PROJECT

A project is a temporary endeavor, having a defined beginning and end (usually constrained by date, but can be by funding or deliverables), undertaken to meet unique goals and objectives usually to bring about beneficial change or added value. The temporary nature of projects stands in contrast to business as usual (or operations) which are repetitive, permanent or semi-permanent functional work to produce products or services. In practice, the management of these two systems is often found to be quite different, and as such requires the development of distinct technical skills and the adoption of separate management. Example Building a road is an example of a project. The process of building a road takes a finite amount of time, and produces a unique product. Operations on the other hand are repetitive. Generating bills every month and broadcasting news everyday are examples of operations. Subprojects are components of a project that often contracted out.

Managing a project is very essential for any organization be it in domain of the industry. Project Management uses a systematic and disciplined approach to develop software. Project Management activities include: determining the scope of the project, project planning, implementation of project components in a timely manner, review of project activities, and a listing of lessons learned during the project. These activities follow the typical life cycle of a software project. Project management is the discipline of planning, organizing, securing and managing resources to bring about the successful completion of specific project goals and objectives. The primary challenge of project management is to achieve all of the engineering project goals and objectives while honouring the preconceived project constraints. Typical constraints are scope, time, and budget the secondaryand more ambitiouschallenge is to optimize the allocation and integration of inputs necessary to meet pre-defined objectives.

Five Features of a Project

o o o o o

Defined beginning, end, schedule, and approach Use resources specifically allocated to the work End results have specific goals (time, cost, performance/quality) Follows planned, organized approach Usually involves a team of people

Like any human undertaking, projects need to be performed and delivered under certain constraints. Traditionally, these constraints have been listed as "scope," "time," and "cost". These are also referred to as the "project management triangle", where each side represents a constraint. One 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.

The time constraint refers to the amount of time available to complete a project. The cost constraint refers to the budgeted amount available for the project. The scope constraint refers to what must be done to produce the project's end result. These 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.

PROJECT MANAGEMENT PROCESS

A project management process is the management process of planning and controlling the performance of execution of a project. The inputs required for a project consists of: Documents needed to act upon Project plan Templates Lessons learned from previous lessons Existing project management standards Resources for planning and execution of the project The process includes: Project initiation Project planning Project execution Project control and validation Project closeout and evaluation The outputs of a project are: Projects products delivered Project objectives achieved that is a result of the interplay among project products and the organization and its environment Documentation of the lessons learned. The Project Life Cycle refers to a logical sequence of activities to accomplish the projects goals or objectives. Regardless of scope or complexity, any project goes through a series of stages during its life. There is first an Initiation or Birth phase, in which the outputs and critical success factors are defined, followed by a Planning phase, characterized by breaking down the project into smaller parts/tasks, an Execution phase, in which the project plan is executed, and lastly a Closure or Exit phase, that marks the completion of the project. Project activities must be grouped into phases because by doing so, the project manager and the core team can

efficiently plan and organize resources for each activity, and also objectively measure achievement of goals and justify their decisions to move ahead, correct, or terminate.

1) Initiation In this first stage, the scope of the project is defined along with the approach to be taken to deliver the desired outputs. The project manager is appointed and in turn, he selects the team members based on their skills and experience. The most common tools or methodologies used in the initiation stage are Project Charter, Business Plan, Project Framework (or Overview

2) Planning The second phase should include a detailed identification and assignment of each task until the end of the project. It should also include a risk analysis and a definition of a criteria for the successful completion of each deliverable. The governance process is defined, stake holders identified and reporting frequency and channels agreed. The most common tools or methodologies used in the planning stage are Business Plan and Milestones Reviews.

3) Execution and controlling The most important issue in this phase is to ensure project activities are properly executed and controlled. During the execution phase, the planned solution is implemented to solve the problem specified in the project's requirements. In

product and system development, a design resulting in a specific set of product requirements is created. This convergence is measured by prototypes, testing, and reviews. As the execution phase progresses, groups across the organization become more deeply involved in planning for the final testing, production, and support.

4) Closure In this last stage, the project manager must ensure that the project is brought to its proper completion. The closure phase is characterized by a written formal project review report containing the following components: a formal acceptance of the final product by the client, Weighted Critical Measurements (matching the initial requirements specified by the client with the final delivered product), rewarding the team, a list of lessons learned, releasing project resources, and a formal project closure notification to higher management. No special tool or methodology is needed during the closure phase.

THE BASIC PROJECT MANAGEMENT PROCESS

At a high level, the management of most projects can be described using the model above.

Assemble Team The project management team will be assembled, including appropriate representation from customers/clients, and sometimes subcontractors and vendors. Initial roles and responsibilities will be defined.

