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LECTURE 4
MODERN PROJECT MANAGEMENT
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PROJECT MANAGEMENT BODY OF KNOWLEDGE
GENERAL
PROJECT MANAGEMENT PROGRAMME MANAGEMENT PROJECT CONTEXT
STRATEGICPROJECT SUCCESS CRITERIA VALUE MANAGEMENT QUALITY MANAGEMENT
STRATEGY/PROJECT RISK MANAGEMENT HEALTH AND SAFETY
ENVIRONMENT
MANAGEMENT PLAN
CONTROLWork content and
scope management
Time
Scheduling/Phasing
Resource mgt
Budgeting and cost
mgt
Change controlEarned value mgt
Information mgt
TECHNICALDesign,
Implementation &
hand-over
Requirements mgt
Estimating
Technology mgt
Value Eng
Modeling andtesting
Configuration mgt
COMMERCIALBusiness case
Marketing and
sales
Financial mgt
Procurement
Legal awareness
ORGANISATIONALLife cycle design mgt
Opportunity
Design and
development
Implementation
Hand-over
(Post) Project evaluation
reviewOrganisation structure
Organisation roles
PEOPLECommunication
Teamwork
Leadership
Conflict mgt
Negotiation
Personnel mgt
Opportunity
identificationConcept/marketingfeasibility bid
Design
DevelopmentDesign, Modeling andProcurement
ImplementnMake, Built andTest
Hand-overTest,CommissionStart-up
Post-Project
EvaluationTest, CommissionStart-up
Source: APM, 2000
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PROJECT MANAGEMENT
Most efficient way of introducing unique change
PM
Defining whathas to be accomplished (time, cost,
and various technical and quality performance
parameters
Developinga plan to achieve
Usingappropriate pm techniques and tools toplan, monitor and maintain progress
Employing persons skilled in pm
Source: BSI: 6079, 1996
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PM PROCESS
Management of
the project
ConstraintsTime, cost, quality, technical
and other performance
parameters, legal,
environment, etc
OutputsProject deliverables,
products and/or services
MechanismsPeople, techniques and tools,equipment, organisation
InputBusiness need and
requirement
Source: APM, 2000
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PROGRAMME MANAGEMENT
A portfolio of projects related to some
common objective
An organisations business strategy which is tobe implemented through projects
The interdependencies between a number of
projects
Resource allocation amongsta portfolio of
projects
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PROJECT CONTEXT/ENVI
Internal and external environment
Political
Ecological Organizational
These context will shape the issues what
project managementhas to deal withand mayassist or restrictthe attainment ofthe project
objective
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What is changing?
The work we do Continuing efforts
Ongoing, repetitive work
Highly consistent process
Predictable results
Single-Time Efforts
Performed once within a
reasonable period of
time Requires significant
creativity and ingenuity
Customised end results
Many of the fundamental practices of project management assume you are
performing a continuing effort
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What is changing?
The workers we employ Continuing efforts
Task-based workers
Single, defined skills
Well-defined duties
Predictable career path
Just-in-time training
Single-time efforts
Knowledge workers
Multiple skills
Simultaneous project
assignments
Customised career path
Continuous education
Resource mgt must be redefined to support Single-time efforts
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What is changing?
The focus of management Continuing efforts
Plan task sequence
Lead as task expert
Organize staff into shifts
Control worker
for the worker
Single-Time Efforts
Plan general strategy
Lead as facilitator
Organize skill types
Control quality
Withthe team
The role of management is no longer to make people work but to make it
possible for people to work
- TomDelMarco
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What is changing?
The stability of project plans Continuing efforts
Clearly defined
objectives and scope
Repetitive operation
Significant early detail
Limited revision
Controlled on time
Single-Time Efforts
Unknown objectives and
scope
General framework
Progressive, iterative
Continuous revision
Controlled on
deliverable completion
The failure to recognise the reality of iterative, progressive plans forces an
organisation to react to avoidable surprises
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The modern application of project
management Unique disciplined-based processes
Customized, changing final results
Emphasis on discovery and creation processes
Improvements to total process
Preliminary initial plans with continuous revision
Knowledge-based workers playing flexible roles
Managed by team leaders and facilitators
Must anticipate significant number of known
unknown and unknown unknowns
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The project management dilemma
Traditional organization excelled in managing
continuing efforts
Managed by people who were trained intraditional business thought
Fail to accommodate the realities of single-
time efforts
Attemptto manage single-time efforts the
same as continuing efforts
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Modern project management
New realities
Shiftto information age
Dependence on Single-
time efforts Programs for knowledge
worker
Increased demand for
project managers
Implications
New products and
services
Compensation forcurrent contributions,
continuous education
PM fundamentals, PM
framework for Single-time efforts
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What is modern project
management? The corporate act of planning, leading, organizing
and controlling Single-time efforts
Total organization involvement
Repeatable PM framework
Emphasize project initiation
Rapid decision making
Valid baseline agreements
Progressive, iterative plans
Deliverable-based control
Accommodating unknowns
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Project success criteria
Critical success factors- KPIs(Key Prfmce Index)
Determined atthe beginning ofthe project
Reflect directly on the key objectives (goals) ofthe project
Provide the basis for project managementtrade-offdecisions duringthe course ofthe project
At completion ofthe projectthese KPIs
Will be the most relevant measures to confirm the
acceptability ofthe projectand its productby the projectsstakeholders as being successful
Can be measured in some way, at some time, on some
scale
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Strategy/Project Mgt Plan Importance for overall
Planning
Implementation ofthe project
Monitoring
The plan should include
Definition of overall objectives
Statements on how these should be achieved
Estimates ofthe time required
Budget
Quality policy
Health
Safety and environment policies
Risk mgt strategy
Why, what, how , who, how muchand when
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Value management (VM)
Value- achievingabalance between the satisfactionof many differing needs and the resources used in
doing so
Cost vs benefits
Parameters vs objectives
Expenditures vs needs
Investments vs outcome
Performance divided by cost
VM refers to the overall process identifying key
issues and settingtargets in terms of success criteria
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Quality management
Quality planning
Preparation, checking, and recording ofactions thatare
necessary to achieve the standard of product or service
thatthe customer legislation requires Quality control
The set of processes for planningand monitoringthe
projectto ensure that quality is beingachieved
Quality assurance The set of processes and procedures required to
demonstrate thatthe work has been performed according
to the quality plan
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TQM
TQM- muchbroader and more ambitious
system for identifying whatthe client really
wants, definingthe organizations mission,
measuringthroughoutthe whole process how
well performance meets the required
standards, and involvingthe total organization
in the implementation ofa deliberate policy ofcontinuous improvement
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Discussion
Discuss aboutthe advantages and disadvantages
of using project management consultant for
construction projects.
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References
Project Management Body of Knowledge, Association ofProject Management, 2006.
British standard Institute, Value Management, PrEN, 12973
Chuck Tryon, www.TryonAssoc.com
Thomson P.A. & Perry J.G (eds), Engineering ConstructionRisks- A guide to project risk Analysis and risk management,
2nd edition, Thomas Telford, 1998
Managing successful programmes, Office of Government
Commerce, 2007
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