PROJECT MANAGEMENT CONCLAVE, 2018 Ranchi, June 2-3 Structured - PowerPoint PPT Presentation

PROJECT MANAGEMENT CONCLAVE, 2018 Ranchi, June 2-3 Structured Project Management – the key to Project Success TITLE: PROJECT MANAGEMENT – PRINCIPLES & PRACTICES Presenter details: Suneet Prakash, Head – Group Projects, ABMCPL

Structured Project Management - The Key to Project Success INDEX ❑ INTRODUCTION ❑ PROJECT LIFE CYCLE BACKGROUND ❑ PROJECT MANAGEMENT BEST PRACTICES ❑ INDIA PROJECT PITFALLS ❑ GOING FORWARD – PM 2.0

Structured Project Management - The Key to Project Success A Project is A TEMPORARY ENDEAVOR undertaken to create A UNIQUE PRODUCT, SERVICE or RESULT! One or more of the following strategic considerations of an organisation give rise to projects – ➢ Market demand ➢ Customer request ➢ Business need ➢ Technological advancement ➢ Statutory and Legal requirement ➢ CSR

Structured Project Management - The Key to Project Success There's always a challenge in a project - "Project Constraints" Pushing too much in one direction causes problems on the other … That's why ‘Project Management’ is so important!

Structured Project Management - The Key to Project Success PROJECT MANAGEMENT is the application of KNOWLEDGE, SKILLS, TOOLS & TECHNIQUES to project activities to meet the project requirements! And the cross-cutting skills and traits of an effective PROJECT MANAGER include ... ➢ Leadership ➢ Team building ➢ Motivation ➢ Communication ➢ Influencing ➢ Decision making ➢ Political & cultural awareness ➢ Negotiation ➢ Trust Building ➢ Conflict Management ➢ Coaching

Structured Project Management - The Key to Project Success How many projects can a PROJECT MANAGER handle at one time?

Structured Project Management - The Key to Project Success WHAT IS A PROJECT LIFE CYCLE?

Structured Project Management - The Key to Project Success A project lifecycle is a logical grouping of activities, inputs, tools, techniques and outputs in a project. Process Groups Closing Initiating Planning Executing Controlling Finalize all activities Define a new project or Develop an integrated Complete the work and Track and review Activities and formally close the new phase, identify project management satisfy project project progress and project or phase stakeholders, and plan to attain project objectives performance; manage obtain authorization objectives variance and change “Authorize the Work” “Plan the Work” “ Work the Plan” “Control the Plan” “End the Work” ▪ Project Charter ▪ Project Mgt. Plans & ▪ Project Deliverables ▪ Change Logs ▪ Final Product, ▪ Stakeholder Register ▪ Work Performance ▪ Approved Change Related Documents Service, or Result (i.e. ➢ Scope Data Requests purpose of project) ➢ Requirements ▪ Team Performance ▪ Work Performance ▪ Closed Procurement Key Outputs ➢ Schedule Assessments Information (e.g. formal signature ➢ Cost ▪ Project ▪ Schedule Forecasts of acceptance) ➢ Quality ▪ Cost Forecasts Communications (e.g. ➢ Human Resources ▪ Updates to Project status reports) ➢ Communication ▪ Selected Suppliers & Plan ➢ Risk ▪ Quality Control Agreements ➢ Procurement ▪ Change Requests Measurements ➢ Change ▪ Issue Log ▪ Verified Deliverable ➢ Stakeholders ▪ Accepted Deliverables

Structured Project Management - The Key to Project Success The five process groups overlap and follow a basic cycle of “plan, do, check, act” until project closure. Process Group Overlap Executing Planning Closing Controlling Initiating Time “Plan, Do, Check, Act” Initiating No No Change Complete Executing Planning Controlling ? ? Yes Yes Executing Controlling Closing Source: PMI Closing

Structured Project Management - The Key to Project Success How do you work with people not familiar with PROJECT MANAGEMENT practices?

Structured Project Management - The Key to Project Success WHAT ARE THE PROJECT MANAGEMENT BEST PRACTICES?

