The Project Management Process
Succinctly, the project management process means planning the work and then working the plan. A coaching staff may spend hours preparing unique plans for a game, then the team executes the plans to meet the objective and the result—victory. Similarly, project management involves a process of first establishing a plan and then implementing that plan to accomplish the project objective.
The front-end effort in managing a project must be focused on establishing a baseline plan that provides a roadmap for how the project scope will be accomplished on time and within budget. This planning effort includes the following:
1. Clearly define the project objective. The goal must be defined in a way that is agreed upon by the customer and the individual or organization that will perform the project.
2.Divide and subdivide the project scope into major “pieces” or work packages. Although major projects may seem overwhelming when viewed as a whole, one way to conquer even the most monumental endeavor is to break it down. A work breakdown structure (WBS) is a hierarchical tree of work elements or items accomplished or produced by the project team during the project. The work breakdown structure usually identifies the organization or individual responsible for each work package. Exhibit 4 is an example of a work breakdown structure (WBS). Chapter 4 discusses the WBS.
Exhibit 4: Work breakdown structure (WBS)
3.Define the specific activities that need to be performed for each work package in order to accomplish the project objective. In Exhibit 4, the work package, Vacuum carpets involves many smaller specific activities involved in the broader task of vacuuming the carpet.
4.Graphically portray the activities in the form of a network diagram. This type of diagram shows the necessary sequence and interdependencies of activities to achieve the project objective. (Network diagrams will be discussed further in Chapter 5.)
5.Make a time estimate for how long it will take to complete each activity. It is also necessary to determine which types of resources and how many of each resource are needed for each activity to be completed within the estimated duration.
6.Make a cost estimate for each activity. The cost is based on the types and quantities of resources required for each activity.
7. Calculate a project schedule and budget to determine whether the project can be completed within the required time, with the allotted funds, and with the available resources. If it is determined that the project cannot be accomplished within the limitations, adjustments must be made to the project scope, activity time estimates, or resource assignments until an achievable, realistic baseline plan (a roadmap for accomplishing the project scope on time and within budget) can be established. Exhibit 5 shows an example of a project schedule, and Exhibit 6 illustrates a project budget. (These will be covered in Chapters 5 and 7.)
Exhibit 5: Network Diagram – Consumer Market Study Project
Exhibit 6: Project Budget
Planning determines what needs to be done, who will do it, how long it will take, and how much it will cost. The result of this effort is a baseline plan. Taking the time to develop a well thought out plan is critical to the successful accomplishment of any project. Many projects have overrun their budgets, missed their completion dates, or only partially met their requirements because there was no viable baseline plan before the project was started.
The baseline plan for a project can be displayed in graphical or tabular format for each time period (i.e. week, month) from the start of the project to its completion. (Plans are discussed and illustrated in Chapter 3.) Information should include:
►The start and completion dates for each activity
►The amounts of the various resources that will be needed during each time period
►The budget for each time period, as well as the cumulative budget from the start of the project through each time period
Once a baseline plan has been established, it must be implemented. This involves performing the work according to the plan and controlling the work so that the project scope is achieved within the budget and schedule, to the customer’s satisfaction.
Once the project starts, it is necessary to monitor progress to ensure that everything is going according to plan. At this stage, the project management process involves measuring actual progress and comparing it to planned progress. To measure actual progress, it is important to keep track of which activities have actually been started and/or completed, when they were started and/or completed, and how much money has been spent or committed. If at any time during the project comparison of actual progress to planned progress reveals that the project is behind schedule, overrunning the budget, or not meeting the technical specifications, corrective action must be taken to get the project back on track.
Before a decision is made to implement corrective action, it may be necessary to evaluate several alternative actions to make sure the corrective action will bring the project back within the scope, time, and budget constraints of the objective. Be aware, for instance, that adding resources to make up time and get back on schedule may result in overrunning the planned budget. If a project gets too far out of control, it may be difficult to achieve the project objective without sacrificing the scope, budget, schedule, quality, or all of the above.
The key to effective project control is measuring actual progress and comparing it to planned progress on a timely and regular basis and taking corrective action immediately, if necessary. Hoping that a problem will go away without corrective intervention is naïve and irresponsible. Based on actual progress, it is possible to forecast a schedule and budget for completion of the project. If these parameters are beyond the limits of the project objective, corrective actions need to be implemented at once.
Attempting to perform a project without first establishing a baseline plan is foolhardy. It is like starting a vacation without a roadmap, itinerary, and budget. You may land up in the middle of nowhere— out of money and out of time.
Benefits of Project Management
The ultimate benefit of implementing project management techniques is having a satisfied stakeholder (customer)—whether you are the customer of your own project, such as remodeling your basement, or a business (contractor) being paid by a customer to perform a project. Ultimately, in the close-out phase, the customer has the greatest influence on the quality, scope, time and cost of the project.
