Project Planning Design and Implementation Notes

 

DPM 220 PROJECT PLANNING DESIGN AND IMPLEMENTATION Course outline 1.  Introduction to Project Management   Project identification and selection   Project selection and consideration              

Elements of projects planning Logical framework approach to project planning and design Project implementation Project appraisal Project evaluation Strategic environmental assessment Contemporary issues in project management

2. Concept of project management     Difference between a Project and a Program   Project Management Cycle (PMC)   Project management vs. Functional management   Reasons to do Project Management   Characteristics of projects   Key Project Parameters   The role of monitoring and evaluation in Project Cycle

3. Project Identification and Selection   Criteria for Project Selection   Introduction to Portfolio Management   Stakeholder Mapping Analysis   The problem Tree Analysis   The objective Assessment   Determining acceptable Strategy Options   Sources of Project Information   Conducting Project Feasibility studies 4. Project Selection Considerations   Production considerations and marketing considerations,   financial considerations and Personal considerations   Social cultural considerations   Environmental considerations and Policy considerations 5. Elements of Project Planning   Project Planning Process   Selecting Project Team   Introduction to Project Scope Management- Quality, Time and cost   Introduction to Project Risk Analysis and Management   Introduction to Project Planning Tools   Drawing Project Execution Plan   Identifying Project Resources   Preparation of Project Proposals   Project Designs

 

  6. The logical framework approach to project planning and design   Setting project Objectives   Setting project Indicators   Identifying project Activities   Project Output   Project Outcome   Project Impacts   Project Assumptions and Risks Tools: –  Results   Results and Conceptual frameworks   Other Planning and Design Tools: –  7. Project Appraisals   Appraisal process –  process –   Baseline Baseline study, Needs Assessment, and Possible Output   Types of project appraisal: - technical, commercial and marketing, financial/economic and organizational   Cost benefit analysis   Cost effectiveness analysis   Scoring and weighting 8. Project implementation   Use Project Execution plans              

Definition and Duties of project team Managing Project Schedules/Time Managing Project Budget Managing Contracts Project Change Management Communication Management Managing Project Human Resources

9. Project Evaluation   Four Critical Moments to evaluate projects o  Pre-Implementation –  Pre-Implementation  –  Baseline  Baseline Studies o  Midterm Evaluation o  End of Project Evaluation o  Impact Evaluation 10. Contemporary Issues in Project Management   Concept of Participatory Management   The place of Strategic Environmental Assessment(SEA) in global world   The SEA Principles   The SEA Objectives   The SEA Process   Project sustainability   Fund raising for community development   The role of development partners in development   Gender and development   Relevant areas of body of knowledge (APM, PMI, PMBOK --------------------------------------------------------------------------------------------)  Design of course Lecture, Discussion, Interactions, Examples and Presentations – slides slides

 

PROJECT MANAGEMENT, PLANNING, DESIGN AND IMPLMENTATION TOPIC 1: INTRODUCTION TO PROJECT MA MANAGEMENT NAGEMENT

What is a Project and Project Management? A project is a temporary and unique set of coordinated and none repetitive activities undertaken to create a unique product, process service or results within defined time, costs scope and quality

constraints for target beneficiaries. A Project is:

  A group of milestones or phases, activities or tasks that support an effort to

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accomplish something.

  A combination of Human and non-human resources put together in a temporary

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organization to achieve a specific purpose.

  A set of skills. Specialist knowledge, skills and experience are required to reduce

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the level of risk within a project and thereby enhance its likelihood of success.

  A “cutting edge of development” or as “building blocks of development.”  development.”  

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  A Scientifically evolved work plan devised to achieve a specific objective within

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a specific period of time. It can be considered as proposal involving capital investment for the purpose of developing facilities to provide goods and services Characteristics of a project 1.  Temporary  –   all projects have a definite beginning and end. They are always within a scope of time whether they achieve their objective or not. They often have intended and unintended social economic and environmental impact i mpact that far outlast the project itself. 2.  Progressive- projects have progressive elaboration developing in steps and continuing by increments. 3.  Unique Unique –   –  projects   projects are unique and create unique deliverables which are products, process, services or results. the products are quantifiable, capability c apability to perform a service, results in outcomes and produces unique products. 4.  Targets beneficiaries  –  projects   projects have target beneficiaries, these are people the project is set to benefit from the products process services or results include; community, clients, customers, school church, traders etc. Project management  –   is the practice of initiating, planning, executing, monitoring, controlling and closing the work of a team to achieve specific goals and meet specific success criteria at specified time. It’s the application of knowledge, skills, tools and techniques to project activities to meet project requirements. Processes involve  - initiation, planning, executing, monitoring,

