1、Copyright Course Technology 20011Chapter 1:Introduction to Project ManagementCopyright Course Technology 20012IT Projects have a terrible track record A 1995 Standish Group study(CHAOS)found that only 16.2%of IT projects were successful and over 31%were canceled before completion,costing over$81 B i
2、n the U.S.aloneThe need for IT projects keeps increasing In 1998,corporate America issued 200,000 new-start application development projects In 2000,there were 300,000 new IT projects,and In 2001,over 500,000 new IT projects were startedMotivation for Studying Information Technology(IT)Project Manag
3、ementCopyright Course Technology 20013What Is a Project?A project is a temporary endeavor undertaken to accomplish a unique purposeAttributes of projects unique purpose temporary require resources,often from various areas should have a primary sponsor and/or customer involve uncertaintyCopyright Cou
4、rse Technology 20014Samples of IT ProjectsNorthwest Airlines developed a new reservation system called ResNet(see chapters 11-16)Many organizations upgrade hardware,software,and networks via projects(see chapter 5 opening and closing case)Organizations develop new software or enhance existing system
5、s to perform many business functions(see examples throughout the text)Note:“IT projects”refers to projects involving hardware,software,and networksCopyright Course Technology 20015The Triple ConstraintEvery project is constrained in different ways by its Scope goals:What is the project trying to acc
6、omplish?Time goals:How long should it take to complete?Cost goals:What should it cost?It is the project managers duty to balance these three often competing goalsCopyright Course Technology 20016The 2001 Standish Group Report Showed Decided ImprovementDecided Improvement in IT Project Success Rates
7、From the 1995 Study Time overruns significantly decreased to 63%compared to 222%Cost overruns were down to 45%compared to 189%Required features and functions were up to 67%compared to 61%78,000 U.S.projects were successful compared to 28,000 28%of IT projects succeeded compared to 16%Copyright Cours
8、e Technology 20017Why the Improvements?The reasons for the increase in successful projects vary.First,the average cost of a project has been more than cut in half.Better tools have been created to monitor and control progress and better skilled project managers with better management processes are b
9、eing used.The fact that there are processes is significant in itself.“*The Standish Group,CHAOS 2001:A Recipe for Success(2001)Copyright Course Technology 20018What is Project Management?Project management is“the application of knowledge,skills,tools,and techniques to project activities in order to
10、meet project requirements”(PMI*,Project Management Body of Knowledge(PMBOK Guide),2000,p.6)*The Project Management Institute(PMI)is an international professional society.Their web site is www.pmi.org.Copyright Course Technology 20019Figure 1-2.Project Management FrameworkCopyright Course Technology
11、200110Project StakeholdersStakeholders are the people involved in or affected by project activitiesStakeholders include the project sponsor and project team support staff customers users suppliers opponents to the projectCopyright Course Technology 2001119 Project Management Knowledge Areas Knowledg
12、e areas describe the key competencies that project managers must develop 4 core knowledge areas lead to specific project objectives(scope,time,cost,and quality)4 facilitating knowledge areas are the means through which the project objectives are achieved(human resources,communication,risk,and procur
13、ement management 1 knowledge area(project integration management)affects and is affected by all of the other knowledge areasCopyright Course Technology 200112Project Management Tools and TechniquesProject management tools and techniques assist project managers and their teams in various aspects of p
14、roject managementSome specific ones include Project Charter and WBS(scope)Gantt charts,network diagrams,critical path analysis,critical chain scheduling(time)Cost estimates and earned value management(cost)Copyright Course Technology 200113Figure 1-4.Sample Gantt ChartThe WBS is on the left,and each
15、 tasks start and finish dateare shown on the right using a calendar timescale.Copyright Course Technology 200114Figure 1-5.Sample Network Diagram Each box is a project task from the WBS.Arrows show dependenciesbetween tasks.The bolded tasks are on the critical path.If any tasks on thecritical path t
16、ake longer than planned,the whole project will slip unless something is done.Copyright Course Technology 200115More Advantages of Project Management*Bosses,customers,and other stakeholders do not like surprises Good project management(PM)provides assurance and reduces risk PM provides the tools and
17、environment to plan,monitor,track,and manage schedules,resources,costs,and quality PM provides a history or metrics base for future planning as well as good documentation Project members learn and grow by working in a cross-functional team environment*Knutson,Joan,PM Network,December 1997,p.13Copyri
