Project Management

  • Contents

    Definition of a project
    Definition of project management
    Skills of the Project Manager
    The Project Lifecycle
    Stages of a Successful Project

    For the Integrated Project module coursework you are required to work on a small project with other team members. You will be using and developing project management skills. At the end of the module you should have a key understanding of Project Management concepts, tools and techniques. The focus is on the project lifecycle, from project initiation through to project closure and review.

  • What is a project?

    ‘A temporary endeavour undertaken to create a unique product, service or result’(PMBOK, 2004)

    To discuss project management, it is important to understand the concept of a project. A project is a “temporary endeavor undertaken to create a unique product , service or result”. Operations (business as usual) is work that is ongoing. If you are building cars on an assembly line, that’s a process i.e. ongoing work. If you are designing and building a prototype of a new car it is a project.

    There are many types of projects - Civil or chemical engineering & construction projects, manufacturing projects, management projects (often internal, for the company’s own benefits), and projects for pure scientific research. Examples of IT projects include the following: a project to upgrade an office with new hardware and software, a project to add a new feature to a software application for the Finance department within an organisation, a project to create online payslips for employees in a company, a project for a college campus to upgrade its technology infrastructure to provide wireless internet access across the whole campus

  • Project Attributes

    A project has a definable purpose (to create a product, service or result)
    A project represents a unique undertaking
    A project is a temporary activity
    A project uses a defined set of resources (money, management, contractors, people)
    A project is developed using progressive elaboration
    A project should have a primary customer or sponsor
    A project involves uncertainty

    Additional Information

    Projects have specific attributes: A project has a unique purpose or a well defined objective. Projects are temporary and should end when their objectives have been reached or if the project has been stopped early. A project requires many resources often from various areas. This will includes people from different parts of the organisation or even from external organisations. Resources are limited and costly so must be used effectively. Projects are developed using progressive elaboration since they may be defined broadly at the start and become more specific/detailed as the project progresses. For example, you may start a project with a broad idea of the project requirements, timescale and cost but during the project more detail becomes available in terms of solutions required, resources needed etc

    A project should have a primary customer or sponsor – someone who will take the role of sponsorship (direction and funding for the project). This is often a senior manager and may be the person who proposed the project in the first place.

    A project involves uncertainty (risk) – because every project is unique, it is sometimes difficult to define its objectives clearly, and to estimate its timescale and cost. External factors can also cause uncertainty e.g. a PC supplier going out of business, a team member being ill and not available to complete the work.

    An effective project Manager is crucial to a project’s success. Project managers work with the project’s sponsors, the project team and the other people involved in a project to meet the project goals.

  • Definition of project management

    PMI definition:

    ‘the application of knowledge, skills, tools and techniques to project activities to meet project requirements’ (PMBOK 2004)
    Good project management cannot guarantee success but bad management usually results in project failure
    ie project is delivered late, costs more than estimated and fails to meet its requirements

    Additional Information

    Project Management is the management of a given task, the objective of which will be achieved through the use of the balanced skills of a group or people (resources).

    This balance of skills will combine technical knowledge of the group with the people skills of the leader (project manager). A project manager will require a number of skills including good organisational skills, leadership skills, people skills and communication skills.

    PMI – is the Project Management Institute, an international professional society for project managers.
    PMBOK – is the Project Management Body of Knowledge

  • Why is project management important?

    Worldwide $10 trillion spent on projects every year [PMI Today, 2008]
    Worldwide 16 million people regard project management as their profession [Gartner, 2009]
    1998 CHAOS Report (Standish Group)
    Almost three out of four software projects fail
    (exceed deadline/budget, faulty solution, unmaintainable systems etc)
    Nearly half of the UK's largest companies suffered a failed IT project over the past 3 years, according to research
    [Computing, 2007]
    Only 1 in 8 IT projects can be considered a success
    [BCS Study of Project Failure, 2008]
    Cost of project failure across European Union estimated as 142 billion euros in 2004
    [BCS Study of Project Failure, 2008]
    Scotland’s public sector spent £750m on IT projects in 2012 [Audit Scotland].
    Survey found projects issues such as a lack of specialist skills & flaws in project management within some key public sector projects – resulted in delays/cancellations

    Additional Information

    Scotland’s public bodies invest heavily in IT, spending about £740m a year (Audit Scotland, 2012). Audit Scotland examined 3 programmes which had cost more than £130m in total so far – and had problems (delayed or cancelled). The idea was to learn lessons for other public sector projects. They found significant weaknesses in how the projects were planned, managed and overseen. Problems included lack of specialist skills, but there were also flaws in basic project management.

