governance and oversight
activities must be.
 Communication Complexity. There are three aspects to complexity: the number of people who
are actively involved in the project, geographical/temporal distribution of the project activities
and cultural distribution of the project team. The more people there are on the project, the more
reliance there must be on written artifacts for the explicit transfer of knowledge. Likewise, the
larger the geographic distances over which the teams are spread the more reliance there must be
on written communication. Where teams are distributed over large geographic distances they are
often unable to effectively coordinate verbal conversations and must correspond in writing.
Where team members are from different cultural backgrounds they must work harder to ensure
that they understand each other. We can rank communication complexity in to three:
 Low Complexity - The team is small, located within the same geographic area and largely
homogeneous. Projects of this nature are well suited to low-ceremony largely verbal
communications, with an expectation that the team will talk to each other frequently.
 Medium Complexity - Any two of the three factors are present that will prevent the team from
communicating effectively at all times. Perhaps there are groups within the project team that are
co-located but other team members are off-site, or the total team is too large to get together at
one time. Project of medium communications complexity will require more formal, written
communication than a low complexity project, but there will still be some reliance on verbal
informal communication.
 High Complexity - Large teams, outsource/offshore development activities and distributed
multi-cultural teams will require much more formal communication channels and will necessitate
reliance on formal, written artifacts, with rigorous review and sign-off procedures. These
projects will by definition take longer and run higher risk of misunderstood requirements. Team
members are encouraged to talk to each other frequently and build relationships to reduce the
risk involved in having to rely on explicit communications channels.
Projects are also classified based on time requirements to accomplish project objectives:
 Short Range Projects: They are completed within one year, and are focused towards achieving
the tactical objectives. They are less rigorous; require less or no risk. They are not cross
functional. These projects require limited project management tools, and have low level of

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 sophistication. It is easy to obtain approval, funding and organizational support for short range
projects.
 Long Range Projects: These projects involve higher risk and a proper feasibility analysis is
essential before starting such projects. They are most often cross functional. Their major impact
is over long period of time, on internal as well as external organization. Large numbers of
resources are required to undertake long range projects and they require breakthrough initiatives
from the members.
Can you list the benefits and common elements of projects?

Benefits of Projects;- According to Wishen and Lindblom/1987/ the benefits of projects can be
summarized as; help gather resources for a limited period to achieve a goal, enable to solve a
problem more quickly and smoothly than the usual organizational work and help achieve better
coordination and cooperation in decision making.
Common Elements of Projects;- These includes :Clients /stack holders / beneficiary,
Purpose/impact, project scope, project team, schedule, cost estimates, performance indicators, and
critical factors.

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Chapter Two; The Project Cycle
2.1. The Meaning of Project Cycle
What is project cycle?

The life of a project is usually divided into several successive stages. The sequence is often known
as the project cycle. This step in modern project management commonly follows five successive
steps. These are;
 Project identification,
 Project preparation/formulation,
 Project appraisal,
 Project implementation and
 Project evaluation
Each stage is usually the logical successor of the previous one. The project cycle explained above in
terms of five phases, distinctions among these phases, especially between identification and
preparation, are often unclear in practice and their relative importance varies greatly, depending on
the character, scale and history of the project. The five phases of the project cycle should be viewed
as interactive steps, not as a linear set of sequential steps.
Situation analysis

2.2. Identification of Projects

 What is project identification?

 What are the major activities done at this stage?
 As a process where do you think project identification starts?

Project identification is the first phase of a project cycle. It is a recurrent process for documenting,
ranking and approving candidate projects within an organization. It is the process of checking if
candidate projects should be undertaken by the organization. To have successful project
identification, it should contain clear and good management arrangements.
Project identification is, the process of generating several project ideas and selecting one or more
ideas for possible project preparation and investment.
At this stage there are three basic activities that must be done . These are:

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1. Situation analysis
Project identification starts from identifying environmental problems to be addressed and the needs
and interests of possible beneficiary’s and stakeholders. The problems and the most realistic and
effective interventions are analysed, and ideas for projects and other actions are identified and
screened. An environmental situation needs to be assessed and analysed. This objective analysis
enhances understanding of the likely causes and linkages between existing problems and the needed
actions.
A situational analysis based on a scientifically sound conceptual framework generates key actions
and strategies to be applied for the intended project intervention. A situation analysis should
include; gathering of data identification and analyses of needs, interests, strengths and weaknesses
of key stakeholders and beneficiaries and prioritization of needs. Each of them are discussed here
under.
A. Data gathering, The type and amount of data required may vary according to the kind,
magnitude and complexity of the project. Whatever the level of project may be, good project
identification needs to begin with some information. The data required may be quantitative,
qualitative or both. It might focus on socio-economic data, human resources data, geographical
data, etc. that can serve as some kind of baseline.
B. Identifying needs:-Needs assessment is the process of identifying interests, aspirations, wishe
or wants of people. It helps to know the gaps between ‘what is’ and ‘what should be’.
Therefore, needs assessment should be conducted with the participation of the target population.
The needs should directly emanate from the community in question. Needs are the basis for
project ideas and objectives.
Steps in Systematic need assessment process

Identification of needs - Prioritization of needs - Levelling of needs –

Decision on what needs to be addressed

Need assessment techniques : For the purpose of project identification, needs assessment
techniques: observations ,interviews, storytelling, questionnaire, meetings, case studies,visits etc.
can be used.
C. Identifying priority areas, Prioritization of needs is putting needs in ranking order from those
needed at the highest level to the lowest. Prioritization of needs could be done through various
methods from simple counting of votes to scoring.

