Project management is the process and activity of planning, organizing, motivating, and controlling

resources, procedures and protocols to achieve specific goals in scientific or daily problems.
A project is a temporary endeavor designed to produce a unique product, service or result
[1]
with a
defined beginning and end usually time!constrained, and often constrained by funding
or deliverables",
[#]
underta$en to meet unique goals and objectives,
[%]
typically to bring about
beneficial change or added value. &he temporary nature of projects stands in contrast with business
as usual or operations",
[']
which are repetitive, permanent, or semi!permanent functional activities to
produce products or services. (n practice, the management of these two systems is often quite
different, and as such requires the development of distinct technical s$ills and management
strategies.
&he primary challenge of project management is to achieve all of the project goals
[)]
and objectives
while honoring the preconceived constraints.
[*]
&he primary constraints are scope, time, quality
andbudget.
[+]
&he secondary , and more ambitious , challenge is to optimize the allocation of
necessary inputs and integrate them to meet pre!defined objectives.
The traditional approach[edit]
A traditional phased approach identifies a sequence of steps to be completed. (n the -traditional
approach-,
[1.]
five developmental components of a project can be distinguished four stages plus
control"/
&ypical development phases of an engineering project
1. initiation
#. planning and design
%. e0ecution and construction
'. monitoring and controlling systems
). completion
1ot all projects will have every stage, as projects can be terminated before they reach completion.
2ome projects do not follow a structured planning and3or monitoring process. And some projects will
go through steps #, % and ' multiple times.
4any industries use variations of these project stages. 5or e0ample, when wor$ing on a bric$!and!
mortar design and construction, projects will typically progress through stages li$e pre!planning,
conceptual design, schematic design, design development, construction drawings or contract
documents", and construction administration. (n software development, this approach is often $nown
as the waterfall model,
[#6]
i.e., one series of tas$s after another in linear sequence. (n software
development many organizations have adapted the 7ational 8nified 9rocess 789" to fit this
methodology, although 789 does not require or e0plicitly recommend this practice. :aterfall
development wor$s well for small, well defined projects, but often fails in larger projects of undefined
and ambiguous nature. &he ;one of 8ncertainty e0plains some of this as the planning made on the
initial phase of the project suffers from a high degree of uncertainty. &his becomes especially true as
software development is often the realization of a new or novel product. (n projects
where requirements have not been finalized and can change, requirements management is used to
develop an accurate and complete definition of the behavior of software that can serve as the basis
for software development.
[#1]
:hile the terms may differ from industry to industry, the actual stages
typically follow common steps to problem solving,-defining the problem, weighing options, choosing
a path, implementation and evaluation.-
PRINCE2[edit]
Main article: PRINCE2
&he 97(1;<# process model
97(1;<# is a structured approach to project management released in 1..* as a generic project
management method.
[##]
(t combines the original 97=49& methodology which evolved into the
97(1;< methodology" with (>4?s 4(&9 managing the implementation of the total project"
methodology. 97(1;<# provides a method for managing projects within a clearly defined
framewor$.
97(1;<# focuses on the definition and delivery of products, in particular their quality requirements.
As such, it defines a successful project as being output!oriented not activity! or tas$!oriented"
through creating an agreed set of products
[#%]
that define the scope of the project and provides the
basis for planning and control, that is, how then to coordinate people and activities, how to design
and supervise product delivery, and what to do if products and therefore the scope of the project has
to be adjusted if it does not develop as planned.
(n the method, each process is specified with its $ey inputs and outputs and with specific goals and
activities to be carried out to deliver a project?s outcomes as defined by its >usiness ;ase. &his
allows for continuous assessment and adjustment when deviation from the >usiness ;ase is
required.
97(1;<# provides a common language for all participants in the project. &he governance
framewor$ of 97(1;<# @ its roles and responsibilities @ are fully described and require tailoring to
suit the comple0ity of the project and s$ills of the organisation.
[#%]
Critical chain project management[edit]
Main article: Critical chain project management
;ritical chain project management ;;94" is a method of planning and managing project e0ecution
designed to deal with uncertainties inherent in managing projects, while ta$ing into consideration
limited availability of resources physical, human s$ills, as well as management A support capacity"
needed to e0ecute projects.
;;94 is an application of the theory of constraints &=;" to projects. &he goal is to increase the
flow of projects in an organization throughput". Applying the first three of the five focusing steps of
&=;, the system constraint for all projects is identified as are the resources. &o e0ploit the
constraint, tas$s on the critical chain are given priority over all other activities. 5inally, projects are
planned and managed to ensure that the resources are ready when the critical chain tas$s must
start, subordinating all other resources to the critical chain.
