Project
Management
Concepts
Dr. Ziaul Haq Adnan
Associate Professor,
North South University
Projects
• What is Projects
• Unique, one-time operations designed to accomplish a specific set of objectives
in a limited time frame.
• What is project management?
• A team-based approach for managing projects.
• How is it different from general operations management?
1. Limited time frame.
2. Narrow focus, specific objectives.
3. Less bureaucratic.
• Why is it used?
1. Special needs that don’t lend themselves to functional management.
2. Pressures for new or improved products or services, cost reduction.
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Key metrics
and success
factors
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Project Manager’s Responsibility
Project
Management
Triangle
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Key
decisions
A
Sample
Project
Charter
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A
Sample
Project
Charter
Stakeholders Management
Stakeholders’
Identify stakeholders Analyze stakeholders
Engagement
• Usually through expert • Update stakeholder • Obtain and conform
judgment of PM register stakeholder commitment
• Create stakeholder • Power-Interest Grid • Communicate with
register • Commitment stakeholders
• Create stakeholder issue Assessment Matrix • Proactively address
log stakeholder concerns
• Resolve issues in a timely
fashion
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High
Keep Satisfied Closely Manage
• Radiologists • Cardiologists
Power-
• Administration
Power
Interest Monitor Keep Informed
Grid • Patients/Families • Test Technicians
Low
Low Interest
Figure: A sample Power-Interest Grid for stress test process improvement project
[Source: Project management by Meredith & Mantel, John Wiley & Sons]
Commitment Assessment Matrix
Stakeholder Groups
Level of Test Patients/
Commitment Cardiologists Technicians Administration Families Radiologists
Strongly Support X O O
Support O XO XO
Neutral X
Opposed X
Strongly Opposed
X = Current level of commitment
O = Desired level of commitment
Figure: An illustrative Commitment Assessment Matrix for stress test process improvement project
[Source: Project Management by Meredith & Mantel, John Wiley & Sons]
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Behavioral Issues
Challenges Solutions
Decentralized decision making, Interpersonal skills, coping skills
Stress of achieving project milestones on Conflict resolution
time and within budget Careful selection of team members when
Uncertainties & surprises possible;
Team evaluation may ignore the leadership; motivation; maintaining an
individual’s contribution. environment of integrity, trust, and
professionalism; and being supportive of
team efforts.
Project Champions • A person who promotes and supports a project
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Probability of Completing a project
• Expected time & variances of the critical and near critical paths should be
analyzed.
• The probability that a given path (preferably critical path) will be completed
in a specified length of time can be determined using the following formula:
•𝑧=
• The probability value can be calculated from Normal Distribution Z table.
• The more positive the z value, the better.
• A negative value of z indicates that the specified time is earlier than the
expected path duration.
Joint Probability of Completing a project
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Simulation: Dependent Cases
• Costs can exceed budget for a
number of reasons
Budget Control • initial estimates might have been
overly optimistic.
• unforeseen events such as
weather or supplier issues,
• work or parts are substandard
and had to be remedied, etc.
• The project manager will have to
decide if that amount is acceptable,
or whether corrective action should
be initiated.
• The project cost status would be
updated, usually on a daily or weekly
basis, to keep the project manager
informed.
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Project Risk Management
Risks are inherent in projects
• Delays, increased costs, and an inability to meet technical specifications.
• Unforeseen events may occur that would terminate a project
Good Risk Management
• Careful planning can reduce risks but can’t eliminate it.
• Identify as many potential risks as possible,
• Analyze and assessing those risks,
• Work to minimize the probability of their occurrence,
• Establish contingency plans (and funds) for dealing with any that do occur.
• Much of this takes place before the start of a project, although it is not unusual for this process to
be repeated during the project as experience grows and new information becomes available.
Risk
Management
• The probability of
occurrence of risk events is
highest near the beginning
of a project and lowest
near the end.
• However, the cost
associated with risk events
tends to be lowest near
the beginning of a project
and highest near the end. Figure: Risk event probability and cost
Source: Adapted from Clifford Gray and Erik W. Larson, Project Management: The Managerial Process, 4th ed., p. 198.
Copyright © 2008 McGraw-Hill Companies, Inc.
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Step 1. Identify the risks
Each risk must be evaluated
Determine its probability of occurrence and the
potential consequences
Both quantitative and qualitative approaches
Step 2: Risk have merit.
evaluation Contributors: Managers, workers, and experts
Experience with previous projects can be useful.
Applicable tools: Scenario analysis, simulation,
PERT etc.
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Risk Matrix
Depends on the nature and scope of a project.
“Redundant” (backup) systems
• can be used to reduce the risk of failure.
• For example, an emergency generator could supply power in the event
of an electrical failure.
Step 3: Risk Frequent monitoring of critical project dimensions
• Catching and eliminating problems in their early stages,
reduction • Prevent causing extensive damage
Risks can be transferred
• by outsourcing a particular component of a project.
Risksharing
• This involve partnering, which can spread risks among partners;
• This approach may also reduce risk by enlarging the sphere of sources of
ideas for reducing risks.
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PMI Certifications
• A globally recognized, examination based professional
certification program for project managers
• Certification types:
• PMP®: Project Management Professional
• CAPM®: Certified Associate in Project Management
• PMI-PBA®: Professional in Business Analysis
• PgMP®: Program Management Professional
• PMI-RMP®: Risk Management Professional
• PMI-SP®: PMI Scheduling Professional
• PMI Project Management Ready™
Misconduct examples:
• Temptation to understate costs or to
• Temptation to withhold information in order to get a project
Ethical issues approved
• Pressure to alter or make misleading statements
• Falsifying records,
• Compromising workers’ safety
• Approving substandard work.
PMI Code of Ethics & Professional Conduct
(https://www.pmi.org/codeofethics)
• honesty,
• responsibility,
• respect and
• fairness
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