 

controlling, and closing, Knowledge areas  –  –  integration,  integration, scope, time, cost, quality, procurement human resources, communications, risk management, stakeholder management.  1.1 Project Identification and Selection  

Project Identification involve;   Ideas for projects and other actions are identified and screened for further study.   Consultation with intended beneficiaries of each action, and analysis of the problems they

face,   Identification of options to address these problems.   Decision is made on the relevance of each project idea and which ideas should be further studied during the design and planning stage   Project identification phase seeks: a)  To develop a plan and risk assessment for a proposed project  b) To provide information for portfolio assessing strategic viability of the project. c)  Emphasis on analyzing the project sponsor’s strategic requirements requirements as well as immediate needs. d) Deliverables on Project management, a foundation for estimates and for the Project Charter Before initiating a project, consider that: a)  All resources necessary for completing the project are available (first of all human resources)  b)  the probability for getting finances is big enough c)  the project contributes to achieving strategic goals of the institution d)  the external conditions favourable e)  the need for the project outcome is widely recognized,  Needs analysis   Determination of needs is done just prior to initiating a project   A detailed needs analysis is made during the planning phase.  Need analysis provides:   Justification of the project to potential donors and decision makers;   Better understanding and overview of the project scope   A simple composition of the project plan;   Enhanced commitment of project partners; general acceptance of significance of the  project  Needs analysis requires:   Information about similar projects done by the partners elsewhere;

 

  SWOT-analysis: strengths, weaknesses, opportunities and threats in relation to the

 project.   A project should be initiated only if all, the stakeholders are convinced that the project will contribute to sustainability and   The good of institutions involved and that there is necessary commitment present.

Project Documents   Also called Project artefacts   Depending on the project size and type:    Needs analysis and/or feasibility study study   Project charter   Terms of reference/scope statement   Work breakdown structure and/or project schedule   Project management plan and/or responsibilities assignment document   Communications plan   Resource management plan  –

 –

 –

 –

 –

 –

 –

  Change control plan   Risk management plan and/or table/database of risks   Lessons learned document/database

 –  –

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Project Charter   The charter is a short (usually 1-2 pages) document that states the main objective, list of the main activities and outcomes, necessary resources etc. It is a basis for composing  project team and for obtaining acceptance for project planning.   The project charter should contain the following information about the project:   Approval for initiating or participating in the project a)  from decision makers: top upper management

 b)  c)  d)  e)  f)  g)  h)  i)   j)  k)  l) 

Preliminary title The objective Explanation of the need and justification/significance justification/significance Basic strategy for achieving the project goals Project team/partners (incl. the contact data of the coordinator) coo rdinator) and distribution of tasks Resources need and estimations about their availability Duration Identify constraints on time, money, quality and other o ther resource use Identify relevant customer or supplier standards or statements of best practices Consider how the finished product can be brought into use Identify the training needs for user personnel

 

Challenges of project identification   Competing stakeholder interests   Financiers   Users   Regulators   Inadequate information   Sabotage   Exogenous dynamics   Apathy   Over ambition

1.2 Project Selection and Consideration

Project selection is a process to assess each project idea and select the project with the highest  priority. The selection is based on; Benefits (a measure of positive outcomes of the projects in terms of biodiversity, economy, social and cultural fulfilment of national regional or international agreements), Feasibility   (measure of likelihood of the project being a successachieving its objectives). We do project selection since we do not have enough resources time and money to undertake all suggested projects. In addition, we should consider the project stakeholders including funders government local and non-governmental organization community etc. the benefits of doing selection include having a transparent and documented record of why a particular project was selected. Having a priority order for projects that take into account their importance and how achievable the project is. Project selection criteria is an input to project initiation process, which is concerned with product or service of the project and how it will benefit the company. Selection criteria can be  predetermined like; To increase market share, To increase public awareness of the product, To increase profits etc. There are various selection methods but the underlying concept and principles are the same, two main method include Benefit Measurement  and Constrained Optimization Method, as  presented in the following figure;

 

 

Decision model Benefit measurement

Comparative approach

method Scoring model

Cost benefit analysis model

Discounted cash flow Economic model

model

Net present value

Internal rate of return

model

model

Mathematical approach

Constrained optimization method

source:

1.3 Elements of Projects Planning

Planning is described, in general, as selecting certain enterprise objectives and establishing the  policies, procedures and programs necessary for achieving them Project planning involves a series of steps that determine how to achieve a particular community or organizational goal or set of related goals and this goal can be identified in a community or a strategic plan. Planning is an iterative process that is performed throughout the life of the project

Its main purpose is to arrange time, cost and resources adequately to estimate the work needed and to effectively manage risk during project execution Project planning generally consists of:   Determining how to plan   Developing the scope statement   Selecting the planning team   Identifying deliverables and creating the work breakdown structure   Identifying the activities needed to complete those deliverables d eliverables   Estimating the resource requirements for the activities   Estimating time and cost for activities   Developing the schedule   Developing the budget   Risk planning

 

  Gaining formal approval to begin work

Reasons for planning   Establishing business requirements.   To eliminate or reduce uncertainty   To improve efficiency of the operation   To obtain a better understanding of the objectives   To provide a basis for monitoring and controlling work   Establishing cost, schedule, list of deliverables, and delivery dates.   Establishing resources plan.   Getting management approval and proceeding to the next phase.

Planning Process

  The planning process determines what needs to be done (scope, deliverables), how it

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will get done ( activities, sequence), who will do it ( resources, responsibility), how long it will take (durations, schedule), and how much it will cost ( budget). It includes the following steps:  1. Establish project objective. The objective must be agreed upon by the sponsor or customer and the organization that will perform the project. 2. Define scope. A project scope document must be prepared. It should include customer requirements, major work tasks or elements, a list of deliverables, etc. 3. Create a work breakdown structure. Subdivide the project scope into pieces or work  packages 4. Assign responsibility. The person or organization responsible for each work item in

the WBS must be identified in order to inform the project team of who is responsible and accountable for the performance of each work package and any associated deliverables. 5. Define specific activities. Review each work package in WBS and develop a list of the detailed activities that need to be performed for each work package and to produce any required deliverables. 6. Sequence activities. Create a network diagram that shows the necessary sequence and dependent relationships of the detailed activities that need to be performed to achieve the  project objective. 7. Estimate activity resources. Determine the types of resources required to perform each activity, as well as the quantity of each resource that may be needed. 8. Estimate activity durations. Make a time estimate for how long it will take to complete each activity, based on the estimate of the resources that will be applied.

 

9. Develop project schedule. Based on the estimated duration for each activity and the logical relationships of the sequence of activities in the network diagram, develop the overall project schedule  10. Estimate activity costs. Activity costs should be based on the types and quantities of resources estimated for each activity as well as the appropriate labor cost rate or unit cost for each type of resource. 11. Determine budget. A total budget for the project can be developed by aggregating the cost estimates for each activity. Consequences of Poor Planning a)   premature project initiation  b)  wild enthusiasm c)  disillusionment d)  chaos e)  search for the guilty f)   punishment of the innocent g)   promotion of the non-participants

h)  definition of the requirement 1.4 Logical Framework Approach to Project Planning and Design

Logframe originated from planning used by US military and was later used by USAID in 1960s for development projects, it is a 4x4 table with 16 cells. It is a Management tool used to identify strategic elements of a programme or project (objective, expected accomplishments, indicators of achievement, outputs and inputs) and their causal relationships, indicators and the assumptions or risks that may influence success and failure. It facilitates planning, implementation, monitoring and evaluation of a development intervention in a programme or project. A distinction is usefully made between what is known as the Logical Framework Approach  (LFA) and the Logical Framework Matrix.  Logical Framework Approach (LFA) This is a tool –  tool  –  or   or even an open set of tools –  tools  –  for   for project design and management.   The approach involves problem analysis, stakeholder analysis, developing a hierarchy of objectives and selecting a preferred implementation strategy. The product of this analytical approach is the matrix (the Logframe), which summarises what the project intends to do and how, what the key assumptions are, and how outputs, outcomes and impacts will be monitored and evaluated Logical Framework Matrix The Logframe Matrix is a participatory Planning, Monitoring & Evaluation tool whose power

depends on the degree to which it incorporates the full range of views of intended beneficiaries

 

and others who have a stake in the programme design. It is a tool for summarizing the key features of a programme and is best used to help programme designers and stakeholders; Summary of logical framework Project Narrative Summary