&he project plan should typically undergo resource leveling, and the longest sequence of resource!
constrained tas$s should be identified as the critical chain. (n some cases, such as managing
contracted sub!projects, it is advisable to use a simplified approach without resource leveling.
(n multi!project environments, resource leveling should be performed across projects. Bowever, it is
often enough to identify or simply select" a single -drum-. &he drum can be a resource that acts as a
constraint across projects, which are staggered based on the availability of that single resource.
=ne can also use a -virtual drum- by selecting a tas$ or group of tas$s typically integration points"
and limiting the number of projects in e0ecution at that stage.
Event chain methodology[edit]
Main article: Event chain methodology
<vent chain methodology is another method that complements critical path method and critical
chain project management methodologies.
<vent chain methodology is an uncertainty modeling and schedule networ$ analysis technique that
is focused on identifying and managing events and event chains that affect project schedules. <vent
chain methodology helps to mitigate the negative impact of psychological heuristics and biases, as
well as to allow for easy modeling of uncertainties in the project schedules. <vent chain methodology
is based on the following principles.
Probabilistic moment of ris! An activity tas$" in most real!life processes is not a
continuous uniform process. &as$s are affected by e0ternal events, which can occur at some
point in the middle of the tas$.
Event chains! <vents can cause other events, which will create event chains. &hese event
chains can significantly affect the course of the project. Cuantitative analysis is used to
determine a cumulative effect of these event chains on the project schedule.
Critical events or event chains! &he single events or the event chains that have the most
potential to affect the projects are the Dcritical eventsE or Dcritical chains of events.E &hey can be
determined by the analysis.
Project tracing "ith events! <ven if a project is partially completed and data about the
project duration, cost, and events occurred is available, it is still possible to refine information
about future potential events and helps to forecast future project performance.
Event chain vis#ali$ation! <vents and event chains can be visualized using event chain
diagrams on a Fantt chart.
Process%based management[edit]
Main article: Process-based management
Also furthering the concept of project control is the incorporation of process!based management.
&his area has been driven by the use of 4aturity models such as the ;44( capability maturity
model integrationG see this e0ample of a predecessor" and (2=3(<;1))6' 29(;< @ software
process improvement and capability estimation".
&gile project management[edit]
Main article: Agile Project Management
&he iteration cycle in agile project management
Agile project management approaches, based on the principles of human interaction management,
are founded on a process view of human collaboration. (t is -most typically used in software, website,
technology, creative and mar$eting industries.-
[#']
&his contrasts sharply with the traditional
approach. (n the agile software development or fle0ible product development approach, the project is
seen as a series of relatively small tas$s conceived and e0ecuted to conclusion as the situation
demands in an adaptive manner, rather than as a completely pre!planned process. Advocates of this
technique claim that/
(t is the most consistent project management technique since it involves frequent testing of
the project under development.
(t is the only technique in which the client will be actively involved in the project development.
&he only disadvantage with this technique is that it should be used only if the client has
enough time to be actively involved in the project every now and then.
<0amples of Agile 9roject 4anagement tools and techniques include/
2crum software development" ! A holistic approach to development that focuses on iterative
goals set by the 9roduct =wner through a bac$log, which is developed by the Helivery &eam
through the facilitation of the 2crum 4aster.
<0treme 9rogramming I9" ! Also called 9air 9rogramming this method uses small groups
and has a highly prescriptive &est Hriven Hevelopment &HH" model.
eItreme 4anufacturing I4" ! An agile methodology based on
2crum, Janban and Jaizen that facilitates rapid engineering and prototyping.
;rystal ;lear software development" ! An agile or lightweight methodology that focuses on
colocation and osmotic communication.
'anban "
(
" ! A lean framewor$ for process improvement that is frequently
used to manage :(9 within agile projects. &he Janban process improvement framewor$ has
been specifically applied to software development, as Janban development".
)ean project management[edit]
Main article: ean project management
Kean project management uses the principles from lean manufacturing to focus on delivering value
with less waste and reduced time.
E*treme project management[edit]
Main article: E!treme project management
9lanning and feedbac$loops in <0treme programmingI9" with the time frames of the multiple loops.
(n critical studies of project management it has been noted that several 9<7& based models are not
well suited for the multi!project company environment of today.
[citation needed]
4ost of them are aimed at
very large!scale, one!time, non!routine projects, and currently all $inds of management are
e0pressed in terms of projects.
