“OPERATION KEEPS

THE LIGHTS ON,

STRATEGY PROVIDES
LIGHT AT THE END OF
THE TUNNEL, BUT
PROJECT MANAGEMENT
IS THE ENGINE THAT
MOVES THE Introduction to the
ORGANIZATION Journey ahead…
FORWARD” – JOY
GUMZ
SCOPE OF LEARNING – ACADEMIC POINT OF VIEW
Module Description Content
I Introduction Key areas ✓ Definition and concepts
(5/6) ✓ Consequences of poor Project Management
✓ Factors affecting success or failure of a Project. Triple constraints
✓ VED Analysis (Vital - Scope /Cost / Time / Quality, Essential -
Communications / Risk / Issues / Change Control, Desirable – Conflict/ HR –
Motivation / Supply Chain)
✓ Project Life Cycle &Phases
II Planning and Analysis ✓ Project as Capital Budgeting decision
(8) ✓ Phases of Capital Budgeting (Planning, Analysis, Selection, Financing,
Implementation and Review)
✓ Overview of Capital Budgeting
✓ Capital Allocation Strategy (Concepts, models and considerations for
forming strategy)
✓ Generation of project ideas and screening
✓ Gathering and analyzing project information
✓ Market and demand analysis , Technical analysis
2 ✓ Financial estimations and projections
SCOPE OF LEARNING – ACADEMIC POINT OF VIEW…CONTINUED
Module Description Content
III Selection (6) ✓ Principles of compounding and discounting
✓ Various investment appraisal criterias
✓ Defining project cash flows
✓ Concept & measurement of cost of capital
✓ Project risk analysis
IV Financing ✓ Various sources of finance
Implementation , ✓ Infrastructure financing
monitoring and Review ✓ Concepts of Venture Capital and Private Equity
(10-11) ✓ Forms of Project organizations(line, staff matrixes)
✓ Use of network techniques for project planning 20 8 scheduling and control
(Bar Charts / Gantt Charts/ CPM / PERT Concepts
✓ Work Break-down Structure
✓ Project lifecycle
✓ Variance analysis
✓ Project implementation, monitoring, review and reporting

3
SCOPE OF LEARNING – ACADEMIC POINT OF VIEW…CONTINUED
Module Description Content
V Role & Responsibilities ✓ HR & Motivation & Transparency in MIS
of a Project Manager ✓ Tips for Successful Project Management / Project Scheduling
(5-6) ✓ Contract Management ; Legal& Consequential Precautions
✓ Information Technology Enabled Services ( ITES ) in Project Management (not
for exam)
✓ Use of MS-Excel, MS Project, Primavera etc. for Project management (not for
exam)

Each Module weights 20 each with 8 sessions adding upto 40 hrs

Text Book Projects Prasanna McGraw

Chandra Hill
Your Project Management Coach Your Project Management Coach: Bonnie Biafore, Wiley
Reference Best Practices for Managing Projects in the Real World Teresa Stover Publication
Book Project Management and Appraisal Sitangshu Oxford
Khatua Uni. India
4
MODULE I : INTRODUCTION & KEY AREAS
 “A temporary
endeavor
undertaken to
DEFINITION create a unique
AS PER product or
PROJECT MANAGEMENT INSTITUTE service.”
(PMI)
6
PROJECT
✓ The word ‘Temporary’ doesn’t apply to result or service that is generated by the
project. E.g. building Taj Mahal may be a fixed duration project but the result last
for indefinite period of time.
✓ Activity to create something ‘Unique’ refers to the uniqueness of product or
service. E.g. Sakaar I,II,III… may be similar office buildings but each building as a
facility is unique in its own way.
✓ Project must be progressively elaborated i.e. the project progresses in steps &
continues by increments.
✓ Sometimes definition of the project is refined at each step (as & when more clarity
is added to the scope of the project & underlying assumptions) & ultimately the
purpose of the progress is enunciated.
✓ It should facilitate analysis in planning, financing, implementation, monitoring,
controlling and evaluation
GENERAL EXAMPLES OF PROJECT
✓ Construction: Building a block of residential homes
✓ Marketing: Developing and implementing a marketing plan
✓ Events: Developing a fundraising event for a non-profit organization
✓ Manufacturing: Producing a new product or reducing TAT in assembly line
✓ Technology: Upgrading an existing operating system or migrating to a new system
✓ Architecture: Designing a shopping centre
✓ Non-profit: Implementing a humanitarian relief effort
✓ Information Technology (IT): Designing a software application
✓ Human resources: Developing a new employee-retention strategy
✓ Entertainment: The production of a new film
✓ Family: Organizing series of relevant events in private marriage function
POPULAR EXAMPLES OF FAMOUS PROJECTS IN INDIA
Aadhaar
The Indian government's identity program, introduced in 2009, combined the latest technology with eye
scans and fingerprints to create a unique, verifiable identification number for 99 percent of India's
adults. The result? A biometric database with 1.2 billion participants—the world's largest.

