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International Project Management

21st May 2024

Project Management Basics 1


What we shall discuss today?
• What is a project?
• Types of project contracts
• Project constraints
• Types of projects
• How do you define project success
• What is project management
• Project Management Institute[PMI]–Body of Knowledge [PMBOK]
• Project Management Principles
• Project Management Processes
• Project Management Knowledge Areas
• Project Organisation Structure
• Change Management
• Some checklists for reference Project Management Basics 2
What is a project?
A project is temporary
It has definite start and end date
So it has defined
- Scope
- Resources
A project is unique and not routine everyday job
It is a set of activities to achieve a well defined unique objective

As per PMI (Project Management Institute) - PMBOK (Project Management Body of Knowledge)
A temporary endeavor undertaken to create a unique product or service.
Temporary means that every project has a definite end, and
Unique means that the product or service is different from all similar products or services.
Project Management Basics 3
Projects

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Project or operation
Setting up a mobile phone factory
- Project
Assembling thousands of mobile phones every day
- Operation
Assembling thousands of AI based mobile phones using design
blueprint
- Operation
A team of researchers designing an AI based mobile phone
- Project

Project Management Basics 5


Project constraints

Project Management Basics 6


Types of project contracts
1. EPC (Engineering, Procurement, and Construction): In this model, the EPC contractor takes full
responsibility for designing, procuring materials, constructing, and eventually commissioning the
project. The completed facility must meet performance and quality standards.
2. EPCM (Engineering, Procurement, and Construction Management): Here, the EPCM contractor
handles design, procurement, and overall construction management. They provide consultancy to
contractors who perform the actual construction. The client has more control but also needs to
oversee the process.
3. PMC (Project Management Contractor or Project Management Consultancy): The PMC
supervises and oversees the project on behalf of the client. They may manage one or more EPCs
or EPCMs.
4. Turnkey: In turnkey projects, the client provides basic technical requirements, and the turnkey
contractor executes the design, construction, and validation. Unlike EPC projects, turnkey projects
involve the contractor taking on the entire risk and responsibility.
5. LSTK (Lump Sum Turnkey): LSTK combines the concepts of lump sum and turnkey. It implies that
the contractor is responsible for the entire project, from design to validation and commissioning.
LSTK projects are comprehensive, where the contractor handles everything, including risk and
execution. Project Management Basics 7
How do you define project success?
Factor Project Goals Project Objectives
Definition What result is to be achieved as long Tasks to be executed to achieve the result
term gain
Time period Long term - 5 to 10 years Short to medium term as execution milestones
Measurability Are not adequately measurable; has Measurement criteria is set
an subjective element
Example To improve convenience and reduce Mumbai Metro line 3 when completed is expected
- Mumbai Metro 3 congestion public transport of to serve 1.7 million passengers daily with a
Mumbai frequency of 3-4 minutes, accommodating around
2,500 passengers per train on 3 3.5 KMs long
Project objectives template underground corridor running along Colaba-
Bandra-SEEPZ.
Parameter Description Measurement Target Value Actual Value Review
methodology remarks

Project Management Basics 8


What is Project Management
A methodical approach to planning and guiding project processes from start to finish.
It is the method of planning the plan. It starts from project definitions and ends with goal
achievement.
PMBOK defines project management as
the application of knowledge, skill, tool and techniques to project activities in order to meet
stakeholder’s needs and expectations from a project.

Project Management Basics 9


PMI –
Project Management Body Of Knowledge
PMI empowers project professionals to excel in project management practices through our growing
global community, knowledge sharing, and best-in-class certifications—driving positive change in
organizations and communities.

The PMI Community spans over 80 countries and includes more than 300 volunteer-led chapters,
where members enjoy events, make connections, and share knowledge and experience—face-to-
face - with local like-minded professionals.

The PMBOK7 is mainly focused on following aspects:


• Project Management Process – 5 Nos.
• Project Management Principles – 12 Nos.
• Project Management Knowledge Areas – 8 Nos.

Project Management Basics 10


Project Management Principles
• Be a diligent, respectful, and caring steward
• Create a collaborative team environment
• Effectively engage with stakeholders
• Focus on value
• Recognize, evaluate, and respond to system interactions
• Demonstrate leadership behavior
• Tailor based on context
• Build quality into processes and deliverables
• Navigate complexity
• Optimize risk responses
• Embrace adaptability and resiliency
• Enable change readiness and agility
Project Management Basics 11
Project Management processes
Process Group Purpose and Definition
Define and authorize a project or a new phase of an existing project.
Initiating Processes
Create a project charter.
Establish scope, refine objectives, and plan a course of action
Planning Processes required to deliver the scope the project needs to achieve. Create a
communication plan and work breakdown structure (WBS).
Coordinate people and resources and develop the team to complete
Executing Processes the work defined in the project management plan that satisfies the
project requirements.
Monitoring & Controlling Track, review and regulate the progress and performance of the
Processes project, identify required changes, and initiate these changes.
Formalize acceptance of the product, services, or result and bring the
Closing Processes
project or a project phase to an orderly close.
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Initiation
• Project Charter
– Objectives, Scope, key milestones, cost, time
• Identify stakeholders

Business case
- Whether we should proceed or not?