8sing comple0 models for -projects- or rather -tas$s-" spanning a few wee$s has been proven to
cause unnecessary costs and low maneuverability in several cases
[citation needed]
. &he generalization of
<0treme 9rogramming to other $inds of projects is e0treme project management, which may be
used in combination with theprocess modeling and management principles of human interaction
management.
+enefits reali$ation management[edit]
Main article: "ene#its realisation management
>enefits realization management >74" enhances normal project management techniques through
a focus on outcomes the benefits" of a project rather than products or outputs, and then measuring
the degree to which that is happening to $eep a project on trac$. &his can help to reduce the ris$ of a
completed project being a failure by delivering agreed upon requirements3outputs but failing to
deliver the benefits of those requirements.
An e0ample of delivering a project to requirements might be agreeing to deliver a computer system
that will process staff data and manage payroll, holiday and staff personnel records. 8nder >74 the
agreement might be to achieve a specified reduction in staff hours required to process and maintain
staff data.
Processes[edit]
&he project development stages
[#)]
&raditionally, project management includes a number of elements/ four to five process groups, and a
control system. 7egardless of the methodology or terminology used, the same basic project
management processes will be used. 4ajor process groups generally include/
[+]
(nitiation
9lanning or design
9roduction or e0ecution
4onitoring and controlling
;losing
(n project environments with a significant e0ploratory element e.g., research and development",
these stages may be supplemented with decision points go3no go decisions" at which the project?s
continuation is debated and decided. An e0ample is the 9hase@gate model.
Initiating[edit]
(nitiating process group processes
[#)]
&he initiating processes determine the nature and scope of the project.
[#*]
(f this stage is not
performed well, it is unli$ely that the project will be successful in meeting the businessL needs. &he
$ey project controls needed here are an understanding of the business environment and ma$ing
sure that all necessary controls are incorporated into the project. Any deficiencies should be reported
and a recommendation should be made to fi0 them.
&he initiating stage should include a plan that encompasses the following areas/
analyzing the business needs3requirements in measurable goals
reviewing of the current operations
financial analysis of the costs and benefits including a budget
sta$eholder analysis, including users, and support personnel for the project
project charter including costs, tas$s, deliverables, and schedule
Planning and design[edit]
After the initiation stage, the project is planned to an appropriate level of detail see e0ample of a
flow!chart".
[#)]
&he main purpose is to plan time, cost and resources adequately to estimate the wor$
needed and to effectively manage ris$ during project e0ecution. As with the (nitiation process group,
a failure to adequately plan greatly reduces the project?s chances of successfully accomplishing its
goals.
9roject planning generally consists of
[#+]
determining how to plan e.g. by level of detail or rolling wave"G
developing the scope statementG
selecting the planning teamG
identifying deliverables and creating the wor$ brea$down structureG
identifying the activities needed to complete those deliverables and networ$ing the activities
in their logical sequenceG
estimating the resource requirements for the activitiesG
estimating time and cost for activitiesG
developing the scheduleG
developing the budgetG
ris$ planningG
gaining formal approval to begin wor$.
Additional processes, such as planning for communications and for scope management, identifying
roles and responsibilities, determining what to purchase for the project and holding a $ic$!off
meeting are also generally advisable.
5or new product development projects, conceptual design of the operation of the final product may
be performed concurrent with the project planning activities, and may help to inform the planning
team when identifying deliverables and planning activities.
E*ec#ting[edit]
<0ecuting process group processes
[#)]
<0ecuting consists of the processes used to complete the wor$ defined in the project plan to
accomplish the project?s requirements. <0ecution process involves coordinating people and
resources, as well as integrating and performing the activities of the project in accordance with the
project management plan. &he deliverables are produced as outputs from the processes performed
as defined in the project management plan and other framewor$s that might be applicable to the
type of project at hand.
<0ecution process group include/
Hirect and manage project e0ecution
Cuality assurance of deliverables
Acquire, develop and manage 9roject team
Histribute information
4anage sta$eholder e0pectations
;onduct procurement
&est the deliverables against the initial design
,onitoring and Controlling[edit]
4onitoring and controlling process group processes
[#)]
4onitoring and controlling consists of those processes performed to observe project e0ecution so
that potential problems can be identified in a timely manner and corrective action can be ta$en,
when necessary, to control the e0ecution of the project. &he $ey benefit is that project performance
is observed and measured regularly to identify variances from the project management plan.
4onitoring and controlling includes/
[#M]
4easuring the ongoing project activities ?where we are?"G
4onitoring the project variables cost, effort, scope, etc." against the project management
plan and the project performance baseline $here $e sho%ld be"G
(dentify corrective actions to address issues and ris$s properly &o$ can $e get on trac'
again"G
(nfluencing the factors that could circumvent integrated change control so only approved
changes are implemented.
