5.2.

Project execution system

Once these systems and procedures have been developed for the project, it is the duty of the
project administrator to set for smooth take off. It requires proper project execution systems
which should be more concerned about external intervention for survival than on its internal self
regulating capability. The external intervention will be of the following forms: Project direction,
project co-ordination, project communication, project organization and project control. These
terms are often construed as actions for getting results. Too often the terms are used
interchangeably to mean management. Therefore, for the successful execution and administration
of project requires direction, organization, co-ordination, communication and control all at the
same time but in varying proportion. We shall discuss the nature of significance of project
direction, communication, co-ordination in this lesson.

a) Project direction

Project direction refers to the use of authority to channel the activities of the project on desired
lines. During the initiation of start-up period of the project this direction shall be provides by
the project manager. But once the project inters the production period direction will be exercised
by other members of the project organization of else the project will stall. Project
initiation/start-up: The need for project direction, as mentioned before, is maximum at the time
of start-up of implementation. The project manager during this period needs to provide directions
relating to: Scope of work, Specification of results of completed work, Basis of work, Division
of work – imported vs. indigenous, departmental Vs. contract etc., Schedule of work, Budget of
work, Systems and procedure for work, Co-ordination of work, Authority and accountability for
work, Control of work. The success of a project is heavily dependent on team work. All the items
from 1 to 10 are finalized with the involvement of project participants or else the directives will
appear authoritarian, and will unnecessarily invite opposition. If the directions can be formulated
through a participative approach, the some can be issued formally in the name of a project
manual with instructions for strict adherence to the same. Direction, during the project initiation
period, means not simply giving a push to the project; the direction issued at this stage will, in
fact, shape the destiny of the project.

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Direction during production stage: Direction after the initiation period can be considered to be of
the administrative variety. Invariably, after the start-up period, direction is provided of a case-to-
case basis through formal documents or personal contacts. A group meeting may also be used for
this purpose. On-going directions may refer to approval of work schedules, detailed budgets,
specification, purchase orders, work orders, construction drawings, travels, miscellaneous
expenses, changes in baseline etc.

Ongoing direction

Project start-up, design review, purchase order and work orders are on-time directions. But a
project will require only when unforeseen events occur, directors otherwise will require to be
provided when problems occur during project execution. In either case, a decision has to be
made as to what should be done and the same should be authorizing for implementation. Thus,
decision making and direction are part of every-day function of any manager. Routine directions
involve five steps: Understanding the decision environment, Establishing the decision
alternatives, Evaluation of the alternatives and selection of course of action, Communication the
decision to the individual or agency who is to implement the decision and Checking up if the
decision is working so that the decision could be steered by the consequences.
b) Communication in a project

For ongoing direction a two-way communications system is essential. For that matter, the entire
process of direction, co-ordination and control in a project revolves around communication. It is
often concluded that projects are run by communications. In fact, most of management problems
are caused in whole or in part by faulty management communications. Communication has two
dimensions physical and mental, passing a memo, drawing, data, instruction, information, etc.
are the physical aspects of communication; understanding the same in the light of role
expectation, empathy, preconceived notion, language barriers, listening skills etc., are the mental
aspects of communication. While physical aspects of communication can be easily achieved, the
mental aspects often present barriers to communication. Prefer communication requires a
conscious and determined effort. Affective communication in a project would require a
communication oriented action plan. The actions that may be taken in this regard are as below:

1. Organization or work, people and work place with communication orientation.

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 2. Selection and installation of appropriate communication devices
3. Project review and co-ordination meeting at predetermined frequency
4. Predetermined document distribution matrix.
5. Establishing healthy attitude towards communication by appropriate directions.
6. Installing structured reporting systems
7. Implementing routing communication systems and procedures
8. Establishing a control room
9. Using desk-top computers for communication.
Hence, in any action plan, organization of work and people is a basic project management
requirement. It is suggested that this must receive a communication orientation.
c) Project co-ordination
Co-ordination can be defined as the effort to bring parts into super relation for harmonious
functioning. A well coordinated project is as pleasing as a price of music. Co-ordination in a
project gains its importance because of the need for simultaneous working of number of
activities. Therefore, one cannot proceed simply with the execution of a project without proper
co-ordination. Home, it is the important task in the effective project execution and
administration.

Project co-ordination procedure: Co-ordination basically addresses itself to two aspects of

work –physical matching and timing. The physical aspect would refer to what is to be done, how
much is to be done and who to do it; the timing aspect would refer to when these will be done. A
schedule document which deals with all these aspect of work should be prepared to enable
proper co-ordination. The word breakdown structures provide the basic frame work for both
physical ant time co-ordination preparation of work breakdown structure, structuring the
organization, establishing a project procedure manual, housing people under one roof wherever
possible. Similarly, development of project schedules coordinated with break down structure
and organization chart sets the stage for the time co-ordination. Once the stages are so set, the
day to day co-ordination in a project is ensured through Squad check, Co-ordination meeting and
communication. A project is a group effort and in group there will always be differences of
option. But coordination is not merely smoothing out differences; it is re-integration of the parts
into a whole facing into account the subdivided functions and their interest.

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 1.5. Pre-requisites for successful project implementation

Time and cost over-runs of projects are very common in practice, particularly in the public
sector. Due to such time and cost over-runs, projects tend to become uneconomical, resources are
not available to support other projects, and economic development is adversely affected. This
helps to minimize time and cost over-runs and thereby improve the prospects of successful
completion of projects. A lot of things can be done to achieve this goal; the most important ones
appear to be as follows: adequate formulation, sound project organization, proper
implementation planning, advance action, timely availability of funds, judicious equipment
tendering and procurement, Better contract management and Effective monitoring.
a. Adequate formulation

Often project formulation is deficient because of one or more of the following shortcomings:
Superficial field investigation, cursory assessment of input requirements, slip-shod methods used
for estimation costs and benefits, omission of project linkages, flawed judgments because of lack
of experience and expertise, undue hurry to get started and deliberate over-estimation of benefits
and under-estimation of costs. Care must be taken to avoid the above deficiencies so that the
appraisal and formulation of the project is through, adequate and meaningful.

b. Sound project organization

A sound organization for implementing the project is critical to its success. The characteristics of
such an organization are: It is led by a competent leader who is accountable for the project
performance. The authority of the project leader and his team is commensurate with their
responsibility. Adequate attention is paid to the human side of the project. Systems and methods
are clearly defined. Rewards and penalties to individuals are related to performance.