Define Project Objectives With the project team in place, the overall project purpose will be verified, and detailed project objectives developed. A phase-exit review will be conducted to ensure that the project is ready to move into the next phase, which is planning.

Define Project Scope An appropriately detailed Work Breakdown Structure (WBS) will be developed to ensure the project scope is properly agreed and understood by all stakeholders. This also allows the complete project to be split into appropriate sub-projects and/or phases. Deliverables: Project work breakdown structure.

Construct an Initial Plan Once tasks of an appropriate level have been identified in the WBS, they will be organized by the project team into logical network diagrams, with estimated durations. This allows the project manager to predict when activities will be complete, assess the feasibility of target dates, and identify the critical path for the project.

Add Resources, Costs, Risks etc. Certain project resources may be defined as critical resources. In particular, the project manager may suspect that key project staff may be faced with too much work. If so, estimated resource usage information can be added to the project plan to allow resource forecasting. Cost is obviously also critically important, and expenditures can be added to the plan to create estimated cash-flow requirements. Risk management can also be utilized on projects to provide a framework to better manage events that occur beyond the control of the project team.

Obtain Stakeholder Buy-in To ensure the project is implemented as smoothly as possible, with the support of the involved parties, it will be necessary to review the initial plans with all the major project stakeholders, and solicit buy-in from each one. A phase-exit review will be conducted to ensure that the project is ready to move into the next phase, which is control.

Publish the Plan Once the plans are agreed to, they must be effectively communicated to all stakeholders. This can be done in hardcopy or via electronic media, depending on the resources available. On most projects a communications plan will be developed, and distribution of the plans will follow the guidelines laid out in the communications plan.

Collect Progress Information On a regular basis, the project manager will collect together progress information that has been reported by the project team. This will allow the compilation of progress reports, such as :

Activities completed within the past two weeks Activities forecast for the next two weeks, with a focus on activities on the critical path

Funds expended vs. fund expenditure forecast Prioritized issues report

Metrics can also be developed to measure project progress in other ways, such as earned value, or activity float statistics. If the project manager reviews the progress data and concludes that the project is complete, a phase-exit review will be completed to confirm that all the objectives have been met before moving into the final closure phase.

Analyze Current Status By analyzing the progress information received, the project manager will be able to augment the above reports with information about which areas of the project are of concern, and where problems are likely to occur in the future. This allows managers to focus on the important/critical areas of the project.

Adjust the Plan, and Manage Project Change Based on the analysis, and with the support of the project team, the project manager will make plan adjustments to help reduce risks, accommodate scope changes, or to compensate for activities that have not occurred on schedule. Once this has happened, the plan will re-published, and the cycle repeated until the project is complete.

Close Project When the objectives of the project have been achieved, the project manager will close down the project. This will involve some financial closure tasks, as well as archiving of the project materials. A lessons-learned document will be developed to benefit future projects, and if possible a project team celebration will be held. Deliverables: Final project report including lessons learned.

PROJECT DEPARTMENT
A Project Management Office (PMO) is a group or department within a business, agency or enterprise that defines and maintains standards for project management within the organization. The primary goal of a PMO is to achieve benefits from standardizing and following project management policies, processes and methods. Over time, a PMO generally will become the source for guidance, documentation, and metrics related to the practices involved in managing and implementing projects within the organization. A PMO may also get involved in project-related tasks and follow up on project activities through completion. The office may report on project activities, problems and requirements to executive management as a strategic tool in keeping implementers and decision makers moving toward consistent, business- or mission-focused goals and objectives. A PMO generally bases its project management principles, practices and processes on some kind of industry standard methodology such as PMBOK (Project Management Body of Knowledge) or PRINCE2 (Project in Controlled Environments). Such approaches are consistent with the requirements related to ISO9000 and to government regulatory requirements such as the US Sarbanes-Oxley (SOX) program. How a project management office (PMO) is designed and staffed for maximum effectiveness depends on a variety of organizational factors, including targeted goals, traditional strengths and cultural imperatives. There are three basic organizational styles for a project management office. 1. The project repository: This model occurs most often in organizations that empower distributed, business-centric project ownership, or enterprises with weak central governance. The project office simply serves as a source of information on project methodology and standards. Project managers continue to report to, and are funded by, their respective business areas.

2. The project coach model: This model assumes a willingness to share some project management practices across business functions and uses the project office to coordinate

the communication. Best practices are documented and shared and project performance is monitored actively. The PMO in this model is a permanent structure with staff and has some supervisory responsibility for all projects.