(n multi!phase projects, the monitoring and control process also provides feedbac$ between project
phases, in order to implement corrective or preventive actions to bring the project into compliance
with the project management plan.
9roject maintenance is an ongoing process, and it includes/
[+]
;ontinuing support of end!users
;orrection of errors
8pdates of the software over time
4onitoring and controlling cycle
(n this stage, auditors should pay attention to how effectively and quic$ly user problems are
resolved.
=ver the course of any construction project, the wor$ scope may change. ;hange is a normal and
e0pected part of the construction process. ;hanges can be the result of necessary design
modifications, differing site conditions, material availability, contractor!requested changes, value
engineering and impacts from third parties, to name a few. >eyond e0ecuting the change in the field,
the change normally needs to be documented to show what was actually constructed. &his is
referred to as change management. Bence, the owner usually requires a final record to show all
changes or, more specifically, any change that modifies the tangible portions of the finished wor$.
&he record is made on the contract documents @ usually, but not necessarily limited to, the design
drawings. &he end product of this effort is what the industry terms as!built drawings, or more simply,
Das built.E &he requirement for providing them is a norm in construction contracts.
:hen changes are introduced to the project, the viability of the project has to be re!assessed. (t is
important not to lose sight of the initial goals and targets of the projects. :hen the changes
accumulate, the forecasted result may not justify the original proposed investment in the project.
Closing[edit]
;losing process group processes.
[#)]
;losing includes the formal acceptance of the project and the ending thereof. Administrative
activities include the archiving of the files and documenting lessons learned.
&his phase consists of/
[+]
Contract clos#re/ ;omplete and settle each contract including the resolution of any open
items" and close each contract applicable to the project or project phase.
Project close/ 5inalize all activities across all of the process groups to formally close the
project or a project phase
Project controlling and project control systems[edit]
9roject controlling should be established as an independent function in project management. (t
implements verification and controlling function during the processing of a project in order to
reinforce the defined performance and formal goals.
[#.]
&he tas$s of project controlling are also/
the creation of infrastructure for the supply of the right information and its update
the establishment of a way to communicate disparities of project parameters
the development of project information technology based on an intranet or the determination
of a project $ey performance inde0 system J9("
divergence analyses and generation of proposals for potential project regulations
[%6]
the establishment of methods to accomplish an appropriate project structure, project
wor$flow organization, project control and governance
creation of transparency among the project parameters
[%1]
5ulfillment and implementation of these tas$s can be achieved by applying specific methods and
instruments of project controlling. &he following methods of project controlling can be applied/
investment analysis
cost@benefit analyses
value benefit Analysis
e0pert surveys
simulation calculations
ris$!profile analyses
surcharge calculations
milestone trend analysis
cost trend analysis
target3actual!comparison
[%#]
9roject control is that element of a project that $eeps it on!trac$, on!time and within budget.
[#M]
9roject control begins early in the project with planning and ends late in the project with post!
implementation review, having a thorough involvement of each step in the process. 9rojects may be
audited or reviewed while the project is in progress. 5ormal audits are generally ris$ or compliance!
based and management will direct the objectives of the audit. An e0amination may include a
comparison of approved project management processes with how the project is actually being
managed.
[%%]
<ach project should be assessed for the appropriate level of control needed/ too much
control is too time consuming, too little control is very ris$y. (f project control is not implemented
correctly, the cost to the business should be clarified in terms of errors and fi0es.
;ontrol systems are needed for cost, ris$, quality, communication, time, change, procurement, and
human resources. (n addition, auditors should consider how important the projects are to
the financial statements, how reliant the sta$eholders are on controls, and how many controls e0ist.
Auditors should review the development process and procedures for how they are implemented. &he
process of development and the quality of the final product may also be assessed if needed or
requested. A business may want the auditing firm to be involved throughout the process to catch
problems earlier on so that they can be fi0ed more easily. An auditor can serve as a controls
consultant as part of the development team or as an independent auditor as part of an audit.
>usinesses sometimes use formal systems development processes. &hese help assure that
systems are developed successfully. A formal process is more effective in creating strong controls,
and auditors should review this process to confirm that it is well designed and is followed in practice.
A good formal systems development plan outlines/
A strategy to align development with the organizationLs broader objectives
2tandards for new systems
9roject management policies for timing and budgeting
9rocedures describing the process
<valuation of quality of change
Topics[edit]
Project managers[edit]
A project manager is a professional in the field of project management. 9roject managers can have
the responsibility of the planning, e0ecution, and closing of any project, typically relating
to construction industry, engineering, architecture, computing, and telecommunications. 4any other
fields in production engineering and design engineering and heavy industrial have project managers.