c. Proper implementation planning

Once the investment decision is taken – and often even while the formulation and appraisal are
being done – it is necessary to do detailed implementation planning before commencing the
actual implementation. Such planning should inter alia, seek to: develop a comprehensive time
plan for various activities like land acquisition, tender evaluation, recruitment of personnel,
construction of building, erection of plant, arrangement for utilities, trial production run, etc.
estimate meticulously the resource requirements (manpower, material, money, etc) for each

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period to realize the time plan; define properly the inter-linkages between various activities of
the project; specify cost standards.

d. Advance action
When the project appears prima facie to be viable and desirable, advance action on the following
activities may be initiated: (i) acquisition of land, (ii) securing essential clearances, (iii)
identifying technical collaborators / consultants, (iv) arranging for infrastructure facilities, (v)
preliminary design and engineering, and (vi) calling of tenders
e. Timely availability of funds

Once a project is approved, adequate funds must be made available to meet its requirements as
per the plan of implementation – it would be highly desirable if funds are provided even before
the final approval to initiate advance action. Piecemeal, ad-hoc, and niggardly allocation, with
undue rigidities, can impair the maneuverability of the project team. It is a common observation
that firms which have a comfortable liquidity position are, in general, able to implement projects
expeditiously and economically. Such firms can initiate advance actins vigorously, negotiate
with suppliers and contractors aggressively, organize input supplies quickly, take advantages of
opportunities to effect economies, support suppliers in resolving their problems so that they can
in turn redound to the successful completion of projects, and sustain the morale of project-related
personnel at a high level.

f. Judicious equipment tendering and procurement

To minimize time over-runs, it may appear that a turnkey contract has obvious advantages. Since
these contracts are likely to be gagged be foreign suppliers, when global tenders are floated, a
very important question arises. How much should we rely on foreign suppliers and how much
should we depend on indigenous suppliers? Over-dependence on foreign suppliers, even though
seemingly advantageous from the point of view of time and cost, may mean considerable
outflow of foreign exchange and inadequate incentive for the development of indigenous
technology and capability. Over-reliance on indigenous suppliers may mean delays and higher
uncertainty about the technical performance of the project. A judicious balance must be sought
which moderates the outflow of foreign exchange and provides reasonable fillip to the
development of indigenous technology.

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g. Better contract management

Since a substantial portion of a project is typically executed through contracts, the proper
management of contracts should be done. The competence and capability of all the contractors
must be ensured–one weak link can jeopardize the timely performance of the contract. Proper
discipline must be inculcated among contractors and suppliers by insisting that they should
develop realistic and detailed resource and time plans which are congruent with the project plan.
Penalties – which may be graduated–must be imposed for failure to meet contractual obligations.
Likewise, incentive may be offered for good performance. Help should be extended to
contractors and suppliers when they have genuine problems–they should be regarded as partners
in a common pursuit. Project authorities must retain latitude to off-load contracts (partially or
wholly) to other parties well in time where delays are anticipated.

h. Effective monitoring

In order to keep a tab on the progress of the project, a system of monitoring must by established.
This help in anticipating deviations from the implementation plan, analyzing emerging problems,
taking corrective action. In developing a system of monitoring, the following points must be
borne in mind: It should focus sharply on the critical aspects of projects implementation. It must
lay more emphasis on physical milestones and not on financial targets. It must be kept relatively
simple. If made over-complicated, it may lead to redundant paper work and diversion of
resources. Even worse, monitoring may be viewed as an end in itself rather than as a means to
implement the project successfully.

Effective project management at national level

The effective management of project is essential for the development of economy in as much as
the development itself is the off-shoot of a series of successfully managed projects. This reveals
that the project management is an extremely important problem area for a developing country
such as ours. Unfortunately many projects experience schedule slippage and cost overruns due to
a number of reasons. To remedy the situation, projects ought to be meticulously planned,
scrupulously implemented and professionally managed to achieve the objective of time, cost and
performance. Modern technique of project management can play a major role in streamlining the
management of projects. Projects management is a complex process bristling with a number of
variables contributing to success in a project. It is not a facile task to ensure overall effectiveness

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of the project. Several factors contribute to its success. The project determinants are plenty and
many success of the projects interalia include factors which little or no management control is
possible. Discretionary factors can be controlled either within the project itself or in the larger
system, and the end products serve as the basis for the determination of degree of success.
Factor (Determinants) for effective project Management
The study of factors for effective projects management comprising both internal and external
determinant factors are taken into account. The internal factors are project managers, project
team, project management techniques, project organization structure, project monitor and
evaluation system, use of computers, detailed project engineering know how, management
reporting system, etc.

1. Internal Factors
a. Project Managers:

The project manager is the crux of the coordinating authority with various functional heads.
He/she is the seminal coordinating authority forging a lasting rapport with the financial
institutions, government and statutory bodies, etc. He/she is the main plank and fulcrum of the
project and he is a person who has been associated with the project right from the scratch to the
completion of the project. He play role like a lynch-pin. He/she encompasses into his fold the
whole gamut of the project team and also entire spectrum of clientele contractors and turnkey
consultants. The foremost aim and motto of the project manager is to accomplish the project cost
within the stipulated amount. Hence, it can be observed that the project manager plays a vital
role in the firmament of industrial project.
b. Project Team:
The project team comprises of section heads of production, electrical and mechanical who are
looking after the activities of their respective wings. The project team is a la cricket team where
we could find players adept in bowling, batting and fielding with the result al the players would
put their unstinted and indefatigable effort to translate their action of accomplishing the objective
of the team. For any project, success could be attributed to the able support of all the players and
the project manager would don the role of a captain of the cricket team or of a captain of ship.

c. Project Managerial Techniques:

The project organization structure should be in consonance with the nature of the project, its
complexity, and type of process technologies developed. Centralized policy formulation with

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decentralized implementation appears best suited for project management. The organizational
structure should provide for scheduling and monitoring, contract management, materials and
equipment procurement, on site co-ordination and control and information processing, etc.
Adequate powers should be delegated to enable on the spot decisions and thereby minimize
avoidable delays. The well designed and established project organization structure will effective
project implementation and improve project management performance tremendously.

d. Project Monitoring and Evaluation System:

A well designed and in built project monitoring and evaluation system will minimize project
slippage. A project management information system with the help of computer net works and
methods would enable project monitoring and control at various levels and that would naturally
enhance the project management performance.