3. The enterprise project management office: This model also assumes a governance process that involves the project office in all projects, regardless of size, allowing it to assess scope, allocate resources and verify time, budget, risk and impact assumptions before the project is undertaken. Funding is generally a combination of direct, budgeted allocation for baseline services and a fee-for-service charge for others.

The functions of Project Management Department are adviser, helper for General Director on building-up, managing, following and deploying to implement the projects of the enterprise.

The principal tasks of Project Management Department at FOSCO are as follows: To advise Board of General Management on managing, operating all the projects of the enterprise. Combine with Investment-Development Department for proposing the matters which concern to investment to construct new buildings, repair the completed buildings. To combine with Finance & Accounting Department to set up want of capital schedule of the projects, propose Board of Director for approving, paying according to the rate of the projects. To store files, documents, records which concern to the project. To follow, urge, supervise on surveying, designing, constructing buildings of the projects and check them before submitting to Fosco Board of Director for approval. To contact with relevant Services for preparing documents which concern to investment procedures: collect and choose carefully mode of designed architecture, reach an agreement for mode of planned architecture and fire regulations.

PROJECT FEASIBILTY REPORT

A Project Feasibility Report reveals an overview of the projects proposal through the feasibility report. A Project Feasibility Report is normally prepared to articulate the ideas and objectives set forth for the project . The Project Feasibility Report is expected to incorporate the following aspect and the structure of presentation. Introduction- What is proposed project about and why the need has arisen? Objectives- define what the project aim? Demand Analysis- the findings of such surveys is presented in a proper manner. Location of the project- the consideration made for selection of location with comparative advantage and disadvantage. Technology proposed to be adopted- adequate justification to be stated for adopted technology. Capital facility required Cost estimation Sources of raw material, components, bought out material. study of environmental factors Conclusion and recommendation

ROLE OF CONSULTANT IN PROJECT MANGEMENT

Consultant is said to be expert on a certain area of discipline, in this case, on project planning and management. Their role is to provide or extend their technical know-how or expertise to a client, who needs such services, on a time-bounded basis. Management consulting refers to both the industry and the practice of helping organisations to improve their performance, primarily through the analysis of existing organisational problems and development of plans for improvement. Organisations may draw upon the services of management consultants for a number of reasons, including gaining external and presumably objective advice and access to the consultants' specialised expertise. Consultancies may also provide organisational change management assistance, development of coaching skills, technology implementation, strategy development, or operational improvement services. Management consultants often bring their own

proprietary methodologies or frameworks to guide the identification of problems, and to serve as the basis for recommendations for more effective or efficient ways of performing work tasks. Rise of internal corporate consulting groups Corporations are setting up their own internal consulting groups, hiring internal management consultants either from within the corporation or from external firms employees. Internal consulting groups are often formed around a number of practice areas, commonly including: organisational development, process management, information technology, design services, training, and development. Advantages There are several potential benefits of internal consultants to those who employ them:

If properly managed and empowered, internal consulting groups evaluate engagement on projects in light of the corporation's strategic and tactical objectives.

Often, the internal consultant requires less ramp up time on a project due to familiarity with the corporation, and is able to guide a project through to implementation

It is likely that the time and materials cost of internal consultants is significantly less than external consultants operating in the same capacity.

A group of internal consultants can closely monitor and work with external consulting firms. This would ensure better delivery, quality, and overall operating relationships.

Disadvantages

The internal consultant may not bring the objectivity to the consulting relationship that an external firm can.

It is often difficult to accurately measure the true costs and benefits of an internal consulting group.

When financial times get tough, internal consulting groups that have not effectively demonstrated economic value (costs vs. benefits) are likely to face size reductions or reassignment.

PROJECT MANAGEMENT CONSULTANT

The main constituents of any Project Management Consultant are -: A) Cost Estimating B) Scheduling and Planning C) Construction Project Management D) Trouble Shooting / Resolution Services

(A) COST ESTIMATING -: It includes the following 1. Feasibility & Budget Estimates 2. Progress Design Estimates 3. Constructability Reviews 4. Bid Estimates 5. Cost Studies And Analysis

