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Objective
Cover the five process groups and nine knowledge areas outlined in the Project g j Management Institutes Project Management Body of Knowledge (PMBOK). Understand the importance of project management for IT Projects. Understand the relationship between strategic Management & Project.
Course Outline
Introduction to Project j Management & Importance Strategic g Project Management Framework & Organizational Structure
Project Time Management j g Project Cost Management Project Quality Management Project Human Resource Management Project Communications Management Project Risk Management Project Procurement Management Project Management and the CMM
Project Management Process groups Project Integration Management Project Scope Management
Course Outline
MS office will be used in the Lab sessions.
Overview of Project 2007 j Use of project guide Customize the standard toolbar Different view options Creating a new project file Enter project information Developing Work Breakdown Structure (WBS) C ti S Creating Summary t k task Numbering task Enter Task Duration
Recurring task Entering Task Dependencies Adding Lead or Lag time Network Diagram Critical path calculation Cost Estimates Assigning resources to task Establishing a Baseline Plan View tracking Gantt chart Resource Calendar E Export information from MS Excel ti f ti f E l Project Summary
Books
Kathy Schwalbe Information Technology Project Schwalbe, Information Management, Thomson Course Technology, Pankaj Jalote Software Project Management In Jalote, Software Practice, Addission Wesley. Joseph Phillips, IT Project Management , IT Management, McGraw Hill Osborne. David I. Cleland & Lewis R. Ireland, Project Project Management Strategic Design & Implementation, McGraw-Hill International. Kathrin Koster, International Project g , g Management:, Sage Publication
Pedagogy
Lectures, Assignments, Discussions and Case studies would be used to explain the principles.
Assessment Details
Internal Theory Tests : 20% Assignments, Assignments Case Studies and Quiz: Studies, 30 % External University Exam : 50%
Course Website
Module: 1
Introduction to Project Management
What i Project Wh t is P j t Management and Why? Software Crisis IT Project Management Project V O P j Vs. Operation i Program and Portfolio M t Management Project Management History Hi t Project Management Framework
Project M P j t Management t certifications & advantages Project Success Factors Project Management software Role of the project manager
Learning Objectives
Understand the growing need for better p j g g project management. g Importance of project management in IT projects. Explain what a project is, list various attributes of projects, and describe the constraint in projects.
Describe project management and discuss key elements of the project management framework. framework
Understand the relation between project, program, and portfolio management Describe the project management profession the role of professional g j g p organizations such as the Project Management Institute, the importance of certification and ethics.
Introduction
Computer hardware, software networks hardware software, networks, and the use of interdisciplinary and global work teams have radically changed the work environment The world as a whole spends nearly $10 trillion of its $40.7 trillion gross product on projects of all kinds p j More than 16 million people regard project g management as their profession
Total global spending on technology goods services goods, services, and staff was projected to reach $2.4 trillion in 2008, an 8 percent increase from 2007 In the U.S. the size of the IT workforce topped 4 million workers for the first time in 2008 In 2007 the total compensation for the average senior project manager in U.S. dollars was $104,776 per year in the United States, $111,412 in Australia, and $120,364 in the United Kingdom The number of people earning their Project Management Professional (PMP) certification continues to increase
IT Projects have a terrible track record A 1995 Standish Group study (CHAOS) found that only 16 2% of IT projects were successful in meeting 16.2% scope, time, and cost goals; over 31% of IT projects were canceled before completion A PricewaterhouseCoopers study found that overall, half of all projects fail and only 2.5% of corporations consistently meet their targets for scope, time, and cost goals for all types of project.
Source: The Standish Group, The CHAOS Report (www.standishgroup.com) (1995). Another reference is Johnson, Jim, CHAOS: The Dollar Drain of IT Project Failures, Application Development Trends (January 1995).
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What is a Project?
A project is a temporary endeavor undertaken to produce a unique product or service A project is a temporary endeavor undertaken to accomplish a unique purpose.
Projects are temporary in nature and have definitive start dates and definitive end dates, dates whereas operations are ongoing and repetitive.
