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Chapter (2)
Organizational influences and project life cycle
This chapter describes:-
1- How organizational influence affect of the methods used for staffing, managing, and executing the
project.
2- Influence of stakeholders on the project and its governance.
3- The project team and membership.
4- Different approaches to the phasing and relationship of activities within the project's life cycle.
1– Organizational influences on project management:-
- When a project involves external entities such as those that are part of a joint venture or
partnering agreement, the project will be influenced by more than one organization.
- The projects are influenced by :
1- Organizational culture and styles.
2- Organizational communications.
3- Organizational structure.
4- Organizational process assets.
5- Enterprise environmental factors.
1- Organizational culture and style:-
- Cultures and styles are grouped phenomena knows as culture norms, which develop over time.
- The norms include establishing approaches to initiating and planning projects and it is
acceptable for getting the work done and recognized authorities who make or influence
decisions.
- Most organizations have developed a unique culture over time by practice and common usage,
common experience include:
Shared visions, mission, values, beliefs, and expectations.
Regulations, policies, methods, and procedures.
View of leadership, authority relationships, and hierarchy.
Code of conduct, work ethics, and work hours.
Risk tolerance.
Motivation and reward systems.
Operations environmental.
- The organization's culture is an enterprise environmental factor.
- Cultures and styles may have a strong influence on a project's ability to meet its objectives.
- The project manager should :
1- Understand the different organizational styles and cultures that may affect the project.
2- Know which individuals in the organization are the decision maker or influencers and work
with them.
2- Organizational communications:-
- Organizational communications capabilities have great influence on how project are conducted.
- The project managers are able to communicate with all relevant stakeholders and project team
members using electronic communications (including e-mail, texting, social media, video and
web conferencing…etc) to facilitate decision making.
3- Organizational structures:-
- Organizational structure is an enterprise environmental factor.
- Can affect the availability of resources and influence how the projects are conducted.
- Organizational structures range from functional to projectized, with a variety of matrix structure
in between.
1- Functional organization:-
Chief Executive
- Staff members are grouped by specialty, such as production, marketing, engineering, and
accounting at the top level.
- Specialties may be further subdivided into functional unites… (Civil staff – electrical staff-…).
- Each department in a functional organization will do its work independently of other
departments.
2- Weak matrix organization:-
Chief Executive
- Role of the project manager: 1- Works as staff assistant and communications coordinator.
2- Works as expediter, and cannot make or enforce decision.
- Project coordinators have power to make some decisions, have some authority, and report to a
higher level manager.
3- Balanced matrix organization:-
Chief Executive
Project
coordination Staff Staff Staff Staff Staff Staff
manager
Staff Staff Staff Staff P.M P.M
Project
Staff Staff P.M coordination
-
- Have many of the characteristics of the projectized organization, and have full- time project
managers with considerable authority and full-time project administrative staff.
5- Projectized organization:-
Project Chief Executive
coordination
- I n a projectized organization:
1- Team members are often co-located.
2- Most of the organization's resources are involved in the project work.
3- Project manager have a great deal of independence and authority.
- Projectized organizations have organizational units called departments, but they can either
report directly to the project manager.
6- Composite organization:-
Chief Executive
manager
Staff Staff Staff Staff P.M P.M
Project A
coordination
Project B
coordination
- Functional organization may create a special project team to handle a critical project, the team
may include :
1- Full time staff from different functional department.
2- Develop its own set of operating procedures.
3- Operate outside of the standard, formalized reporting structure during the project.
- An organization may manage most of its projects in a strong matrix, but allow small projects to
be managed by functional departments.
- Many organizational structures include (Strategic, middle management, operational) levels, the
project manager may interact with all three levels depending on:
1- Strategic importance.
2- Capacity of stakeholders to exert influence on the project.
3- Degree of project management maturity.
4- Project management system.
5- Organizational communication.
- This interaction determines project characteristics such as:
1- Project manager's level of authority.
2- Project manager's role.
3- Resource availability and management.
4- Entity controlling the project budget.
5- Project team composition.
4- Organizational process assets:-
- Organizational process assets include :
1- Formal and informal (Process, plans, policies, procedures, and knowledge bases) used by the
performing organization.
2- The organization's knowledge bases such as lesson learned and historical information.
3- Any artifact, practice, or knowledge that can be used to perform the project.
4- Complete schedules, risk data, and earned value data.
- Organizational process assets are input to most planning processes.
- The project team members may update and add to organizational process assets.
- Organizational process assets may be grouped into two categories:
1- Process and procedures. 2- Corporate knowledge base.
1- Process and procedures :-
- The organization's processes and procedures for conducting project work include :
Initiating and planning:
o Guidelines and criteria for tailoring the organization's set of standard processes
and procedures to satisfy the specific needs of the project.
o Specific organizational standard such as policies (Human resource policies, health
and safety policies, ethics policies, project management policies), product and
project life cycles, and quality policies and procedures (Process audits,
improvement targets, checklists).
o Templates (Risk register, WBS, project schedule network diagram, contracts).
