Introduction

Week 1

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 Learning outcomes
 Understand why project management is becoming such a powerful
and popular practice in business.
 Recognize the basic properties of projects, including their definition.
 Understand why effective project management is such a challenge.
 Understand and explain the project life cycle, its stages, and the
activities that typically occur at each stage in the project.
 Understand the concept of project “success,” including various
definitions of success, as well as the alternative models of success.
 Understand the purpose of project management maturity models and
the process of benchmarking in organizations. Recognize how
mastery of the discipline of project management enhances critical
employability skills for university graduates.

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 What is a Project?
“Unique process consisting of a set of coordinated and controlled
activities with start and finish dates, undertaken to achieve an
objective conforming to specific requirements, including
constraints of time, cost, quality and resources”

• A Project is a planned set of activities.

• A Project has a scope.
• A Project has time, cost, quality and resource constraints.
• Has an established objective.
• Has a defined life span with a beginning and an end.
• Involves doing something never been done before.

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 A Project
· A PROJECT is a temporary endeavor undertaken to create a
unique product, service or result.

· Temporary means: A Project is a one off event and not an

ongoing operation. It has a definite beginning and a definite
end.
· Temporary does not necessarily mean short in duration;

· Many projects last for several years. In every case, however, the duration of a
project is finite; it does not go on forever.

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 Examples of projects
 Split the atom
 Channel between England and France
 Introduce Windows 11
 Disneyland’s Expedition Everest

 “Projects, rather than repetitive tasks, are now the basis for
most value-added in business”
-Tom Peters

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 Samples of IT Projects
 Northwest Airlines developed a new reservation system called
ResNet (see case study on companion Web site at
www.course.com/mis/schwalbe)
 Many organizations upgrade hardware, software, and networks

via projects
 Organizations develop new software or enhance existing systems

to perform many business functions

 Note: “IT projects” refers to projects involving hardware,

software, and networks

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 Project vs. Process Work

Project Process
 Take place outside the process • Ongoing, day-to-day activities
world • Use existing systems, properties, and
 Unique and separate from capabilities
normal organization work • Typically repetitive
 Continually evolving

A project is a temporary endeavor undertaken to

create a unique product or service.
PMBoK
2000
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 Process & Project Management

Process Project
1. Repeat process or product 1. New process or product
2. Several objectives 2. One objective
3. Ongoing 3. One shot – limited life
4. People are homogeneous 4. More heterogeneous
5. Systems in place to integrate 5. Systems must be created to
efforts integrate efforts
6. Performance, cost, & time known 6. Performance, cost & time less
certain
7. Part of the line organization 7. Outside of line organization
8. Bastions of established practice 8. Violates established practice
9. Supports status quo 9. Upsets status quo
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Comparison of Routine Work with Projects

Routine, Repetitive Work  Projects

• Taking class notes  Writing a term paper
• Daily entering sales receipts into  Setting up a sales kiosk
the accounting ledger
 Developing a supply-chain
• Responding to a supply-chain
information system
request
 Writing a new piano piece
• Practicing scales on the piano  Designing an iPod that is
• Routine manufacture of an Apple approximately 2 X 4
iPod inches, interfaces with PC,
and stores 10,000 songs
• Attaching tags on a manufactured
product  Wire-tag projects for GE
and Wal-Mart

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 The end of the Project is reached when:

 The project’s objectives have been achieved.

 When it becomes clear that the project objectives will not or
cannot be met.
 The need for the project no longer exists and the project is
terminated.
 End by Client

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 Why are Projects Important?

 Shortened product life cycles

 Narrow product launch windows
 Increasingly complex and technical products
 Emergence of global markets
 Economic period marked by low inflation

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Project Life Cycle Stages

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Quadruple Constraint of Project
Success

Client
Budget Acceptance

Success

Schedule Performance

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 Project Success Rates
 Software & hardware projects fail at a 65% rate

 Over half of all IT projects become runaways

 Up to 75% of all software projects are cancelled

 Only 2.5% of global businesses achieve 100% project success

 Average success of business-critical application development projects

is 35%.

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 What is Project Management?
 The art of organizing, leading, reporting and completing a
project through people.

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 Why Project Management Emerged?

· Project management emerged because of the growing

demand for complex, sophisticated, customized
goods and services and the exponential expansion of
human knowledge.

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 Project Manager

A project manager is a person who causes

things to happen in a project.
Project Management is causing a planned
undertaking to happen.