Project Management Basics 13


Planning
• What are we going to do?
• How are we going to do?
• How to know when project is done?

Identify Risks
Define Scope, Work breakdown structure, Budget
Need based – Quality, Risk, HR, Communications,
procurement

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Planning – work breakdown structure

Levels are used to detail the activities so that accurate execution time estimation.

Project Management Basics 15


Execution
1. Resource Allocation: The project manager organizes and allocates resources,
including human resources, equipment, and materials.
2. Team Assignments: Specific tasks are assigned to team members based on the
project plan.
3. Task Execution: Actual work on the project begins, following the methods and
processes outlined during the planning stage.
4. Quality Assurance: Completed tasks are reviewed for quality.
5. Performance Reporting: This involves updating schedules, budgets, and resource
information. Effective communication keeps stakeholders informed.
6. Problem-Solving and Adjustments: Issues inevitably arise, leading to adjustments in
the original plan.
7. Stakeholder Engagement: Regular meetings, progress reports, and demonstrations
of work in progress engage stakeholders and may lead to plan adjustments.
During the execution phase, teams produce deliverables (tangible products or
services) that the project was initiated to create. Additionally, documentation such as
technical documents, project status reports, and revised project plans is generated to
ensure transparency and track progress

Project Management Basics 16


Project execution approach

Source: Project Management handbook for EPC,


Project Management 2014
Basics 17
Monitoring & Controlling
• Schedule control
• Monitoring
• Reporting
• Review meetings
• Cost control
• Project budget
• Cash flows
• Budget revision
• Budget vs Actual review – Cost and BOQ
• Reporting and Review meetings
• Daily, weekly, monthly internal review meetings
• Expediting meeting with vendors
• Steering committee meetings
• Monthly progress report to client
• Project review meeting with client Project Management Basics 18
Closing processes

Documenting lessons learnt is an important part of closing process ensuring


knowledge management for improvements in future Project Management Basics
projects 19
10
Knowledge Areas

Project Management knowledge areas


Integration Management
Scope Management
Schedule Management
Cost Management
Quality Management
Resources Management
Communications Management
Risk Management
Procurement Management
Stakeholder Management

Project Management Basics 20


10
1
Knowledge Areas

Project Integration Management


• Coordinate work to make sure that all aspects of the project come
together at the right time to accomplish the project objectives.

Project Evaluation and Review Technique (PERT)


Critical path in a project network diagram isProject
the Management
longest path
Basicsthat determines the project’s duration 21
10
2
Knowledge Areas

Project Scope Management


Define project objectives, establish a scope baseline and monitor and control the project to meet
the scope baseline.
Scope shall include
Purpose
Background
Objectives
Key stakeholders
Organizational requirements
Approach
Timeframe and Milestones
Inclusion & Deliverables
Exclusions

Project Management Basics 22


10
2
Knowledge Areas

Project Scope Management


Scope creep occurs when a client adds new provisions, tasks, or deliverables to a project that are
outside of an existing scope of work.
These unforeseen changes can lead to
- missed deadlines,
- financial losses,
- increased timelines and budgets, and
- client dissatisfaction.
Ways to stop scope creep from wrecking your projects.
1. Talk about how changes impact the project schedule. ...
2. Include a process for changing the scope.
• E.g. Mumbai Metro Line 3 [MML-3] -A 20 km (12 mi) metro line from Colaba to Bandra was
announced in January 2004, as part of a master plan unveiled by the Mumbai Metropolitan
Region Development Authority (MMRDA)
• MML-3 is now a 33.5 KMs long underground corridor running along Colaba-Bandra-SEEPZ. Length
of the corridor is marked with 27 key stations out of which 26 will be underground and 1 at grade.
• Mumbai Metro 3 -Demand to shift Metro carshed
Project to Basics
Management Kanjurmarg 23
10
3
Knowledge Areas

