1. 1 Project Management C13PM Session 2 Project Initiation & Definition Russell Taylor Business Department Staff Workroom E-mail: rtayl@borderscollege.ac.uk

2. Business Department 2 Session 2 Project Initiation & Definition –Chapter 2 Project Initiation & Project Charter Project Trade-offs: Scope, Cost & Time Project Feasibility study Appointing the Project team

3. Business Department 3 Project Classification 1.Participation mix –Internal, –external, –mixed internal & external 2.Project Type –Concrete –Occasional –Open 3.Project Visibility –Low Visibility –High Visibility

4. Business Department 4 Project Classification High Visibility –critical to market position/organisational survival –demand senior management commitment –high risk of failure –large amount of organisational change

5. Business Department 5 Project Classification Low visibility –not seen to be critical or urgent –little senior management attention –lower probability of failure / lesser consequences –simple adaptations as opposed to organisational change

6. Business Department 6 Projects life-cycle Initiation & Definition Define Project Scope Conduct feasibility study Development Planning Generate Activities & Interdependencies Determine Responsibilities Define resources Develop Schedules & Budgets Identify Risks Execution & Control Track & Manage Project Closure Perform Post-Project Review feedback

7. Business Department 7 Rational for Starting a New Project Market demand –New product Business need –Development Customer request –Commissioned Technological advancement –Strategic Legal requirements –Compliance with legislation Crisis - Business – Environmental

8. Business Department 8 External Project Influences Competitive Environmental Technological Consumer Strategic

9. Business Department 9 Project Initiation - 1 Determine Project mission –Goals, Purpose, deliverables Determine Project focus –Shared commitment Determine Project Critical Success Factors (CSFs) –What must be achieved to guarantee success?

10. Business Department 10 Project Initiation - 2 Determine Project Objectives –What is the plan? what are the milestones? Determine Project Constraints –Money available, completion dates, quality requirement Determine Project Risks –What can go wrong? What alternative action should be taken?

11. Business Department 11 Project CFS & Objectives Identify CFS (Critical Success Factors) –Those deliverables that must be achieved in order for the project to succeed –Essential recourses, skills and attributes Objectives –Specific –Measurable –Achievable –Result-orientated –Time-based - milestones Project Constraints

12. Business Department 12 Importance of pre-planning

13. Business Department 13 Project Scoping - 1 Scope – The boundaries of the project Project scoping –Defining the boundaries Information gathering exercise

14. Business Department 14 Project Scoping - 2 Initial consolation with key stakeholders –Develop relationships –Resolve conflicts early –Clarify the rational behind the project –Establish key timelines, responsibilities, costs etc. Key Deliverables –Scope Statement –Project Charter –Feasibility study

15. Business Department 15 Scope Statement - 1 Definition of the project –As agreed by the Stakeholders A description of the product or service being provided –Forms the basis of agreement –Will be basis for all project related decisions –Used to determine whether the project has been completed

16. Business Department 16 Scope Statement - 2 Who is performing the project –project team? What are they trying to accomplish? –Project scope & goals For whom are they doing this - Project Sponsor

17. Business Department 17 Project Charter Project Plan Document that formally authorises the project Record of communications with stakeholders Free of detail design Determines key project objectives Inputs –Scope Statement –Business Strategic plan –Business need Underlying reason for the project

18. Business Department 18 Project Charter / Plan Includes actions necessary to define, integrate and coordinate project PMI Purpose –Documents project mission –Guide project execution –Document assumptions –Documents decisions –Communication document between stakeholders –Defines key management objectives –Provides management baseline Summary or detailed

19. Business Department 19 Project Charter / Plan Includes –Project scope management plan –Cost management plan –Quality management plan –Process improvement plan –Staffing management plan –Communication management plan –Procurement management plan –Milestone list –Resource calendar –Schedule baseline –Cost baseline –Quality baseline –Risk Register

20. Business Department 20 PM assignment Title page Scope statement Organisational Breakdown Structure (OBS) Work Breakdown Structure (WBS) Responsibility matrix Project constraints Quality management statement Risk register Master schedule Cost plan Conflict resolution Time-table

21. Business Department 21 Project Constraints Time Resources people, material equipment Scope Deliverables Quality = Cost

22. Business Department 22 Project Tradeoffs Time CostQuality/ Scope

23. Business Department 23 Project Tradeoffs Time CostQuality/ Scope

24. Business Department 24 Project Tradeoffs Time CostQuality/ Scope

25. Business Department 25 Managing Stakeholders Agree with stakeholders –Costs, time & quality –The return on investment Keep information flowing Demonstrate progress Involve in decision making –Implications of changes Maintain confidence –Project team –Project

26. Business Department 26 Feasibility Study Check –Is it feasible? Evaluation –Market potential –Cost-effectiveness –Implementation feasibility –Technical feasibility –Alternatives

27. Business Department 27 Feasibility Study Analysis of technological requirements Assessment of resources & capabilities Identification of risks Trade-offs (scope, time & costs) CFS, goals & objectives Preliminary costs & time estimates

28. Business Department 28 Importance of feasibility video

29. Business Department 29 Importance of feasibility

30. Business Department 30 Choosing a Project Manager Global perspective and understanding of the organization Human factors Identify risks & benefits Technological awareness Business management Alertness

31. Business Department 31 Project Manager Skills Team building Leadership Conflict resolution Technical expertise Planning Organizational Entrepreneurship Administrative Management support Resource management

32. Business Department 32 Appointing the Project Team Plan for team building Negotiate for team members Organize the team Hold a pre-start meeting Build communication links Conduct team building exercise

33. Business Department 33 Projects life-cycle Initiation & Definition Define Project Scope Conduct feasibility study Development Planning Generate Activities & Interdependencies Determine Responsibilities Define resources Develop Schedules & Budgets Identify Risks Execution & Control Track & Manage Project Closure Perform Post-Project Review feedback

34. Business Department 34 Next Case Study in detail –Choosing Team Members Using MS Project 2007 –Project OnlineProject Online For Next Tuesday Reading –Chapters 2 and 3