Unit 1: Project Management Defined
According to A Guide to the Project Management Body of Knowledge, a project is "a temporary endeavor undertaken to create a unique product, service, or result". The broader definition states that a project is "an endeavor that requires an organized set of work efforts that are planned in a level of detail that is progressively elaborated as more information is discovered". Projects should result in developing a new product or service, improving or modifying existing goods, services, and procedures. The bringing together of skilled resources to create something new or different using effective management processes is the cornerstone of project management. In practice, project management is defined as "the application of knowledge, skills, tools, and techniques to project activities to meet the project requirements". A project manager should be able to identify project requirements, address the various needs, concerns, and expectations of the stakeholders as the project is planned and carried out, and also to balance the competing project constraints in terms of project scope, quality, schedule, budget, resources and risk.
In this unit, you will be given a foundation in project management through explorations of the history of the discipline, as well as a discussion of the contemporary frameworks used by organizations today.
Completing this unit should take you approximately 13 hours.
Upon successful completion of this unit, you will be able to:
- define the terms project and project management;
- describe why organizations have increased their usage of project management techniques;
- define the five process groups and the nine knowledge areas of the Project Management Body of Knowledge, the fourth edition (PMBOK 2008); and
- explain how to develop a project profile.
1.1: Introduction to Projects
This short video will get you started on the right foot in this course. As you watch, think about everything you will learn to put in your "project management arsenal". Good luck in the course!
Read this introduction, which will help you understand what actually constitutes a formal project. What goes into the making of a project? How many times have you been involved in a project that followed these parameters?
Read this page with the aim of gaining a high-level understanding of the different positions and roles within project management.
1.2: The Evolution of Project Management
Read this chapter on the history of project management. Why does the history of project management matter to you? What can learning about the history of project management teach you about your future as a project manager?
Read this chapter to get a sense of how project management principles and project management roles are applied throughout a variety of disciplines and fields.
1.3: Operations vs. Project Management
Watch this video, which is the first part of a lecture series on project and production management. As you watch, consider how project management and production management differ. Then think about the industry in which you currently work or in which you will ideally work in your career. How is this distinction apparent in your industry?
Read this article on operations management and the concept of implementing organization-wide processes by using total quality management (TQM) guidelines.
1.4: Project Management Overview
Read this chapter, which will provide you with an overview of project management and define projects and project management. The differences between project management and operations management are also explored. While this text uses information technology projects as examples, the principles are the same for managing any type of complex project and activity. Attempt the exercises at the end of each section.
Read this article, which defines the term project management. When have you experienced being a part of a project?
Read this chapter to get a handle on what project managers must juggle. Project managers consider needs and priorities, budgets and timelines, quality and documentation, team dynamics, and organizational structure, among many other challenges.
Watch this lecture, which is the second part of the series that you watched earlier. This lecture differentiates between project management on one hand and production or operations on the other hand. It expands on this distinction by going into more depth about project management.
1.5: Project Leadership Skills and Roles
This is a simplified introduction to leadership in organizations and project management. Of the four qualities of transformational leaders put forward in this video, which two are the most important as they relate to project management? Are there other qualities that characterize transformational leaders? If so, what are they? What types of qualities do you like to see in the managers you have worked for?
Read this section, which covers managing and leading people during project execution as well as how to build effective teams.
Learning how to practice good stakeholder design is important to the success of any project. Why? What are some of the negative consequences of not practicing good stakeholder design?
1.6: Profiling a Project
Read this chapter, which gives an overview of how to create a snapshot of the project to create an outline of the project's tasks. Attempt the exercises at the end of each section.
- Watch this video, which covers how to evaluate a project's potential to be effective. Companies use certain methods to choose the right project and prepare a project feasibility report. In developing a project feasibility report, you have to consider whether the project is worthwhile by evaluating economic, financial, and technical factors. This lecture will go through the process of project identification, appraisal, and selection. You will learn how to calculate the net present value (NPV), internal rate of return (IRR), payback period, loan return capability, and so on. This will help you understand how to create an initial assessment of a project's viability.
Watch this video, which covers the financial appraisal of projects:
- estimation of the cost of the project and its timing;
- estimation of the likely revenues during each period;
- the cost of capital;
- the planning horizon of the project;
- the risk in the project as evidenced by the worst and best values of costs and revenues;
- benefit/cost ratio of discounted cash flows;
- debt service coverage ratio; and
- a company's reputation in terms of assets, liabilities, and record of previous repayments, etc.
This video demonstrates how to successfully create an initial assessment of a project's viability.
1.7: Project Management Success or Failure
Read these sections, which discuss how to manage project risk to ensure the success of a project and how improper management can lead to project failure.
Read this section, which covers the ten axioms for project success, the importance of documenting the critical path of a successful project, and assessing scope to ensure successful outcomes.
Unit 1 Discussion and Assessment
- Make forum posts: 1
Consider responding to the following questions in this discussion forum. You may also respond to other students' posts.
- According to PMBOK (2008), what is a project? What is project management?
- What is your experience as a project manager? What key skills should a successful project manager have?
- What factors do you need to consider when you start to prepare a project feasibility report? Describe the key factors and provide a few examples for each.
- Receive a grade
Take this assessment to see how well you understood this unit.
- This assessment does not count towards your grade. It is just for practice!
- You will see the correct answers when you submit your answers. Use this to help you study for the final exam!
- You can take this assessment as many times as you want, whenever you want.