Characteristics of Operations
Ongoing Continuous cycle Repetitive Expected inputs and outputs
Characteristics of Projects
Temporary Definitive beginning and end U i Unique N New undertaking, unfamiliar ground d t ki f ili d
Question
The VP of marketing approaches you and requests that you change the visitor logon screen on the companys website to include a username with at least six characters. characters This is an example of project or operation
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Successful Projects
Customer Requirements satisfied/exceeded Completed within allocated time frame Completed within allocated budget Acceptance by the customer A t b th t
Project Attributes
A project:
Has a unique purpose I temporary Is t Is developed using progressive elaboration
Specifications of the project are initially broad and then refined and more detailed as the project progresses
Requires resources, often from various areas resources Should have a primary customer or sponsor
The project sponsor usually provides the direction and funding for the project
Involves uncertainty
Unclear objectives, difficult to estimate time to complete and cost dependence on external objectives cost, factors
Project Management is the application of skills, knowledge, tools and techniques to meet the needs and expectations of stakeholders for a project*
The purpose of p j p p project management is p g prediction and prevention, NOT recognition and reaction
Discipline of organizing and managing resources in such a way that these resources deliver all the work required t k i d to complete a project within defined scope, time and scope time, cost constraints.
IT Project Management
A set of principles, practices and techniques principles applied to lead IT project teams and control IT project schedule, cost, scope, resources schedule cost scope and quality of deliverables.
Source: Project Management: The Managerial Process, Clifford F. Gray and Erik W. Larson
Example of IT Projects
A small software development team adds a new feature to an internal software pp p application for the finance department A college campus upgrades its technology p infrastructure to provide wireless Internet access across the whole campus A cross-functional task force in a company p y decides what Voice-over-Internet-Protocol (VoIP) system to purchase and how it will be implemented b i l t d
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Quality/Scope
Good
Quality/Scope
Required Adjustment Alternatives (One or Combination of Both) Higher Cost Reduced Quality or Narrowed Scope Reduced Cost More Time Reduced Quality or Narrowed Scope Higher Quality or More Time Higher Cost Increased Scope p
Measurement
Must be set by customer and sponsor near startup. May change over time, but a change is a significant event!
E x a m pl e o f a C o m p l e te d P r i o r i ty M a tr i x fo r a C o n str u cti o n P r o je ct
X X X
Quality/Scope
Me a su re m e n t Building must be completed by October 31 of this year to accommodate corporate move. Costs for the project must not exceed $22.5 million. Must provide workspace for 120 call center staff.
If these are the established priorities and measurements, what are some of the implications for the project if the project starts running late or shows signs of exceeding budget?
Group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually g g y (PMBOK Guide, Fourth Edition, 2008,). Examples of common p g p programs in the IT field include infrastructure, applications development, and user support Program management is the centralized coordinated management of a group of projects to achieve the programs strategic objectives and hi h i bj i d benefits.
Program have a longer duration and requires more resources. Program is not limited to projects it can projects, also include non-project actions. Advantages:
Ensuring strategic alignment through the interdependency of objectives Reducing the complexity of large projects, by clearly breaking down into smaller, easy-toeasy to control projects.
The set of all projects and programs an organizations runs is called project portfolio.
Aim is relating all projects and program management cycles to strategic goals.
As part of project portfolio management, organizations group and management manage projects
and programs as a portfolio of investments that contribute to the entire enterprises success.
Portfolio managers help their organizations make wise investment g p g decisions by helping to select and analyze projects from a strategic perspective
The whole process of managing and directing the project portfolio is called governance.
Better control of financial, physical, and h man financial ph sical human resources. Improved customer relations. Shorter development times. Lower costs. Higher quality and increased reliability. Higher profit margins. Improved productivity. Better internal coordination. Higher Hi h worker morale (l k l (less stress). t ) Increase business
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Stakeholders
Persons and organizations who are actively involved in the project or those whose interests may b positively or negatively i t t be iti l ti l affected by the performance or completion of the project project. Stakeholders includes:
Project Sponsor Project Manager Project team Project Management Office Support staff Customers/Users Suppliers Functional Managers Business Partners Opponents of the projects Others (public, regulators..)
Knowledge Areas
Describe the key competencies that project managers must develop develop.