Feasibility & Budget Estimates A defined project scope and line item budgets are crucial to keeping the project on course during the design phase and contractor selection phase. Developing a realistic cost and budgeting accordingly at the initial concept of the project is the prudent first step. Feasibility and budget estimates are to be prepared with minimal information, usually verbal descriptions and rough sketches, and prior to the project/program detail outlined. The level of detail provided for these estimates is as good as the level of the project scope provided and are prepared with in limited time. Progress Design Estimates The ability to monitor the project scope, cost, and schedule during the design process is of paramount importance. Variances can be identified and informed actions taken to keep the project within cost and schedule parameters identified in your project program. When a series of estimates using disciplined line item budgeting are prepared for a project, the scope and costs can be monitored for the entire design period through to the end of construction. Constructability Reviews Discovering conflicts, build ability issues, and/or omissions in the contract documents leads to better bids and fewer change orders during the construction period. A detailed review of the civil, structural, and architectural elements of the project to identify needed details and information as well as a cross check of the technical specification with the projects plans to insure coordination and necessary inclusion of technical data is to be done. Bid Estimates Thoroughness, timeliness, and accuracy matched with experience are required in preparing a reliable bid estimate. The bid estimates are to be prepared from complete plan and specification packages using software. The level of detail provided with the estimates will allow the project team to convert the information to project level production and purchasing guidelines. Each item of work is identified in the estimate, typically in the order of construction sequence, and will include details including the labor, equipment, material, and

subcontract elements of each line item. The plans and specifications are to be checked to insure that cost elements are not overlooked. Cost Studies and Analysis The various options need to be considered with reference to time, cost, and/or value for proper evaluation based on the studies, analysis and experience. (B) SCHEDULING AND PLANNING Plan your work (schedule), and work your plan (success)." The most important reason for developing a schedule is to communicate and manage the work plan. Schedules are keys to improved communications between the prime and subcontractors and between the owner and the contractors during the course of the project. While the types of schedules vary from bar chart to short interval to precedence diagrams, their value remains a key to a successful project. Schedules are the tool that solidifies the plan. Critical Path Method (CPM) Bar Chart Gantt Chart Cash Flow and Cost Loaded Phasing Manpower Counter Measure Alternate Planning and Sequencing The project and the contract documents needed to be analyzed for the best scheduling application. Whether through bar chart, arrow diagram or precedence method, the schedules will help to manage the work and bring the project to a successful completion. The main aim is to prepare a workable plan and prepare counter measures for inevitable occurrences.

(C) CONSTRUCTION PROJECT MANAGEMENT Construction projects necessarily involve a myriad of professionals, contractors, subcontractors, designers each involved for profit at some phase of completion. These parties are to be organized to insure that your best interests of the enterprise are served by managing the schedule, quality, and controlling costs and that maximum value is achieved. A project management consultant is supposed to do -: Assistance with contract document development Contract bid process, negotiation and award CPM schedule development and monitoring Contract administration and submittal management Cost control Budget management and change control Quality management Safety monitoring Audits and cost-to-complete estimates Cost estimating Constructability reviews On-site inspections and monthly reporting Contract close-out Operation and maintenance manuals Owner training Project close-out Final project review and close out

(D) TROUBLE SHOOTING / RESOLUTION SERVICES All the projects do have unresolved issues that needs an outside source for resolution. It is the function of PMC to provide a staff of problem solvers, option providers, and counter measure developers who can help to work through the issue that is presenting difficulties in project execution. A straight forward assessment of the situation with suggestions that will be thought through with end result in mind should be provided by the PMC.

Some of the types of issues we can help you with: Staff supplementation Material management Off site testing and coordination Start up services Material / Equipment expediting Cost to complete assessments Specific project segment support staff Final project and punch list management Supply services and supply project management As a whole, the responsibility of the PMC is to add value to every stage of the project lifecycle.

RISK MANAGEMENT
Risk management is the systematic process of managing an organization's risk exposures to achieve its objectives in a manner consistent with public interest, human safety, environmental factors, and the law. The objectives: Survival of the organisation Efficiency in the operations Uninterrupted operations Earnings stability Continual growth Preservation of reputation

There are two stages in the process of Project Risk Management, Risk Assessment and Risk Control. Risk Assessment can take place at any time during the project, though the sooner the better. However, Risk Control cannot be effective without a previous Risk Assessment. Far too many projects spend a great deal of effort on Risk Assessment and then ignore Risk control completely.

Risk Assessment has three elements: Identify Uncertainties:- Explore the entire project plans and look for areas of uncertainty. Some examples of areas of uncertainty are Failure to understand who the project is for Failure to appoint a fully qualified and supported project manager Failure to define the objectives of the project Failure to estimate costs accurately Failure to specify very precisely the end users' requirements Failure to provide a good working environment for the project

Analyse Risks:- Specify how those areas of uncertainty can impact the performance of the project, either in duration, cost or meeting the users' requirements.

Prioritise Risks:- Establish which of those Risks should be eliminated completely, because of potential extreme impact, which should have regular management attention, and which are sufficiently minor to avoid detailed management attention. In the same way, Risk Control has three elements, as follows: Mitigate Risks:- Take whatever actions are possible in advance to reduce the effect of Risk. It is better to spend money on mitigation than to include contingency in the plan.

