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3 Managing Projects

PowerPoint presentation to accompany PowerPoint presentation to accompany Heizer and Render Heizer and Render Operations Management, 10e, Global Edition Operations Management, 10e, Global Edition Principles of Operations Management, 8e, Global EditionPrinciples of Operations Management, 8e, Global Edition

PowerPoint slides by Jeff Heyl

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Single unit Many related activities Difficult production planning and

inventory control

Project CharacteristicsProject Characteristics

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Examples of ProjectsExamples of Projects

Building Construction

Research Project

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Management of ProjectsManagement of Projects1. Planning - goal setting, defining the

project, team organization2. Scheduling - relates people, money,

and supplies to specific activities and activities to each other

3. Controlling - monitors resources, costs, quality, and budgets; revises plans and shifts resources to meet time and cost demands

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PlanningObjectivesResourcesWork break-down

structureOrganization

SchedulingProject activitiesStart & end timesNetwork

ControllingMonitor, compare, revise, action

Project Management Project Management ActivitiesActivities

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Project Planning, Project Planning, Scheduling, and ControllingScheduling, and Controlling

Figure 3.1Before Start of project Duringproject Timeline project

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Project Planning, Project Planning, Scheduling, and ControllingScheduling, and Controlling

Figure 3.1Before Start of project Duringproject Timeline project

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Project Planning, Project Planning, Scheduling, and ControllingScheduling, and Controlling

Figure 3.1Before Start of project Duringproject Timeline project

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Project Planning, Project Planning, Scheduling, and ControllingScheduling, and Controlling

Figure 3.1Before Start of project Duringproject Timeline project

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Establishing objectives Defining project Creating work

breakdown structure Determining

resources Forming organization

Project PlanningProject Planning

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The Role ofThe Role of the Project Manager the Project Manager

Highly visibleHighly visibleResponsible for making sure that:Responsible for making sure that:

1. All necessary activities are finished in order and on time

2. The project comes in within budget3. The project meets quality goals4. The people assigned to the project receive

motivation, direction, and information

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The Role ofThe Role of the Project Manager the Project Manager

Highly visibleHighly visibleResponsible for making sure that:Responsible for making sure that:

1. All necessary activities are finished in order and on time

2. The project comes in within budget3. The project meets quality goals4. The people assigned to the project receive

motivation, direction, and information

Project managers should be: Good coaches Good communicators Able to organize activities

from a variety of disciplines

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Ethical IssuesEthical Issues

1. Offers of gifts from contractors2. Pressure to alter status reports to mask delays3. False reports for charges of time and expenses4. Pressure to compromise quality to meet

schedules

Project managers face many ethical decisions on a daily basis

The Project Management Institute has established an ethical code to deal with problems such as:

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One Technique – One Technique – Gantt ChartGantt Chart

TimeJ F M A M J J A S

DesignPrototypeTestReviseProduction

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Trade-Offs and Project Trade-Offs and Project CrashingCrashing

The project is behind schedule The completion time has been

moved forward

It is not uncommon to face the It is not uncommon to face the following situations:following situations:

Shortening the duration of the project is called project crashing

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