Objectively Verifiable Indicators (OVI)

Means of Verification (MOV)

Overall %, No. increase or decrease aimed

Measures (direct or indirect) to verify to what extent the goals is fulfilled

events, The sources of data Important necessary to verify conditions or decisions the status of goal outside the control of the  project which must level indicators  prevail the goal

OUTCOMES: The effect which is expected to be achieved as a result of the project

Measures (direct or indirect) to verify to what extent the  purpose is fulfilled

The sources of data Important events, necessary to verify conditions or decisions the status of purpose outside the control of the  project management level indicators necessary for achievement of the purpose

OUTPUTS:  The results that the project management should be able to guarantee (mention target groups)

Measures (direct or indirect) to verify to what extent the outputs are  produced

The sources of data Important events, necessary to verify conditions or decisions the status of output outside the control of the  project management level indicators necessary for the  production of outputs

The ACTIVITIES:  activities that have to be undertaken by the  project in order to  produce outputs

Goods, people and services necessary to undertake the activities

The sources of data Important events, necessary to verify conditions or decisions the status of activity outside the control of the  project management level indicators necessary for the start of the project

GOAL:  The higher level objective towards which the project is expected to contribute (mention the target groups)

Important Assumptions

 

Objectively Verifiable Indicators(OVI) These are measures direct or indirect that will verify to what extent the objectives have been fulfilled. How you will measure the achievements. OVI Indicators;   must be valid, reliable, precise, cost-effective and stated independently from other levels.   should make clear how the target group will benefit from the realization of outputs.   should be specific in terms of: Quality (what?), Quantity (how much?), Time (when, how long?), Target Group (who?) and Place (where?) The process of defining indicators forces us to clarify our objectives. A good indicator is: a.  Plausible - measuring what is important in the project  b.  Attributable - measuring changes caused by the project c.  Cost-effective - involving data that may be collected and analyzed inexpensively d.  Independent - not inherent to the project e.  Verifiable - to reach agreement •

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Means of Verification(MOV) These are pieces of information which show the standard set by indicators has been reached. How will you collect information for the indicators? For some objectives and indicators, however, there may be no current information available. It’s important to determine what information will be needed at the onset of  project. When determining MOV, it’s it’s   important to; make use of existing information; keep information requirements simple and relevant; consider how information will be analysed, what resources will be required to process it, and how it will be presented. Goal –   –  is  is the overall aim Outcome or purpose –   –  is  is what will be achieved who will benefit and by when Output –   –  is  is the specific results the project will generate Activities –   –  are  are what tasks need to be done in order for the output to be achieved Risks or Assumptions - are external conditions needed to get results.

A Sample Logframe Matrix Guide 

 

Benefits of Logframe approach a)  improves project design,  b)  encourages project performance, c)  facilitates project management, d)  Achieves a structured project design process characterized by a logical sequence, interlinking the individual steps in the design process.

e)  Bring about the participation of the stakeholders involved in the project design and management Example of a Logframe project matrix: project transition increase of grade 6 pupils to high school Project Summary GOAL 

OUTCOMES 

10% increase in no. of grade 6  primary pupils continuing on to high school within two years Improve reading proficiency among pupils in grade 6 by 20%

Objectively Verifiable Indicators (OVI) Percentage of grade 6

Reading proficiency among pupils in grade 6

with 2 years OUTPUTS 

ACTIVITIES 

Means of Verification Risks/ Assumptions (MOV) Comparison of primary N/A and high school enrolment records Six monthly reading Improved reading  proficiency tests using  proficiency provides selfnational assessment tool

confidence required to stay at school Pupils apply what they have learnt in camps at school

1.  500 grade 6 pupils with low reading proficiency complete reading summer camp.

No. of pupils comprising a reading summer camp

Summer camps attendance record

2.  500 parents of children in grade 6 with low reading  proficiency help their children read at home 1.  Run 5 reading summer camps each with 100 grade 6  pupils who have low reading  proficiency

No. of parents helping their children to read at home

Survey of parents conducted at the end of each summer camp

Children are interested in reading with their  parents

No. of summer camps run

Summer camps records

Parents of children with lows reading proficiency are willing to send them to the camp Parents are interested and able to use the kits at home

Kits distribution record 2.  Distribute 500 reading at home kits to parents of children attending summer camps