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This method is used through allocating equal number of cards, stickers or other items like small
stones or grains for illiterate community members to distribute among the needs identified
according to importance for them. The need with the highest score or count becomes the top
priority and the other will follow according to the points they are able to attract.

2. The identification test

A proposal may be deemed to have passed the identification test and be ready for detailed
preparation when:
 Major options and alternatives have been identified and some initial choices made;
 The principal institutional and policy issues affecting project outcome have been
identified and deemed amenable to solution;
 The project options selected are expected to be justified, given rough estimates of the
expected costs and benefits;
 There is justifiable expectation that the project will have adequate support from the
relevant political authorities, other stakeholders and the intended beneficiaries;
3. Preparation of concept proposal for sponsorship
 Project formulation begins with the drafting of a proposal for sponsorship (a short concept
proposal of 4-5 pages) that lays out preliminary ideas, objectives, results, strategies, outputs
and activities.
 This proposal is used as the basis for consultations with implementing partners and
Governments.

2.2.1. Screening and Justification of Project Ideas

Screening and justification of project ideas ;
 Helps select more feasible projects among several project ideas,
 Enable to put arguments to convince potential stakeholders and donors
 It helps avoid wastage of scarce resource.
For the purpose of screening and justification of project ideas, one has to use consider;
 Issues or problems to be addressed in the project work
 The goals attained at the end of the project
 Appropriateness of project beneficiaries
 Local community (beneficiary),policy, etc support for the project
 Project sustainability factors

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 2.2.2. Project Identification Brief
Identification of project ideas usually requires imagination, sensitivity to local or environmental
changes and realistic assessment of what the organization or institution can do. There are several
sources of project ideas. The classifications may be:
Macro/micro level sources that include projects initiated by the government at large or by the
community at woreda and kebele levels, and
Systematic ; The systematic source of the project idea may include policy reviews and
development plans, sectoral strategies and sub sectoral programs, surveys by local governments and
regional organizations, and reviews of past projects
Unsystematic sources. This , on the other hand, may emanate from some powerful and visionary
individuals.
2.3. Preparation/ formulation of Projects
What major activities must be done at project Preparation stage?

Project formulation begins with the drafting of a proposal for sponsorship (a short concept proposal
of 4–5pages) that lays out preliminary ideas, objectives, results, strategies, outputs and activities.
This proposal is used as the basis for consultations with implementing partners and governments
and other sponsors. At this stage the following four major activities should be done by project
planners.
1. Feasibility study
A feasibility study should form the core of the proposal preparation process. Its purpose is to
provide stakeholders with the basis for deciding whether or not to proceed with the project and for
choosing the most desirable options. The feasibility study must provide answers to the following
basic questions:
 Does the project conform to the development and environmental objectives and priorities of
the specific country and or region?
 Is the project technically and scientifically sound, and is the methodology the best among
the available alternatives?
 Is the project administratively manageable?
 Is there adequate demand for the project’s outputs?
 Is the project financially justifiable and feasible?
 Is the project compatible with the customs and traditions of the beneficiaries?
 Is the project likely to be sustained beyond the intervention period?

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Conducting a feasibility study is a good business practice that helps ensure project success. It will
also help:
 Give focus to the project and outline alternatives
 Surface new opportunities through the investigative process
 Identify reasons not to proceed
 Enhance the probability of success by addressing and mitigating factors early on that could
affect the project
 Provide quality information for decision making
 Help in securing funding from lending institutions and other monetary sources

2. Project Document Formulation

Project preparation and formulation and project document formulation are simultaneous processes.
Once the feasibility study has taken place and implementation arrangements are agreed upon, the
concept proposal (which would have been revised throughout the process) is transformed and
expanded into a project document throughout the project preparation and formulation phase. The
project document is a summary of the situation assessment, justification of methodology and
strategies for achieving the targeted changes, which come from each step taken through project
cycle 1. Since project formulation is an iterative process, it is important to consult again with
selected partners and colleagues as the document is formulated.

The project document t has to be prepared in project proposal form. Project proposal must be
prepared in generally agreed format. There are various ways of presenting project proposals.
Different donors prescribe their own particular formats for project presentation. Whatever the case
may be, the major elements involved in a project presentation have similarities. Below is the
general format for the presentation of project proposal.

What are the ingredients of project proposal?