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 A Brief History of Project Management

 In this history of project management and all the

significant developments and events in the
discipline as far back as there are records will be
discussed.

 Although there has been some form of project

management existed since early civilization,
project management in the modern sense began
in the 1950s.

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 A Brief History of Project Management…
 2570 BC: The Great Pyramid of Giza Completed
The Pharaohs built the pyramids, and today,
archaeologists still argue about how they achieved
this feat. Ancient records show there were
managers for each of the four faces of the Great Pyramid, responsible for overseeing their
completion. We know there was some degree of planning, execution and control involved in
managing this project.
 208 BC: Construction of the Great Wall of China
Later still, Qin Shi Huang, the first emperor of a
unified China under the Qin Dynasty
(221BC-206BC), built another wonder of the world.
The emperor ordered millions of people to finish this project. According to historical data, the
labour force was organised into three groups: soldiers, ordinary people and criminals.
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 A Brief History of Project Management…
 1917: The Gantt chart Developed by Henry Gantt (1861-1919)
One of the forefathers of project management, Henry Gantt, is best-known for creating
his self-named scheduling diagram, the Gantt chart. It was a radical idea and an
innovation of world wide importance in the 1920s. One of its first uses was on the
Hoover Dam project started in 1931. Gantt charts are still in use today and form an
essential part of the project managers' toolkit.
 1956: The American Association of Cost Engineers (now AACE International) Formed
Early practitioners of project management and the associated specialities of planning and
scheduling, cost estimating, cost and schedule control formed the AACE in 1956. It has
remained the leading professional society for cost estimators, cost engineers, schedulers,
project managers and project control specialists since. AACE continued its pioneering
work in 2006, releasing the first integrated process for portfolio, programme and project
management with their Total Cost Management Framework.

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 A Brief History of Project Management…
 1957: The Critical Path Method (CPM) Invented by the Dupont Corporation
Developed by Dupont & Ramington Rand Corporation, CPM is a technique
used to predict project duration by analysing which sequence of activities has
the least amount of scheduling flexibility. Dupont designed it to address the
complex process of shutting down chemical plants for maintenance, and then
with the maintenance completed, restarting them. The technique was so
successful it saved the corporation $1 million in the first year of its
implementation.

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 A Brief History of Project Management…
 1958: The Program Evaluation Review Technique (PERT) Invented for the U.S. Navy's
Polaris Project
During the Cold War, in 1957, the United States Department of Défense, US Navy Special
Projects Office with Booze, Allen & Hamilton Management Consultants, developed the
Polaris mobile submarine-launched ballistic missile and used a probabilistic approach for
scheduling; developed PERT. PERT is a method for analysing the tasks involved in
completing a project, especially the time needed to complete each task and identifying the
minimum time required to complete the total project.
 1962: United States Department of Defense Mandate the Work Breakdown Structure (WBS)
Approach
WBS is an exhaustive, hierarchical tree structure of deliverables and tasks that need to be
performed to complete a project. Later adopted by the private sector, the WBS remains one
of the most common and valuable project management tools.
 1965: The International Project Management Association (IPMA) Founded

IPMA was the world's first project management association, started in Vienna by a group as a
forum for project managers to network and share information. Registered in Switzerland.
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 A Brief History of Project Management…
 1987: A Guide to the Project Management Body of Knowledge (PMBOK Guide) Published by PMI
First published by the PMI as a white paper in 1987, the PMBOK Guide was an attempt to document
and standardise accepted project management information and practices.
 1989: PRINCE Method Developed From PROMPTII

 1997: Critical Chain Project Management (CCPM) Invented

Developed by Eliyahu M. Goldratt, Critical Chain Project Management is based on methods and
algorithms drawn from his Theory of Constraints (TOC) introduced in his 1984 novel titled, 'The
Goal'. A Critical Chain project network will keep the resources levelly loaded, but need them to be
flexible in their start times and switch quickly between tasks and task chains to keep the whole
project on schedule.
 1998: PMBOK Becomes a Standard
The American National Standards Institute (ANSI) recognised PMBOK as a standard in 1998 .

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 A Brief History of Project Management…
 2018: PRINCE2 Agile
PRINCE2 Agile is a tailored form of PRINCE2, suitable for Agile projects that use
Kanban, Scrum or a similar Agile system in their delivery layer. It adds a
management and governance layer to the relatively simple Agile methods
focused on the delivery layer.

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There should be a good communication among the
key functionaries

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