18、ght Course Technology 200116How Project Management(PM)Relates to Other DisciplinesMuch of the knowledge needed to manage projects is unique to PMHowever,project managers must also have knowledge and experience in general management the application area of the projectProject managers must focus on me
19、eting specific project objectivesCopyright Course Technology 200117Figure 1-3.Project Management and Other DisciplinesCopyright Course Technology 200118History of Project Management Modern project management began with the Manhattan Project,which the U.S.military led to develop the atomic bomb In 19
20、17 Henry Gantt developed the Gantt chart as a tool for scheduling work in job shops In 1958,the Navy developed PERT charts In the 1970s,the military began using project management software,as did the construction industry By the 1990s,virtually every industry was using some form of project managemen
21、tCopyright Course Technology 200119The Project Management ProfessionA 1996 Fortune article called project management the“number one career choice”Professional societies like the Project Management Institute(PMI)have grown tremendouslyAverage salaries for project managers are over$81,000Copyright Cou
22、rse Technology 200120Project Management Knowledge Continues to Grow and MaturePMI hosted their first research conference in June 2000 in Paris,FranceThe PMBOK Guide 2000 Edition is an ANSI standardPMIs certification department earned ISO 9000 certificationHundreds of new books,articles,and presentat
23、ions related to project management have been written in recent yearsCopyright Course Technology 200121Project Management CertificationPMI provides certification as a Project Management Professional(PMP)A PMP has documented sufficient project experience,agreed to follow a code of ethics,and passed th
24、e PMP examThe number of people earning PMP certification is increasing quicklyPMI and other organizations are offering new certification programs(see Appendix B)Copyright Course Technology 200122Figure 1-6.Growth in PMP Certification,1993-2000Copyright Course Technology 200123Project Management Soft
25、ware By 2001,there were hundreds of different products to assist in performing project management Three main categories of tools:Low-end tools:Handle single or smaller projects well,cost under$200 per user Midrange tools:Handle multiple projects and users,cost$200-500 per user,Project 2000 most popu
26、lar High-end tools:Also called enterprise project management software,often licensed on a per-user basisCopyright Course Technology 200124You Can Apply Project Management to Many AreasProject management applies to work as well as personal projectsProject management applies to many different discipli
27、nes(IT,construction,finance,sports,event planning,etc.)Project management skills can help in everyday lifeCopyright Course Technology 200125Chapter 2:The Project Management Context and ProcessesCopyright Course Technology 200126A Systems View of Project Management A systems approach emerged in the 1
28、950s to describe a more analytical approach to management and problem solving Three parts include:Systems philosophy:View things as systems,interacting components working within an environment to fulfill some purpose Systems analysis:problem-solving approach Systems management:Address business,techn
29、ological,and organizational issues before making changes to systemsCopyright Course Technology 200127Figure 2-1.Three Sphere Model for Systems ManagementCopyright Course Technology 200128Project Phases and the Project Life CycleA project life cycle is a collection of project phasesProject phases var
30、y by project or industry,but some general phases include concept development implementation supportCopyright Course Technology 200129Product Life CyclesProducts also have life cyclesThe Systems Development Life Cycle(SDLC)is a framework for describing the phases involved in developing and maintainin
31、g information systemsTypical SDLC phases include planning,analysis,design,implementation,and supportCopyright Course Technology 200130Sample SDLC Models Waterfall model:has well-defined,linear stages of systems development and support Spiral model:shows that software is developed using an iterative
32、or spiral approach rather than a linear approach Incremental release model:provides for progressive development of operational software RAD model:used to produce systems quickly without sacrificing quality Prototyping model:used for developing prototypes to clarify user requirementsCopyright Course
33、Technology 200131Figure 2-3.Spiral Model of Software Development(Boehm,1988)Copyright Course Technology 200132Distinguishing Project Life Cycles and Product Life CyclesThe project life cycle applies to all projects,regardless of the products being producedProduct life cycle models vary considerably
