Project management

Besides day-to-day activities, a business may have projects that are one-time, temporary, specific pieces of work. Projects need to be managed to deliver on time, within budget, and to specifications.

How it works

The process of project management takes a complex project from start to finish. It requires a different set of knowledge, experience, and skills from a mainstream operation because the goals set up have to be achieved within defined limitations. These constraints include scope, time, quality, and budget. A project team might include people from different organizations, diverse disciplines, and multiple locations. Successful project management involves not only overseeing the people working towards the particular objective, but also managing the risks, schedule, relationships, individual and team input, range of stakeholders with vested interests in the project, and financial resources. Effective project management is
increasingly viewed as a strategic competence (see p.85) for any business because it enables the introduction of new products, new methods, and new technology.

NEED TO KNOW

Project management tools
There are many different project management tools, particularly for software development. One tool is PRINCE2®, a process-based approach to project management within a clear framework. The emphasis is on dividing the project into manageable and controllable stages with a defined structure for the project management team.

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Steps in project management

Initiation

• ❯ Project charter, including business case, objective, scope, budget, deliverables, and schedule
• ❯ Roles and responsibilities
• ❯ Resource allocation

Planning

• ❯ Detailed plan of work
• ❯ Critical path analysis
• ❯ Risks

Execution

• ❯ Coordinating people and resources
• ❯ Quality assurance
• ❯ Communication to team and stakeholders

Monitoring and control

• ❯ Measuring effort and progress
• ❯ Managing and mitigating risk
• ❯ People management

Closure

• ❯ Finalizing all activities
• ❯ Communication
• ❯ Learning—project review

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HURDLES AND HOW TO OVERCOME THEM

Every project comes up against challenges. These are some of the common ones, and the ways that effective management can keep the project on track.