The components of effective project management

For any new form of management to be accepted, it must be sold to those who do not yet believe in it. Until an organisation has had time to get used to the new way of working, apathy and cynicism towards its introduction are likely. It is common for the promoters of change to be subject to some friendly fire because not everyone will think as positively about project management as they do. Project management has much to do with identifying and managing the risks a project may face. It can be...

Project governance report project plan

This is a living document that describes how the targets set in the business case can be met. The project plan contained in the project governance report is a snapshot taken when the initiation stage is about to be completed. It is used by the project steering group to confirm that they are confident of the plan's forecasts of timescale, budget and quality and of Table 8.9 Key to communication table A Business case will be updated and presented by the sponsor at each and every stage during the...

A risk highlighted by placing factory employees in the product flow diagram

Presented to senior managers so that they can consider the project's content without the usual pressure to debate time and cost. Until the products and their delivery sequence have been agreed, time and cost expectations will be largely unsupported by evidence and the product flow diagram describes the project without the need to commit too much advance resource. If the timescale is brought up during discussion, the product flow diagram can accommodate it by dividing the project into stages...

Impactlikelihood matrix

Risk Key people from the legal team will be unavailable during the summer due to their engagement in other projects resulting in an inability to make critical purchase decisions. Mitigation Secure the services of an external legal representative. Obtain PMT authority to use legal team in precedence over other projects during the summer. None, the risk has been fully mitigated Activity may be affected, but work can proceed to sign-off Deliverable may be compromised, but no effect on project...

Building in contingency

Although it may seem sensible to refine the estimates of cost and time required to complete a project as it progresses, some sponsors will wish to fix them as soon as possible so that budgets can be set and people can allocate sufficient time for their role in the project when it is needed. Despite the caveats that may accompany the plan, the targets become fixed in people's minds and the assumptions are forgotten. Even if the emerging plan suggests that the original targets were inappropriate...

Project sponsors and owners

If projects are to thrive, they need people who will promote them actively. The business case described earlier is the sales pitch. The document itself will not sell the merits of the project, or make decisions about when and whether the project should start or stop. This is the role of its sponsors, and those charged with delivering a beneficial result. However, the discipline of project management also requires sponsorship. Given that not everyone will be instantly persuaded of the merits of...

Which projects will deliver recurring revenues

- .< s> .< s> .< s> .< s> .< s> .< s> .< s> .o> The portfolio's contribution to achieving a single strategic BE objective contribution contribution contribution contribution Will this project contribute to the _ company securing 500,000 worth of recurring revenues during the coming year from clients that have always _ Will this project contribute to the company delivering three implementations during the coming year of its standard product in seven weeks rather...

A stakeholder matrix

Reveals possible candidates for the project steering group. It would be instinctive to focus on those who are promoters, but any terrorists may best be managed by inviting them to participate in the project. Then their concerns can be addressed more effectively and they may be more inclined to see its benefits and move from the left side of the matrix to the right. If there is nobody in the top half of the matrix, the project is unlikely to secure the sponsorship it needs. Those who have...

Balancing

The statements above can be categorised in groups (see Table 2.3). Table 2.3 Grouping business plan statements Table 2.3 Grouping business plan statements What will commercial success look like retain its most important clients deliver a wider range of products reduce its implementation timescales secure recurring revenues rather than one- deliver minimum maintenance products further its alliance partnerships engage in fixed-price or shared-risk become number one in its marketplace undertake...

Summary of Gantt chart in Figure

Figure 7.11 describes some of the time-related characteristics of each product, with an example box identifying what is meant by the numbers e est - earliest start time. The earliest point at which the task or product may commence. e eft - earliest finish time. The earliest point at which the task or product may be completed. e lst - latest start time. The latest point at which the task or product may commence before it affects others. e lft - latest finish time. The latest point at which the...

Options considered

Most problems or opportunities have a range of solutions, more than one of which may be compelling. The business case must successfully outline the solutions most likely to satisfy the need so that only one is selected for full expression. Here are some examples of alternatives for consideration e The business case to justify a new building for a company might consider the merits and risks of staying put, moving to a new, preconstructed building or commissioning a purpose-built office. e An...

Portfolio management team

The portfolio management team oversees the wider portfolio of projects. As the portfolio progresses through the year, individual projects will be completed, new projects will be proposed and others will slip or vary in some way. The portfolio management team is ultimately responsible for the state of its portfolio, so the team must meet regularly to evaluate the portfolio's health and answer the question Is the portfolio on track to deliver its commercial and strategic imperatives It is normal...

Introduction

Many businesses do not change when they need to, nor do they change when they have to. If they did, many fewer would fail. But, like people, they only change when they want to. If a change in the way an organisation achieves successful project outcomes is to be considered, it should be seen as a culture change, involving adjustments in mindset, values and behaviour it may involve abandoning norms and sacred cows. Managing projects cannot be separated from managing the whole business. Effective...

Project steering group

The project steering group is accountable for the success of its project. It is responsible for making sure that the expectations set out in the business case for the project are met. If the project is seen as a small business, the steering group is its board of directors. It will commission the project plan from the project manager and, assuming it is agreed, will authorise the start of the project. It will also authorise any significant changes to the plan that are outside the project...

Project identification by department

Figure 2.1 on the previous page is an example of a company structure. The board oversees five directorates operations facilities management technology finance sales and marketing. Technology is subdivided into infrastructure and applications. How a company identifies projects usually depends on its structure. In the example, the annual business plan starts with the board and cascades through the departments. Each layer of management looks at the plan from its own perspective, identifying...

Product breakdown structure for fitting out and marketing a new factory

Product Breakdown Structure

Sufficient information from which to Have the benefits been quantified in Are the expressions of timescale and Has a specific figure been included for the funding needed for the next stage Does the document provide sufficient information from which to make a go no-go decision Has the margin between the costs and benefits been explicitly identified Have all calculations been subjected Are all success criteria measurable Is there clear evidence to support the chosen option management environment...