34、based on the nature of the productMost large IT products are developed as a series of projectsProject management is a done is all of the product life cycle phasesCopyright Course Technology 200133What Went Right?The real improvement that I saw was in our ability toin the words of Thomas Edisonknow w
35、hen to stop beating a dead horse.Edisons key to success was that he failed fairly often;but as he said,he could recognize a dead horse before it started to smell.as a result he had 14,000 patents and was very successfulIn IT we ride dead horsesfailing projectsa long time before we give up.But what w
36、e are seeing now is that we are able to get off them;able to reduce cost overrun and time overrun.Thats where the major impact came on the success rate.”Cabanis,Jeannette,A Major Impact:The Standish Groups Jim Johnson On Project Management and IT Project Success,PM Network,PMI,September 1998,p.7Copy
37、right Course Technology 200134Understanding OrganizationsStructural frame:Focuses on roles and responsibilities,coordination and control.Organization charts help define this frame.Human resources frame:Focuses on providing harmony between needs of the organization and needs of people.Political frame
38、:Assumes organizations are coalitions composed of varied individuals and interest groups.Conflict and power are key issues.Symbolic frame:Focuses on symbols and meanings related to events.Culture is important.Copyright Course Technology 200135What Went Wrong?Many data warehousing projects are side-t
39、racked or derailed completely by politics.Data warehousing projects are always potentially political because they cross departmental boundaries,change both the terms of data ownership and data access,and affect the work practices of highly autonomous and powerful user communities.Many organizations
40、fail to admit that many data warehousing projects fail primarily because management and project teams do not understand and manage politics.Marc Demarest found over 1200 articles on the topic of data warehousing based on a journal search he did from July 1995 to July 1996.Many of those articles offe
41、r advice on how to run successful data warehousing projects and focus on the importance of design,technical,and procedural factors,when,in fact,political factors are often the most important in helping these projects succeed.Copyright Course Technology 200136Many Organizations Focus on the Structura
42、l FrameMost people understand what organizational charts areMany new managers try to change organizational structure when other changes are needed3 basic organization structures functional project matrixCopyright Course Technology 200137Figure 2-4.Functional,Project,and Matrix Organizational Structu
43、resCopyright Course Technology 200138Table 2-1.Organizational Structure Table 2-1.Organizational Structure Influences on ProjectsInfluences on ProjectsMatrix Organization TypeProjectCharacteristicsFunctionalWeak MatrixBalancedMatrixStrong MatrixProjectizedProject ManagersAuthorityLittle orNoneLimite
44、dLow toModerateModerateTo HighHigh toAlmost TotalPercent of PerformingOrganizationsPersonnel Assigned Full-time to Project WorkVirtuallyNone0-25%15-60%50-95%85-100%Project Managers RolePart-timePart-timeFull-timeFull-timeFull-timeCommon Title forProject Managers RoleProjectCoordinator/Project Leader
45、ProjectCoordinator/Project LeaderProjectManager/Project OfficerProjectManager/Program ManagerProjectManager/Program ManagerProject ManagementAdministrative StaffPart-timePart-timePart-timeFull-timeFull-timeThe organizational structure influences the project managers authority,but remember to address
46、 the human resources,political,and symbolic frames,too.PMBOK Guide,2000,p.19Copyright Course Technology 200139Recognize the Importance of Project StakeholdersRecall that project stakeholders are the people involved in or affected by project activitiesProject managers must take time to identify,under
47、stand,and manage relationships with all project stakeholdersUsing the four frames of organizations can help meet stakeholder needs and expectationsSenior executives are very important stakeholdersCopyright Course Technology 200140Table 2-2.What Helps Projects Succeed?According to the Standish Groups
48、 report CHAOS 2001:A Recipe for Success,the following items help IT projects succeed,in order of importance:Executive supportExecutive support User involvement Experience project manager Clear business objectives Minimized scope Standard software infrastructure Firm basic requirements Formal methodo
49、logy Reliable estimatesCopyright Course Technology 200141Need for Top Management CommitmentSeveral studies cite top management commitment as one of the key factors associated with project successTop management can help project managers secure adequate resources,get approval for unique project needs
50、in a timely manner,receive cooperation from people throughout the organization,and learn how to be better leadersCopyright Course Technology 200142Need for Organizational Commitment to Information Technology(IT)If the organization has a negative attitude toward IT,it will be difficult for an IT proj
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