e. Use of Computers:

Project management software package are used to meet deadlines, to reduce costs and ultimately
to optimal utilization of resources. They offer services like planning, coordinate and monitor
product launches, plant commissioning, and erection, maintenance, and construction activities.
They also identify crucial problematic areas and sound warnings on possible delays and
contingencies and also to take instant and remedial measures to arrest the lapses before assuming
hiatus in the project management. They generate instant reports in project status, keep track of
project progress and trends to achieve targets and also allocate the resources in order to achieve
realistic goals. Undoubtedly, the usage of computers saves precious time and money. The
application of computers will enhance and uplift the overall project management effectiveness.

f. Management Reporting System:

The management information and reporting systems ensures monitoring or the project progress
and also identifies the specific information requirement of the project. To achieve this objective
every project should develop requisite reporting formats for input and output of data, proper
information flow and communication systems and setting up adequate date processing and
storage systems necessary for the purpose. The well knit management reporting system will go a
long way I assisting speedy implementation of projects’ performance.

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2. External Factors
a. Support from financial institutions:

The financial institutions support is an important determinant of project management

performance though achieving the project objectives of time, cost and quality. This study has
grasped the fact that there is average time delay of 6 to 7 months in obtaining finance. The
financial institutions has a role to play in project identification, appraisal, implementation and
monitoring and provision of adequate funds to projects as and when it is required will avoid
delay in implementing the projects.

b. Early Clearance from Government Department:

The simplification of bureaucratic rigmarole and red-tapism of the government departments in

project approval and sanctioning for public sector projects and liberalization of industrial
licensing, foreign exchange regulation provision, MRTP clearance, environmental clearance etc.
for private and joint sector projects would minimize and reduce the time delay in clearing such
approvals thus ensuring early implementation of industrial projects so as to trigger fillip to the
project management success.

c. Detailed Project Engineering Know-how:

Detailed and scientific projects engineering know-how is sine-quinine to have optimum

utilization of the project cost. The latest development in design and engineering technology
could be applied for cost effectiveness. All these goes to ensure effective project implementation
for improving the performance of the project management.
d. Construction Management:

Construction management plays a unique part in the matter of industrial project management.
The construction management includes under its fold the construction of factory and office
buildings and erection and construction of factory sheds and plant commissioning etc. These
ought to be constructed according to the project schedule so as to minimize project delays.
e. Project Consultants:

Project management consultants are professionally qualified who are fully equipped to perform
services to the project management organization in the entire gamut of erection, commissioning
and implementing the industrial projects. A delay in project consultant’s performance of his hob

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would mean procrastination of the project, for which ultimately client suffers more than the
consultants pay a vital role in the various stages of the project right from the stage of
commissioning of the project. He is also abundantly responsible for closely monitoring the
progress of the project. He is also abundantly responsible for closely monitoring the progress of
the project at every phase of the project. The unstinted and unflappable support of the project
consultants would naturally brighten the project’s success.

5.2. Financial management and budget planning for projects

Preliminary and Capital Issue Expenses

Expenses incurred for identifying the project, conducting the market survey, preparing the
feasibility report, drafting the memorandum and articles of association and incorporating the
company are referred to as preliminary expenses. Expenses borne in connection with the raising
of capital from the public are referred to as capital issue expenses. The major components of
capital issue expenses are underwriting commission, brokerage, fees to managers and registrars,
printing and postage expenses, advertising and publicity expenses, listing fees, and stamp duty.

Pre-operative Expenses
Expenses of the following types incurred till the commencement of commercial production are
referred to as pre-operative expenses these include (i) establishment expenses, (ii) rent, and
taxes, (iii) traveling expenses, (iv) interest and commitment charges on borrowings, (v) insurance
charges, (vi) mortgage expenses, (vii) interest on deferred payments, (viii) start-up expenses, and
(ix) miscellaneous expenses. Pre-operative expenses are directly related to the project
implementation schedule. So, delays in project implementation, which are fairly common, tend
to push up these expenses. Pre-operative expenses incurred up to the point of time the plant and
machinery are set up may be capitalized by apportioning them to fixed assets on some acceptable
basis. Pre-operative expenses incurred from the point of time the plant and machinery are set up
are treated as revenue expenditure. The firm may, however, treat them as deferred revenue
expenditure and write them off over a period of time.

Provision for Contingencies

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A provision for contingencies is made to provide for certain unforeseen expenses and price
increase over and above the normal inflation rate which is already incorporated in the cost
estimates. To estimate the provision for contingencies, the following procedure may be followed:
(i) Divide the project cost items into two categories, viz, ‘firm’ cost items and ‘non-firm’ cost
items (firm cost items are those which have already been acquired or for which definite
arrangements have been made). (ii) Set the provision for contingencies at 5 to 10 percent of the
estimated cost of non-firm cost items. Alternatively, make a provision of 10 percent for all items
(including the margin money for working capital) if the implementation period is one year or
less. For every additional one-year, make an additional provision of 5 percent.

Margin Money for Working Capital

The principal support for working capital is provided by commercial banks and trade creditors.
However, a certain part of the working capital requirement has to come from long-term sources
of finance. Referred to as the ‘margin money for working capital’ this is an important element of
the project cost. The margin money for working capital is sometimes utilized for meeting over-
runs in capital cost. This leads to a working capital problem (and sometimes a crisis) when the
project is commissioned. To mitigate this problem, financial institutions stipulate that a portion
of the loan amount, equal to the margin money for working capital, be blocked initially so that it
can be released when the project is completed.

Initial Cash Losses: Most of the projects incur cash losses in the initial years. Yet, promoters
typically do not disclose the initial cash losses because they want the project to appear attractive
to the financial institutions and the investing public. Failure to make a provision for such cash
losses in the project cost generally effects the liquidity position and impairs the operations.
Hence prudence calls for making a provision, overt or covert, for the estimated initial cash
losses.

Means of Finance: To meet the cost of the project, the means of finance that are available
include Share capital, Term loans, Bonds, Deferred credit, Incentive sources, and Miscellaneous
sources.

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1. Share Capital. There are two types of share capital; namely, equity capital (through the
issuance of common stock) and preference capital (through the issuance of preferred stock).
Equity capital represents the contribution made by the owners of the business, the equity
shareholders, who enjoy the rewards and bear the risks of ownership. Equity capital being a risk
capital carries no fixed rate of dividend. Preference capital represents the contribution made by
preference shareholders and the dividend paid on it is generally fixed.
2. Term Loans. They are provided by financial institutions and commercial banks. Term loans
represent secured borrowings which are a very important source (and often the major source) for
financing new projects as well as for the expansion, modernization, and renovation schemes of
existing firms.