1. Title page
 Should be brief and concise
 Indicate the kind of action processed in the project
2. Executive summary/not mare than a page or two/
 Project title
 Project location

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  Sector
 Executing organization
 Contact person and address
 Project description
 Target group/number of beneficiary
 Project cost
 Project duration
 Collaborative agency
3. Background and justification
Before starting to develop the ‘ technical’ aspects of a project it is useful to describe to the
context in which it is going to be operating and to provide valid justification for a project . This
will help particularly when the project is being considered for funding. Here, the focus is;
 Description of the context and setting of the project
 Description of major problems /symptoms causes/- why the project is needed now?
 Actions taken to tackle the problem
 Is there any assistance from others?
 Is the proposal the result of special study?
 Whether the project I directed to a new activity or an improvement on existing ones?
 What strength can be built on and what are the weakness the project will have to
overcome
4. Target groups/Beneficiaries
 Who are the immediate beneficiaries? Or the ultimate beneficiaries of the project?
 The needs of beneficiaries must be compatible with the project objective
 The geographical coverage of the project /national or local/ will be indicated.
 Project objectives
5.1 Development objective
 Describe a desired end/ a solution to development problem
 Macro/ higher level long term objective
5.2. Immediate objective
Short term, concrete measurable and micro objective
What will be the situation at the end of the project compared with pre project Situation
6. Outputs
 Out puts are the result of project activities intended to achieve the immediate objectives.
They are tangible and visible

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7. Activities and time table/calendar/
 Activities are the action taken to produce the out puts.
 Activities taken place over time and are coordinated and to be complete by the date required
in the description of the output.
 A planning calendar indicating the beginning of each of the project activities, their
sequencing duration has to be included.
8. Inputs
 Inputs are financial, material and human resource necessary for carrying out the activities
 Inputs involve local and external contributions to the project
 The amount of government ,community or donor contribution should be indicated
 The form of input has to be mentioned
 A detailed financial analysis indicating the breakdown of costs by item must be presented
9. Organization and management
 The project internal organization as well as its relations to partner organization and donors
have to be expressed in hierarchical and operational terms /accountability/
 Describe the implementation strategy .state how and who will coordinate implementation
activities.
 Are there legal texts which are of any importance to the project laws ,regulations standards,
in the field of fiancé, labour customs, Insurance, taxes etc.
 What about the communication/ reporting/ system? The project will produce information
reports ,data minutes and indicate who will produce them, what they will contain when they
will be produced, for what use and to whom they will be sent
10. Evaluation
Monitoring/continuous or ongoing/ and final /ex-post/ evaluation of a project is necessary
to correct deviations while the project is operational and to assess its impact after
implementation on termination of the project
It must be clearly stated at what interval ,how and by whom the evaluation is to be carried
out to whom the report should go
The results achieved by the project /during the execution and termination/ are analyzed. If
indicators of success have established, it may be measured in terms of efficiency,
effectiveness, relevance and sustainability etc.
11. Sustainability

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  If the project has to be continue after completion, identification of local resource or the
nature of support required for self reliance or if there is going to be second phase it must be
clearly stated
3. Establishment of Baseline and Target Data
Data or information in the subject area of the intended project should be gathered during the project
identification process (phase 1) and analysed to assess the condition or situation of the targeted
populations or areas. It is possible that the existing data or information are insufficient or not valid,
or that the necessary data or in formation do not exist at all. In these cases, the project identification
process will need to include rapid assessments.
4. Project implementation planning
Success of project implementation often depends on the quality of project planning before the
project begins. The checklist is designed as reference guide in planning for effective and efficient
project implementation.
(a) Have all relevant bodies have been consulted and are they fully familiar with the project
document?
(b) Have the possible duplications or complementarities with existing or former projects been
examined?
(c) Have the roles and responsibilities of the implementing partners, cooperating agencies or
supporting organizations, been clearly established and agreed upon?
(d) Do the implementing partners have administrative, technical and human capacities t undertake
the project?
(e) Do e the technical and human capacities to undertake the project are involved ?
(f) Have the priorities and needs of the owners of project been identified and incorporated in the
project?
(g) Do the relevant governments support or endorse the project?
(i) Has the linkage to poverty alleviation been analysed and incorporated in the project document?
(j) Have all key stakeholders been identified and included in the partnership for project
management?
(k) Does the project incorporate activities to ensure policy, technical and financial sustainability?