Executing, monitoring and controlling:-
o Change control procedures, the steps to modify any project documents and how
any changes will be approved and validated.
o Financial controls procedures, (Time reporting, required expenditure,
disbursement reviews, accounting codes, and standard contract provision).
o Issue and defect management procedures, issue and defect identification and
resolution, and action item tracking.
o Risk control procedures, (Risk categories, risk statement templates, probability
and impact definition and matrix).
o Organizational communication requirements.
o Procedures for prioritizing, approving, and issuing work authorizations.
o Work instructions, proposal evaluation criteria, and performance measurement
criteria.
Closing:-
o Project closure guidelines or requirements, (Lesson learned, project evaluations,
Product validations, and acceptance criteria).
2- Corporate knowledge base :-
- The organizational knowledge base for storing and retrieving information includes:-
1- Configuration management knowledge bases baselines of all performing organization
standard, polices, procedures, and any project documents.
2- Project files from previous projects (Scope, cost, schedule, network diagram, risk register,
planned response action, risk impact, calendars, and performance measurement baselines).
3- Issue and defect management database, (Issues and defects status, control information,
resolution, and action items).
4- Historical information and lessons learned knowledge bases, (Project records and
documents).
5- Financial database, (Labor hours, budgets, costs, and any project cost overrun).
6- Process measurement database.
5- Enterprise environmental factors:-
- Enterprise environmental factors
1- Refer to conditions not under the control of the project team.
2- Influence, constrain, and direct the project.
3- Considered inputs to most planning processes.
4- Have a positive of negative influence on the outcome.
- Enterprise environmental factors include :
1- Organization:-
Organizational culture, structure, and governance.
Organizations established communications channels.
Company work authorization systems.
2- Location:-
Geographic distribution of facilities and resources.
Infrastructure (Existing facilities and equipment).
Marketplace conditions.
Stakeholders risk tolerance.
Commercial database.
3- Employee:
Existing human resource (Skills, disciplines, and knowledge such as design, development,
legal, contracting, and purchasing).
Personal administration (Staffing and retention guidelines, employee performance
reviews and training records, reward and overtime policy, and time tracking).
4- Government:
Government standards (Regulatory agency regulation, codes of conduct, product
standard, quality standard, and workmanship standard).
Political climate.
5- Project management information system (Outcome tool, such as scheduling software tool, a
configuration management system, an information collection and distribution system, or web
interfaces to other online automated systems).
1- Will see positive economic benefits to the 1- Such as the nearby homeowners or small business
community in the form of additional jobs, owners who may lose property, be forced to relocate or
supporting infrastructure, and taxes. impeding their project's progress.
2- Making the project successful. 2- Increasing the failures, delays, or other negative
consequences to the project.
3– Project team:-
- A project life cycle is the series of phases that a project passes through from its initiation to its
closure.
- The phases are :
1- Sequential.
2- Their names and numbers are determined by:
The management and control needs of the organization or the organizations
involved in the project.
The nature of the project itself and its area of application.
3- The phases can be broken down by:
Functional or partial objectives.
Results or deliverables.
Specific millstones within the overall scope of work.
Financial availability.
4- Phases are time bounded, with a start and ending or control point.
- Project life cycles can range from (Predictive or plan-driven) approaches at one end to (Adaptive
or change-driven) approaches at the other.
o In a predictive life cycle: The product and deliverables are defined at the beginning of the
project and any changes to scope are carefully managed.
o In an adaptive life cycle: The product is developed over multiple iterations and detailed
scope is defined for each iteration only as the iteration begins.
1- Characteristics of the project life cycle:-
- All projects can be mapped to the following life cycle structure:
1- Starting.
2- Organizing and preparing.
3- Carrying out the project work.
4- Closing the project.
- This generic life cycle structure is often referred to when communicating with upper
management or other entities less familiar with the details of the project.
- It should not be confused with the project management processes group, because the processes
in a process group consists of activities that may be performed and recur within each phase of a
project as well as for the project as a whole.
- The project life cycle is independent from the life cycle of the product but it should takes it
consideration.
Closing
Cost and staffing level Starting
the
the
project
project
Carrying out the project
Organizing
and
preparing
Cost of changes
Time
- The generic life cycle structure generally displays the following characteristics:
o Cost and staffing levels are low at the start, peak as the work is carried out, and drop
rapidly as the project draws to a close.
o The cost and staffing curve above may not apply to all projects. A project may require
significant expenditures to secure needed resources early in its life cycle, for instance, or
be fully staffed from a point very early in its life cycle.
o Risk and uncertainty are greatest at the start of the project. These factors decrease over
the life of the project as decisions are reached and as deliverables are accepted.
o The ability to influence the final characteristics of the project's product, without
significantly impacting cost, is highest at the start of the project and decrease as the
project progresses towards completion. The cost of making changes and correcting errors
typically increases substantially as the project approaches completion.
o Adaptive life cycle are developed of keeping stakeholders influences higher and the costs
of changes lower throughout the life cycle than in predictive life cycle.