    As a result of project failures, companies are increasingly recognising that to be successful and competitive they need to use modern project management techniques. Individuals must also develop skills to become good project team members and project managers.

  • What is a successful project?

    One that delivers expected results
    These traditionally include
    Cost (budget)
    Time (schedule)
    Scope
    Triple Constraint of project management
    ‘Big three’ – A success?
    The benefits must outweigh the costs e.g. the increase in sales more than covers the cost

    Some projects are time critical – a project that is late may no longer be of any use
    Millennium bug
    New legislation
    Commercial pressure
    ‘Everything’s changed now – we need a completely different system’
    Result of long project timescales
    Changing user requirements
    External events

    Additional Information

    Every project is constrained in different ways by its scope, time and cost goals (often referred to as the triple constraint of project management). Each of these constraints will have a target at the beginning of the project. For example, an IT project may have a deadline of 3 months, and a budget of £50,000 to complete a office upgrade (hardware and software).

    Scope: refers to the work that has to be completed as part of the project. A unique product, service or result should be identified that will be produced by the project.

    Time: refers to the length of time the project should take to be completed. A project schedule will be produced and will need be monitored and tracked by the project manager and updated as required.

    Cost: What is the budget for the project and how will costs be monitored and tracked?

    The triple constraint (Scope, time, cost) involves balancing the 3 elements of the project. For example the budget (cost) of the project may be increased to meet scope and time goals, or the scope may need to be reduced in order to meet time or budget goals (this could mean leaving out some of the functionality which could be picked up by a later project).

    Quality is also very important and is often the key element for customer satisfaction in a project. If the project meets its time, and scope goals but fails to provide a good quality solution then customer satisfaction will be low. For example, testing may not have been rigorous enough and some aspects of the completed system may not work properly.

    This means that good project management is more than meeting the triple constraint – quality standards must be considered. The project manager must therefore communicate with the customer (stakeholders) throughout the project to make sure the project meets expectations.

  • Successful student projects

    Time is very important – you will have to submit coursework by a deadline
    Cost is not usually an issue (student time?)
    Quality (in terms of project requirements) is important to achieve a good mark
    Good use of resources
    User acceptance

  • IT projects will require a Systems (software) Life Cycle

    Standard (repeatable) set of processes or activities to build a system/product
    Systems Development Lifecycle (SDLC) is a systems approach to problem solving that organises the processes into phases and tasks
    Starts with initial planning through to implementation and support
    Project Manager needs to select the systems life cycle that is
    Most appropriate for the project and gives them the best chance of success
    Many variations, each having strengths and weaknesses, e.g.
    Waterfall, V-process, Incremental, Spiral, Prototyping, RUP, XP

  • Project Management includes 3 basic operations:

    Planning
    Specifying the desired results
    Determining the schedules
    Estimating the resources
    Organising
    Defining people’s roles & responsibilities
    Controlling
    Monitoring actions & results – in terms of progress/lack of progress
    Addressing problems (risks/issues)
    Sharing information with interested people (the stakeholders)

  • Project Management Lifecycle

    All projects, no matter how big or small, break down into the process groups

    Project Management Lifecycle Diagram

    includes the necessary steps, from beginning to end, needed to complete a project (concept, definition, implementation, handover/closeout)

    The end of each phase is referred to as a stage gate, phase exit, or kill point, and usually marks the completion of deliverables.

    A phase defines work to be done and personnel required

     Initiating process group  Planning process group  Executing process group  Monitoring & controlling process group  Closing process group
    Develop project charter Develop project management plan Direct & manage project execution Control scope Close project
    Identify stakeholders Identify risks Distribute information Monitor & control project work
    Plan quality Control schedule
    Estimate activity duration

  • 1. Initiating Process

    Project Charter includes the following:
    Project description, requirements, milestone schedule, business case, assigned project manager

    Additional Information

    All projects except very simple ones should have proper documentation so that everyone who is involved in the project is informed.