2.4. Project Appraisal

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After the completion of project preparation the stage of project appraisal sets in. Appraisal involves
a comprehensive and systematic assessment of all aspects of the proposed project. Project appraisal
is the process of reviewing the project proposal (document) to decide on whether it should be
funded for implementation. It is the responsibility of investment or financial decision
maker’s .After appraisal the relevant authorities decided whether the project should be implemented
or abandoned.
The proposed project should provide adequate answers to the following questions.
 Does the project fit in to the development process of the country and goes in line with
national development policies?
 Does the project represent high priority use of the country’s local resource?
 Does the project contribute to the maximum realization of the objectives?
Detailed appraisal includes assessment of;
 What urgent need the project meets
 The cost effectiveness of the project
 The size and timing of the project and
 Is their another available alternatives if the project is not implemented?
 Is the problem identified and analysed and the proposed solution can be justified?
 Could the project is capable of addressing the problem adequately?
 Is the project cost effective
 Is the project acceptable and relevant
 Is the project sustainability?
The project is seen against a number of criteria, which measure its acceptability. The most
frequently used criteria for appraisal are economic appraisal, technical appraisal, , institutional
appraisal, commercial appraisal, financial appraisal, social appraisal and environmental appraisal.
Economic appraisal assesses projects in terms of cost-benefit analysis and cost-efficiency. Whereas
technical appraisal help evaluate projects from appropriateness of technology, availability of
equipment and facilities and appropriateness and adequacy of project site perspective. Institutional
appraisal the other hand enables to assess appropriateness of project organization, reliability and
adequacy of project coordination and availability of qualified human resources. The criteria
commercial appraisal help assess the availability of market for the project product or service..
Financial appraisal also helps to assess the availability of realistic budget requirements, fund and
adequacy and continuity of flow of fund. Further, social appraisal aims to evaluate level of
acceptability and support by the community and undesired impact on individuals or groups that may

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be created by the project. Finally, environmental appraisal targeted to investigate the negative
impact on the environment and measures to mitigate negative environmental impacts.

2.5. Implementation of Projects

What are the activities done at the implementation stage of projects?

Projects that go through the appropriate steps in phases 1 and 2 will take less time between approval
and implementation, and significantly reduce the risks involved in implementing a project.
Budgeted resources are more likely to be used to implement activities and achieve the intended
results and objectives. Project managers monitor expenditure, activities, output completion and
workflows against their implementation plans, output delivery and the progress made towards
achieving the results and objectives according to their anticipated milestones or benchmarks.
Project sustainability beyond the project duration and reliability of the project strategy and
methodology should be borne in mind throughout the implementation period.

At the implementation stage, the following activities will be carried out.

 Establishing organizational and administrative structures and systems for the project
 Preparing job descriptions, procedures and work manuals and activity plans
 Recruiting or if necessary training the project staff
 Placing the purchase orders as desired
 Acquiring the necessary inputs
 Moving the necessary inputs to the project site
 Establishing monitoring and evaluation mechanisms
 Implementing the work
During project implementation, the implementing agencies and project managers should update and
refine their risk assessment and formulate a risk management plan. When contingencies arise, risk
management strategies should be implemented.

Project implementation may also involve people from various directions and organizations. It is
essential to define their roles clearly for the purpose of good coordination, effective communication,
minimizing duplication, promoting responsibility/accountability, increasing commitment and
enhancing participation.

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2.6. Project evaluation
What is project evaluation?
What is project monitoring?
Project evaluation is the systematic collection of information about activities, characteristics, and
outcomes of projects to make judgments about the project, improve effectiveness, and/or inform
decisions about future programming (adapted from Patton, 1987). Evaluation is not merely the
accumulation and summary of data and information about a project. Instead it provides well-
documented and considered evidence to support the decision-making process.
The aim of evaluation is;
 To determine the relevance and fulfilment of objectives, developmental, efficiency,
effectiveness, impact and sustainability.
 Provide information that is credible and useful, enabling the incorporation of lessons
learned into the decision-making process of both recipients and donors.
 To determine the project’s merit (does it work?) and its worth (do we need it?).
 Helps decision-makers determine if a project should be continued and, if so, suggests ways
to improve it
 Documents project (and program) accomplishments.
Types of evaluation
Depending on the stage of project planning, managers may conduct a needs assessment
(sometimes referred to as “front-end evaluation”), formative evaluation, or summative
evaluation.
a) Front-End Evaluation (Needs Assessment)
As might be expected, a front-end evaluation or needs assessment takes place prior to
undertaking the project.
Front-end evaluation:
 Gathers information/data about the gap between the current and desired level of
audience skills, knowledge, attitudes, and behaviours.
 Takes place before the project is designed.
 Helps confirm or negate assumptions of audience characteristics and appropriate
content, define goals and objectives, and identify stakeholders and potential
collaborators.

Questions that might be addressed by front-end evaluation include:

