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General theory and historyof Project Management
March 1st 2010
Yvet van ‘t HofBart Vermeeren
&Adien HuismanMarien Roorda
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Content- What is a project?- Definition of PM- History of PM- PM Process Groups- The iron triangle (scope) 15.00-15.15 Break- The iron triangle (time &
cost)
- Project manager (case)- Project manager16.15-16.30 Break - Project vs. General
Management- When to use PM?- Questionnaire
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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What is a project?
“A project is a temporary endeavor undertaken to create a unique product, service or result” Project Management Institute
- Temporary
- Beginning, middle and end - Unique outcome
- Unique deliverable, tangible or intangible - Something new, that has never been done before
- Well defined scope - Project is supposed to achieve a specific deliverable with specific
attributes at the end
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Definition of PM
“Project Management is the application of knowledge, skills, tools and techniques to project activities to meet project requirements.” Project Management Institute
“Project management is the planning, organizing, directing and controlling of company resources for a relatively short-term objective that has been established to complete specific goals and objectives.” Harold Kerzner
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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History of PM
40 years of great projects (1969 – 2009)
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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History of PMThere have been projects and management since humans
worked together to build for example a shelter
- Until 1900, civil engineering projects were generally managed by creative architects and engineers
- Since WW II, formal project management discipline has emerged
- Since early 1950, apply PM tools and techniques for projects
No official starting point
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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History of PMFour different time periods - Prior to 1958: Craft system to Human Relations Administration
- Henry Gantt invented the Gantt chart- Job specification became basis of Work Breakdown Structure (WBS)- Manhattan Project (1942 – 1945)
- 1958 – 1979: Application of Management Science - Several project management tools are introduced (CPM / PERT / MRP)
- 1980 – 1994: Product center: Human Resources - PM software was available for PC
- 1995 to present: Creating a new environment - Internet was adopted
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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History of PMHenry Gantt Henri Fayol
- Born in 1861- American mechanical engineer
and management consultant- Famous for developing the
Gantt chart (1910)
- Born in 1841- French mining engineer,
director of mines and management theorist
- Five primary functions of a manager
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
The Project Wizards Guide
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
A process is a set of interrelated actions and activities that are performed to achieve a pre-specified set of products, results, or services
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PM Process Groups
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Project Life Cycle
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Initiating Process Group- Consists of the processes that facilitate the formal
authorization to start a new project (or project phase)- Project description - Project manager will be selected
Two PM processes- Develop a project charter- Develop project scope statement
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Planning Process Group- Is used to plan and manage a successful project - Output is a project management plan
21 PM processes, including- Scope planning & definition - Work Breakdown Structure (WBS)- Cost estimating- Activity definition - Risk management planning
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Executing Process Group- Consists of the processes used to complete the work defined
to accomplish the requirements- Coordinating people- Integrating and performing activities
Seven PM processes, including- Develop project team- Information distribution
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Monitoring and Controlling Process Group- Consist of those processes performed to observe project
execution- Monitors and controls the entire project effort
Twelve PM processes, including- Scope control- Manage project team- Risk monitoring and control
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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PM Process Groups
Closing Process Group- Includes the processes used to formally terminate all
activities of a project (or project phase)
Two PM processes- Close project- Contract closure
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Project Management
NASA Project Management Challenge 2007
“When I think of excellence, I think of people more than things because only people can bring quality, excellence, perfection to the things that must work. It is in that light that we achieved the Apollo landings on the Moon.”