3. Bond capital. Bonds are instruments for raising debt capital. The typical example of bonds is
debentures. There are two broad types of debentures; namely, non-convertible debentures and
convertible debentures. Non-convertible debentures are straight debt instruments. Typically they
carry a fixed rate of interest. Convertible debentures, as the name implies, are debentures, which
are convertible, wholly or partly, into equity shares. The conversion period and price are
announced in advance.

4. Deferred Credit. Many a time the suppliers of the plant and machinery offer a deferred credit
facility under which payment for the purchase of the plant and machinery can be made over a
period of time.

5. Incentive Sources. The government and its agencies may provide financial support as an
incentive to certain types of promoters or for setting up industrial units in certain locations.
These incentives may take the form of seed capital assistance (provided at a nominal rate of
interest to enable the promoter to meet his contribution to the project), or capital subsidy (to
attract industries to certain locations), or tax deferment or exemption for a certain period.

6. Miscellaneous Sources. A small portion of the project finance may come from miscellaneous
sources like unsecured loans, public deposits, and leasing and hire purchase finance. Unsecured
loans are typically provided by the promoters to bridge the gap between the promoters’
contribution (as required by the financial institutions) and the equity capital the promoters can
subscribe to. Public deposits represent unsecured borrowings from the public at large. Leasing

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and hire purchase finance represent a form of borrowing different from the conventional term
loans and debenture capital.

Planning the Means of Finance

The various means of finance that can be tapped for a project have been described above. How
should you go about determining the specific means of finance for a given project? The
guidelines and considerations that should be borne in mind for this purpose are as follows:

1. Norms of Regulatory Bodies and Financial Institutions. In some countries, the proposed
means of finance for a project must either be approved by a regulatory agency or conform to
certain norms laid down by the government or financial institutions in this regard. The primary
purpose of such regulations is to impart prudence to project financing decisions and provide a
measure of protection to investors. In addition, the norms of financial institutions, which often
provide substantial assistance to projects significantly shape and circumscribe project financing
decisions.

2. Key Business Considerations. The key business considerations which are relevant for the
project financing decision are cost, risk, control, and flexibility.

a. Cost. In general, the cost of debt funds is lower than the cost of equity funds. Why? The
primary reason is that the interest payable on debt capital is a tax-deductible expense whereas the
dividend payable on equity capital is not.

b. Risk. The two main sources of risk for a firm (or project) are business risk and financial risk.
Business risk refers to the variability of earnings before interest and taxes and arises mainly from
fluctuations in demand and variability of prices and costs. Financial risk represents the risk
arising from financial leverage. It must be emphasized that while debt capital is cheap it is also
risky because of the fixed financial burden associated with it. Generally the affairs of the firm
are, or should be, managed in such a way that the total risk borne by equity shareholders, which
consists of business risk and financial risk, is not unduly high. This implies that if the firm is
exposed to a high degree of business risk, its financial risk should be kept low. On the other
hand, if the firm has a low business risk profile, it can assume a high degree of financial risk.

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c. Control. From the point of view of the promoters of the project, the issue of control is
important. They would ordinarily prefer a scheme of financing which enables them to maximize
their control, current as well as potential, over the affairs of the firm, given their commitment of
funds to the project.

d. Flexibility. This refers to the ability of a firm (or project) to raise further capital from any
source it wishes to tap to meet the future financing needs. This provides maneuverability to the
firm. In most practical situations, flexibility means that the firm does not fully exhaust its debt
capacity. Put differently, it maintains reserve-borrowing powers to enable it to raise debt capital
to meet largely unforeseen future needs.

Production Costs: There are three major categories of manufacturing costs. These are
1. Direct materials cost: - The acquisition costs of all materials that are identified as part of the
cost object and that may be traced to the cost object in an economically feasible way.
Acquisition costs of direct materials include inward delivery charges, tax, and custom duties.
Direct material often does not include minor items such as glue or tacks. Why? because the
cost of tracing insignificant items do not seem worth the possible benefits of having more
accurate product costs. Such items are called supplies or indirect materials and are classified
as part of the indirect manufacturing costs.
2. Direct labor. The compensation of all labor that can be identified in an economically
feasible way with a cost object. Examples are the labor of machine operators and assembler.
Indirect labor costs are all factory labor compensation other than direct labor compensation.
These are labour costs that are impossible or impractical to trace to a specific product. They
are classified as part of the indirect manufacturing cost. Examples include wages of janitors,
and plant guards.
3. Indirect manufacturing costs (manufacturing overhead). All manufacturing costs that
cannot be identified specifically with or traced to the cost object in an economically feasible
way. Other terms used are factory overhead, factory burden, manufacturing overhead, and
manufacturing expenses. Examples of factory overhead (when products are cost object)
include power, supplies, indirect labour, factory rent, insurance, property taxes, and
depreciation.

5.3. Project Human Resource Management

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The management of people is a challenging task because of the dynamic nature of people. No
two people are similar. People are responsive. It is “the people” who is going to make the
difference in whatever type of organization. All Decisions that affect the workforce affect the
Organization’s HRM function. Progressive HRM Practices have a significant effect on
Organizational Performance. Human Resource Management refers to the philosophy, policies,
procedures and practices related to the management of people within an organization. Human
Resource Management involves: HR Acquisition (Recruiting, selecting, Orienting), HR
Development (Training, PA, compensation, motivation, employee relations), HR Utilization
(Knowledge, Skill and Abilities) and HR Exit (Voluntary and involuntary separations).

Project human resource management includes the processes required to make the most effective
use of the people involved with a project. Project Human Resource Management includes the
processes that are important to organize and manage the project team. The Project team is
comprised of the people who have assigned roles and responsibilities of completing the project.
The type and number of project team members can often change as the project progresses. In
projects, HRM has some peculiarities and problems. These include Project staffing problems
(e.g. diversity, availability), Performance appraisal problems, Motivation problems and Job
Description etc… Managing people under projects is more difficult because of the following.