Plan for Emergencies:-For all those Risks which are deemed to be significant, have an emergency plan in place before it happens.

Measure and Control:- Track the effects of the risks identified and manage them to a successful conclusion.

TYPE OF RISKS
Internal Risks A. Scheduling Risks: The project manager underestimated the length of tasks and they are just taking more time. Schedule risks are accounted for in the contingency in the schedule.

B. Cost Risks: Scheduling risks often lead to cost risks, a budget contingency plan needs to be drafted to handle cost risks. Cost risks may also result from missing requirements (for example, in a construction project, the project manager did not gather the requirement properly, and misses that the floor must be made out of marble, which greatly increases the costs of the project).

C. Technology Risks: For example, choosing an obsolete technology to develop the project. D. Business process risks: Which include governance risks, management risks, and operational risks (purchasing [paying too much for the supplies], marketing [weak marketing of the product], and selling risks [weak distribution of the product]).

External Risks: A. Legal Risks: For example, a building is being constructed on "questionable" land. This will result in legal battles and will divert the attention from making the project succeed to resolving the legal issues. B. Competition Risks: Another company is trying to do the same thing (usually for less). C. Market Risks: Includes inflation, recession, bank interest rates, unemployment, etc. D. Acts of Nature Risks: Floods, earthquakes, and other natural catastrophes. E. Country Risks: Including wars, civil unrests, blockades, corruption.

PROJECT FINANCING
Project Financing is a unique financing technique that has been used on many high-profile corporate projects. Increasingly, project financing is emerging as the preferred alternative to conventional methods of financing infrastructure and other large-scale projects worldwide. Project Financing discipline includes understanding the rationale for project financing, how to prepare the financial plan, assess the risks, design the financing mix, and raise the funds. In addition, one must understand the cogent analyses of why some project financing plans have succeeded while others have failed. A knowledge-base is required regarding the design of contractual arrangements to support project financing; issues for the host government legislative provisions, public/private infrastructure partnerships, public/private financing structures; credit requirements of lenders, and how to determine the project's borrowing capacity; how to prepare cash flow projections and use them to measure expected rates of return; tax and accounting considerations; and analytical techniques to validate the project's feasibility. Project finance is finance for a particular project, such as a mine, toll road, railway, pipeline, power station, ship, hospital or prison, which is repaid from the cash-flow of that project.

FIVE BASIC STEPS TO FINANCE YOUR PROJECT

It takes a lot more than a good idea to develop a successful venture. You need to know where to find the resources, both financial and technological, and you need to find the right people with the right skills to do the job. Knowing where to look for these resources can save you precious time and money, and earn you some valuable partners in the process. Step 1: Identify the Project At this step of the project development process, the project promoter must make a commitment to visit the targeted country to meet and strategize with your potential partners. This is highly recommended even if the country of operation is your home country. It is possible to start a project without local ties, but your risk of failure will be very high.

Step 2: Determine the Feasibility of the Project When a promising project has been identified, the next and most important step is to determine the feasibility of launching the venture. This step involves drafting a carefully detailed plan of action which reflects the venture partners' understanding of:

the markets in which your products will be sold, including industry trends, tariffs and other barriers to entry

domestic and international competition in the chosen industry the costs of human resources, technology, and other components of the venture The expected revenue that the project can generate, as well as sources of capital. Repayment strategies for any borrowed funds should also be taken into account

Competitive advantage: this study must also support the belief that there is room in the market for the product and that it will be able to deliver a quality product at a competitive price.

Step 3: Identify Sources of Technology The next step is to acquire the necessary equipment for the venture and people with the right skills to manage the project and manufacture your product. One of the fastest ways to determine which technical inputs will be needed to launch a venture is to contact one of the many national industry associations in the host country and ask to be put in touch with a company that already makes the same or similar product you plan to produce. Once you have a rough idea of what technical skills and technology will be needed for the venture, the next task is to determine how to acquire these inputs. Equipment and machinery can be leased in some cases, but you may be required to purchase them because they are intended for overseas use. Industry associations are often good sources of information on suppliers of both new and used equipment. Step 4: Identify Sources of Project Finance There is no substitute to having some capital of your own, but few people can afford to put up the full cost of a manufacturing venture. In many cases finance is available to offset some of the initial investment costs of establishing the operation.

For example :- If you or your partner is based in the US, you can benefit from debt and equity financing available through the Overseas Private Investment Corporation (OPIC). Step 5: Mitigate the Project Risk Despite the best intentions and thorough planning, unforeseen events can occur that can disrupt the project. These could be sovereign risks such as unanticipated instability in the government of the host country, devaluation of the local currency, or from labor unrest.