Chandrayaan Missions by ISRO

After 1st Mission was launched in October 2008, this ISRO mission confirmed the existence of water on
the moon. Back on Earth, it proved to be a major boost to India's space program, showcasing ISRO's
abilities to develop its own technology. Latest was Soft Landing capability on south pole & darker area
of Moon as the First ever nation achieving this Milestone. Any Upcoming
project in your
Launch of Bajaj Pulsar & Tata Indica mind?
Sudden change of fortune for the automobile manufacturers by successful completion of R&D projects
within 2 years & 3 years respectively.
POPULAR EXAMPLES OF FAMOUS PROJECTS OUTSIDE INDIA

Olympic Torch Relay to salt lake city, Utah, USA 2002

✓ Planning took 2 years, Cost over $20 Mn, 84 days, 42 state campaign, 10,000
runners to carry out torch for 15000 miles.
✓ Supported by 40 vehicle caravan of security, media, medical personnel,
computers, clothing, food, spare lanterns with extra flame, 50 cellular phones,
60 pagers, 120 radios, 30 cars, 10 motorcycles,
✓ Clothing of 10,000 runners, 10,000 volunteers, 2500 escort runners
✓ Serving to the interest of main sponsors in Atlanta itself added T-shirts, Baseball
caps, Sweatshirts, tickets to soccer matches
✓ Branding of cosponsors like IBM, LEE, Coca-cola, Motorola, Bell south etc.
WHY PROJECTS ARE NEEDED?

✓ Market Demand : Tesla brought efficient electric car

✓ Strategic Opportunity : New space program to capture the space travel market
✓ Customer Request : Power Company need new gas power plant
✓ Statutory compliance : Mass installation of solar rooftops to support India’s Project
to reduce carbon emissions to significant level by 2075 to save planet from green
house gases
✓ Technological advance : Data & AI advancement leads to new generation robot
✓ Risk Mitigations : Reducing the risk of being obsolete or less profitable against
external factors
✓ Compression of Product Life Cycle
✓ Corporate Downsizing
PROJECT ATTRIBUTES Unique
Purpose

Involve Temporary
Uncertainty

Primary Resources
sponsor or from Various
customer Areas
PROJECT MANAGEMENT STATISTICS
✓The U.S. spends $2.3 trillion on projects every year, an amount
equal to one-quarter of the nation’s gross domestic product (GDP).
✓The world as a whole spends nearly $10 trillion of its $40.7
trillion gross product on projects of all kinds.
✓More than sixteen million people regard project management as
their profession; on average, a project manager earns more than
$82,000 per year.*

*PMI, The PMI Project Management Fact Book, Second Edition, 2001
PMI (Project Management Institute )
PROJECT MANAGEMENT

✓ “The application of knowledge, skills, tools, and techniques to project activities in

order to meet project requirements”
✓ Project Management is a process of leading the work of a team to achieve all
project goals within the given constrains. This information is described in project
documentation, created at the beginning of the project development process.
✓ The secondary challenge is to get the necessary inputs allocated & apply them to
meet pre-defined objectives.
✓ Hence a project is a temporary endeavor designed to produce a unique product,
service or result with a defined Beginning & End (usually time-constrained, and often
funding & staffing constrained) undertaken to unique goals & objectives, typically to
bring about beneficial change or added value.
PROJECT MANAGEMENT

✓ The temporary nature of projects stands in contrast with BAU (Business As Usual) or
Routine Operations which are repetitive, permanent, semi-permanent functional
activities to product or services on ongoing basis.
✓ Objective of PM is to produce a complete project which complies with the client’s
objectives. Once the objective is established, they should influence all the decisions
made by the people involved in the project i.e. project managers, designers,
contractors, sub contractors, individuals from cross functional teams etc.
SUCCESS, FAILURE & CONSEQUENCES
OF PROJECT MANAGEMENT
CONSEQUENCES OF POOR PROJECT MANAGEMENT
1. Project cost overrun : Inaccurate estimate leads to activities costing higher than
planned, affecting financial position & reputation of organization & loss of clients.
2. Project Schedule delays : Unclear tasks, conflicts, scope creeps will cause project
delays. Unrealistic activity estimations, improper information exchange,
Misunderstanding & poor reporting structure add to this.
3. Demotivated Project Team : Lack of Goal clarity, unfair use of policy &
accountability will lead to difficulty in aligning efforts.
4. BAD reputation : within the organization & in the marketplace. May lead to loss of
customers & vital projects. Detrimental for Project Organization. Employees lose
trust from Management.
5. Sustainability Risk for the Organization : Long term impact of Failing projects lead
to monitory, reputational, Cultural degradation, Brand equity erosion & adverse
BAU.
FACTORS AFFECTING SUCCESS OF PROJECT

1. Intelligent people & their involvement

2. Comprehensive planning
3. Tools & infrastructure
4. Clear business objectives
5. Agile Processes
6. Open communication
7. Risk Management
8. Strong Project closure
FACTORS AFFECTING SUCCESS OR FAILURE OF PROJECT

1. Poor relationship & Understanding with client

2. Politics & conflicts
3. Unrealistic Goals
4. Decreased profitability
5. Perceived value of project
6. Poorly crafters contracts & legal agreements
7. Inefficient communication channels
8. Lack of competitive advantage
SUMMARY

✓Overview of Project
✓Definition
✓Examples & projects in practice
✓Project Management
✓Consequences of poor Project Management
✓Critical Factors for success or failure of a Project
✓Factors causing failure of Project