Chapter One - Introduction to PM Analysis.pptx

This chapter analysis the fundamentals of project management and analysis

1. ADMAS UNIVERSITY 1 Lecturer Ahmed Elmi

2. What is your expectation of the course? Lecturer Mustafe Agro 2

3. Chapter One: Introduction to PROJECT MANAGEMENT analysis Lecturer Mustafe Agro 3

4. 4 Managing a Project is called Project Management, Lecturer Mustafe Agro

5. 5 Chapter 1: General Introduction (6 hrs ) Meaning and definition of project Features of a project Projects and plans Chapter 2: Project Cycle (7 hrs) Meaning and definition of project cycle World Bank project cycle UNIDO project cycle Chapter 3: Project Identification (7 hrs) Meaning of project idea Sources of project ideas Macro sources Micro sources Chapter 4: Project Preparation (7 hrs) Market and demand analysis Raw materials and supplies study Location, site, and environmental assessment (EIA) Production program and plant capacity Technology selection Organizational and human resource planning Financial and economic analysis Chapter 5: Project Implementation, Monitoring & Evaluation (7 hrs) Organization structures: line, staff, divisional, matrix Project planning and control Human aspects of project management Prerequisites for successful implementation Chapter 6: Social Cost Benefit Analysis (7 hrs) Rationale for SCBA UNIDO approach Net benefits in economic prices Savings impact Chapter 7: Project Financing (7 hrs) Sources of finance: equity, loan, leasing Cost of capital Public policy and regulations Financing institutions Lecturer Mustafe Agro

6. 6 Mode of Assessment Test – 10 pts Class participation – 10 pts Quiz – 5 pts Group project (feasibility study) – 25 pts Final exam – 50 pts Total: 100 points modes of teaching for the course Project Analysis and Management (BMGT 3092): Lecture Class Discussion Assignments Group Project Work Case Study Analysis Class Presentation Individual Reflection Quiz and Test Activities Lecturer Mustafe Agro

7. 7 Course objectives for Project Analysis and Management: Understand the basic concepts and importance of project analysis and management. Identify and develop project ideas through proper planning and feasibility studies. Learn how to prepare, appraise, and evaluate project proposals. Gain knowledge of different sources and methods of project financing. Apply practical skills in project implementation, monitoring, and evaluation. Lecturer Mustafe Agro

8. 8 The word, Project can be defined in many ways but these definitions are indicating with the same idea and meaning Lecturer Mustafe Agro

9. 9 A project is: a group of unique, interrelated activities planned and executed in a certain sequence to create a unique product or service, within a specific time frame, budget, and the client's specifications. Project Analysis: Project analysis is the process of studying a project to know if it is possible and profitable. Project: A project is a planned activity with specific goals, a set time, and resources to achieve a particular result. Lecturer Mustafe Agro

10. What is a Project? A project is a temporary endeavor undertaken to produce a unique product or service. Temporary – Definitive beginning and end Unique – New undertaking, unfamiliar ground - Projects involve doing something that has not been done before in the same environment Temporary Unique Characteristics of Projects Lecturer Mustafe Agro 10

11. 11 A group of milestones or phases, activities or tasks that support an effort to accomplish something. CON….What is a Project? Lecturer Mustafe Agro

12. 12 A Project is a process with a clearly define start and clearly define end . It consists of set tasks to achieve an objective, once the objective has been achieved the project is completed. CON….What is a Project? Lecturer Mustafe Agro

13. Major characteristics of a Project A project is not normal day to day activity undertaken by organization rather it is specific, non-routine activity of varying time frame. A typical project has following characteristics: Timeline:  A project has a definite timeline with measurable starting and end point. Resources:  A project has limited resource of capital and manpower. Tools:  Special type of tools and techniques are used for project management (Gantt Charts, etc.) Team:  Project management requires a team and a set of functions. Unique purpose /goals to be achieved. Characteristics of a project Lecturer Mustafe Agro 13

14. 14 Project objectives or deliverables should be SMART i.e.- Specific Measurable Achievable Realistic Time-bound CONT…. Characteristics of a project Lecturer Mustafe Agro

15. Projects remain unique with respect to Different location Different design Different circumstances and situations Different stakeholders CONT…. Characteristics of a project Lecturer Mustafe Agro 15

16. Features of a Project: Has a clear goal or purpose Has a fixed time frame (start and end) Uses limited resources Involves planned activities Unique or one-time activity Has a budget or cost Requires coordination and management Lecturer Mustafe Agro 16

17. 17 Lecturer Mustafe Agro

18. CLASSIFICATIONS OF  PROJECTS 18 Lecturer Mustafe Agro

19. 1. Classification Based on Objectives 19 Lecturer Mustafe Agro

20. 2. Classification Based on Sector or Industry 20 Lecturer Mustafe Agro

21. 3.Classification Based on Size and Scale 21 Lecturer Mustafe Agro

22. 4.Classification Based on Time Duration 22 Lecturer Mustafe Agro

23. 5. Classification Based on Funding Source 23 Lecturer Mustafe Agro

24. 6. Classification Based on Complexity and Risk 24 Lecturer Mustafe Agro

25. 7. Classification Based on Geographic Scope 25 Lecturer Mustafe Agro

26. What is Project Management? Lecturer Mustafe Agro 26

27. What is Project Management? Project Management is a discipline that involves planning, organizing, securing, managing, leading, and controlling resources to achieve specific goals. Project Management is the application of skills, knowledge, tools, and techniques of project activities to complete the project. As well as meet the needs and expectations of stakeholders for a project. Lecturer Mustafe Agro 27

