File Name: project management processes methodologies and economics .zip
Attribution CC BY. This text is a comprehensive overview of the basic functions and processes of project management. It is not an in-depth study in any one area of project management but does a great job of covering the end to end process for a survey or basics course.
- Project Management
- Project Management: Processes, Methodologies, and Economics, 3rd Edition
- Project management
- Project management
Project management is the process of leading the work of a team to achieve goals and meet success criteria at a specified time. The primary challenge of project management is to achieve all of the project goals within the given constraints.
The primary constraints are scope , time, budget. The objective of project management is to produce a complete project which complies with the client's objectives. In many cases the objective of project management is also to shape or reform the client's brief to feasibly address the client's objectives. Ill-defined or too tightly prescribed project management objectives are detrimental to decision making.
A project is a temporary endeavor designed to produce a unique product, service, or result with a defined beginning and end usually time-constrained, and often constrained by funding or staffing undertaken to meet unique goals and objectives, typically to bring about beneficial change or added value.
In practice, the management of such distinct production approaches requires the development of distinct technical skills and management strategies. Until , civil engineering projects were generally managed by creative architects, engineers, and master builders themselves, for example, Vitruvius first century BC , Christopher Wren — , Thomas Telford — and Isambard Kingdom Brunel — As a discipline, project management developed from several fields of application including civil construction, engineering, and heavy defense activity.
His work is the forerunner to modern project management tools including work breakdown structure WBS and resource allocation. The s marked the beginning of the modern project management era where core engineering fields come together to work as one. Project management became recognized as a distinct discipline arising from the management discipline with engineering model.
At that time, two mathematical project-scheduling models were developed. CPM is used for projects that assume deterministic activity times; the times at which each activity will be carried out are known.
PERT, on the other hand, allows for stochastic activity times; the times at which each activity will be carried out are uncertain or varied. These mathematical techniques quickly spread into many private enterprises. At the same time, as project-scheduling models were being developed, technology for project cost estimating , cost management and engineering economics was evolving, with pioneering work by Hans Lang and others.
AACE continued its pioneering work and in released the first integrated process for portfolio, program and project management total cost management framework. Project management methods can be applied to any project. It is often tailored to a specific type of projects based on project size, nature, industry or sector. For example, the construction industry, which focuses on the delivery of things like buildings, roads, and bridges, has developed its own specialized form of project management that it refers to as construction project management and in which project managers can become trained and certified.
Biotechnology project management focuses on the intricacies of biotechnology research and development. There is public project management that covers all public works by the government which can be carried out by the government agencies or contracted out to contractors. Another classification of project management is based on the hard physical or soft non-physical type.
Common among all the project management types is that they focus on three important goals: time, quality, and budget. Successful projects are completed on schedule, within budget, and according to previously agreed quality standards i. For each type of project management, project managers develop and utilize repeatable templates that are specific to the industry they're dealing with. This allows project plans to become very thorough and highly repeatable, with the specific intent to increase quality, lower delivery costs, and lower time to deliver project results.
A study suggested that the success of any project depends on how well four key aspects are aligned with the contextual dynamics affecting the project, these are referred to as the four P's : . There are a number of approaches to organizing and completing project activities, including: phased, lean, iterative, and incremental.
There are also several extensions to project planning, for example based on outcomes product-based or activities process-based. Regardless of the methodology employed, careful consideration must be given to the overall project objectives, timeline, and cost, as well as the roles and responsibilities of all participants and stakeholders. Benefits realization management BRM enhances normal project management techniques through a focus on outcomes benefits of a project rather than products or outputs, and then measuring the degree to which that is happening to keep a project on track.
This can help to reduce the risk of a completed project being a failure by delivering agreed upon requirements outputs i. In addition, BRM practices aim to ensure the strategic alignment between project outcomes and business strategies. The effectiveness of these practices is supported by recent research evidencing BRM practices influencing project success from a strategic perspective across different countries and industries.
These wider effects are called the strategic impact. An example of delivering a project to requirements might be agreeing to deliver a computer system that will process staff data and manage payroll, holiday and staff personnel records in shorter times with reduced errors. Under BRM, the agreement might be to achieve a specified reduction in staff hours and errors required to process and maintain staff data after the system installation when compared with without the system.
The goal is to increase the flow of projects in an organization throughput. Applying the first three of the five focusing steps of TOC, the system constraint for all projects, as well as the resources, are identified.
To exploit the constraint, tasks on the critical chain are given priority over all other activities. Finally, projects are planned and managed to ensure that the resources are ready when the critical chain tasks must start, subordinating all other resources to the critical chain. Earned value management EVM extends project management with techniques to improve project monitoring.
It illustrates project progress towards completion in terms of work and value cost. Earned Schedule is an extension to the theory and practice of EVM.
In critical studies of project management, it has been noted that phased approaches are not well suited for projects which are large-scale and multi-company,  with undefined, ambiguous, or fast-changing requirements,  or those with high degrees of risk, dependency, and fast-changing technologies. This becomes especially true as software development is often the realization of a new or novel product. These complexities are better handled with a more exploratory or iterative and incremental approach.