No. of kits distributed

Source: 2015 1.5 Project Implementation

Project implementation is where project management plan is translated into action. It is carrying out activities proposed in the project plan to achieve project objectives, and deliver results and outputs. Its success depends on internal and external factors including; project team and effective monitoring of project progress and related expenditure. Overall project implementation requires lead partner and project leader who aspire to deliver quality results and outputs. Project

 

implementation tasks involve; implement, (monitor progress, risks, changes and quality), evaluate, report (internally &externally) communicate (internally &externally). 1.6 Project Appraisal

Project appraisal is the process of assessing in structured way, the case for proceeding with a  project or o r proposal, prop osal, or o r the th e project’s viability. viability . It often involves comparing various options using economic appraisal or some other decision analysis techniques the entire project should be objectively appraised for the same feasibility study should be taken in its principal dimension, technology economic financial social and so far to establish the justification of the project or the  project appraisal is the process p rocess of judging whether the project is profitable or not to client or it is  process of detailed examination of several aspects of a given project before recommending of some projects. 1.7 Project Evaluation

Is a systematic and objective Assessment of an ongoing or completed project with the aim to determine the relevance and level of achievement of project objective, development effectiveness efficiency impact and sustainability. Project evaluation is an important tool to measure PROJECT performance and demonstrate achievement of project. It helps answer questions like, ‘is the project still on track?’ is the project delivering results as expected?’ it is a learning exercise, a culture that support learning and able to derive positive lessons for future problems solving. Evaluation can be done during implementation to know how the project is performing or at the end of the project to present the present achievement of the project. The purpose of evaluation is for accountability, implementation knowledge production, planning efficiency, institutional strengthening. 1.8 Strategic Environmental Assessment (SEA)

Is a systematic decision support process aiming to ensure that environmental and possibly other sustainability aspects are considered effectively in policy, plan and program making? According to Fischer; it is a structured, rigorous, participative open and transparent environmental impact assessment based process, applied particularly to plans and programmes prepared by public  planning authorities and times private bodies. Participative open and transparent possibly non EIA based process applied in more flexible manner to policies, prepared by public planning authorities and private bodies. A flexible non EIA based process applied to legislative proposals and other policies plans and programmes in  political cabinet decision making.

 

1.9 Contemporary Issues in Project Management The project management issues to be investigated is multiculturalism   in modern projects. the reason is that 21st century has become increasingly global driven by the following;

  Rapid economic development in many parts of the world which has led to increase in

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 people’s income  people’s  income thus having direct effect on consumer behavior 

  Business expanding in new markets located in different geographical locations   Free movement of people to different parts of the world in search of better opportunities   Rapid advancement in telecommunication technology which has made the world more

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connected Modern project teams comprise of people from different geographical areas, cultures, religious  background etc. the way people behave can make mak e projects succeed or fail Other big issues affecting project include;

  Leadership   –   leadership is concerned with doing the right things look at projects

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holistically and focus on team work, communication and motivation. Managers become team leaders nowadays command and control don’t work

  Risk   –   there is greater understanding that risks is not a one off event you have to

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constantly manage risk this ties it with stakeholder management this area is constantly evolving to manage the upcoming risks on global scale

  Value  –   this related to how people feel about the end product it concerns stakeholder

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relationship

  Talent management  –   we are moving to more projectised economy with knowledge

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workers doing unrepetitive tasks there a great focus on portfolio management for managing operations and projects with a company.

 

TOPIC 2: CONCEPT OF PROJECT MANAGEMENT MANAGEMENT Difference between a Project and a Program

. 1.

Project Has relatively few sponsors

Program Has multiple sponsors

2.  3. 4. 5. 6. 7. 8. 9.

Will be a contained disaster if it fails Is focused on a deliverable Will deliver benefit after completion Has a short/medium-term lifespan Has variable risk Has a focused scope Excludes BAU activity

May be a corporate disaster if it fails Is focused on a business objective Will deliver benefit in phases Has a long- term lifespan Is always high risk Has a wide scope Includes BAU activity

Project Management Cycle (PMC) A project life cycle is the series of phases that a project passes through from its initiation to its closure. The phases are generally sequential, and their names and numbers are determined by the

management and control needs of the organization or organizations involved in the project, the nature of the project itself, and its area of application. Life cycles are important because they demonstrate the logic that governs a project. They are a methodology for the preparation, implementation and evaluation of projects based on the  principles of the logical framework approach (LFA) PMC involves regulating and supervising various activities undertaken in each phase of project cycle to ensure that projects are; Relevant to the beneficiaries; Supportive of the policies of the sponsor e.g. GOK, donor parties like USAID, etc.; Feasible and effective. Activities of PMC -  Policy setting