28. What is Project Management? Successful project management means achieving the project objectives within the set time and budget . 28

29. Functions of a Project Management The four functions of (PM) are leading, planning, organization, and controlling. Leading involves guiding and motivating team members to meet the project's objectives. It includes setting the direction for the project, communicating the vision and goals, influencing team dynamics, resolving conflicts, and fostering an environment that encourages productivity and positive morale. Planning means setting goals/objectives, targets, and strategies that bring task specification, resource mobilization, and allocation. Deciding, in advance what is to be done; how it is to be done, and the sequence to be followed to achieve the objectives. Organizing involves setting internal structures, processes, and public relations by internal project organization. It is about ensuring that team members understand their tasks, and coordinating activities so that the project progresses in an orderly and structured manner. Controlling is the process of monitoring the project’s progress and performance to ensure that everything adheres to the project plan. It is about ensuring that plans are executed and resources are used appropriately on time. 29

30. Triple Contraint Quality Scope Time Cost The "Triple Constraint," also known as the Project Management Triangle , is a model that describes the three primary constraints that project managers must balance: scope, time, and cost. Lecturer Mustafe Agro 30

31. Project Charter : A project charter is a short document used in project planning to outline a project’s key aims and benefits. Project goal Documents the reasons for undertaking the project in clear, concise language Project participants Identifies what people need to be involved in the project and clearly states their roles Stakeholders Identifies other people who will be directly affected by the project and need to know about the project's progress Requirements Identifies what resources are required for the project's objectives to be achieved Constraints Documents potential bottlenecks Identifies start date and completion dates as well as dates for other important checkpoints Communication Specifies how the project manager will communicate with project owners, participants and stakeholders through the project Deliverables Documents what specific products, processes or services the project will provide upon completion. Milestones Lecturer Mustafe Agro 31

32. Schedule Indicates the time and sequence of the various tasks as well as the total project duration . The schedule is the actual time required to produce a deliverable Lecturer Mustafe Agro 32

33. Schedule Time in project management is analyzed to the smallest detail Microsoft Project and the Work Breakdown Structure (WBS) Lecturer Mustafe Agro 33

34. Risk A risk “is any activity that could have an adverse or positive effect on a project.” Risk management is the “processes involved with identifying, analyzing, and planning for project risks.” Types of Risks: Stakeholder Regulatory Technology External Resource Execution Lecturer Mustafe Agro 34

35. Resources A Project Resource is “ any type of tangible or intangible thing which can be estimated , planned , engaged , organized and utilized to accomplish a project.” Resources can be: Manpower Funding Technology Assets Utilities /Services Plans and Standards Project Knowledge Environmental Resource traits: Availability Capacity Capability Limitations Costs Lecturer Mustafe Agro 35

36. Key Areas of Project Management Scope Management Cost Management Time Management Quality Assurance Human Resource Management Communication Management Risk Management Conflict Management among others. Stakeholder management Lecturer Mustafe Agro 36

37. Cost Management This process is required to ensure the project is completed within the approved budget and includes: Resources people equipment materials Quantities Budget Lecturer Mustafe Agro 37

38. Risk Management Risk identification and mitigation strategy Risk update and tracking When\if new risks arise Tree – location, accessibility, ownership Weather Risk… The POTENTIAL negative impact on the project Lecturer Mustafe Agro 38

39. Planning and defining the scope of the project. To identify the skills and capabilities of team members. To assign duties to team staff. To develop the project schedule and time scale To manage the project budget. To teach the team to manage/meet deadlines. To identify and manage project risks and Issues. To communicate effectively with all team staff and ensure everybody does their part. To recruit/assist/solve problems of team members. Roles of Project Manager Lecturer Mustafe Agro 39

40. Leadership Communications Problem Solving Negotiating Influencing the Organization Mentoring Process and technical expertise Project Management Skills Lecturer Mustafe Agro 40

41. A Good Project Manager Takes ownership of the whole project Is proactive, not reactive Adequately plans the project Is Authoritative ( NOT Authoritarian) Is Decisive Is a Good Communicator Manages by data and facts, not uniform optimism Leads by example Has sound Judgement Is a Motivator Is Diplomatic Can Delegate 41

42. Project Management Can Decrease risks to the project Diminis h scope creep Inc r ease r e w a r ds Minimize cost overruns Improve teamwork and c o mmunicati o n Reduce schedule overruns Reduce schedule Lecturer Mustafe Agro 42

43. Project Vs Program Vs Portfolio Lecturer Mustafe Agro 43

44. 1. Project 44 Lecturer Mustafe Agro

45. Key features: 45 Lecturer Mustafe Agro

46. 2. Program 46 Lecturer Mustafe Agro

47. Key features: 47 Lecturer Mustafe Agro

48. 3. Portfolio 48 Lecturer Mustafe Agro

49. In short: 49 Lecturer Mustafe Agro

50. 50 Lecturer Mustafe Agro

51. 51 Projects: Temporary work with a specific goal . Has a start and end . Produces a unique result or product. Plans: A detailed outline of how to do something. Shows steps, resources, and timeline . Guides the execution of a project. Project planning is the process of defining the scope, objectives, tasks, timelines, resources, and responsibilities required to complete a project successfully. In simpler terms, it’s about deciding what needs to be done, how it will be done, who will do it, and when it will be finished —before the actual work begins. Lecturer Mustafe Agro

52. The End of Chapter One Thank You 52 Lecturer Mustafe Agro