CHOOSING THE RIGHT SOURCE OF FINANCE

A business needs to assess the different types of finance based on the following criteria: Amount of money required a large amount of money is not available through some sources and the other sources of finance may not offer enough flexibility for a smaller amount. How quickly the money is needed the longer a business can spend trying to raise the money, normally the cheaper it is. However it may need the money very quickly (say if had to pay a big wage bill which if not paid would mean the factory would close down). The business would then have to accept a higher cost. The cheapest option available the cost of finance is normally measured in terms of the extra money that needs to be paid to secure the initial amount the typical cost is the interest that has to be paid on the borrowed amount. The cheapest form of money to a business comes from its trading profits. The amount of risk involved in the reason for the cash a project which has less chance of leading to a profit is deemed more risky than one that does. Potential sources of finance (especially external sources) take this into account and may not lend money to higher risk business projects, unless there is some sort of guarantee that their money will be returned. The length of time of the requirement for finance - a good entrepreneur will judge whether the finance needed is for a long-term project or short term and therefore decide what type of finance they wish to use.

PROJECT MANAGEMENT SOFTWARE

Project management software is a term covering many types of software,

including estimation and planning, scheduling, cost control and budget management, resource allocation, collaboration software, communication, quality management and documentation or administration systems, which are used to deal with the complexity of large projects. Task/Activities carried out by project management software Scheduling One of the most common purposes is to schedule a series of events or tasks and the complexity of the schedule can vary considerably depending on how the tool is used. Some common challenges include:

Events which depend on one another in different ways or dependencies. Scheduling people to work on, and resources required by, the various tasks, commonly termed resource scheduling.

Dealing with uncertainties in the estimates of the duration of each task.

Providing information Project planning software can be expected to provide information to various people or stakeholders, and can be used to measure and justify the level of effort required to complete the projects. Typical requirements might include:

Tasks list for people, and allocation schedules for resources Overview information on how long tasks will take to complete Early warning of any risks to the project Information on workload, for planning holidays Evidence Historical information on how projects have progressed, and in particular, how actual and planned performance are related

Optimum utilization of available resource Cost Maintenance

Approaches To Project Management Software Desktop Project management software can be implemented as a program that runs on the desktop of each user. This typically gives the most responsive and graphically-intense style of interface. Desktop applications typically store their data in a file, although some have the ability to collaborate with other users, or to store their data in a central database. Even a file-based project plan can be shared between users if it's on a networked drive and only one user accesses it at a time. Web-based Project management software can be implemented as a Web application, accessed through an intranet, or an extranet using a web browser. This has all the usual advantages and disadvantages of web applications:

Can be accessed from any type of computer without installing software on user's computer

Ease of access-control Naturally multi-user Only one software version and installation to maintain Centralized data repository Typically slower to respond than desktop applications Project information not available when the user (or server) is offline Some solutions allow the user to go offline with a copy of the data

Personal A personal project management application is one used at home, typically to manage lifestyle or home projects. There is considerable overlap with single user systems, although personal project management software typically involves simpler interfaces.

Single user A single-user system is programmed with the assumption that only one person will ever need to edit the project plan at once. This may be used in small companies or ones where only a few people are involved in top-down project planning. Desktop applications generally fall into this category. Collaborative A collaborative system is designed to support multiple users modifying different sections of the plan at once; for example, updating the areas they personally are responsible for such that those estimates get integrated into the overall plan. Web-based tools, including extranets, generally fall into this category, but have the limitation that they can only be used when the user has live Internet access. To address this limitation, some software tools using client server architecture provide a rich client that runs on users' desktop computer and replicate project and task information to other project team members through a central server when users connect periodically to the network. Integrated An integrated system combines project management or project planning, with many other aspects of company life. For example, projects can have bug tracking issues assigned to each project, the list of project customers becomes a customer relationship management module, and each person on the project plan has their own task lists, calendars,

and messaging functionality associated with their projects. Similarly, specialised tools like Source Forge integrate project management software with source control (CVS) software and bug-tracking software, so that each piece of information can be integrated into the same system. Non-specialised tools While specialised software may be common, and heavily promoted by each vendor, there are a vast range of other software (and non-software) tools used to plan and schedule projects.

Calendaring software can often handle scheduling as easily as dedicated software. Spreadsheets are very versatile, and can be used to calculate things not anticipated by the designers.

Criticism Of Project Management Software

The following may apply in general, or to specific products, or to some specific functions within products.

