Project Management:
the
Basics
Why
the projects are so popular
today?
What
kinds of projects do we
know?
What
are the main phases of the
project?
How
can we manage a project?
First it was a
project…
• New
product
• New
process
• New
event
…………………………………………
And now we
need
it more and
more
Hierarchy
(linear structure)
Functional/
product/customer
Matrix
structure
Do we really
need
a
definition?
A
temporary
endeavor
undertaken to create a
unique
product, service, or result
……………………………..
What is
your
definition?
Some
specific
features
• C
hange
• G
oal
• L
imited
t
ime
• L
imited
b
udget
• L
imited
r
esources
• U
niqueness
• L
egal
f
oundation
• M
anagement
What
kinds
of projects do we
know?
We can
distinguish
projects by:
•Field
•Complexity (mono-, multi-, mega-)
•Scale
•Duration
Investment (
commercial
)
project
• The goal, duration, dead line and
budget are
defined
in advance;
• All
effects
of the project can be
estimated;
• Resources are delivered
step by step
depending on the progress of the
project.
Organizational
project
• The
goal
is defined in advance, but
duration
can be defined only
approximately;
• Most of effects are
difficult to estimate
;
• All resources are delivered
as far as
possible
;
• All spending are taking into account, but
can not be
fully estimated before
the
implementation
Reorganization of the firm, Implementation of the new system of
management, holding a conference
Social
project
• The goals can be
declare
in
advance, but should be corrected
step by step. It is very
hard to
estimate
it in terms of quantity;
• The duration depends on
stochastic
factors and should be corrected;
• Spending are usually limited by the
sources.
Elimination of consequences of natural and man-
made disasters, social upheaval
R&D and
Innovation
projects
• The main goal of the project is strictly
defined, but
sub-goals
should be
corrected
step by step;
• The dead line and
duration
are defined in
advance, but also
can be corrected
depending the progress of the project;
• Spending are restricted
by the source of
finance;
• The
progress is restricted
by the equipment
and human capital.
• Any difference?
Project
Roles
and
Responsibilities
• Project
Manager
• Project
Team
Members
• Executive
Sponsor
• Project Sponsor and/or Project
Director
• Steering Committee
• Customers
• Stakeholders
• Vendors
Goal and objectives
• Goal
- is the desired
result
of the project
achieved within a certain time period
• Objective
– the desired
result
of activities
planned for the attainable (specified) time
interval and is characterized by a set
of
quantitative data
or parameters
From the goal to the measurable
objectives …
Decomposition
of the project - the
definition of the modular structure of
project planning and control
Risk Management Plan
Risk is an
event or occurrence that
may negatively impact the project.
•Risk
Identification
(name, field)
•Risks
Quantification
(probability,
impact)
•Risk
Response
(what are we going to
do)
•Risk
Monitoring
and
Control
Risks of the project:
Technical
• the probability of
negative results of R & D
involved in the project,
• failure
to reach the planned technical or
quality parameters
in the design and
technological development
• advancing the
technical level of production
and
technological capabilities
to master
the results of development
Risks of the project:
Contract
• unreliability of
subcontractors
and
suppliers
, including the suppliers of
security-critical resources (energy,
components, raw materials, finance,
etc.)
• investment risk
- the probability of
delays or failure of investors to
finance.
Risks of the project:
Commercial
The probability of
•wrong choice of
economic objectives
of
the project
•an incorrect assessment of
required
financial
resources
•incorrect assessment of
markets
•unexpected costs
and project overruns
Risks of the project:
Market
The probability of
•blockage o
f the market
•advancing the project by
competitor
•unexpected
competition
Risks of the project:
Distributional
The probability of
•failure in the distribution
channels
•theft
or
damage
to goods
•disruptions
in the flow of payments
from customers
Project
analyses:
case study
Read the business case
in groups
and
discuss
the following questions:
• What is the
type
of the project?
• What are the
roles
and
responsibilities
in the
project;
• What are
the main goal
and
measurable
objectivess
of the project;
• What kind of
risks
can you see in the project
and what will you
do to minimize
them?
Please, prepare a short
presentation
of
results