Dual responsibility, Split Authority, Imbalance of authority and responsibility, The temporary
nature of projects and Lack of managerial capacity. In addition to technical capacity, project
managers need to have managerial capacity. This includes: Efficiency combined with
effectiveness, Non mechanistic approach to problem solving, Conflict management, Team
Building, Interpersonal skills, Motivation and leadership, Time Management, Change
Management, and Diversity Management. Generally a project contains both the technical staff
the support staff. The structure of the staff depends on the three types of the project structure. A
project manager is expected to manage not only the core and support teams but also other
stakeholders. These include: Sponsors, End users, Sub-contractors, Suppliers and Other line
departments.
5.3.1 Managing People in Projects

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A. Looking inwards and downwards: this is managing yourself and your team to maximize your
and their contribution. This includes: Providing SMART project goals, Creating a supportive
culture, Celebrating success and Providing purpose and direction.
B. Looking Upwards and Outwards: this refers to managing the project sponsor, clients or any
other external stakeholders to ensure their commitment and fulfill their expectations. This
involves: Building credibility, Networking, Securing stakeholders’ agreement and Marketing
the project.
C. Looking Forwards and Backwards: is about proper planning and continuous planning of the
future and monitoring and evaluation of the past. This involves: continuous planning and
review, keeping the whole team involved, Seeking and providing feedback and anticipating.

5.3.2. Project Staffing Problems: Anxieties about the possible loss of employment ,
Frustration due to authority ambiguity problems, Conflicts when there are no formal procedures,

role definitions and job descriptions, Conflicts are perceived more seriously by project staff ,
Project personnel feel abandoned from both sides (from the project and mother organization).
Project Human Resource Processes: Project Human resource planning, acquiring the
project team, developing the project team, managing the team.
Planning: Define Human Resource requirements of project (Number and Kind)
Identifying and documenting project roles, responsibilities, and reporting relationships

Roles and Responsibilities: Responsibility Assignment Matrixes, A Responsibility Assignment

Matrix (RAM) is a matrix that maps the work of the project, to the people responsible for
performing the work, can be created in different ways to meet unique project needs.

Responsibility Assignment Matrix (RAM): Human Resource Responsibilities, creating project

team directory, negotiating with resource managers for best resources, creating project job
descriptions for team members, understanding the team’s and other stakeholders’ needs for
training related to their work on the project, and making sure they get the training, creating a
formal plan for the team, management and other stakeholders; how they will be involved in the
project and what roles they will perform – a staffing management plan.
Organizational Charts: these could be Functional, matrix and project type

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Staffing Management Plan: Closely aligned with Roles and Responsibilities assignment,
Identify all project stakeholders, Identify their needs, expectations and objectives, Determine the
roles of each stakeholder on the project, Determine the skills and knowledge of each stakeholder,
Assess the overall impact of stakeholders on the project and Determine how stakeholders should
be managed

Planning Issues: Project interfaces: Organizational /formal and informal relationships among
different units/. Technical /formal and informal relationships among different technical
disciplines/. Interpersonal /formal and informal relationships among different individuals
working in the project/. Staffing Requirements: Kinds of competencies needed, Kinds of
individuals or groups needed, Time frames, Constraints - factors that limit team’s options,
Organizational constraints: e.g. Matrix strength, Collective bargaining agreements, Template -
Previous projects, Staffing management plan, How resources will be brought onto and taken off
the team, Appropriate reassignment procedures may, Reduce costs by eliminating “fill in” work,
Improve morale by reducing employment uncertainties.

Acquiring the Project Team: Acquiring qualified people for teams is crucial. The project
manager has to work hard in recruiting the best . Staffing plans and good hiring procedures are
important, as are incentives for recruiting and retention

Acquisition Issues: Staffing pool description: Team must consider characteristics of potential
staff, such as… Previous experience, personal interests, personal characteristics, availability,
competencies and proficiency. Negotiations, with… Functional managers, other project
management teams Pre assignment, Specific staff promised in proposal, Internal service project,
staff assigned in charter
Development: The main goal of team development is to help people work together more
effectively to improve project performance. It takes teamwork to successfully complete most
projects

Project Management: Project managers must lead their teams in performing various project
activities. Regular performance assessment is also needed. After assessing team performance and

related information, the project manager must decide: If changes should be requested to the

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project: if corrective or preventive actions should be recommended; if updates are needed to the
project management plan or organizational process assets.

Development Issues: Team Building, Leadership Styles, Motivation Theories, Conflict

Resolution and Problem Solving are some of the common focus areas for staff development. “To
be effective, Reward and Recognition systems must make the link between project performance
and reward clear, explicit and achievable”. Projects may need their own Reward and Recognition
system. Other Important Issues of project human resource management are conflict management,
motivation, reward and recognition, overcoming distance issues. Project human resource
management includes the processes required to make the most effective use of the people
involved with a project, Planning, Acquiring, Developing and Managing. Human Resource is
very critical for the Success of the Project. Methods of clearly putting roles and responsibilities
and key issues to be considered for the success of the project are important.

Project Team Building: A team is a group of people working together towards a common
goal”. A team is two or more people working together, encouraging and supporting each other,
achieve in an efficient way, mutually agreed up on and appropriate goals. Team building is
deliberate action focusing on encouragement of effective working practices and diminishing of
difficulties among team members. Team members share a common goal or goals. Team
members have individual tasks and roles that help to achieve group goals. Team members co-
operate with and respect one another, and tolerate individual differences. In team, seek
consensus, accept different points of view, work together and support one another. The team
leader is facilitator of the collective style.

Behavioral aims of team building: Reticent, communicative, Secretive & reserved, open,
conflict, cooperation, Apprehensive, trusting, Impersonal, mutual concern, Avoidance of
responsibility, self- responsibility, Sterility, creativity, alienation, commitment, Role confusion,
Individual centered, role clarity, team centered.

Characteristics of Effective Teams

1. High level of interdependence among team members

2. Team leaders have good people’s skills and are committed to team approach

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3. Each team member is willing to contribute
4. Team develops a relaxed climate for communication
5. Team members develop a mutual trust
6. Team and individuals are prepared to take risks
7. Team is clear about goals and established targets
8. Team members roles are defined
9. Team members know how to examine team and individual errors with out personal attacks
10. Team has capacity to create new ideas.
11. Each team member knows he can influence the team agenda
12. Leadership role is shared and rotates among team members depending on the situation at
hand
Motivation and Team Building: Know what activates human behaviors, know what directs
human behavior towards some goal, motivate different peoples differently, apply concept of
methodological individualism, because team is made up of individuals. Discovery and invention
are results of individual motivation.

