Project Management in China

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Project Management in ChinaProject Management in China

J. Davidson Frame, PhD, PMPJ. Davidson Frame, PhD, PMPUniversity of Management and TechnologyUniversity of Management and Technology

1901 Ft. Myer Dr.1901 Ft. Myer Dr.Arlington, VA 22209Arlington, VA 22209

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China SnapshotChina Snapshot

GENERAL– Currently world’s 6th largest economy; likely to be 2nd largest

by 2030 (Lehman Brothers)– Since 2003, accounted for 33% of global economic growth– 40% growth in imports in 2005– 9.7% official GDP annual growth rate (may be

underestimated)PROJECT MANAGEMENT– Currently, China consumes 40-45% of all construction

materials used in the world!!!– Estimated 500 professionals working in project management– In 2006, 10,000 PMPs. Estimate for 2007 – 20,000 more!– 2008 Olympics a stimulus for project management

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PM in China – Brief OverviewPM in China – Brief Overview

As of the mid-1980s, there was virtually no project management being practiced in China.

The military employed systems engineering discipline on defense projects

the construction industry employed construction management

Project management as a distinct discipline was unknown.

In the late 1980s, JD Frame began the first systematic lecturing on project management in China

Beijing Institute of Chemical Engineering Management (lectures sponsored by the World Bank)

China State Ship Building Corporation

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PM in China – Brief OverviewPM in China – Brief Overview

In 1992, JD Frame (PMI’s Director of Certification at the time) and Yanping Chen began delivering presentations on PMP certification in China to large audiences in a wide range of industries.In 1993, the World Bank’s EDI group invited some 50 Chinese professors to study project management in Washington, DC. (This effort headed by DC Chapter member, Clay Myers.)In 1998, Northwestern Polytechnical University (in Xi’an) established the first Chinese project management program. Assumed a leadership role in PM for a number of years.In 1998, China’s Foreign Expert Bureau became the first government agencies to actively promote project management. Ultimately, they signed an agreement with PMI to be the guardians of the PMP in China.

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PM in China – Brief OverviewPM in China – Brief Overview

In 1992, JD Frame and Yanping Chen introduced PMP certification concepts in China (Frame was PMI’s Certification Director). Over the next 10 years, they regularly offered lectures to large audiences explaining project management and PMP certification.By the mid-1990s, interest in project management was emerging. The Northwest Polytechnical University in Xi’an was the first Chinese university to focus on project management. They began to host project management conferences with invited PM experts from abroad.In the early 2000s, interest in PMP certification exploded, largely owing to the promotion efforts of the Foreign Expert Bureau

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72%61%

4%3%

9%9% 15%

27%

%PMI Members%PMPs

PMI Global MembershipPMI Global Membership

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PMPs Bestowed by Region: 2000-2005PMPs Bestowed by Region: 2000-2005

2000 2001 2002 2003 2004 20050

10000

20000

30000

40000

50000

60000

Asia/PAC EMEA Latin America North America

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PMPs in ChinaPMPs in China

China’s first certified PMP was UMT’s Dr. Yanping Chen (certified in 1993).

No other Chinese PMPs until the 2000s.

Today, China has more than 10,000 PMPs.

Independent estimates predict that 20,000 more PMPs will be added in 2007.

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Newtown Square, PennsylvaniaGlobal Operations

EMEA Service Center

BrusselsRepresentative

OfficeBeijing

Singapore Asia/Pacific

Service Center

Washington DC US Government Relations Office

PMI Locations Around the GlobePMI Locations Around the Globe

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PMI Activities in ChinaPMI Activities in China

PMI is working hard to increase its activities in China. For example:

Established a PMI representative office in Beijing.Translated PMBOK Guide into Chinese (UMT’s Dr. Yanping Chen was project manager of translation effort).High level meetings between PMI executives and players in the Chinese construction industry.Agreement by PMI’s Global Accreditation Council (GAC) to review PM Master’s degree programs approved by the Ministry of Education (MOE).Introduction of OPM3 methodology into China (Nov 2006)Localization of PM standards by cooperating with local standards setting bodies in ChinaParticipating actively in global PM Forums in ChinaPMI established a China website in 2006

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New PMI New PMI Chinese Website Chinese Website July 2006 LaunchJuly 2006 Launch

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ChallengesChallenges

PMI challenges in ChinaOwing to legal issues, PMI has no chapters in China.

PMI is facing competition for support by government agencies coming from the Europe based IPMA (International Project Management Association).

PMI faces challenges of managing the huge scale of activity in China (What if 100,000 Chinese managers decide to apply for PMP certification each year?).

General project management challenges in ChinaThe Chinese government is a bottleneck for the natural development of PM capabilities in China (e.g., education policy)

The experience level of project managers is low, even though PMP numbers are high