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 • What are the nature and scope of the problem?
• Where is the problem located, whom does it affect, and how does it affect them?
• What is it about the problem or its effects that justifies new, expanded, or modified
projects or programs?
• What feasible actions are likely to significantly ameliorate the problem?
• What are the appropriate target audiences?
b) Formative Evaluation
Formative evaluation is conducted throughout the project, during project design, development,
and implementation. Most often, formative evaluation is used to test out methods and materials.
At its best, formative evaluation can be an essential decision-making tool that will transform
the project.
Formative evaluation:
 Gathers information/data about an audience’s reaction to and learning from a project’s pilot
or prototype products/materials. Changes may be made as a result of formative evaluation.
 Gathers information/data about problems with project delivery, and assesses progress
towards outcomes of a project during implementation.
 Helps provide information that can be used in making decisions about modification,
continuation, or expansion of the project. (Results of a formative evaluation may be used to
decide how to move forward with an existing project.)
Questions that might be addressed by formative evaluation include:
 Is a particular project reaching its target audience?
 Is the project being implemented well?
 Are the intended activities, products, or services being provided?
 Is the project effective in attaining the desired objectives or benefits
c) Summative Evaluation
Again, as might be expected, summative evaluation is typically conducted at the end of the
project. A formal report is developed that can be submitted to decision-makers and other
stakeholders. In short summative evaluation:
 Gathers information/data about the audience’s skills, knowledge, attitudes, and
behaviours at some point in time after project implementation begins.
 Results of a summative evaluation are used to inform stakeholders about the value of a
project.
 Informs decision-makers about the value or worth of the project.

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  Helps provide the information necessary to make decisions about the continuation,
revision, or expansion of the project. (Results from a summative evaluation are used to
determine if the project was “successful.”)
Questions that might be addressed by summative evaluation include:
Did the project reach its target audience?
Was the project implemented well? Were the intended activities, products, or services
provided?
Was the project effective in attaining the desired objectives or benefits?
How did the project impact the intended audience(s)?
How much did the project cost?
Is the project cost reasonable in relation to its effectiveness and benefits?
Monitoring is the process of data gathering and processing in order to assess the progress of
projects. Monitoring is a continuous review of project implementation focusing on inputs, activities
and outputs. It is used for providing constant feedback to ensure the efficiency of project
performance. Project monitoring is an integral part of day-to-day management. It provides
information by which management can identify and solve implementation problems, and assess
progress. The Logical Framework, the implementation schedule and the activity and resource
schedules provide the basis.
The following basic issues need to be regularly monitored:
 Which Activities are underway and what progress has been made (e.g. at weekly intervals)?
 At what rate are means being used and cost incurred in relation to progress in
implementation (e.g. monthly)?
 Are the desired Results being achieved (e.g. quarterly update)? (efficiency)
 To what extent are these Results furthering the Project Purpose (e.g. half-yearly analysis)?
(effectiveness)
 What changes in the project environment occur? Do the Assumptions hold true?
Monitoring is conducted for the following purposes:
 Assess project objectives and goals
 Review project activities
 Track progress
 Check if implementation is accordance to schedule and agreed up on standards
 Assess outputs
 Gather information for early warning
 Plan program improvement

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  Exercise bench marking
 Enhance accountability
 Ensure quality management
 Forecast performance
Both monitoring and evaluation are used for collecting, processing and providing information for
decision making regarding the project. However, they differ on:
 The focus they have on different aspects of the project
 The type of data they gather
 Objectives
 Period of data gathering
 The utilization of data
Guidelines for Conducting a Successful Evaluation
1. Invest heavily in planning.
2. Integrate the evaluation into ongoing activities of the program.
3. Participate in the evaluation and show program staff that you think it is important.
4. Involve as many of the program staff as much as possible and as early as possible.
5. Be realistic about the burden on you and your staff.
6. Be aware of the ethical and cultural issues in an evaluation.
Who Should Conduct the Evaluation?
Early on in the evaluation planning process, the decision will need to be made whether or not to
hire an outside evaluator. In some cases, the decision may have been made for the team. Many
program managers require that an outside evaluator be contracted. An outside evaluator is seen as
an objective third-party who may be able to bring a fresh perspective to the project. In addition, a
professional evaluator has expertise that may not exist in-house. If evaluation expertise does exist
and an outside evaluator is not required, it is possible to run major components of the evaluation in-
house.
However, managers should proceed with caution. Those with strong ties to the project (e.g., project
manager, staff members, volunteers, advisory committee members) may find it difficult to shed
their biases, particularly if evaluation results are to be used in decision-making. Project staff
members, volunteers, and other stakeholders should be involved in the evaluation. They should play
a role in determining both the focus and objectives of the evaluation. However, at a minimum, an
outside evaluator should be responsible for data analysis and interpretation

Chapter Three; Project Management

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3.1 Meaning and Principles of Project Cycle Management
3.1.1 Project Cycle Management
What is PCM?
What do you think are the principles of PCM?