A project manager is the person accountable for accomplishing the stated project objectives. Jey
project management responsibilities include creating clear and attainable project objectives, building
the project requirements, and managing the triple constraint for projects, which is cost, time, and
scope.
A project manager is often a client representative and has to determine and implement the e0act
needs of the client, based on $nowledge of the firm they are representing. &he ability to adapt to the
various internal procedures of the contracting party, and to form close lin$s with the nominated
representatives, is essential in ensuring that the $ey issues of cost, time, quality and above all, client
satisfaction, can be realized.
Project management types[edit]
:hile 9roject management, by itself, is a discipline that can apply to any project intended to deliver
solutions for any purpose, it is often tailored to accommodate the specific and repeatable needs of
different and highly specialized industries. 5or e0ample, the construction industry, which focuses on
the delivery of things li$e buildings, roads, and bridges, has developed its own specialized form of
project management that it refers to as Constr%ction project management and for which project
managers can become trained and certified in.
[%']
&he (nformation technology industry has also
evolved to develop its own form of 9roject management that is referred to as I( Project
management and which specializes in the delivery of technical assets and services that are required
to pass through various lifecycle phases such as planning, design, development, testing, and
deployment.
[%)]
"iotechnology project management focuses on the intricacies of biotechnology
research and development.
[%*]
5or each type of project management, project managers develop and utilize repeatable templates
that are specific to the industry they?re dealing with. &his allows project plans to become very
thorough and highly repeatable, with the specific intent to increase quality, lower delivery costs, and
lower time to deliver project results.
Project management triangle[edit]
&he project management triangle
Ki$e any human underta$ing, projects need to be performed and delivered under certain constraints.
&raditionally, these constraints have been listed as -scope,- -time,- and -cost-.
[#]
&hese are also
referred to as the -project management triangle-, where each side represents a constraint. =ne side
of the triangle cannot be changed without affecting the others. A further refinement of the constraints
separates product -quality- or -performance- from scope, and turns quality into a fourth constraint.
&he time constraint refers to the amount of time available to complete a project. &he cost constraint
refers to the budgeted amount available for the project. &he scope constraint refers to what must be
done to produce the project?s end result. &hese three constraints are often competing constraints/
increased scope typically means increased time and increased cost, a tight time constraint could
mean increased costs and reduced scope, and a tight budget could mean increased time and
reduced scope.
&he discipline of project management is about providing the tools and techniques that enable the
project team not just the project manager" to organize their wor$ to meet these constraints.
-or breado"n str#ct#re[edit]
Main article: )or' brea'do$n str%ct%re
&he wor$ brea$down structure :>2" is a tree structure that shows a subdivision of effort required to
achieve an objective,for e0ample a program, project, and contract. &he :>2 may be hardware!,
product!, service!, or process!oriented see an e0ample in a 1A2A reporting structure #661"".
[%+]
A :>2 can be developed by starting with the end objective and successively subdividing it into
manageable components in terms of size, duration, and responsibility e.g., systems, subsystems,
components, tas$s, sub!tas$s, and wor$ pac$ages", which include all steps necessary to achieve the
objective.
[#1]
&he wor$ brea$down structure provides a common framewor$ for the natural development of the
overall planning and control of a contract and is the basis for dividing wor$ into definable increments
from which the statement of wor$ can be developed and technical, schedule, cost, and labor hour
reporting can be established.
[%+]
Project management frame"or[edit]
&he program investment" life cycle integrates the project management and system development life
cycles with the activities directly associated with system deployment and operation. >y design,
system operation management and related activities occur after the project is complete and are not
documented within this guide
[#)]
see an e0ample of an (& project management framewor$".
5or e0ample, see figure, in the 82 8nited 2tates Hepartment of Neterans Affairs NA" the program
management life cycle is depicted and describe in the overall NA (& 9roject 4anagement 5ramewor$
to address the integration of =4> <0hibit %66 project investment" management activities and the
overall project budgeting process. &he NA (& 9roject 4anagement 5ramewor$ diagram illustrates
4ilestone ' which occurs following the deployment of a system and the closing of the project. &he
project closing phase activities at the NA continues through system deployment and into system
operation for the purpose of illustrating and describing the system activities the NA considers part of
the project. &he figure illustrates the actions and associated artifacts of the NA (& 9roject and
9rogram 4anagement process.
[#)]