Communication in Project Teams: Follow these principles when you communicate in Team
(they are called the 7 Cs)-Clarity, Completeness, Conciseness, Concreteness, Correctness,
Consideration, Courtesy.

UNIT SIX

PROJECT CONTROLLING, MONITORING AND CLOSING

Introduction
Once the project has been launched, it is essential to control the projects to achieve the desired
results. In this process the control becomes closely inter-wined in an integrated managerial
process. Project control involves a regular comparison of performance against targets, a search
for the causes of deviation and a commitment to check adverse variances.

6.1. Introduction to Project control

Project control serves two major functions: It ensures regular monitoring of performance. It
motives project Personnel to strike for achieving projects objectives steps in Projects Control.
There are two important steps in the project control; Establishment of controls and On-going

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controlling activities using above controls. It is nothing but controlling a project when it enters
the production period using the controls established during the initiation period.
Control during the production period involves four steps, there are
1. Setting targets for what should be achieved,
2. Measuring of what is happening including anticipation of what may happen.
3. Comparison between what should happen and what is happening or likely to happen.
4. Taking corrective actions to make things happen, as they should these four steps should
fellow each other till the work is completed.

Projected Control themes

The Projects Control can be exercised on different aspects. Such as on the progress of the
activities, on the performance of project activities, on project Schedule and on Projects Cost

Problems of project Control

Effective control is critical for the realization of project objectives. Control of projects in practice
tends to be ineffective. There are three main reasons for poor control of projects viz.,
Characteristics of the project- Largeness and complexities Maintenance of non-routine
activities Co-ordination and communication problem. People Problems- Managers do not have
required experience & training lack of competence and inclination to control projects. Poor
control and information system: Delay in reporting performance inappropriate level of detail
unreliable information.

Gantt Charts/Bar chart

In dealing with complex projects pictorial representation showing the various jobs to be done,
and the time and money they involve is generally helpful. One such pictorial charges, also
known is the bar chart, was developed by Henery Gantt around 1900. It consists of two
coordinate axes, one representing the time elapsed and the other, jobs or activities performed.
The length of a bar indicates the duration the job or activity take for completion. Generally, in
any project some jobs can be taken up concurrently and some will have to be completed before
others can begin. Hence, in a bar chart representing a projects, some of the bars run parallel or
overlap each other times-wise (these correspond to concurrent jobs) and some run serially with
one bar beginning after another bar ends (corresponding to an activity that succeeds a preceding
activity). For example activities A, B and C can start at the sometime and proceed concurrently

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or in parallel, though they take different time intervals for their completion. Activity D, however,
cannot begin until activity A is over. The bars representing A and D therefore run serially.

Let us consider a specific example. A piece of equipment is made of two parts A and B which
are to be assembled together before they are dispatched. Part A is of cast steel, which requires a
pattern and a mould. Part B is a machined item made on special machine M which needs to be
purchased and installed. Parts A requires special hear-treatment before assembly. The assembly
needs to be tested with a specially constructed rig before dispatch.
The time scale for each activity is as follows:
Preparing a pattern for casting 4 Weeks
Preparing a mould 2 Weeks
Costing the cleaning operation of A 1 Weeks
Heat-treatment of A 2 Weeks
Obtaining and installing machine M 7 Weeks
Machine part B 5 Weeks
Assembling part A and B 3 Weeks
Preparing the test rig 4 Weeks
Testing the assembly 2 Weeks
Packing for dispatch 1 Weeks
The various activities are shown along the ordinate or the vertical axis and the time elapsed along
the horizontal axis.

1.1.1.1. Weaknesses in Bar Charts

Interdependent of activities:

In a program where there are a large number of activities that can be started with a certain degree
of concurrency, the bar chart cannot show clearly the interdependent among the various efforts
or activities. This is a serious deficiency. The mere fact to or more activities are scheduled for
simultaneous or overlapping times does not necessarily make them related or interdependent, or
completely independent. Such activities as preparing a pattern, preparing a mould, costing and
cleaning, and heat-treating have to run sequentially, i.e., one activity must be completed before
the other can begin. The bars representing these activities are not allowed to overlap. On the
other hand, installing machine M and preparing the test rig can proceed simultaneously because
they are completely independent activities and hence the bars representing them can run parallel
to each other. However, this is exactly the weakness of the bar chart, because two parallel bars
need not necessarily stand for independent activities, as the following example will show.
Suppose a project involves digging foundation, erecting side boards or shuttering, and pouring
concrete. The time consumed is shown against each activity:
Digging foundation 20 Weeks

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 Erecting side boards 14 Weeks
Pouring concrete 16 Weeks
If the activities are not allowed to run in parallel but in strict sequence, the total time taken for
the completion of the project is 50 weeks. As we can easily see, erection of the sideboards can
start after the completion of, say, one-half of foundation digging. Similarly, poring of concrete
can start, say, 5 Weeks after the erection of side boards. According to this plan, the side board
erectors still have 4 weeks of work after the excavation job is over. However, if due to certain
unexpected difficulties the excavation is delayed by 1 or 2 weeks, how will reflect on the
sideboard erection or the concrete pouring job? This is not revealed by the bar chart.
Project progress:
A bar chart cannot be used as a control device since it does not show the progress of work.
Knowledge of the amount of work in progress or jobs completed is absolutely necessary in a
dynamic program. Changes in plans are a necessary part of a large project and a bar does not
offer much assistance under such circumstances. However, a conventional bar chart can be
modified to give this additional information.. Suppose 16 weeks have elapsed after he project
started: be the progress made in the project can be depicted by partially filling in the blank bars.
Foundation digging, is weeks behind schedule.
Uncertainties
One of the most important deficiencies of the bar chart is its inability to reflect the uncertainty or
tolerances in the duration times estimated for various activities. The modern day space system
programs or other complex projects are largely characterized by extensive research, development
and technological progress. The traditional knowledge or practices play a very insignificant role.
In such situations, the completion of various stages or jobs cannot be forecast with exactness.
Uncertainty about a test becoming successful or a sudden break though in technology to know-
how will always provide situations which will make rescheduling of various events a necessary
part of the project and give it a dynamic character which is not reflected in a bar chart.