Project Schedule Management


Determine a realistic schedule baseline and monitor and control the project to meet this baseline.
Define Activities:
During this step, project activities required for project completion are precisely defined and itemized.
Sequence Activities:
Dependencies between activities are determined in this process. For example, tasks with a finish-to-start
relationship cannot start until the previous task finishes.
Alternatives include finish-to-finish, start-to-start, and the rare start-to-finish relationships.
Estimate Activity Durations:
Time required for each activity is estimated, considering factors resource availability, complexity, and
historical data.
Develop and Control Schedule:
The project schedule is created by using techniques like critical path analysis and schedule compression.
During project execution, the schedule is monitored and adjusted as needed. Changes, delays, and
variances are managed.
Project Management Basics 24
10
3
Knowledge Areas

Project Schedule Management

• Unforeseen environmental issues for Metro carshed in Aarey


Project Management Basics 25
10
4
Knowledge Areas

Project Cost Management


Estimate costs, establish a realistic project budget and cost baseline, and control costs so the project
is completed within the approved budget.
Plan cost management
• Inputs: Project Management Plan, Project Charter, enterprise environmental factors, and
organizational process assets.
• Tools and Techniques: Expert judgment, analytical techniques, and meetings.
• Outputs: Cost management plan
Estimate costs
• Inputs: Cost management plan, human resource management plan, scope baseline, project
schedule, risk register, enterprise environmental factors, and organizational process assets.
• Techniques: Expert judgment, analogous estimating, parametric estimating, bottom-up
estimating, three-point estimating, reserve analysis, cost of quality, project management
software, and vendor bid analysis.
• Outputs: Activity cost estimates and basis of estimates.
Determine budget
• Inputs: Cost management plan, scope baseline, project schedule, and activity cost estimates.
• Outputs: Time-phased project cost baseline
Project Management Basics 26
10
5
Knowledge Areas

Project Quality Management


• Determine project quality requirements and ensure that project will
meet these requirements.

Project Management Basics 27


10
6
Knowledge Areas

Project Resources Management


Ensure necessary equipment, material, and facilities are available in a timely fashion, assign the right people to work on
the project, and organize them to create a high-performance team.
Plan Resource Management:
1. This process involves identifying the type and quantity of resources required, including people.
2. Job descriptions are created for project team members.
Estimate Activity Resources:
1. Resources are classified by type, quantity, and other factors (such as grade, quality, and availability).
2. Techniques like analogous, parametric, and three-point estimating are used to determine resource
requirements.
3. The output includes resource requirements, basis of estimates, and a resource breakdown structure.
Acquire Resources:
1. This process involves obtaining the necessary resources - human resources, equipment, or materials.
Develop and Manage Team:
1. Take measures to improve team member skills, enhancing collaboration, and fostering a positive team
environment (Training, mentoring, and team-building activities are part of this process).
2. It includes monitoring team performance, addressing conflicts, and ensuring team members remain motivated
and productive.
Control Resources:
1. Throughout the project, resource usage andProjectperformance
Management Basicsare monitored. 28
10
7
Knowledge Areas

Project Communications Management


Ensure timely and appropriate generation, collection, dissemination, storage of project information
to all stakeholders.

Define and document Communication methods


- Project review meetings
- Daily site toolbox meetings
- Shared network portals/ database
- Site PA system / Mobile radio sets /Alarms
- Publication of site progress dashboard

Project Management Basics 29


10
8
Knowledge Areas

Project Risk Management


• Identify risks, analyze risks, and monitor risks. Plan risk responses and prepare to handle
individual risks and project uncertainty.

Project Management Basics 30


10
8
Knowledge Areas

Project Risk Management

Schedule Risk Cost Risk Performance Risk

Safety risk - Design, Change


construction Management
Technology
Cash and Currency
risk
Statutory Risk
Community risk
Supplier Risk – Equipment
Vendor, contractor , selection
Contract and legal
consultants

Project Management Basics 31


10
9
Knowledge Areas
Project Procurement Management
• Plan, manage and control the acquisition of goods and services from outside the performing
organization.

Procurement typically includes


- Selecting a vendor and placing order
- Inspection[at vendor premises and at site ] and expediting
- Logistics arrangement to deliver the materials and equipment on project site

Project Management Basics 32


10
10
Knowledge Areas
Project Stakeholder Management

• Stakeholder is an entity/person who is impacted positively or negatively.


• Plan to include engagement activities with communication plan detailing
– With whom to communicate, What to communicate, When to communicate and Who will
communicate
Project Management Basics 33
e.g. Communications with Press/Media
10
10
Knowledge Areas

Project Stakeholder Management

Project Management Basics 34


Some checklists for reference

Project Management Basics 38


Thank you

Some resources
Where to purchase project management books | PMI
https://www.pmi.org/pmbok-guide-standards/purchase

PMBOK® Summarized (archimetric.com)


https://www.archimetric.com/wp-content/uploads/2017/06/PMBOK-Summarized.pdf

Project Management Basics 39

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