    The first document you create in a project is called a project charter (the name for this document can vary depending on the project management methodology you are using, for example, is sometimes called the terms of reference or the project initiation document). This is where you decide what the project is about, the scope of the project and what it will produce (outcome), the benefits of the project, how long it will take, how much it will cost and who will be involved. It is usually created after discussions with the sponsor or client.

  • 2. Planning process- project plan

    Overview of the reasons for the project
    Detailed description of results
    List of all work and time estimates
    Roles and responsibilities of the team members
    Detailed project schedule
    Budgets for the resources (£)
    Risks and uncertainties

    Additional Information

    The planning process includes an overview of the reasons for the project and a detailed description of the results (outcome of the project).

    The project manager will need to define and list the work that has to be completed in the project to create the desired outcome. The project manager will identify project activities (tasks) that will need to be completed and sequence the activities (tasks) by identifying the order of the tasks. This will produce a network diagram (a picture of how activities are related).The next step is to decide on the resources required to complete the work (how many people, what skills should they have e.g. do you need a java programmer?, and when do you need them?). The activity (task) durations will then be decided based on estimates of how long it will take to complete the task (e.g. will it take 5 days to write and test the java program?). Once this has been done the project schedule will be created. The schedule will pull all this information together and predict the end date of the project.

    The project manager will also need to consider any risks that could happen in the project e.g. what if the Java programmer is not available?

  • Risk Analysis: example risk register

    Risk Element Likelihood
    (out of 1)    		 Impact Value
    (out of 5)    		 Weighting
    Work timescale expands 0.5 2.5 1.25
    Builders fail to turn up 0.3 2.5 .75
    Planning permission refused 0.01 4.5 0.045
    Material supplier goes bust 0.02 2 0.04

    Additional Information

    Projects seldom go exactly to plan, Risks and uncertainties have to be considered in a project. The project manager should use a proactive approach – thinking in advance about what could go wrong in a project and working out the probability (likelihood of it happening) and the impact on the project if it did happen. A risk register entry can be made of each risk identified and the project manager can identify responses for dealing with the risk if it does occur. For example, if there is a likelihood that a supplier may go out of business during the project then the project manager should consider the impact it would have on the project and then decide on what to do if it happens. A response may be to identify in advance an alternative supplier to use if required.

  • Planning: example work breakdown structure (WBS)

    0 – Build Garage
    1 – Planning Phase
    1.1 Design
    1.2 Costing
    1.3 Draw up plans
    2 – Building Phase
    2.1 Build Structure
    2.1.1 Dig Foundations
    2.1.2 Build Walls
    2.1 Build Roof
    2.2.1 Build Framework
    2.2.2 Fit Tiles

    Additional Information

    The work of the project has to be defined. This example shows a work breakdown structure (WBS) which identifies the tasks (work required) and also the sequence of the work (the order it has to be completed in).

  • Estimating Duration

    Once a task list exists, the next step is to estimate durations for the tasks

    Additional Information

    Here we estimate how long it will take to complete a task. Estimating the duration of an activity means starting with the information you have about that activity and the resources that are assigned to it, and then working with the project team to come up with an estimate. Most of the time you might come up with a rough estimate and then refine it to make it more accurate. It is also easier to do this once you have experience in similar project work. There are also tools and techniques which you can use to create more accurate estimates (e.g. PERT – Project Evaluation Review Technique, where you start with 3 estimates – pessimistic, most likely and optimistic estimates and then you apply weightings to create an expected duration).

  • Scheduling

    Schedule the tasks by identifying the logic between them
    Identify critical path (identifies the overall project duration, and those tasks which if delayed would have a direct impact on the end date)
    Identify concurrent tasks
    Identify the timescale

    Additional Information

    A Gantt chart is used to display the project schedule (see next slide for an example of a partially completed Gantt chart). The Gantt chart is used to communicate the project schedule information. There are many project management software tools such as MS Project which allows Gantt charts to be easily created from your list of tasks and the project manager can easily make updates as required.