Milestone Charts
Because of the shortcomings or the inadequacies of the chart in meeting the requirements of the
modern day management, efforts have been made to modify it by adding new elements. One
such modification is milestone chart. Another important modification, relatively successful, has
formed a link in the evolution of the Gantt chart into the PERT or CPM network. This
modification is called the milestone system. Milestones are key events or point time, which can
be identified when, completed as the project progresses. In the Gantt chart a bar which represents

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a long-term job is broken down to several pieces, each of which stands for an identifiable major
event. Each event is numbered and an explanatory table given identifying the number with the
event. These are specific event (points in time) which management has identifies as important
reference points during the completion of the project. This work breakdown increases the
awareness of the interdependent between tasks. While the milestone chart was definitely an
improvement on the bar chart, it still had one great deficiency, i.e., it did not clearly show the
interdependent between events. In a milestone chart the events are in chronological, but not
logical, sequence. A natural extension of the milestone chart was the network where the events
are connected by arrows in a logical sequence.

Critical path method (CPM)

The critical path analysis is an important tool in production planning and scheduling. Gantt
charts are also one of the tools of scheduling but they have one disadvantage for which they are
found to be unsuitable. The problem with Gantt chart is that the sequence of operation of a
project or the earliest possible date for the completion of the project as a whole cannot be
ascertained. This problem is overcome by this method of Critical Path Analysis. CPM is used for
scheduling special projects where the relationship between the different parts of project is more

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complicated than of a simple chain of task to be completed on after the other. This method
(CPM) can be used at one extreme for the very simple job and at other extreme for the most
complicated tasks. A CPM is a route between two or more operations which minimizes (or
maximizes) some measures of performance. This can also be defined as the sequence of
activities, which will require greatest normal time to accomplish. It means that the sequences of
activities, which require longest duration, are singled out. It is called at critical path because
longest duration is singled out. It is called as critical path because any delay in performing the
activities should be taken should be taken up first.

According to John L. Burbidge, “One of the purposes of critical path analysis to find the
sequence of activities with the largest sum of duration times, and thus find the minimum time
necessary to complete the project. This critical series of activities is known as the ‘Critical path”.
Under CPM, the project is analyzed into different operation or activities and their relationship
are determined and shown on the network diagram. So, first of all a network diagram is drawn.
After this the required time or some other measure of then combined to develop a schedule
which minimizes or maximizes the measure of performance for each operation. Thus CPM
marks critical activities in a project and concentrates on them. It is based on the assumption that
the expected time is actually the time taken to complete the object.

Main objects of CPM

The main objects of CPM are: to find difficulties and obstacles in the course of production
process, to assign time for each operation, to ascertain the starting and finishing times of the
work, to find the critical path and the minimum duration time for the project as a whole.
Situation where CPM can be effectively used: CPM techniques can be used effectively in the
following situation: In production planning, location of and deliveries from a warehouse, road
systems and traffic schedules and communication network.

Advantages of CPM

The application of CPM leads to the following advantages: It provides an analytical approach to
the achievement of project objective which are defined clearly. It identifies most critical
elements and pays more attention to these activities. It assists avoiding waste of time, energy and
money on unimportant activities. It provides a standard method for communicating project

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plains, schedules and cost. Thus CPM technique is a very useful analysis in production planning
of very large project. There are so many modern techniques that have developed recently for the
planning and control of large projects in various industries especially in defense, Chemical and
construction industries. Perhaps, the PERT is the best known of such techniques. PERT is a time-
event network analysis technique designed to watch how the parts of a program fit together
during passage of time and events. The special project office of the U.S. Navy developed the
technique in 1958. It involves the expected of any operation can never by determined expected
time of any operation can never by determined exactly.

Major feature of PERT or Procedure or Requirement for PERT

The following are the main feature of PERT: All individual tasks should be shown in a network.
Events are shown by circles. Each circle representation event a subsidiary plans whose
completion can be measured at a given time. Each arrow represents and activity the time
consuming element of a program, the effort that must be made between events. Activity time is
the elapsed time required to accomplish element an event. In the original PERT, three-time
values are used as follows: Is
t1 (Optimistic time) : It is the best estimate of time if everything goes exceptionally well
t2 (Most likely time): It is an estimated time what the project engineer believes necessary
to do the job or it is the time which most often is required if the activity is repeated a
number of times.
t3 (Pessimistic time) : It is also an activity of under adverse conditions. It is the longest
time and rather is more difficult to ascertain.
The experiences have shown that the best estimate of time out of several estimates made by the
projects engineer is:
t1 + 4t2 + t3
t=
6
and the variance of t is given by-
t3 t1
V (t )=
6
Here it is assumed that the time estimate follows the Beta distribution.
The next step is the compute the critical path and the slack time. A critical path or critical
sequence of activities is one, which takes the longest time to accomplish the work and the least
slack time.

Advantage of PERT
PERT is a very important of managerial planning and control at the top level concerned
with overall responsibility of a project. PERT has the following merits.

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 Pert forces managers and subordinate manger’s to make a plan for production because
time event analysis is quite impossible without planning and seeing how the pieces fit
together.
PERT encourage management control by exception. It concentrates attentions on critical
element that may need correction.
It enables forwards-working control, as a delay will affect the succeeding events and
possibly the whole project. The production manager can somehow make up the time by
shortening that of some other time.
The network system with its sub-systems creates a pressure for action at the right spot and
level and at the right event.
PERT can be effectively used for re-scheduling the activities.

Limitations in using PERT

The uses of PERT techniques are subject to the following limitations:
It is a time-consuming and expensive technique.
It is based on Beta Distribution and the assumption of Beta Distribution may not always be
true.
PERT is not suitable when program is nebulous and a reasonable estimate of time schedule
is not possible.
It is not useful for routine planning of recurring events such as mass production because
once a repetitive sequence is clearly worked out; elaborate and continuing control is not
required.
The expected time and the corresponding variance are only estimated values.
Difference in PERT and CPM
Although these techniques (PERT and CPM) use the same principles and are based on
network analysis yet they in the following respects from each other:
PERT is appropriate where time estimate arte uncertain in the duration of activities as
measured by optimistic time, most likely time, and pessimistic time, where as CPM
(Critical Path Method) is good when time estimates are found with certainty. CPM
assumes that he duration of every activity is constant and therefore every activity is
critical or not.
PERT is concerned with events, which are the beginning or ending points of operation
while CPM is concerned with activities.
PERT is suitable for non-repetitive projects while CPM is designed for repetitive
projects.
PERT can be analyzed statistically whereas CPM not.
PERT is not concerned with the relationship between time and cost, whereas CPM
established a relationship between time and cost is proportionate to time.