Project Cycle Management (PCM) was introduced by the European Commission in the early 1990’s
to improve the quality of project design and management and thereby to improve aid effectiveness.
PCM developed out of an analysis of the effectiveness of projects during the late 1980’s.
The ultimate rationale in managing project cycle includes:
 To provide demand driven solutions
 To conduct better need analysis
 To prepare a plan which more objective-oriented
 To make the impacts of projects tangible and verifiable
 To give more emphasis on quality of work
Project cycle management integrates the phases in the project cycle so that issues are examined
systematically, by means of an approach and methodology which ensures that objectives and issues
of sustainability remain in focus.
PCM obliges practitioners in project design to focus on the real needs of the beneficiaries by
requiring a detailed assessment of the existing situation and by applying the logical framework
method etc…right from the beginning and aspects assuring sustainability are incorporated in the
project design.
PCM is that project documents are structured according to a standardised format dealing with all
relevant issues, including the assumptions on which the project is based. At each stage in the project
cycle, these issues are examined and revised where necessary and carried forward to the next stage.
This system makes the project concept and context in which it operates clear and visible, and enables
therefore better monitoring and evaluation.
PCM brings together analytical tools and techniques, and applies them within the structured
decision-making process of the project cycle to ensure that:
 Projects are relevant to the agreed strategy and to the real needs of beneficiaries:
 projects are linked to sectorial, national objectives
 Beneficiaries are involved in the planning process from an early stage
 Problem analysis is thorough
 Objectives are clearly stated in terms of benefits to target groups

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3.1.2 Project Cycle Management principles
PCM Principles:
 Project cycle stages - structured & informed decision-making
 Client orientation-involvement of stakeholders in decision-making
 Log frame planning-comprehensive & consistent analysis
 Sustainability-mechanisms for continued flow of benefits
 Integrated approach-vertical integration & standardized documentation
.
3.2. The Project Management Process
Identify the project management process?

Project management is the application of knowledge, skills, tools, and techniques to project activities
to meet project requirements. This application of knowledge requires the effective management of
appropriate processes.
A process is a set of interrelated actions and activities performed to achieve a pre-specified product,
result, or service. Each process is characterized by its inputs, the tools and techniques that can be
applied, and the resulting outputs. The project manager must consider organizational process assets
and environmental factors. These must be taken into account for every process. Organizational
process provides guidelines and criteria for the organization’s processes to the specific needs of the
project. Environmental factors may constrain the project management options.

In order for a project to be successful, the project team must:

 Select appropriate process required to meet the project objectives.
 Use a defined approach that can be adopted to meet requirements,
 Comply with requirements to meet stakeholder needs and expectations, and
 Balance the competing demands of scope, time, cost, quality, resources, and risk to produce
the specified product, service, or result.
The project processes are performed by the project team and generally fall into one of two major
categories.
 Project management processes ensure the effective flow of the project throughout its
existence. These processes encompass the tools and techniques involved in applying the
skills and capabilities. The project management processes help enhance the chances of
success over a wide range of projects.

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  Product-oriented processes specify and create the project’s product-oriented processes are
typically defined by the project life cycle and vary by application area. The scope of the
project cannot be defined without some basic understanding of how to create the specified
product. For example, various construction techniques and tools must be considered when
determining the overall complexity of the house to be built.
Project management processes and product-oriented processes overlap and interact throughout the
life of a project. Project management processes apply for all projects. This does not mean that the
knowledge, skills, and processes described should always be applied uniformly on all projects. For
any given project, the project manager, in collaboration with the project team, is always responsible
for determining which processes are appropriate, and the appropriate degree of rigor for each
process.

Project management is an integrative undertaking requiring each project process to be appropriately

aligned and connected with the other processes to facilitate coordination. Actions taken during one
process typically affect that process and other related processes. For example, a scope change
typically affects project cost, but may not affect the communication plan or product quality. These
process interactions often require trade-offs among project requirements and objectives, and the
specific performance trade-offs will vary from project to project and organization to organization.
Successful project management includes actively managing these interactions to meet sponsor,
customer, and other stakeholder requirements.
Projects exist within an organization and cannot operate as a closed system. They require input data
from the organization and beyond, and deliver capabilities back to the organization. The project
processes may generate information to improve the management of future projects.

The nature of project management processes is described in terms of the integration between the
processes, their interactions, and the purposes they serve. Project management processes includes:
 Initiating Process. Those processes performed to define a new project or a new phase of an
existing project by obtaining authorization to start the project or phase.
 Planning Process. Those processes required to establish the scope of the project, refine the
objectives, and define the course of action required to attain the objectives that the project
was undertaken to achieve.
 Executing Process. Those processes performed to complete the work defined in the project
management plan to satisfy the project specifications.
 Monitoring and Controlling Process. Those processes required to track, review, and regulate

32
 the progress and performance of the project; identify any areas in which changes to the plan
are required; and initiate the corresponding changes.
 Closing Process Group. Those processes performed to finalize all activities across all
Process Group to formally close the project or phase.

3.3. Responsibilities and Skills/ competencies of Project Manager

List major responsibilities &skills required for project managers.

3.3.1. Responsibilities of project managers

The key responsibility of the project manager is to successfully accomplish the project objectives
through effective management of quality, scope, time, and cost. Moreover, specifically project
managers have the following responsibilities.
 Identifying the project requirements;
 Establishing clear and achievable objectives; and
 Adapting the specifications, plans, and approach to the different concerns and expectations
of the various stakeholders.
 Project planning
 Managing the project
 Lead project team
 Building client partnerships
 Targeting to the Business
 Aligns project with corporate and business priorities and direction etc.
Fundamentally, the project manager must direct the project from its inputs, through its nucleus, to
delivery of its outputs. The project manager acts as the key catalyst to stimulate effective
communication and coordination between design, procurement and construction activities.
In order to effectively manage these responsibilities and assume these roles, a project manager must
have experience in the following project management knowledge areas: project integration, scope,
time, cost, quality, human resources, communications, risk, and procurement management.