-  -  -  -  -  -  - 

Project identification Appraisal Formulation/planning and designing Commitment/contracting Implementation execution of plan Monitoring and midterm evaluation Final evaluation and closure/ phase-out

 N/B There is no standard project life cycle activities or phase this varies from from one organization to another depending on the project type and demands of the sponsor and organization implementing the project. However there five steps which are considered conventional phases;

 

  The Project Management Cycle Phases 1.  Initiation/Conceptualization    –   the development of the initial goal and technical specifications for a project. Scope of the work is determined, necessary resources identified and stakeholders signed on 2.  Planning   –   all detailed specifications, schematics, schedules and other plans are developed. Individual pieces of the project (work packages) are broken down into assignments and process for completion clearly delineated. 3.  Execution/Implementation   –  –   the actual “work” of the project is performed, the system developed or the product created and fabricated. The bulk of project team labour is  performed 4.  Termination/Closeout    –   occurs when the completed project is transferred to the customer, its resources reassigned and the project formally closed out. As specific sub activities are completed, the project shrinks in scope and an d costs decline rapidly Project Phases 

Inputs

Outputs

Initiation/ Conceptualization

Business Need

Project Charter

Planning

Project Charter

Project Plan

Execution/ Implementation

Project plan

Project Deliverables

Termination/ Project closeout

Project Deliverables

Project Closeout Report

Characteristics of the Project Life Cycle  a)  Project is divided into distinct step or phases  b)  Each stage/phase is marked by a number of deliverables or phase outputs c)  Usually one phase consists of several sub phases or o r activities d)  The phases/stages are progressive each stage should have phase exit or completion points that allow the next phase to be undertaken successfully e)  Cost and staffing levels are low at the start, peak as the work is carried out, and drop rapidly as the project draws to a close. f)  A project may require significant expenditures to secure needed resources early in its life cycle, for instance, or be fully staffed from a point p oint very early in its life ccycle. ycle. g)  Risk and uncertainty are greatest at the start of the project. These factors decrease over the

life of the project as decisions are reached and as deliverables are accepted.

 

h)  The ability to influence the final characteristics of the project’s product,  product,   without significantly impacting cost, is highest at the start of the project and decreases as the  project progresses towards completion. Project Management vs. Functional Management The key difference between project management and functional management is that project

management is the process of initiating, planning, executing, controlling, and closing the work of a project to achieve a specific objective whereas functional management is managing the routing activities in the organization relating to various functions such as production, sales, and marketing, finance etc. in order to achieve the overall objective of the organization. Managing functional tasks are done from the inception to the end of a business organization. On the other hand, projects are carried out based on a specific need   What is Functional Management?

Functional management refers to managing the routing activities in the organization relating to various functions such as production, sales, and marketing, m arketing, finance etc. Functional man managers agers have ongoing responsibilities and are not usually directly d irectly associated with project teams. The main task of functional managers is to ensure that tha t the daily business activities are conducted smoothly, which in turn will assist in realizing the overall corporate corpo rate objectives. Duties of a Functional Manager  

  Share professional suggestion and knowledge with the employees   Allocate resources efficiently by identifying the resource priorities   Provide employees with learning opportunities

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  Identify cost inefficiencies and address them to improve efficiency  

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Differences between project and functional management category 

Project management 

Functional management 

Process

is the process of initiating, planning, executing, controlling, and closing the work of a project to achieve a specific objective

management is managing the routing activities in the organization relating to various functions such as production, sales, and marketing, finance etc. in order to achieve the overall objective of the organization.

 Nature

is unique and the project is terminated once the objective is achieved.

is a continuous and repetitive process.

Time Frame

is a onetime activity with a specified time span

is an ongoing activity

 

Summary  –  Project  Project Management vs Functional Management

The difference between project management and functional management can be easily identified  by taking into account the characteristics of a project. If the focus is to achieve a specific objective within a defined period of time that is outside the routine business operations, such a task relates to project management. Managing daily business activities with the intention of realizing the overall purpose of the company is referred to as functional management. Both aspects are very important to an organization where projects will have to be undertaken based on specific business requirements. Why Project Management?

