The need to study Project Management
Project management provides a practical and logical method of managing the important operations in an organization. Project management continues to evolve as one of the fastest growing management area. It is required for personnel to have adequate training in this area to enable better decision-making. Project management has the objective of completing a project for the specified scope within the defined time, cost, and quality. It involves a disciplined approach towards organizing and managing resources to meet this objective. Project management is not restricted to a few selective regions or countries. In fact, project management methodologies are applied across the globe.
Project management is applicable to all industries and domains – manufacturing, construction, banking, public sector, etc. In other words, whether it is equipment manufacture, construction of a building, setting-up of banking facilities, or establishment of a public sector unit, we need to apply project management concepts and techniques. The effectiveness of project management is one of the important factors for the success of a project.
What is project Management ?
A Project is a specific set of tasks that are to be accomplished within a defined and finite timeframe. An outcome of a project is a deliverable or product as planned.
Examples of projects include:
- Developing a new product
- Developing a new kind of automobile
- Constructing a facility
- Time - This is related to the duration of tasks, dependencies of tasks, time taken for the critical path. A rough timeline has to be estimated and compared with the client‟s or sponsor‟s expected schedule. The time element has to be managed so that the project can be finished by the planned deadline.
- Cost - This includes the cost of materials required to complete the project within the allocated budget. Costs have to be managed from the beginning of a project to minimize the chances of cost going over the budgeted value.
- Resources - Resources include people, material, equipment, finance and facilities required for the project.
- Infrastructure Project
- Transactional system Project
- Information system Project
- Strategic Project
Characteristics of Projects
Projects are undertaken at all the levels of the organization. A project may involve a single person or many thousands. It could involve a single unit of one organization or multiple units/departments or it could even be across organizations.
Projects may be short-term (completed in a short duration of time, like weeks or months) or it could be long-term (running to years) due to their complexity and impact. It may require less than 100 hours to complete or over 10 million hours.
In a project ,three aspects – Time, cost, recourses
Classification of Projects
Projects could be classified as Greenfield projects, Expansion projects (Brownfield projects),
Balancing projects, Modernization projects and Replacement projects.
Project Types based on Objectives or Functions
Projects could also be classified based on the objective or the function it performs. Such as :
The process of assessing the feasibility of a project is known as feasibility analysis.
The feasibility of a project may change during its execution (for example, after the entire requirements have been analysed) or after the design phase. In other words, a project that was feasible in the beginning may not be so after a few weeks or months. Hence, it may be required to assess the feasibility of a project throughout its lifecycle.
The above factors indicate that Project management is not restricted to one or two areas of operation, but is applicable wherever tasks need to be performed in a planned and organized way to yield the desired outcome in the midst of constraints. This emphasizes the need for studying project management concepts and techniques.