Lean project management uses the principles from lean manufacturing to focus on delivering value with less waste and reduced time. The phased or staged approach breaks down and manages the work through a series of distinct steps to be completed, and is often referred to as "traditional"  or " waterfall ". Many industries use variations of these project stages and it is not uncommon for the stages to be renamed to better suit the organization.
For example, when working on a brick-and-mortar design and construction, projects will typically progress through stages like pre-planning, conceptual design, schematic design, design development, construction drawings or contract documents , and construction administration. While the phased approach works well for small, well-defined projects, it often results in challenge or failure on larger projects, or those that are more complex or have more ambiguities, issues and risk.
Unlike SEI's CMM, the OPM3 maturity model describes how to make project management processes capable of performing successfully, consistently, and predictably to enact the strategies of an organization. Project production management is the application of operations management to the delivery of capital projects.
Product-based planning is a structured approach to project management, based on identifying all of the products project deliverables that contribute to achieving the project objectives. As such, it defines a successful project as output-oriented rather than activity- or task-oriented. Traditionally depending on what project management methodology is being used , project management includes a number of elements: four to five project management process groups, and a control system.
Regardless of the methodology or terminology used, the same basic project management processes or stages of development will be used. Major process groups generally include: . In project environments with a significant exploratory element e. An example is the Phase—gate model.
The initiating processes determine the nature and scope of the project. The key project controls needed here are an understanding of the business environment and making sure that all necessary controls are incorporated into the project.
Any deficiencies should be reported and a recommendation should be made to fix them. The initiating stage should include a plan that encompasses the following areas. These areas can be recorded in a series of documents called Project Initiation documents.
Project Initiation documents are a series of planned documents used to create order for the duration of the project. These tend to include:. After the initiation stage, the project is planned to an appropriate level of detail see example of a flow-chart. As with the Initiation process group, a failure to adequately plan greatly reduces the project's chances of successfully accomplishing its goals.
Project planning generally consists of . Additional processes, such as planning for communications and for scope management, identifying roles and responsibilities, determining what to purchase for the project and holding a kick-off meeting are also generally advisable.
For new product development projects, conceptual design of the operation of the final product may be performed concurrent with the project planning activities, and may help to inform the planning team when identifying deliverables and planning activities. While executing we must know what are the planned terms that need to be executed. This phase involves proper allocation, co-ordination and management of human resources and any other resources such as material and budgets.
The output of this phase is the project deliverables. Documenting everything within a project is key to being successful. To maintain budget, scope, effectiveness and pace a project must have physical documents pertaining to each specific task. With correct documentation, it is easy to see whether or not a project's requirement has been met. To go along with that, documentation provides information regarding what has already been completed for that project. Documentation throughout a project provides a paper trail for anyone who needs to go back and reference the work in the past.
In most cases, documentation is the most successful way to monitor and control the specific phases of a project. With the correct documentation, a project's success can be tracked and observed as the project goes on. If performed correctly documentation can be the backbone to a project's success. Monitoring and controlling consists of those processes performed to observe project execution so that potential problems can be identified in a timely manner and corrective action can be taken, when necessary, to control the execution of the project.
The key benefit is that project performance is observed and measured regularly to identify variances from the project management plan. Monitoring and controlling includes: . Two main mechanisms support monitoring and controlling in projects. On the one hand, contracts offer a set of rules and incentives often supported by potential penalties and sanctions. Some have argued that these two monitoring mechanisms operate as substitutes  as one type of organization would decrease the advantages of using the other one, while others have suggested that they can complement each other.
In multi-phase projects, the monitoring and control process also provides feedback between project phases, to implement corrective or preventive actions to bring the project into compliance with the project management plan. Project maintenance is an ongoing process, and it includes: .
In this stage, auditors should pay attention to how effectively and quickly user problems are resolved. Over the course of any construction project, the work scope may change. Change is a normal and expected part of the construction process. Changes can be the result of necessary design modifications, differing site conditions, material availability, contractor-requested changes, value engineering, and impacts from third parties, to name a few.
Project Management: Processes, Methodologies, and Economics, 3rd Edition
All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a licence permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd, Saffron House, 6—10 Kirby Street, London EC1N 8TS. All trademarks used herein are the property of their respective owners. Introduction Avraham Shtub 1 2. Life-Cycle Costin Avraham Shtub 73 4. Project Screening and Selection Avraham Shtub 99 5. Project Scheduling Avraham Shtub 9.
Centering on theory and practice, this book presents tools and techniques most suited for modern project management. From budgeting to scheduling and control, the authors show the relationship between project planning and implementation. Expands analytic techniques using the latest standard software. Contains fundamental concepts in project management. Builds case studies with continuing compounded information. For those interested in learning more about project management and as a reference for managers, engineers and technology experts. This thorough and practical treatment of the engineering and managerial issues surrounding project management gives managers, engineers and technology experts a larger appreciation of their roles by 1 defining a common terminology, 2 explaining the interfaces between the different disciplines involved, and 3 teaching the techniques commonly used in the planning and execution of modern projects.
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Project management is the process of leading the work of a team to achieve goals and meet success criteria at a specified time. The primary challenge of project management is to achieve all of the project goals within the given constraints. The primary constraints are scope , time, budget. The objective of project management is to produce a complete project which complies with the client's objectives.
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