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INME 423: Project Planning

Lecture 1: Introduction To Projects

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Evaluation profile:

  Project 20% Exam 1 20% Exam 2 20%Final 40%

students who miss more than one-fifth of the sessions in the first ten weeks of the semester will be required to withdraw from the course with a grade of “WF”.

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Subjects covered Introduction to Project Management Techniques used for Project Planning and

Scheduling The Critical Path Method (CPM) Precedence Networks Program Evaluation and Review Technique

(PERT) Schedule compression and Time-Cost Trade-

Off Schedule Updating and Project Control Computer Applications using Primavera

Understand the growing need for better projects

Explain what is a project provide examples of projects, list various attributes of projects describe project constraints

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Chapter 1-Introduction Learning Objectives

Many organizations today have a new or renewed interest in project management (PM)In 2011, the average annual salary for someone in

the PM profession was: $160,409 in Switzerland (the highest-paid country) $139,497 in Australia $105,000 in the United States $23,207 in China

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Introduction

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A 2004 PriceWaterhouse Coopers study of 200 companies from 30 different countries found that over half of all projects fail.

Project Success/Fail Rates

“The reasons for the increase in successful projects vary, but:

better tools have been created to monitor and control progress

better skilled project managers with better management processes are being used.

There are different ways to define project success:

The project met scope, time, and cost goals.The project satisfied the customer/sponsor.The project produced the desired results.

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Project Success

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Building construction

© 1995 Corel Corp.

An Example of projects

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Research project

An Example of projects

A young couple hires a firm to design a new house.

A retail store manager works with employees to display a new clothing line.

A college campus upgrades its technology infrastructure to provide wireless Internet access.

A school implements new government standards for tracking student achievement.

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Examples of Projects

A project is “a temporary endeavor undertaken to create a unique product, service, or result”*

Project: it is a collection of activities that have a definite start and a definite finish.

Projects end when their objectives have been reached, or the project has been terminated

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What Is a Project?

*Project Management Institute, Inc., A Guide to the Project Management Body of Knowledge (PMBOK® Guide, Fifth Edition) (2012).

A project:Has a unique purposeIs temporary, Defined start and end datesIs developed using progressive elaboration Developed to resolve a clear goalRequires resources, often from various areasLimited by budget, schedule, and Human and

nonhuman resourcesShould have a primary customer or sponsor

The project sponsor usually provides the direction and funding for the project

Involves uncertainty

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Project Attributes

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Related definitions Activity: it is work or task that should be

done at a certain specified date and within a certain specified duration and with a predetermined amount of resources. Relations and sequence of activities should be known.

Resources: man, machine, equipment, labor, are typical examples of resources. Money is the global image of all resource types.

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Related definitions

Deliverable : is a measurable work productIn project management, a deliverable is a

product or service that is given to your client. Has a due date is tangible, measurable and specific.

Related Definitions Milestones are events or stages of the project that

represent a significant accomplishment.

Milestones• show completion of important

steps• signal anchors such as a project

start and end date• can motivate the team• milestones do not impact project

duration. Instead, they focus on major progress points. 13-015

Some project managers focus on the triple constraint:

Scope: What work will be done as part of the project? What unique product, service, or result does the customer or sponsor expect from the project?

Time: How long should it take to complete the project? What is the project’s schedule?

Cost: What should it cost to complete the project? What is the project’s budget? What resources are needed?

Other constraints: Quality Risk resources

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Project Constraints

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Figure 1-2. Typical Project Constraints

Other Types of Project ConstraintsTechnical or Logic Constraints: Constraints related

to the sequence in which project activities must occur.

Example of Resource Constraints: The absence or shortage of resources

PeopleMaterialsEquipmentWorking Capital

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Project Life CyclesMan Hours

Conceptualization

Planning Execution Termination

Fig 1.3 Project Life Cycle Stages

01-19

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Conceptualization - the development of the initial goal and technical specifications.

Planning – all detailed specifications, schedules, schematics, and plans are developed

Execution – the actual “work” of the project is performed

Termination – project is transferred to the customer, resources reassigned, project is closed out.

Project Life Cycles

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Project life cycle

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End of lecture 1