Reasons to do Project Management; Project Management Man agement in itself helps to; 1.  Clearly defines plans of the project before it begins begins –   –  planning  planning cannot be ignored, management tries to tame chaos by mapping mappin g out clear plans of the project from start to end 2.  Establishes an agreed schedule –  schedule –  schedules  schedules help eliminate delays or overruns and provide a plan to be followed 3.  Creates a base for teamwork –  teamwork –  people  people are required to work as a team on a project this is due to team synergy benefits through sharing and support of knowledge and skills. 4.  Resources are maximized –  maximized –  both  both human and financial resources tend to be expensive  project tracking and project risk management ensure all resources are used efficiently and accounted economically 5.  Helps to manage integration - project that are completed within an organization are usually integrated with wider business processes and systems 6.  Helps to keep control of costs –  costs  –  is  is important to keep on budget and to control spending  project management greatly reduces the risk of budget overruns. 7.  Helps manage change - change ch ange is something all organizations face projects must be  prepared to face changes and deviation from original plan project management allows for effective change management and makes it less of a complex task 8.  Creates opportunity for learning –  learning –  project  project may work out perfectly or fail miserably either way much is learned in the process project management ensures these lessons are learned and applied in future. 9.  To accelerate improvements and strengthening of company’ company’ss management through implementing of ideas of participatory management. 10. To adopt systems engineering approach that help h elp deal with risks effectively. 11. To accomplish specific changes that are linked to company’s company’s strategies  strategies Characteristics of Projects

-  Projects are unique –  unique –  it  it requires doing something different/ly not done before

 

-  Single definable purpose –  purpose –  projects  projects are specified in terms of cost schedule and  performance requirements -  Temporary Temporary –   –  every  every project has a finite start and finite end -  Unique deliverables –  deliverables –   any any project aims to produce some deliverables which can be a  product, service or other results deliverables address a problem problem or need analyzed before  project start -  Organization has something at stake –  stake –  projects  projects call for special scrutiny or effort otherwise it would jeopardize the organization goals -  Progressive elaboration –  elaboration –  with  with the progress of project continuous investigations and improvements become available and this produce for more accurate and comprehensive  plans successive iterations of planning results in in developing more effective solutions to  progress and develop projects. Others include;   Purposeful   Logical   Structured Structured –   –  has  has interdependence between tasks and activities   Conflict solver - as it tries to solve problem that create some conflict   Limited by available resources

  Risky as it involves element of risks

Key project parameters

Project Management Parameters are certain characteristics and features that can define a project or its aspects. These parameters (project characteristics) can be expressed in different ways, including qualitative and quantitative terms –  terms  –  strict  strict figures, technical wording, graphs, status etc. The set of project management parameters includes the following ones: 1. Project scope –  scope –  actual  actual working content that a project embraces; 2.   Project time time –   –  duration  duration of a project, and life-span of its results; 3.  Project integration –  integration –  a  a variety and type of participation and collaboration that a p project roject demands from different concerned groups; 4.  Project quality –  quality –  specifications  specifications on project efficiency, capabilities and effectiveness of its results; Quality factors apply to inputs (the raw materials for the project), to outputs (what the project produces), to outcomes (the results of the project), and to processes (the means used to achieve the outputs). So in the example o off the employment training  project, there will be quality factors in the training training materials (the inputs), in the delivery of the training (the process), in the number of young people successfully ‘passing’ the training (the outputs), and in the kind of work the young people achieve at the end of the  project (the outcomes).

 

5.  Quantity - Some projects have no quantity q uantity parameters at all; others are very focused on quantity. For example, if the project aim is to design a leaflet informing people abo about ut services, then the quantity of leaflets produced is not the most important parameter.  However, in the example of employment training for young people, quantity is a ke key y factor. Funders and other stakeholders will have set clear standards for the number of young people receiving the training and the numbers successfully placed in work. 6.  Project risks –  risks –  severity  severity and probability of destructive influence that existing negative factors can put on a project execution; 7.  Project costs –  costs –  determination  determination of money that a project p roject will most likely consume to be completed; Every project can be exhaustively defined with a help of these parameters and all of them can be determined before the beginning of any an y project, as if even one of these parameters stays undefined to the time when you decide to start a project, then you severely risk failing this  project. In large organisations, especially in the public sector, it is common for Project Project Managers to be very vague about the budget for their project. "Finance deals with all of that" is a phrase we often hear at the Centre. However, Howeve r, it is unlikely that financial considerations will not affect your  project at all and it is wise, as well as good practice, to get as clear a picture as you can of all the income and expenditure constraints involved with your project. The role of monitoring and evaluation in project cycle

