The most common reason for project failure is not clearly identifying what exactly is to be delivered by the project. The project charter is a device that helps get the project off the ground and headed in the right direction. It allows project managers to express their understanding of the project and what its accomplishments are intended to be.
All of the stakeholders in the project must be identified. A stakeholder is any person who has something to gain or lose in the carrying out of the project. The project team, the customer, the management of the supplying company, and many others are all stakeholders.
The project manager must have input into the pricing of the project. The price should not be determined by the cost of the project, but the cost of the project is a very real consideration in making sure that the project benefits are high enough to justify the cost.
The scope baseline is the first of the three baselines that measure the success of the project. Without the scope baseline it is not possible for the cost and schedule baselines to be meaningful.
The work breakdown structure is the heart of the project. From the work breakdown structure it is possible to determine the detailed definitions of the work that has to be done in the project. It is the basis for making a bottom-up estimate and for producing the project schedule.
Change management is initiated as soon as it is practical in the definition of the scope of work for the project. It must be implemented by the time the scope baseline is defined. From that point on all changes to the project scope should be traceable to an authorized change.
All projects must be justified. There are many justification methods for projects. With the exception of mandated projects, projects are justified on the basis of cost versus benefits. Today, because of the availability of sophisticated, fast computers, the internal rate of return on investment (IRR) has become the most popular method of financial justification of projects.
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What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.