Project Management

Project Management: A Managerial Approach 4/e

By Jack R. Meredith and Samuel J. Mantel, Jr.

Published by John Wiley & Sons, Inc.

Presentation prepared by RTBM WebGroup

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Project ManagementA Managerial ApproachChapter 1

Projects in Contemporary Organizations

Projects in Contemporary OrganizationsProject Management has emerged because the characteristics of our turn-of-the-century society demands the development of new methods of management

Many forces have fostered the emergence and expansion of Project Management

Chapter 1-1

Forces Of Project Management3 Paramount Forces driving Project Management:1. The exponential expansion of human knowledge2. The growing demand for a broad range of complex,

sophisticated, customized goods and services3. The evolution of worldwide competitive markets for the

production and consumption of goods and servicesAll 3 forces combine to mandate the use of teams to solve problems that used to be solvable by individuals

Chapter 1-2

Objectives of a Project3 Project Objectives:PerformanceTimeCostExpectations of clients are not an additional target, but an inherent part of the project specifications

Chapter 1-3

Objectives of a Project3 Project Objectives:

Chapter 1-4

The Professionalism of Project ManagementComplexity of problems facing the project managerGrowth in number of project oriented organizationsThe Project Management Institute (PMI) was established in 1969By 1990 it had 7,500 members5 years later, over 17,000 membersAnd by 1998, it had exploded to over 44,000 membersThis exponential growth is indicative of the rapid growth in the use of projectsAlso reflects the importance of PMI as a force in the development of project management as a profession

Chapter 1-5

Project Management Institute

Chapter 1-6

Recent Changes in Managing OrganizationsThe process of managing organizations has been impacted by three revolutionary changes1. Accelerating replacement of traditional, hierarchical management by participatory management2. Currently witnessing the adoption of the systems approach (sometimes called systems engineering)3. Organizations establishing projects as the preferred way to accomplish the many specific changes that must be made when the organization attempts to alter its strategy

Chapter 1-7

The Definition of a ProjectMust make a distinction between terms:Program - an exceptionally large, long-range objective that is broken down into a set of projectsTask - set of activities comprising a projectWork Packages - division of tasksWork Units - division of work packagesIn the broadest sense, a project is a specific, finite task to be accomplished

Chapter 1-8

Characteristics of a ProjectHave a purposeHave a life cycleInterdependenciesUniquenessConflict

Chapter 1-9

Why Project Management? Companies have experienced:Better controlBetter customer relationsShorter development timesLower costsHigher quality and reliabilityHigher profit marginsSharper orientation toward resultsBetter interdepartmental coordinationHigher worker morale

Chapter 1-10

Why Project Management?Companies have also experienced some negatives:Greater organizational complexityIncreased likelihood of organizational policy violationsHigher costsMore management difficultiesLow personnel utilization

Chapter 1-11

The Project Life CycleStages of a Conventional Project:Slow beginningBuildup of sizePeakBegin a declineTermination

Chapter 1-12

The Project Life Cycle

Chapter 1-13

The Project Life CycleTime distribution of project effort is characterized by slow-rapid-slow

Chapter 1-14

The Project Life CycleOther projects also exist which do not follow the conventional project life cycleThese projects are comprised of subunits that have little use as a stand alone unit, yet become useful when put together

Chapter 1-15

The Project Life CycleUnlike the more conventional life cycle, continued inputs of effort at the end of the project produce significant gains in returns

Chapter 1-16

The Project Life CycleIt is essential for the Project Manager to understand the characteristics of the life cycle curve for his project

The distinction between the two life cycles plays a critical role in the development of budgets and schedules for the project

Chapter 1-17

The Project Life CycleRisk during project life cycleWith most projects there is some uncertainty about the ability to meet project goalsUncertainty of outcome is greatest at the start of a projectUncertainty decreases as the project moves toward completion

Chapter 1-18

Risk During Project Life CycleUncertainty decreases as the project moves toward completion

Chapter 1-19

Textbook StructureStructure of the text follows the life cycle of projectsText divided into 3 main sections:Part I - Project InitiationPart II - Project ImplementationPart III - Project Termination

Chapter 1-20

SummaryThe Project Management Institute (PMI) was founded in 1969 to foster the growth and professionalism of project management

Project management is now being recognized as a valuable career path in many organizations, as well as a way to gain valuable experience within the organization

Chapter 1-21

SummaryThe three primary forces behind project management are:1. The growing demand for complex, customized goods and services2. The exponential expansion of human knowledge3. The global production-consumption environment

Chapter 1-22

SummaryThe three prime objectives of project management are:1. To meet specified performance2. To do it within specified costs3. Complete on schedule

Terminology follows in this order: program, project, task, work package, work unit

Chapter 1-23

SummaryProjects are characterized by a singleness of purpose, a definite life cycle, complex interdependencies, some or all unique elements, and an environment of conflict

Project management, though not problem-free, is the best way to accomplish certain goals

Chapter 1-24

SummaryProjects often start slow, build up speed while using considerable resources, and then slow down as completion nearsThis text is organized along the project life cycle concept:Project Initiation (Chapters 2-6)Project Implementation (Chapters 7-11)Project Termination (Chapters 12-13)

Chapter 1-25

Projects in Contemporary Organizations

Questions?

Chapter 1-26

Projects in Contemporary Organizations

Picture Files

Projects in Contemporary Organizations

Figure 1-1

Projects in Contemporary Organizations

Figure 1-2

Projects in Contemporary Organizations

Figure 1-3

Projects in Contemporary Organizations

Figure 1-4

Projects in Contemporary Organizations

Figure 1-5

Projects in Contemporary Organizations

Figure 1-6

Copyright 2000 John Wiley & Sons, Inc. All rights reserved. Reproduction or translation of this work beyond that permitted in Section 117 of the 1976 United States Copyright Act without the express written permission of the copyright owner is unlawful. Request for further information should be addressed to the Permissions Department, John Wiley & Sons, Inc. The purchaser may make back-up copies for his/her own use only and not for distribution or resale. The Publisher assumes no responsibility for errors, omissions, or damages, caused by the use of these programs or from the use of the information contained herein.

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