    It is very important to identify the sequence of the tasks (the order they must be completed in) and also the relationships between the tasks (dependencies) to improve project scheduling. It is also important to identify tasks that are running concurrently (at the same time) or even within a set time frame. Concurrent tasks allows your team to work on more than one task at a time. This can be important if there is a delay in completing one task the team members may be able to work on the other tasks.

    The project manager will identify and monitor the tasks on the critical path. The critical path on a project schedule identifies the longest path through a network diagram that determines the earliest completion on the project. These are tasks with no slack (float) in them which means that any delay on these tasks will delay the end date of the project.

    Example: Intranet WBS and Gantt Chart in Microsoft Project

    Gantt Chart Example

    Additional Information

    This is an example of an incomplete Gantt chart created in MS Project software. The tasks are listed on the left hand side and are shown in the order they should occur. Since this is an IT project it should correspond to the Systems (Software) Lifecycle being used (e.g. you may be using a waterfall approach or an incremental approach to develop the work of the project). The schedule on the right hand side shows the duration of the tasks and the dependencies between the tasks (shown by the arrows between dependent tasks). Resources can be also added (e.g. who carries out the task) and also milestones (decision points or a point where a key deliverable is produced). This helps the project manager monitor the schedule.

    Project Management software allows the project manager to manage projects from start to finish and employees at different levels can have an input into the process.

  • 3. Executing process

    Assign people to project roles
    Give and explain tasks to team members
    Define how the team will perform the necessary tasks
    Setting up necessary tracking systems
    Announcing the project to the organisation

    Additional Information

    When people are to be assigned to work on the tasks a list of the available resources should be identified from the Project Charter (Terms of Reference document). The identified resources (people) can then be assigned to the project. It is important to check for any potential over allocations based on how much time each person has and how many tasks they have been allocated. It may be necessary to reallocate tasks or to adjust the project plan to allow for more time to complete a task.

    Once the project starts, the project manager will have to follow the project plan as closely as possible. Tracking progress involves the project manager maintaining the project plan on a regular basis. Typically this may be done once a week. It is important that the project progress is evaluated at a common time, so that progress for the overall plan can be assessed. The project manager will need to know the tasks that are scheduled to start during the current review period, how much time was spent on all tasks current during the sample period, how much time is now estimated to complete ongoing tasks, which tasks have been completed during the review period and when.

    The project plan can then be updated to reflect changes.

  • Responsibility Assignment matrix

    Task: Build a Garage

    PLAN DESIGN BUILD DECORATE
    Project Manager Architect Subcontractor Self

    Additional Information

    This is an example of a responsibility assignment matrix where resources (people) are assigned.

  • 4. Monitoring & Controlling process

    Getting the tasks done
    Compare performance with plan (monitoring and controlling)
    Fixing problems that arise (issues/risks)
    Keeping everyone informed

    Additional Information

    As the project progresses tasks will be completed. The project manager will have to monitor the project plan and consider the work completed versus the work planned and any problems (issues) occurring or any imminent risks. It is unlikely that everything will go to plan on the project for example, a key member of staff may be absent which could delay the work. The project manager may have to adjust the schedule as necessary.

  • 5. Closing process

    Finish the assigned tasks
    Get client’s approval of the final result
    Close all project accounts
    Post project evaluation
    To recognise achievements
    Discuss lessons learned

    Additional Information

    It is important to evaluate the completed project (successful or unsuccessful) and to learn lessons for future projects.

  • Scrum

    Scrum is a general agile method
    Focus is on managing iterative development
    3 phases
    Outline planning phase – establish general objectives for project & design software architecture
    Series of sprint cycles where each cycle develops an increment of the system
    Project closure – wraps up the project, completes documentations & assess lessons learned

    Additional Information

    This is a different approach to project management and it is suited to incremental delivery.

    Scrum provides a management framework for the project.

    There are 3 phases in Scrum- the innovative feature in Scrum is its central phase – the sprint cycles. A Scrum sprint is a planning unit in which the work to be done is assessed, features are selected for development and the software is implemented. At the end of the sprint the completed functionality is delivered to the stakeholders, Sprints usually last 2-4 weeks.

    Term project manager is avoided in Scrum – the whole team is empowered to make decisions