George M. LowFormer Deputy Administrator
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Succeed a projectIn order for a project to be successful the project team must
- Open communication- Keep stakeholders informed and involved, comply with
requirements to meet stakeholders- Balance risk: technical, time, scope, cost, quality, recourses
- Use a defined approach to adapt product specifications and plans to meet project and product requirements
- Select appropriate processes within the PM-process groups
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Project Management Plan
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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The Iron Triangle
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Scope
- Project objectives
- Project requirements
- Project deliverables
- Cost estimate factors
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Work Breakdown Structure
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Break
After the break- The Iron Triangle (time & cost)- Project Manager
Back in 15 minutes
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Time
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Cost
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Project manager
A day in the life: Construction project manager
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Case Quantum Bank
Quantum Bank is a regional bank
In 1999, a Web site is launched for customers to check account balances and obtain information. Quantum would like to expand this website
Stacey Thomas (vice president of information systems) needs to select a project manager
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Case Quantum BankBill Fence - Joined in 1995- Graduated at a well-respected
small private school- Degree in computer science- Ability to solve difficult
technical problems- Ability to describe concepts in
non-technical terms - Developed a Web site in 1998- Last project was on time and
budget
Andy Dover- Joined in 1995- Graduate at large public
university- Promoted to senior operations
analyst - Ability to step back from a
problem - Highly motivated self starter- Good communication and
organizational skills- Basic understanding of
Internet
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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The role of a project manager- Responsible for coordinating and integrating activities across
multiple, functional lines- The major responsibility is planning- Project manager must provide
- Complete task definitions - Resource requirement definitions - Major timetable milestones- Definition of end-item quality
- Risk management- Unknown unknowns will become known unknowns
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The skills of a project manager- Communicative and interpersonal skills
- Becoming familiar with operations of each line organization
- General knowledge of the technology being used
- Needs to be organized
- Working well with a team
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Project manager
“You give me an individual who has good communicative skills and interpersonal skills, and I’ll give that individual a job. I can teach people the technology and give them technical experts to assist them in decision making. But I cannot teach somebody how to work with people.”
Executive of computer manufacturer company
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Interview
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
Project Manager
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Summary of the Interview
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
- Project Manager at Sogeti
- Current project at the AMC
- Project manager: “Make sure the things are getting done.”
- Project success: Defining the deliverables (scope), time and cost. Deal with risk management.
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Break
After the break- Project vs. General Management- When to use PM and when not- Questionnaire
Back in 15 minutes
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Project vs. General Management
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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When to use PM- To manage unique or rare activities, to deal with specific ad
hoc problems and opportunities
- To deal with rapid changing competitive or environmental conditions
- To deal with new technologies
- To deal with a task that is bigger than anything the organization is accustomed to handle
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Specific uses of PM- Project Management for a company who wants to deliver
it’s customers competitive products and services
- Project Management to support an organization crisis management strategy
- Project Management to support a company’s factory operations, who is dealing in very rapid changing technologies
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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When not to use PM- Highly standardized products, processes are routine
- Decisions can be made within an organizational framework
- The product or service technology is stable
- The political, social, economic, technological, and competitive environments faced by the enterprise are stable
- The organization is small as well as the projects
Project – Definition – History – Process Groups – Iron Triangle – Project Manager – Vs. General Management - Use of PM
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Questionnaire
1. ‘The Internet technology was adapted to become more efficient in monitoring and controlling aspects of projects’
True / False
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Questionnaire
2. ‘Scope definition is one of the five process groups of the Project Management Process Groups’
True / False
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Questionnaire
3. ‘Without defining a scope of a project, it is difficult to know were the project will end’
True / False
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Questionnaire
4. ‘Develop a project team is one of the processes in the initiating process group of the traditional approach’
True / False
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Questionnaire
5. ‘The iron triangle contains conflicting elements’
True / False
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Questionnaire
6. ‘The project scope statement is one of the most important parts of the project scope’
True / False
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Questionnaire
7. ‘The WBS contains an activity list’
True / False
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Questionnaire
8. ‘Project requirements are a part of the project time management plan’
True / False
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Questionnaire
9. ‘Project cost management gives an overview of the resources needed to complete the project activities’
True / False
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Questionnaire
10. ‘A project manager must have authority as well as responsibility’
True / False
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Questionnaire
11. ‘Social and organizational skills are the most important characteristics of a Project manager’
True / False
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