May not suit all projects May not be derived from a sound project management method. For example, displaying the Gantt chart view by default encourages users to focus on timed task scheduling too early, rather than identifying objectives, deliverables and the imposed logical progress of events (dig the trench first to put in the drain pipe).

May be inconsistent with the type of project management method. For example, traditional e.g. Waterfall model.

Focuses primarily on the planning phase and does not offer enough functionality for project tracking, control and in particular plan-adjustment. There may be excessive dependency on the first paper print-out of a project plan, which is simply a snapshot at one moment in time. The plan is dynamic; as the project progresses the plan must change to accommodate tasks that are completed early, late, re-sequenced, etc. Good management software should not only facilitate this, but assist with impact assessment and communication of plan changes.

Does not make a clear distinction between the planning phase and post planning phase, leading to user confusion and frustration when the software does not behave as expected. For example, shortening the duration of a task when an additional human resource is assigned to it while the project is still being planned.

Offer complicated features to meet the needs of project management or project scheduling professionals, which must be understood in order to effectively use the product. Additional features may be so complicated as to be of no use to anyone.

Some people may achieve better results using simpler technique, (e.g. pen and paper), yet feel pressured into using project management software by company policy (discussion).

New types of software are challenging the traditional definition of Project Management. Frequently, users of project management software are not actually managing a discrete project. For instance, managing the ongoing marketing for an already-released product is not a "project" in the traditional sense of the term; it does not involve management of discrete resources working on something with a discrete beginning/end.

Groupware applications now add "project management" features that directly support this type of workflow-oriented project management. Classically-trained Project Managers may argue whether this is "sound project management." However, the end-users of such tools will refer to it as such, and the de-facto definition of the term Project Management may change.

When there are multiple larger projects, project management software can be very useful. Nevertheless, one should probably not use management software if only a single small project is involved, as management software incurs a larger time-overhead than is worthwhile.

PROJECT MANGEMENT IN SOFTWARE ENGINEERING

Worldwide, some half a million project managers execute about a million software projects each year, producing software worth $600 billion. Many of these projects fail to fulfil customers' quality expectations or fail to deliver the software within budget and on schedule. One analysis suggests that about one-third of projects have cost and schedule overruns of more than 125%

Why do so many software projects fail? Although there are many reasons, one of the most important is improper management of the project. For example, the major reasons for runaways i.e projects that are out of control are unclear objectives, bad planning, new technology, a lack of a project management methodology, and insufficient staff. At least three of these five reasons clearly relate to project management. The other twoinsufficient staff and new technologycan be considered as risks whose management is also a part of project management. Clearly, by using effective project management techniques a project manager can improve the chances of success. An abundance of suggestions for performing the various aspects of project management include effort estimation, risk management, project monitoring, configuration management, and so on. Although each proposed technique solves the problem it is designed to solve, it is not clear how to combine these techniques into a practical and workable process. For effective project management, the need of the hour is a practical, manageable exercise routine that will deliver the result. In other words, what is needed is a balanced process that covers the management of the entire project from inception to completion. Unfortunately, there is a paucity of published approaches illustrating how to integrate techniques in this way.

A software project has two main activity dimensions: engineering and project management. The engineering dimension deals with building the system and focuses on issues such as how to design, test, code, and so on. The project management dimension deals with properly planning and controlling the engineering activities to meet project goals for cost, schedule, and quality.

For a project, the engineering processes generally specify how to perform engineering activities such as requirement specification, design, testing, and so on. The project management processes, on the other hand, specify how to set milestones, organize personnel, manage risks, monitor progress, and so on.

Software Project Management: The Infosys Way

Background Infosys is Indias second largest outsourcing supplier, headquartered in Bangalore, India employing more than 60,000 employees. Computer World described some of the systems and processes the company uses to manage large projects successfully. Its stated mission is to be a globally respected corporation that provides best-of-breed software solutions delivered by best-in-class people. It employs the global delivery model, in which the customer can be located anywhere in the world and customer fulfillment can be provided from anywhere.

Infosys currently employs about 10,000 people, with about 15 development centers in four countries and offices in more than a dozen countries. The company was founded in 1981 by seven software professionals with an equity base of only $300. Its customers are spread across the globe and include major corporationsmore than 60 of them being Fortune 1000 companiesthat are engaged in diverse businesses such as banking, retailing, manufacturing, telecommunications, financial services, insurance, and transportation. Infosys is a highly respected company that has been rated as the best managed and most respected company in India and one of Asia's leading information technology (IT) companies. Infosys provides a top-notch infrastructure so that its project managers can better serve the needs of its worldwide customers. The company has provided audio conferencing facilities to almost every group so that project managers can interact easily with customers and with group members located in different sites. Similarly, a state-of-the-art video conferencing facility is used for interaction among the company's various locations as well as for virtual meetings. Process orientation and improvement are a part of the Infosys work culture, and processes are defined for most tasks that are performed regularly. For process definition and improvement, Infosys first adopted the ISO 9000 framework and got its ISO certification in 1993. To further improve the software process, Infosys then adopted the CMM framework.