Monitoring and evaluation is important because:   It provides the only consolidated source of information showcasing project progress;

  It allows actors to learn from each other’s experiences, building on expertise and

knowledge;   It often generates (written) reports that contribute to transparency and accountability, and allows for lessons to be shared more easily;   It reveals mistakes and offers paths for learning and improvements;  It provides a basis for questioning and testing assumptions;    It provides a means for agencies seeking to learn from their experiences and to

incorporate them into policy and practice;   It provides a way to assess the crucial link between implementers and beneficiaries on the ground and decision-makers;   It adds to the retention and development of institutional memory;   It provides a more robust basis for raising funds and influencing policy.

 

TOPIC 3 PROJECT IDENTIFICATION AND SELECTION Project Identification and Project Selection of the need

Project Identification and selection is a process to assess each project idea and select the project with the highest priority. Project Identification: The process of identifying a candidate idea for developing into a project is called Project Identification. This is a systematic process. Project Identification process starts with the generation of a product idea. In order to select the most promising project the entrepreneur needs to generate a few ideas about the possible projects. Project Selection: Project selection starts from where project identification ends. Project selection is a careful study of each project idea in detail and choosing one of them for further consideration and development.

It is not too difficult to find good projects in need of investment or other assistance. Project identification & selection typically starts with generating ideas. The biggest challenge is to select the ideas that have the highest chance of becoming beneficial projects. To help in this process, practitioners can use an organized approach for narrowing down and moving forward with the ideas that can be best converted into projects. Project Identification & Selection could be from several sources: -

             

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Progressive Farmers

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Entrepreneurs Technical Experts

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Local leaders

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Bankers

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Mass Media

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 National Policies Policies

Parameters for Project Selection: Macro-Parameters for Project Selection:

The selection of a project should fit in with the environment and the considerations for such selection include: a)  Permissibility of such a project in the: i.  Existing legal and social condition; ii.  Government policies relevant to such project; iii.  Prevalent situation within the relevant industry including over-all market size with its growth and envisaged market share;  b)  Foreign participation, foreign know-how and the liability to pay the foreign partner, as such;

 

c)  Availability of funds from the Financial Institutions on top of the organization’s organization’s own  own equity  participation  participa tion and the the condition of the capital capital market; market; d)  d. Opportunity for employm employment ent (with productivity productivity); ); e)  Overall benefits for a specific project like export-oriented export-oriented units (EOUs) or projects within export  processing zones (EPZs). (EPZs). f)  Foreign participation with terms of ‘buy‘buy- back’;   back’; 

 

g) Tax concessions relevant to such h)  Government subsidies relevant to project; such project, such locations planned; i)  Strength and weaknesses of the competitors competitors in the industry relevant to such project. Micro-Parameters for Project Selection:

The considerations within the micro-parameters for the selection of the project by the project owner (once the proposed project is favourable within the macro-parameters) should include: a)  The need of the organisation for such a project. The basic objectives should be directed towards solving the problems or availing of certain opportunities for investments as per the need.  b)  The necessary resources should be available to the organisation, selecting such project including: i.  The initial fund for investment;

 

ii.   The The organizational strength to implement and run the project; iii. required technical know-how; iv.  Sourcing of the basic inputs like raw materials, utilities. c)  The economic viability of such a project

Introduction to Portfolio Management Stakeholder Mapping Analysis The problem Tree Analysis The objective Assessment Determining acceptable Strategy Options Sources of Project Information Conducting Project Feasibility studies

 

 

References 1. “5 Basic Phases of Project Management.” 5 Basic Phases of Project Management. N.p., n.d. Web. 07 Apr. 2017. 2. Pathak, Prashant. “Project Management vs Operations Management.” Project Management vs Operations Management. N.p., 01 Jan. 1970. Web. 07 Apr. 2017. 3. “Project Management Structures vs. Functional Management.” OTC Toolkits. N.p., n.d. Web. 09 Apr. 2017. 4. “What is functional management? definition and meaning.” BusinessDictionary.com. N.p., n.d. Web. 09 Apr. 2017.

http://goo.gl/1W6EOW New  New Project Identification and Selection of Right Project, Best Business Opportunities, Thrust Areas for Investment, Industry Startup and Entrepreneurship. new delhi India 2016