Chapter 1:

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

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Learning Objectives (1 of 2)

01 02 03
Articulate the growing need for Explain what a project is, Define project management
better project management, provide examples of IT projects, and discuss key elements of the
especially for information list various attributes of project management
technology (IT) projects projects, and describe framework, including project
constraints of project stakeholders, the project
management 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.
Learning Objectives (2 of 2)

01 02 03
Discuss the relationship Summarize the role of project Recall key aspects of the PM
between project, program, and managers by describing what profession, including its history,
portfolio management and the they do, what skills they need, the role of professional
contributions each makes to the talent triangle, and career organizations like the PMI, the
enterprise success opportunities for IT project importance of certification and
managers 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

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 PM jobs

reached almost 66 million in 2017 (87.7 million By 2027).

In 2017, the average annual salary 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

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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

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What Went Wrong?

IT Projects have a terrible track record, as described in the What

Went Wrong?

A 1995 Standish Group study (CHAOS) found that only 16.2% of IT

projects were successful in meeting scope, time, and cost goals;
over 31% of IT projects were canceled before completion

A PricewaterhouseCoopers study found that over half of all

projects fail and only 2.5% of corporations consistently meet their
targets for scope, time, and cost goals for all types of 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.
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
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permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Examples of IT Projects (1 of 2)

A team of students creates a smartphone application and sells it online

A company develops a driverless car

A government group develops a system to track child immunizations

A global bank acquires other financial institutions and needs to

consolidate systems and procedures

Top Strategic Technologies for 2018 (Gartner): AI, IoTs, Cloud, Immersive
Experience
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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
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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 Constraints

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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

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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? (2 of 2)

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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

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permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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

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permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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

Gantt charts, network
Project charter, scope
diagrams, critical path Cost estimates and earned
statement, and WBS Table 1-1 has many more
analysis, critical chain value management (cost)
(scope)
scheduling (time)
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permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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
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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 Went Right?

The Standish Group’s CHAOS studies show

improvements in the statistics for IT projects:

62% of small
39% of all agile
projects were
The number of projects were
successful, 6% of
successful projects successful
large, 9% of
was 29% in 2015 compared to 11% of
medium, and 21%
waterfall projects
of moderate size

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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 Success

• The project met scope, time, and

cost goals
There are • The project satisfied the
several customer/sponsor
ways to • The results of the project met its
define main objective, such as making or
saving a certain amount of money,
project providing a good return on
success: investment, or simply making the
sponsors happy

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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 Helps Projects Succeed?

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
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 Success Factors

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

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for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Program and Project Portfolio Management

Two important concepts

About one-quarter of the that help projects meet
world’s gross domestic enterprise goals:
product is spent on • Use of programs
projects • 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.
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.
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
 Best Practices

A best practice is “an optimal way recognized by industry to achieve a stated goal or
objective”*

Be able to demonstrate how each project you undertake

fits your business strategy, and screen out unwanted
Organizations need to follow basic principles projects as soon as possible
of project management, including these two Engage your stakeholders. Ignoring stakeholders often
mentioned earlier in this chapter: leads to project failure. Be sure to engage stakeholders at
all stages of a project, and encourage teamwork and
commitment at all times

Several global dynamics are forcing organizations to rethink their practices:

• Talent development for project and program managers is a top concern
• Basic project management techniques are core competencies
• Organizations want to use more agile approaches to project management
• Benefits realization of projects is a key metric

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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 most effective if they are familiar with the 10 project
management knowledge areas & various PM tools & techniques

PM responsibilities include 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.
Advice for Young Professionals

A few questions to ask yourself to know if you

would be a good project manager
• Do you get frustrated by bad bosses? Do you think you could do
a better job?
• Are you interested in understanding the big picture of how
organizations work and how your individual work or your project
fits in?
• Have you had other leadership roles, such as being a team
captain, president of a club, or entrepreneur of a small business?
Did you enjoy it? Did others think you did a good job?
• Are you good at mentoring others? Do people ask you for help in
developing their skills or your advice on what to do?

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for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
 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.
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.
 Careers for IT Project Managers
1. Full-stack software development
2. Project management
3. Cyber-security
4. Networking
5. User experience/user interface (UX/UI) design
6. Quality assurance (QA)/testing
7. Cloud engineering
8. Big data
9. Machine learning/artificial intelligence
10. DevOps
Source: Sharon Florentine, “10 IT skills that employers need in 2017,” CIO from
IDG (February 1, 2017).
Table 1-4 Ten hot tech skills for 2017
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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 Management Office (PMO)

• In the 1990s, many companies began creating PMOs to help them handle
the increasing number and complexity of projects
• A PMO is an organizational group responsible for coordinating the
project management function throughout an organization

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for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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

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

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
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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 Management Certification (2 of 2)

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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
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permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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

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Q&A