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ELC 347 project management

Week 2

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Agenda

• Contracts • New Schedule• Assignment 1 posted in WebCT

– Due in one week

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Introduction: Why Project Management?

Chapter 1

© 2007 Pearson Education

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Introduction

• Examples of projects– Split the atom– Chunnel between England and France– Introduce Windows XP

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

-Tom Peters

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What is a Project?

Project• Take place outside the

process world• Unique and separate

from normal organization work

Process• Ongoing, day-to-day

activities• Use existing systems,

properties, and capabilities

A project is a unique venture with a beginning and an end, conducted by people to meet established goals within parameters of cost, schedule and quality.

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Elements of Projects

• Complex, one-time processes

• Limited by budget, schedule, and resources

• Developed to resolve a clear goal or set of

goals

• Customer-focused

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General Project Characteristics (1/2)

• Ad-hoc endeavors with a clear life cycle

• Building blocks in the design and execution of organizational strategies

• Responsible for the newest and most improved products, services, and organizational processes

• Provide a philosophy and strategy for the management of change

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General Project Characteristics (2/2)

• Entail crossing functional and organization boundaries

• Traditional management functions of planning, organizing, motivating, directing, and controlling apply

• Principal outcomes are the satisfaction of customer requirements within technical, cost, and schedule constraints

• Terminated upon successful completion

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Process & Project Management (Table 1.1)

Process

1. Repeat process or product

2. Several objectives

3. On-going

4. People are homogeneous

5. Systems in place

6. Performance, cost, & time known

7. Part of the line organization

8. Bastions of established practice

9. Supports status quo

Project

1. New process or product

2. One objective

3. One shot – limited life

4. More heterogeneous

5. Systems must be created

6. Performance, cost & time less

certain

7. Outside of line organization

8. Violates established practice

9. Upsets status quo

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Information Technology Project “Success”

• 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

• Average cost overrun is 45%; schedule overrun is 63%; with only 67% of originally contracted features

• 47% of IT projects delivered but not used, 29% paid for but not delivered; 19% abandoned

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Happens more often than most people think!

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Why are Projects Important?

1. Shortened product life cycles

2. Narrow product launch windows

3. Increasingly complex and technical products

4. Emergence of global markets

5. Economic period marked by low inflation

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3 Gorges Dam

18,000 workers and a $73 billion cost estimate, idea in 1920’s, to be completed in 2009

http://www.chinapage.com/3gorge/3gorge.html

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Project Life CyclesMan Hours

Conceptualization Planning Execution Termination

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Project Life Cycles and Their Effects

Conceptualization Planning Execution Termination

Uncertainty

Client Interest

Project Stake

Creativity

Resources

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Determinants of Project Success

Success

Budget

Client

Acceptance

Schedule Performance

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Six Criteria for IT Project Success

• System quality

• Information quality

• Use

• User satisfaction

• Individual Impact

• Organizational impact

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Four Dimensions of Project Success

Project

Completion

Time

Importance

1

Project

Efficiency

4

Preparing for

The Future

2

Impact on

Customer

3

Business Success

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Atkinson Model

Iron triangle

Information System

Benefits

(Organization)

Benefits

(Stakeholders)Cost

Quality

Time

Maintainability

Reliability

Validity

Quality

Use

Improved efficiency

Improved effectiveness

Increased Profits

Strategic goals

Organization learning

Reduced Waste

Stratified users

Social and environmental Impact

Personal Development

Professional learning, Contractors’ profits

Capital suppliers. content

Project team, economic

Impact to surrounding Community

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Using Maturity Models

• Determines Organizational adaptation of Best Practices– Analyze and assess– Benchmark– Change– Re-Measure

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0 Not defined or poor1 Defined but substandard2 Standardized3 Industry leader or cutting edge

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Spider Web Diagram

0

0.5

1

1.5

2

2.5

3Project Scheduling

Structural Support forProject Management

Portfolio Management

Coaching, Auditing andEvaluating Proejcts

Control Practices

Project StakeholderManagement

Networking BetweenProjects

Personnel Development forProjects

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Developing Project Management Maturity

Project management maturity models

– Center for business practices

– Kerzner’s project management maturity model

– ESI International’s project framework

– SEI’s capability maturity model integration

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Project Management MaturityGeneric Model

Low Maturity

Ad hoc process, no common language, little support

Moderate MaturityDefined practices, training programs,

organizational support

High Maturity

Institutionalized, seeks continuous

improvement

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Project Elements and Text Organization

1-26http://www.pmi.org/prod/groups/public/documents/info/default.asp