Infosys executes hundreds of projects each year. Full responsibility for executing a project rests with the project manager, who must make sure that the project team delivers highquality software to the customer on time and within cost. To help the project manager fulfil this responsibility, support from the organization is necessary.

The company insists that every stage in project implementation is documented, to ensure there is no gap in communication among teams working in multiple locations. In an industry where staff turnover is a fact of life, outsourcing companies like Infosys need to plan for attrition. Infosys has developed a knowledge-management system and tools to retain knowledge of the customers requirements and business if employees leave.

Project staff work as a team, and within each team there are core people who are perceived to be less likely to quit their jobs. Even if one or two employees working on the project quit, the rest of the staffers can continue the work while the team is being restaffed. The company hires people by the thousands every year. Its processes and experience play a key role in recruitment. Based on its experience, Infosys has a model for staffing projects that includes fixed ratios of employees for different roles, such as programmer analysts, software developers and quality auditors.

The Project Management Process For a project team to successfully execute a project, it must perform hundreds of tasks, many of them interdependent. Effectively managing this process is extremely important for success. At Infosys, the set of activities executed by a project manager is specified in the project management process. It is fairly standard, having three main stages:

Project planning Project execution Project closure

In the project planning stage, the project manager reviews contractual commitments and creates a plan to meet them. Creating a project plan involves defining a life-cycle process to be followed, estimating the effort and schedule, preparing a detailed schedule of tasks, and so on. It also includes planning for quality and configuration management as well as risk management.

In this phase, the major activities of the project manager are as follows:

Perform start up and administrative tasks. Create a project plan and schedule. - Define the project objectives. - Identify a suitable standard process for project execution. - Tailor the standard process to meet project requirements. - Define a process for managing changes in requirements. - Estimate the effort. - Plan for human resources and team organization. - Define the project milestones and create a schedule. - Define the quality objectives and a quality plan to achieve them. - Make a defect prevention plan. - Identify risks and make plans to mitigate them. - Define a measurement plan for the project. - Define a training plan for the project. - Define project-tracking procedures.

Perform a review of the project plan and schedule. Obtain authorization from senior management. Define and review the configuration management plan. Orient the project team to the project management plan.

In addition to the project manager, this phase involves the customer, an SEPG representative, and the business manager for the project. The entry criterion is that the contract or project authorization is available. The exit criterion is that the project plan has been documented and group reviewed.

The second phase, project execution, involves executing the project plan, tracking the status of the project, and making corrections whenever project performance strays from the path laid down in the project plan. In other words, it involves tracking and controlling the implementation of the project process. This phase is the longest in the project management process, incorporating periodic tasks such as monitoring project status and quality and taking any needed corrective steps. In this phase, the project manager performs these main activities:

Execute the project as per the project plan. Track the project status. Review the project status with senior management. Monitor compliance with the defined project process. Analyze defects and perform defect prevention activities. Monitor performance at the program level. Conduct milestone reviews and replan if necessary.

Other members of the team also participate in this stage. The entry criterion is that the project plan is complete and approved, and the exit criterion is that all work products delivered are accepted by the customer. The last stage of the project management process, project closure, involves a systematic wind-up of the project after customer acceptance. The main goal here is to learn from the experience so that the process can be improved. Post-project data analysis constitutes the main activity; metrics are analyzed, process assets (materials, such as templates and guidelines, used to aid in managing the process itself) are collected for future use, and lessons are recorded. Because learning from the project is the main goal, this is a group activity that involves the project manager, the SEPG, and other members of the team. The entry criterion is that the customer has accepted the work products. The exit criterion is that a post project meeting has been conducted. The main outputs of this phase are the project closure report and the collected process assets.

Why should project managers follow processes? S.D. Shibulalfounder, director, and the current head of customer delivery at Infosyssums it up nicely in a few key points:

Processes represent collective knowledge. Using them increases your chances of success.

A process may have some extra steps, but you will not always know beforehand which ones are not needed, and hence you will increase your risks by taking shortcuts.

Without processes, you cannot predict much about the outcome of your project. You and the organization cannot learn effectively without having defined processes. And learning and improvement are imperative in today's knowledge-based world.

Processes lower your anxiety level. The checklists inevitably cover 80 percent of what needs to be done. Hence, your task reduces to working out the remaining 20 percent.