Scope Management Time Management Cost Management Quality Management Human Resource Management Communication Management Risk Management Procurement Management P tM t
Integration Management
PM Tools: Software
Low-end
Basic features, tasks management, charting MS Excel, Milestones Simplicity Excel
Mid-market
Handle larger projects, multiple projects analysis projects projects, tools MS Project (approx. 50% of market)
High-end
Very large p j y g projects, specialized needs, enterprise p p AMS Realtime Primavera Project Manager
PM Tools: Software
Responsible for overseeing change Lines of authority fuzzy y y Ever-changing set of tasks Responsibility for cross functional cross-functional activities
Main task is the resolution of conflict Success determined by achievement g of stated end goals.
Some people argue that building the Egyptian pyramids was a project, as g was building the Great Wall of China Most people consider the Manhattan
Questions
As per the CHAOS report, published by Standish group report first time in 1994
Found that only 16 2 percent of IT projects were successful in 16.2 meeting scope, time, and cost goals. Over 31 percent of IT projects were canceled before completion, costing over $81 billion in the U.S. alone.* Worldwide cost of IT failure: $6.2 trillion* trillion According to the 2009 U.S. Budget, 66% of all Federal IT p j dollars are invested in projects that are at risk.
*The Standish Group, The CHAOS Report www standishgroup com) (1995) Another reference is Johnson Jim CHAOS: The Group The Report www.standishgroup.com (1995). Johnson, Jim, CHAOS: The Dollar Drain of IT Project Failures, Application Development Trends (January 1995).
Incomplete Requirements L k of U I l t R i t Lack f User I Involvement l t & Specifications Changing Requirements & Specifications Lack of Executive Support Technology Incompetence Lack of Resources Lack of Resources Unrealistic Expectations Lack of Executive Support Changing Requirements & Specifications S ifi ti Lack of Planning Didn't Need It Any Longer
Lack of IT Management
A PricewaterhouseCoopers study found that overall, half of all projects fail and only p y 2.5% of corporations consistently meet their targets for scope, time, and cost goals for all types of project
*Michael Krigsman,
In 1988 hardware problems caused the Bank of America to 1988, lose control of several billion dollars of trust accounts. All the money was eventually found in the system but all 255 peopley y y p p i.e. the entire trust department was fired as all depositors withdrew their money.
In march 1997, the state of Washington killed the one of the biggest IT project, the License Application Mitigation Project (LAMP).
Project began in early nineties and was supposed to be online in 1995. Initial budget was &16 million, project cost climbed to $41.8 million in 1992, $51 million in 1993 and was estimated $67.5 million in 1997. when project was cancelled already $40 million has been spend.
Many of the techniques of general project management are applicable to software p j project management. g But products of software projects have certain characteristics which make them different.
Invisibility Complexity Conformity y Flexibility
Technological Context in which companies operate Difficulty of hiring and retaining experienced IT project employees Manage extensive user involvement Integration of established system development methodologies to project management framework Uniqueness: attempted solutions may never have been tried before. Managing p j g g project scope p Technology changes during project development
IS Project Complexities
Apart from meeting cost, scope and time cost goal there are other criteria that also g g projects defining the success at large for IT p j
An IT project can also fail by lack of growth and evolutionary capabilities of the solution it y p delivers. An IT project can also fail by lack of business sense. An IT project can also fail by lack of integration with its business environment. An IT project can also fail by lack of consistency between its means and its objectives.
The number of successful IT projects has more than doubled, from 16 percent in 1994 to 35 percent in 2006 The Th number of f il d projects d b f failed j t decreased f d from 31 percent t in 1994 to 19 percent in 2006 The United States spent more money on IT projects in 2006 th 1994 ($346 billi and $250 billi than billion d billion, respectively), but the amount of money wasted on challenged and failed projects was down to $53 billion in 2006 compared to $140 billion in 1994
Recent research findings show that companies that excel in project delivery capability: Use an integrated project management toolbox (use standard/advanced PM tools, lots of templates) p ) Grow project leaders, emphasizing business and soft skills Develop a streamlined project delivery process Measure project health using metrics, like customer satisfaction or return on investment
Questions ?