2- Project phases:-
- A project phase is a collection of logically related project activities that culminates in the
completion of one or more deliverables.
- Project phases:
o Used when the nature of the work to be performed is unique to a portion of the project.
o A phase may emphasize processes from the particular project management process
group, but it is likely that most or all processes will be executed in each phase.
o Are completed sequentially, but can overlap is some project situations.
o Different phases typically have a different duration or effort.
- Regardless of the number of phases comprising a project, all phases have similar characteristics:
o The work has a distinct focus that differs from any other phase. This often involves
different organizations, locations, and skill sets.
o Achieving the primary deliverable or objective of the phase requires controls or processes
unique to the phase or its activities.
o The closure of a phase ends with some form of transfer or hand-off the work product
produced as the phase deliverables. This phase end represents a natural point to reassess
the activities underway and to change or terminate the project if necessary. This point
may be referred to as a stage gate, milestone, phase review, phase gate, or kill point. In
many cases, the closure of a phase is required to be approved in some form before it can
be considered closed.
- There is no single ideal structure that will apply to all projects, even in the projects in the same
industry, or in the same organization, may have significant variation, some will have only one
phase and may others have two or more phases.
- One organization may treat a feasibility study as :
o Routine pre-project work.
o First phase of a project.
o Stand alone project.
- Phase-to-phase relationships:-
- There are two types of phase-to-phase relationships:
1- Sequential relationship: A phase starts only when the previous phase is complete.
o The step by step nature of this approach reduces uncertainty, but may eliminate options
for reducing the overall schedule.
Facility Decommissioning Waste Removal / Cleanup Landscaping
Initiating Planning Executing Closing Initiating Planning Executing Closing Initiating Planning Executing Closing
processe processe processes process processe processe processes process processe processe processes process
s s es s s es s s es
- The project proceeds through a series of sequential or overlapping phases, with each phase
generally focusing on a subset of project activities and project management processes.
- When the project is initiated, the project team will focus on defining the overall scope for the
product and project, develop a plan to deliver the product, and then execute a plan within that
scope, changes to the project scope are carefully managed and re planning of the new scope.
- Predictive life cycle are generally preferred when the product to be delivered is well understood,
there is a substantial base of industry practice, or when a product is required to be delivered in
full to have value to stakeholder groups.
- Iterative and incremental life cycle:-
- Iterative and incremental life cycles are ones in which project phases repeat one or more project
activities as the project team's understanding of the product increases.
- Iterative and incremental projects may proceed in phases, and the iteration themselves will be
performed in a sequential or overlapping fashion.
- Iterations: develop the product through a series of repeated cycle.
- Increments: successively add to the functional of the product.
- During iteration: activities from all project management process groups will be performed.
- At the end of each iteration: a deliverable or set of deliverables will be completed.
- Future iteration: may enhance those deliverables or create a new one.
- In most iterative life cycles:
1- Detailed scope is elaborated one iteration at a time.
2- The planning for the next iteration is carried out the work progresses on the current
iteration's scope and deliverables.
- The work required for a given set of deliverables may vary in duration and effort, and the project
team may change between or during iterations.
- Those deliverables that are not addressed within the scope of the current iteration are typically
scoped at a high level only and may be tentatively assigned to a specific future iteration, changes
to the scope of an iteration are carefully managed once work begins.
- Iterative and incremental life cycles are preferred when:
1- An organization needs to manage changing objectives and scope to reduce complexity of a
project.
2- The partial delivery of a product is beneficial and provides value of one or more stakeholder
groups without impact to the final deliverable or set of deliverables.
- Large and complex projects are frequently executed in an iterative fashion to reduce risk.
- Adaptive life cycle (Change-driven or agile methods):-
- Adaptive life cycles are intended to respond to high levels of change and ongoing stakeholder
involvement.
- Adaptive methods are also iterative and incremental, but differ in that iterations are very rapid
(Usually with duration of 2 to 4 weeks) and are fixed in time and cost.
- At the beginning of an iteration: the team will work to determine how many of the highest
priority items on the backlog list can be delivered within the next iteration.
- At the end of each iteration: The product should be ready for review by the customer, this
doesn't mean that the customer is required to accept delivery, just that the product should not
include unfinished, incomplete, or unusable features.
- The sponsor and customer representatives should be continuously engaged with the project to
provide feedback on deliverables as they are created to ensure that the product backlog reflects
their current needs.
- Adaptive methods are generally preferred when:
1- Dealing with a rapidly changing environment.
2- Requirements and scope are difficult to define in advance.
3- It is possible to define small incremental improvements that will deliver value to stakeholders.