3.3.2.Skill or competency of project manager

The project manager is a key ingredient in the success of a project. In addition to providing
leadership in planning, organizing, and controlling the project, the manager should posses a set of

33
skills that will both inspire the project team to succeed and win the confidence of the customer.
Effective project managers have strong leadership ability, the ability to develop people excellent
communication skills, good interpersonal skills, the ability to handle s tress, problem solving skills,
and time management skills.
Technical Skills. Having technical skills is important for project managers working in today’s high-
technology demanding educational projects. Although it would be impossible for a project manager
to master all disciplines participating on a project, it is vital that managers have a working
knowledge of each discipline. This level of knowledge should enable them to communicate
effectively with technical personnel, and to recognize and understand technical problems.
Business Skills. Modern-day corporations are realizing that the most effective way to manage
project costs is to delegate responsibility to project managers and hold them accountable. As a
result, project managers must have a working knowledge of the financial aspects, and understand
the “language” spoken by business personnel.
Leadership Ability
Leadership is getting things done through others; the project manager achieves results through the
project team. Project leadership involves inspiring the people assigned to the project to work as a
team to implement the plan and achieve the project objective successfully. The project manager
needs to create for the team a vision of the result and benefits of the project. For example, the
project manager may describe a new layout for a plant that will be the result of a project and
articulate the benefit of this project, such as the elimination of bottlenecks, increased throughput,
and reduced inventory. When project team members can envision the results, they will be more
motivated to work as a team to complete the project successfully.
Effective project management requires a participative and consultative leadership style, in which
the project manager provides guidance and coaching to the project team. This style is preferred over
a hierarchical, autocratic, and directive management approach. Leadership requires that the project
manager provide direction, not directions. The project manager establishes the parameters and
guidelines for what needs to be done, and the project team members determine how to get it done.
The effective manager does not tell people how to do their jobs.
Interpersonal Skills
A project manager needs to be a good problem solver. Although it’s easier to identify problems
than to solve them, good problem solving starts with the early identification of a problem or
potential problem. Early identification of a problem will allow more time to develop a well-
thought-out solution. In addition, if a problem is identified early, it may be less costly to solve and
may have less impact on other parts of the project. Good problem identification requires a timely

34
and accurate data-driven information system; open and timely communication among the project
team, the subcontractor, and the customer, and some “gut feelings” based on experience.
The project manager should encourage project team members to identify problems early and solve
them on their own. The project team need to be self-directed in solving problems and not wait
depend on the project manger to get them started.
Time Management Skills
Good project mangers manage their time well. Projects require a lot of energy because they involve
many concurrent activities and unexpected events. To make optimal use of the time available,
project managers need to have self-discipline, be able to prioritize, and show a willingness to
delegate.
There are various ways to develop the skills necessary to be an effective project manager.
Gain experience. Work on as many projects as you can. Each project presents a learning
opportunity. look for different assignments on each project. On one project you might develop
software, whereas on another project you might ask to be a leader or to have an opportunity to
interact more with the customer. The purpose of varying projects and assignments is to expose
yourself to as many project managers, customers, and other experienced project people as possible.
Each experience presents an opportunity to learn from other people.
Seek out feedback from others. If you want to improve problem-solving skills, for example, ask a
mentor whether he/she has observed anything you could do better in problem solving situations. If
she tells you that you have a tendency to jump to conclusions prematurely, you can work on taking
more time to find out all the facts or listen to other’s viewpoints.
Conduct a self-evaluation, and learn from your mistakes. If you completed a project task but over
ran the budget or where behind schedule, for example, ask yourself what happened, what you could
have done differently, and what you will do differently the next time. Maybe you need to work on
time management focusing on the most important activities first.
Interview project managers who have skills that you want to develop in yourself . If you want to
develop leadership skills, for example, seek out project managers who you think are effective
leaders. Ask them how they develop their skills and what suggestions they have. Offer to buy them
lunch; if that’s the only time you can meet them. It could be a worthwhile investment.
Participate in training programs. There are plenty of seminars, workshops, videotapes, DVDs, and
audiotapes, and self-study materials. Therefore, participating in these all programs help acquire
relevant project management skills,

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Join organizations. For example, membership in the project management institute will provide
opportunities for you to participate in meetings and conferences with other people involved in
project management.