Structured Project Management - The Key to Project Success Risk Procurement Integration Stakeholder Scope KEY PROJECT MANAGEMENT TOOLS Communicate Time Human Cost Resource Quality

Structured Project Management - The Key to Project Success CLEAR OBJECTIVES SHOULD START THE PROCESS

Structured Project Management - The Key to Project Success FRONT-END LOADING PHASES Startup & Project Definition Business Planning Scope Development Execution Operation FEL 3 FEL 1 FEL 2 Full-Funds Authorization Business & Project Team Interface

Structured Project Management - The Key to Project Success FRONT-END LOADING (FEL) Also referred to as pre-project planning (PPP), front-end engineering design (FEED), feasibility analysis, conceptual planning and early project planning. FEL is the process by which an organization translates its opportunities into capital projects The key elements of FEL include – ➢ Alignment of all functions with regard to business & project objectives and scope ➢ Delivery of a set of detailed design documents that incorporate site-specific conditions ➢ Creating a plan for executing the project The FEL process starts at the formation of the core team and ends at full-funds authorization

Structured Project Management - The Key to Project Success BENEFITS OF FRONT-END LOADING Early in the project, the final outcomes can be influenced at relatively low cost by - ➢ Selecting the best projects ➢ Eliminating the wrong projects ➢ Selecting the best technology ➢ Selecting the most appropriate scope of work The work done at the start of a project has a direct effect on how well the project turns out ➢ Better planning drives better outcomes ➢ “Best Practices” help to improve safety, cost & schedule competitiveness, predictability and operability

Structured Project Management - The Key to Project Success COST INFLUENCE CURVE Most Influential Project Decisions Are Made Early

Structured Project Management - The Key to Project Success Earned Value Management (EVM) - means of measuring project cost and schedule vs. the plan.

Structured Project Management - The Key to Project Success EFFICIENT QUALITY MANAGEMENT Perform Quality Plan Quality Perform Quality Assurance Techniques Techniques Control Techniques ▪ Quality management and ▪ Statistical sampling ▪ Cost benefit analysis ▪ Inspection ▪ Cost of quality control tools ▪ Quality audits ▪ 7 Quality tools & techniques ▪ Benchmarking ▪ Process analysis √ Cause & effect diagram ▪ Design of experiments √ Flowcharts ▪ Seven quality tools √ Check sheets ▪ Statistical sampling √ Pareto diagrams √ Histogram √ Control charts √ Scatter diagram

Structured Project Management - The Key to Project Success RACI MATRIX

Structured Project Management - The Key to Project Success PROJECT PROBABILITY & IMPACT MATRIX

Structured Project Management - The Key to Project Success EFFICIENT STAKEHOLDER MANAGEMENT Critical to project success to identify stakeholders, address their requirements, meet their expectations, and foster their engagement. All stakeholders are different and, therefore, need to be managed differently based on their relative authority (power) and level of concern (interest).

Structured Project Management - The Key to Project Success GROWING IMPORTANCE OF ‘PMO’ Project Office Basic PMO Standard PMO Advanced PMO Center of Excellence Manage the Establish essential project Introduce PM structure Expand PM and Review and analyze project preferred project roles and relationships business alignment organization and structure team structure ➢ Specify standard roles ➢ Evaluate PM ➢ Analyze effectiveness ➢ Develop PMO for project team structure options of PM organization members organizational ➢ Implement ➢ Examine alignment ➢ Facilitate internal preferred project effectiveness of ➢ Align project business unit team structure project team relationships managers with structure ➢ Implement PMO ➢ ➢ Identify capability Identify project preferred PMO ➢ Manage broader stakeholders staffing structure associated with current stakeholder structure alignment and participation

Structured Project Management - The Key to Project Success Detailed Startup and Operations Front-End Loading Construction Engineering Front-End Detailed Startup and Construction Loading Engineering Operations FEL Period Risks - Procurement Period Risks - ➢ Land acquisition ➢ Delay in ordering ➢ “Value Engineering” to reduce CAPEX ➢ Delay in engineering ➢ Permitting problems ➢ Commercial issues with vendors and sub-vendors, ➢ Delay in authorization due to cost or high cost bids vendor shop loading, and materials quality