Certificate IV in Project Management

Project ManagementEnvironment

Course Number 17871Qualification Code BSB41507

Project Management Environment

• Projects take place within environments that can greatly impact on the manner in which the project is executed and the achievement, or not, of the project’s objectives and success measures

• Success occurs when the –

expectations of the project sponsor or client are met

agreed project objectives have been met

business outcomes have been realised

timeframe and budget have been delivered

quality and scope requirements have been delivered

Project Tradeoffs

Cost

Time

Quality

Cheap

Quick

Good

Project success is often reliant on the project manager’s ability to manage stakeholder expectations and make trade offs between key project dimensions

Really means

Project Management Framework

Cost

Scope

Risk

Human Resources

Communication

Time

Quality

Procurement

Project Management Environment

Cost

Scope

Risk

Human Resources

Communication

Time

Quality

Procurement

Policies

Regulations

Organisational Maturity

Standards

Procedures

IndustrySkills

MethodologyExperience

PMBOK – Project Lifecycle 5 Process Groups

Figure 3-1 Project Management Process Groups (PMBOK 4th edition)

Initiation Planning Execution Close

Monitor

Control

Project management processes ensure the effective flow of the project throughout its existence. The processes encompass the tools and techniques involved in applying the 9 knowledge areas

Other Lifecycles and Methodologies

• Many organisations and industries have different project management methodologies and lifecycles

• It is critical to be flexible in the application of project lifecycles and methodologies and to work within the policies and procedures of the organisation

• It is important to develop a common language and understanding within the project team during the planning process

PMBOK Project Initiation Processes

Initiation Planning Execution Close

Monitor

Control– Develop Project Charter– Develop preliminary scope statement

PMBOK Project Planning Processes

– Develop Project Management Plan– Plan and define project scope– Create the Work Breakdown Structure– Estimate resources, budget and timeframes– Develop the project schedule– Identify risks and develop risk management plans– Plan and determine communication approach

Initiation Planning Execution Close

Monitor

Control

PMBOK Project Execution Processes

– Direct and manage project execution– Perform quality assurance– Assemble and develop the project team– Acquire project resources– Distribute information on project progress and

issues

Initiation Planning Execution Close

Monitor

Control

PMBOK Project Monitoring and Controlling

– Manage the project team– Verify and control project scope– Monitor and manage the project schedule– Monitor and manage project budget– Undertake quality control activities– Manage key stakeholders and project sponsor– Report on project performance and status– Monitor and control risks and issues

Initiation Planning Execution Close

Monitor

Control

PMBOK Project Closure Processes

– Close project– Review project against success measures– Transition from project to business as usual

Initiation Planning Execution Close

Monitor

Control

Enterprise Environmental Factors

• These can greatly influence the success of any project, examples –

Organisational culture, structure and processesGovernment or industry standards and regulationsExisting human resources and personnel policiesStakeholder risk tolerancesEstablished communication and approval channelsInfrastructure and facilitiesProject management information systemsPolitical and economic climateLevel of project management maturity

PMBoK Guide – Fourth Edition

Organisational Influences

• Organisational culture, style and structure influence how projects are performed

• The degree of project management maturity is particularly critical

• Internal project management systems, methodologies and frameworks are important

• Influences can be both internal and external

PMBoK Guide – Fourth Edition

Organisational Culture and Style

• Organisational culture is an enterprise environmental factor that can manifest in many ways, examples –

Shared vision and values

Common norms, beliefs and expectations

Policies, methods and procedures

View of authority relationships

Work ethic and work hours

PMBoK Guide – Fourth Edition

External Factors and Influences

Legislation

ScientificAdvances

Regulations Labour Market Public Opinion

Local & InternationalConditions

TechnologicalAdvances

Competitor ActionsStandards

Economic Climate

Political Climate

Supplier & PartnerStructures

Organisational Structure

• Organisational structure can greatly impact how projects are conducted

Organisational Structure vs Project Characteristics

Functional WeakMatrix

BalancedMatrix

Strong Matrix

ProjectBased

Project Manager’s Authority

Little or None Limited Low to Moderate

Moderate to High

High to Almost Total

Resource Availability

Little or None Limited Low to Moderate

Moderate to High

High to Almost Total

Control of Project Budget

Functional Manager

Functional Manager

Mixed Project Manager

Project Manager

Project Manager’s Role

Part-time Part-time Full-time Full-time Full-timeProject Management Support Staff Part-time Part-time Full-time Full-time Full-time

PMBOK 4th edition – Table 2-1

Templates

Organisational Project Processes

Approval Procedures

ProcurementGuidelines

Quality Procedures Standards

Project ManagementMethodology

Risk ManagementGuidelines

Project ManagementTools

Policies &Procedures

HR Policies &Procedures

Project ManagementTools

Project ReviewGuidelines

Post Implementation Review Guidelines

Status ReportingProcedures

Project HistoryProject Lessons

Learned

Risk and IssueLogs

Past Project Statistics

Influences of Organisation Size

• There is normally considerable task specialisation in large organisations, coupled with formal processes for delegating authority, business planning and managing performance

• In small organisations people often need to assume many roles and manage several functional areas. Management processes are often less formal

Example Project Management Methodology

Recommended Reading

If you haven’t already done so, please take some time to review the PMBOK Chapters 2 and 3

Pay particular attention to table 3.1 on page 43

This could take 30 to 45 minutes

Ethics & Code of Conduct Review

1. Please go to Tests & Tasks – Intro to Projects and the Project Environment and complete the review questions that have been assigned.

2. The questions are multiple choice and short answer.

3. Results will count towards your participation mark and also help your Course facilitator get to know your understanding of project management lifecycles and methodologies.

4. You have 45 minutes to undertake the activity and can submit up to two times if you are unhappy with your original result.

Practice Learn Improve

Assessment Activities

Please proceed to Tests & Tasks and complete the Intro to Projects and the Project Environment.

Then proceed to Ethics and Code of Conduct in the Learning Program.

Best of Luck!

These Intro to Projects and the Project Environment exercise is due at the end of Week 2 in the Course Delivery Schedule