6.2. Project closing process

The last major phase of a project's life cycle is the close-out. Closing a project should be a fairly
routine process.

Key elements

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The key elements to project close-out are: accepting the project's products indicated by user sign-
off, completing the Post Implementation Evaluation Report (PIER), disbursing the resources—
staff, facilities, and automated systems, conducting a lessons learned session, completing and
archiving project records, recognizing outstanding achievement, celebrating project completion.
These activities are particularly important on large projects with extensive records and resources.
This section does not address processes for transitioning the technical support into maintenance
and operation. These tasks are diverse and unique to the specific development environment of a
project. The first step of the close-out process is the user's acceptance of the system. This is a
critical and important step, as the user decides when the project is completed. Acceptance is
based upon the success criteria defined in the very early concept and planning stages of the
project. This acceptance should be formal, meaning that user sign-offs should be obtained.

What is a Post Implementation Evaluation Report?

A Post Implementation Evaluation Report (PIER) documents the history of a project. It provides
a record of the planned and actual budget and schedule. The report also contains
recommendations for other projects of similar size and scope. The PIER will be stored on the
State’s database on IT projects. Additional specifications for the PIER and the project database
can also be stored. The PIER Table of Contents should look like the following:
PIER
 Schedules
 Successful risk assessment and mitigation techniques, i.e. What risks occurred and
what techniques were used to mitigate these risks
 Processes used for change control, quality, and configuration management
 Techniques used for project communication
 Techniques for handling customer expectations
 Success factors and how they were met
 Financial data
 Recommendations to future project managers
 Lessons Learned (from lessons learned session)
Identifying and Addressing Success
Be certain that successes as well as problems on the project are identified in the PIER. Be certain
to include new ideas that were very successful on the project. Make recommendations on how
these processes might be adapted for other projects. Share the project successes with other
organizations. In the same way that problem identification can lead to improvements, successes

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must be shared so they can be repeated. Where possible, successes should be translated into
procedures that will be followed by future projects.

Who Prepares the Report?

The project manager has responsibility for preparing the report. The project manager gets input
from the entire project team, the users, and other major stakeholders. People performing
different functions on the project will have a different outlook on the successes and failures and
on possible solutions. If every project member cannot be consulted, at least ensure that a
representative from each major area of the project participates. The users’ overall view of the
project and its final product is also a major focus of the project. It is this view, along with the
view of the major stakeholders that lives on after closure has been completed.
Collecting Project Data
Following preparation of the Post Implementation Evaluation Report, the project database is
archived. Historic project data is an important source of information to help improve future
projects. Typically, the following project data is archived: Project identification and evaluation
report, project plan and project Management Control Documents (correspondence, relevant
meeting notes, status reports, and contract files), technical documents, and information that had
been placed under configuration management

All the hard copy records should be stored following standard guidelines. Many of the technical
records and automated versions will be turned over to stakeholders responsible for maintenance
and operation of the system. Summary technical information should be electronically stored for
historical access. The project archive includes a description of the files being submitted, the
application (including version) used to create the archived materials, and a point of contact if
further information is needed.

Where is the Archive Maintained?

The units sponsoring the project usually maintain an archive of projects that includes only
project summary information. The more detailed information is archived at the organization.
How is the Archived Material Used?
Building a repository of past projects serves as both a reference source for estimating other
efforts and as a training tool for project managers. Project archives can be used when estimating
projects and in developing metrics on probable productivity of the development teams. Use of

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past performance metrics provides the best source for future estimates. When sufficient project
data is collected over time, the state may be able to develop an experience database that will help
to make strong estimates and develop realistic project plans.
Recognition of Success
Celebrate the success of completing a project!
There is fairly universal recognition that positive reinforcement, or rewarding behavior, is an
effective management tool. Since it is a goal within the project promoters to execute all projects
successfully, it is important to recognize teams that have met this goal. When success in a project
is achieved, be certain to provide some recognition to the team. If individuals are singled out for
significant achievements, don’t forget to recognize the entire team as well.
What is Success?
Success is defined at the early stages of planning the project. In this project management
methodology, success factors are developed as part of the concept phase. Success is not tied only
to budget and schedule. Many projects can be considered a tremendous success even though the
project did ultimately cost more than had been anticipated.
Some key questions that determine success are:
 Were the success factors achieved?
 Do the stakeholders and end-users view in a positive manner the project product?
 Was the project well-managed?
 Did the team work well together and know what was going right and wrong?
Informal Recognition
There are many ways to reward people for a job well done. The reward might be an informal
after work gathering or a lunch-time celebration. If people are willing to chip in, you could
provide mugs that commemorate the event.
Formal Recognition
Management may also want to express recognition of a successful team effort by praising the
team at a key meeting or a large gathering of staff. People are proud to have senior management
appreciation stated, and such recognition sets the stage for future successful work. Formal
recognition can also be achieved through coordination with the Kansas Information Technology
Office for articles in industry periodicals and by updating the project data that is circulated to the
legislature.

Conduct a Lessons Learned Session

In addition to communicating the closure of a project in writing, it is also advisable to have a
mechanism for group review. A “lessons learned” session is a valuable closure mechanism for
team members, regardless of the project's success. Some typical questions to answer in such a

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session include: Did the delivered product meet the specified requirements and goals of the
project? Was the user/client satisfied with the end product? Were cost budgets met? Was the
schedule met? Were risks identified and mitigated? Did the project management methodology
work? What could be done to improve the process?
The lessons learned session is typically a large meeting that includes Project team, stakeholder
representation - including external project oversight, executive management, maintenance and
operation staff. Such a session provides official closure to a project. It also provides a forum for
public recognition and offers an opportunity to discuss ways to improve future processes and
procedures.

Document Lessons Learned

One purpose of the PIER is to document lessons learned. This means that problems encountered
by the project team are openly presented. Problem identification on completed projects provides
a method to discuss the issue in hopes of eliminating its occurrence in future endeavors. It is
important, however, that the problem discussions do not merely point a finger away from the
project team. Responsibility and ownership for problem areas are critical to developing useful
recommendations for future processes. Problems that were encountered should be prioritized
with focus on the top five to ten problems. One should not document every problem. Since
problems or sensitive issues may be discussed in the PIER and Lessons Learned, it is helpful to
have all contributing parties review the materials prior to formally submitting the document. It is
useful to have the reviews in an interactive forum where all parties can discuss their
recommendations for improvement. The PIER can then present a complete view of the project.

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