Delegation involves empowering the project team to achieve the project objective and empowering
each team member to accomplish the expected results for his or her area of responsibility. It’s the
act of allowing individuals to carry out assigned tasks successfully. Delegation implies more than
just assigning tasks to specific members of the project team. It includes giving team members the
responsibility to accomplish job objectives and the authority to make decisions and take actions to
achieve the expected results, as well as accountability for accomplishing those results.
Members of the project team are given specific results to a achieve in terms of the work scope,
tangible results or products to be delivered, the available budget, and the allowable time frame of
schedule for accomplishing the desired results, and they exercise control over the resources they
need to do the work.
Delegations is a must for an effective project manager. It is part of the project managers’
responsibility for organizing the project. Delegation is not “passing the buck”. The project manager
is still ultimately responsible for achieving the project results. The project manager who
understands and practices delegation ensures effective performance by the project team and creates
the conditions necessary for cooperation and teamwork.
.
3.4. Techniques of managing project implementation
What do you think are periods in project management implementation?

Implementation is a continuous learning process where experience gathered is analysed and feed
back into planning and updated implementation approaches.
Usually, projects and programmes are implemented over several years. Project management is
responsible for implementation, generally being composed of the following periods:
1. Inception period
2. Main implementation period
3. Final period
Project implementation begins with the inception period often covering a period of several months
during which project organization including administrative, financial and technical responsibilities
are set up, and the initial planning of the appraisal phase is updated and refined. The mechanisms

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and tools developed for this purpose are then used throughout the following periods of
implementation. The inception period usually consists of the following elements:
 Set-up of the project office and staff recruitment;
 If required, implementation of a study to update baseline information;
 Discussions with major stakeholders, if possible including target groups, to complete and
update the Logical Framework, to prepare the Overall Work Plan and
 The Activity and resource schedules. Ideally, this should be done in a participatory
workshop session (which will last 3 – 5 days, depending on the complexity of the project);
Throughout the implementation of the project and depending on the modalities fore-seen in the
contract/financing agreements, three major principles as a technique managing project
implementation should be applied.
1. Planning and re-planning. The initially prepared Implementation Schedule, log-frame and
Activity and Resource Schedules are regularly reviewed, refined, and updated accordingly.
2. Monitoring. Project management has the task of establishing sufficient controls over the project
to ensure that it stays on track towards the achievement of its objectives. This is done by
monitoring (internal) which is the systematic and continuous collection, analysis and use of
information for management control and decision-making. Implementation is a continuous
learning process where experience gathered is analysed and fed back into planning and updated
implementation approaches.
3. Reporting. Project management/implementing agency must provide reports on progress. The
aim of these reports is to provide sufficiently detailed information to check the state of advance
of the project in light of its objectives, the hoped for results and the activities to be carried out.
These reports cover also details of budget implementation, and include the details of the future
budgetary provisions for the following reporting period. Progress reports are most likely to be
submitted on a quarterly basis. These principles are reflected in the approach to documentation
to be followed during implementation.
As for overall implementation, the implementation schedule is an important tool: It is an
administrative planning and monitoring document covering administrative mile-stones and
sequencing from the preparatory phases to project completion and evaluation. It provides an idea on
how these milestones are met, and whether delays occur.
During Implementation, this can indicate the need for re-planning, given the fact that e.g. the
remaining period may not be sufficient to undertake certain works, studies, etc. As all other
planning documents, the Implementation Schedule has to be up-dated by the project management,
and should be included in the progress reports. Conclusions with regard to deviations should be

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made there. While work plans are objective-oriented and include resource scheduling related to
these objectives, the Implementation Schedule emphasizes resource categories that may require
budgetary commitments and / or tendering, as well as other administrative milestones like reporting
that may also lead to disbursements.
3.5. Success factors for project management
Can you mention some factors that lead the success of projects?
List few factors that lead project failure.

Project failure means inability to meet project objectives as measured by the basic yardsticks of
cost, schedule and performance specifications. This is in a sense when projects fail to achieve
targets set for them. They might also have unintended negative consequences which might exceed
their benefit. The point of reference to determine success or failure of a project is those objectives
and criteria established at the time when project implementation is authorized.
Success or failure in projects cannot be attributed to a single factor. “It must be the result of several
factors working together and is hard to distinguish the most significant.”
Failure can be identified at two levels.
 The first is being unable implement the project effectively, i.e. on time, within budgets and
according to the plan.
 Secondly, projects might not achieve the effects intended after they are completed. This is,
however, more concerned with the project designers.
Success or failure can be a result of many factors acting together. For example, Morris and Hough
in Dingle (1997:7), identify a number of preconditions/factors for project success. However, they
warn that they are not guarantee for success. On the other hand, the absences of these factors leads
to failure.
Some of the factors for success of projects are:
 Comprehensive and well communicated project idea
 Clear understanding regarding the effects of external factors.
 Good project management
 Clear schedules and adequate back-up strategies
 Top management, beneficiary and local people support
 Full financial analysis of all projects risks.

Some of the factors for the failure of projects are:

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 Lack of a shared vision or goal
 In frequent decision in mid of project
 Conflicting priorities
 Unrealistic expectations
 Shortage of resources
 Poor leadership.
 Unable to meet customer expectations
 Poor planning or no planning; No clear methodology;

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4.6. Environmental Analysis

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