Lecture = 1

INTRODUCTION TO

PROJECT MANAGEMENT:
 PROJECT DEFINITION

Project is a set of unique, complex and inter-

connected activities: designed to achieve the
project Goal or Purpose, within the agreed
Time frame, with a well defined Scope and
Quality (specification), with limited
Resources and approved Cost / Budget.
 Characteristics of Project Activities:
3
 Unique activities: under the changed condition.
 Complex activities:
Mostly new activities, requiring special skills and
judgment to be more effective. Project activities are Not
repetitive.
 Inter-related Activities:
 Project activities are generally inter-connected.
 Out put from one activity may be input to another.
 There is a sequence / order in activities. The sequence
of activities is based on Technical requirements
(Technical dependence on each other).
 The order or sequence of activities whether these
activities can be started parallel or consecutively is very
important for Resources allocation and time scheduling.
_ Chapter#1 Introd to Proj:Mgt- Dr Amin Ullah 11/04/23
KEY CHARACTERISTICS OF A PROJECT
 Well defined Goal or Purpose.
Unique, complex and inter-connected project
activities.
 Definite start and Finish Time frame.
 Detailed Cost Estimates / Budget .
Defined scope of work and Specifications (Quality
and Quantity of Work)
 Well-defined Resources (Physical, HR and
 Financial resources)
 Project Management:
5

 Project management is the Process of application

of knowledge, skills and management techniques
to achieve the Project Purpose or Project Goal
efficiently and effectively, with the satisfaction of
its key stakeholders and within the agreed Time,
Budget, Scope, Quality and Resources.
 “Difference between “PROGRAM & PROJECT”
PROJECT
6

 Programs are larger in Scope.

 Programs contain more than one project
(consists of many separate but relevant projects)
 Programs have multiple goals/purposes.
 Programs are long term in comparison to a
project time period.
 Monitoring and Control is focused and tight for a
Project, while it is broader and strategic for a
Program.

Chapter 1 Introd to P.Mgt-Agri Univ 11/04/23

 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
7

1. Project Scope,
2. Project Quality,
3. Project Time,
4. Project Cost&
5. Project Resources:
 These are the five inter-dependent set of
constraints of a project and are important for
the success or failure of a project. These are
the Building Blocks of a Project.
 THE FIVE PROJECT PARAMETERS /

8
CONSTRAINTS:

 Change in one of them may cause changes in

the others. The Project management should be
careful and vigilant to maintain equilibrium or
balance while making changes or adjustments in
the Plan during the implementation of a project.
 The Scope Triangle
9

3. Cost/Budget 4. Time
1. Scope
+
2. Quality

5. Resources
11/04/23
 THE SCOPE TRIANGLE:
10

 Projects operate in a dynamic environment

effected by external forces in the External
Environment as well as internal Organizational
factors. Therefore, the Project management must
be flexible, responsive and adaptive and should
maintain equilibrium / balancing of Time, Cost and
Resources (Inputs) bounded by Scope and
Quality (output) due to changes occur during
implementation of the project.

Chapter 1 Introd to P.Mgt-Agri Univ 11/04/23

 THE SCOPE TRIANGLE:
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 TIME: Completion period of project.

 COST: Budget or project cost
 RESOURCES:
Men, Materials, Machines, space facility etc.
 In the Project plan, time, cost / budget and
resources (Input) needed, are agreed /
approved to deliver the Quality and Scope of
the project (Output). However, Changes in
Project Scope & Specification of materials
(Quality), completion time are quite common
during the project implementation.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
12

1. Project Scope:
The Scope of the Project contains the following Five (5)
Key Elements or Components:
 Project Justification / Project Rationale.
 Project Purpose / Project Goal / Desired Results.
 Project Objectives : Required to achieve project
Goal or Purpose. Each Objective has Outputs /
deliverables.
 Determine Project Success Criteria: How to
determine the success of a project.
 Assumptions, Risks and Obstacles.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
13

 It is the Statement of all works to be undertaken

in the project to achieve the Project Goal /
purpose. It specifies what are to be done & what
are not to be done.
 It is critical / Important that the Scope of the
project is carefully and precisely stated in the
contract agreement, understood, verified and
agreed by both Client and the Project
Management.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
14

 The scope may change during the project

Implementation due to:
i) Request of the Client,
ii) External factors or other reasons.
These changes in the scope should be carefully
and professionally managed and properly
documented by the project management.

 THE FIVE PROJECT
15
PARAMETERS / CONSTRAINTS:
2) QUALITY / SPECIFICATIONS: Definition of Quality
 The International Organization for Standardization (ISO) defines
quality:
“The “Totality of Features and Characteristics of a Product or
Service” that bear on its ability to satisfy stated or implied
needs”.
Other experts define Quality:
 from the perspective of Suppliers as:
 “Conformance to requirements i.e. meeting written
specifications”
 from the perspective of Customers:
 “Quality of a good or service is fitness for use of it” i.e. ensuring
a product can be used as it was intended
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
16

In projects, Quality is of two types:

1. Quality of Product or Services or both.
It means the quality of all Deliverables and outcomes of
the project.
2. Quality of Project Management Process.
 An effective Quality management system should be in
place to regularly monitor Product / Services Quality as
well as the Process Quality.
 Continuous improvement in both: Product / service and
Process Quality is essential to ensure:
a) Customer’s Satisfaction &
b) Efficient and Effective use of Organizational Resources.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS
17

3) TIME:
 Time for each activity / task is calculated for each activity / Task
given in the scope of work / Contract agreement and then the
time of all activities / tasks are added together and the total
completion Time of the project is determined.
 Cost and Time are trade off.
 Decrease if required in completion time of a project may affect
the cost to some extent and vice-versa.
 Time is an important resource which should be used in an
efficient and effective manner in order to keep the project on
schedule. Completion of project within the specified time
schedule is very important / critical for Market- based or
commercial projects.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
18

4) COST.
 Project Cost is another variable which has to be
calculated precisely and then monitored and controlled
regularly.
 Clients usually offer a certain amount for the work.
 Project management calculate detailed estimates for each
task / activity defined in the Scope of the project duly
agreed in the project Contract agreement.
 These costs are added and work out the total cost for
completion of the Project according to the desired quality
in the given time frame. Project management and client
negotiate and finally decide / agree on these cost
estimates in the contract agreement.
 Total Project Cost includes:
a) Capital Costs & b) Recurring / operating Costs.
 THE FIVE PROJECT PARAMETERS /
CONSTRAINTS:
19

5) RESOURCES:
 Resources are the Tangible & In-tangible assets.

Common resources may be as follows:

1) Men 2) Machine 3) Materials 4) Money 5)
Time 6) Physical Facility.
 Resources are estimated for the Tasks / activities

identified in the Scope of the project, based on their

sequential order and time frame.
 Resources are to be acquired Economically, and used

efficiently to achieve the Out Puts.

 There are usually Constraints of availability of resources

(Quantity, Quality & at required time.)

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11/04/23