Report of Project Management

Allama Iqbal Open University.

Proposed by:

MAHVISH ANWER
Roll No.

AD-513442

MBA (Banking Finance)

Supervised By:

Sir Asad Bukhari sb.

A dissertation submitted as a partial fulfillment of the
requirement for the degree of
MBA (Banking Finance)

Department of Business Administration

ALLAMA IQBAL OPEN UNIVERSITY ISLAMABAD

SESSION 2009-10
Acknowledgement:
I am thankful to almighty Allah, the most beneficial and the most merciful, the source of all
knowledge, wisdom and guidance, who taught man to read and write with pen and blessed him with
knowledge to not only embark upon the noble and scared work but complete this treatise also.

All praise and thanks to Hazrat Muhammad (Peace Be Upon Him), Who has blessed man with the
flowers of knowledge from his pious garden.

After this I honestly like to express my deepest gratitude to my respected teacher of this subject, who
made me stand up to write and complete the task of this assignment successfully.

I am very thankful to him on providing the reference of the case study, and providing the guidelines o
that issue.

I am also thankful to all my friends who helps me a lot with strong encouragement in this task.

MAHVISH ANWER

MBA (Banking and finance)

Roll No. AD513442

Central College Multan

Introduction:
Project management effectiveness

Project managers interact continually with upper-level management,perhaps more so than with
functional managers.not only the success of the projects but even the career path of the project
manager can depend on the working relationship and expectations established with upper level
management.there are four key variables in measuring the effectiveness of dealing with upper level
management.these variables are credibility,priority,accessibility abd visibility:

Credibility

 Credibility comes from being a sound decision maker.

 It is normally based on experience in a varity of assignment.
 It is refueled by the manager and status of his project.
  Making success visible to other increase credibility.
 To be bekivable ,emphasize facts rather than opinions.
 Give credit to others:they may return this favor.

Priority

 Sell the specific importance of the project to the objectives of the total organization.
 Stress the competitive aspect,if relevant.
 Stress change for success.
 Secure testimationial support from others- functional departments,other
managers,customers,independent sources.
 Emphasize “spin-offs” that may result from projects
 Anticipate “priority problems”.
 Sell priority on a one-to-one basis.

Accessibility

 Accessibility involves the ability to communicate directly with top management.

 Show that your proposals are good for the total organization ,not just the project.
 Weight the facts carefully: explain the pros and cons.
 Be logical and polished in your presentations.
 Become personally known by member of top management.
 Create a desire in the “customer”for your abilities and your project.
 Make curiosity work for you.

Visibility

 Be aware of the amount of visibility you really need.

 Make a good impact when presenting the project to top management.
 Adopt a contrasting style of management when feasible and possible.
 Use team members to help regulation the visibility you need.
 Conduct timely “information” meetings with those who count.
 Use available publicity media.

THE PROJECT SUCCESS METHOD

consists of three integrated management processes by which projects are clearly defined, thoroughly
planned, and proactively controlled during execution. This proven, proprietary project management
methodology employs a consensus-building approach that promotes: 1) team ownership of the project, 2)
the development of an actionable project plan, 3) team commitment to the plan, 4) a disciplined and
tenacious approach to project control, and 5) a sense of mutual accountability and support within the
team.

THE METHOD CONSISTS OF THREE PHASES:

1) The Project Success FirstStep Process® (formation of the project team, appointment of the
project manager, and development of the project charter)

2) the Planning Process

3) the Control Process.

Benefits of the Method:

 CLEAR ANALYSIS and documentation of project scope, objectives, stakeholders, constraints,

and risks
 A PARTICIPATIVE APPROACH to planning, which ensures a better plan, as well as the team
members' commitment to the plan
 A SUPERIOR APPROACH to developing the project schedule, even with very tight deadlines
 CLEAR RESPONSIBILITIES and performance expectations for team members
 A PROACTIVE APPROACH to project control that identifies and solves problems as early as
possible
 STRONG TEAMWORK
 DISCIPLINE AND CONSISTENCY of approach across all projects in the organization
 REDUCED CHAOS, stress, frustration, and conflict
 AND, THE BOTTOM LINE - projects completed successfully with respect to quality, time, and
cost

The methodology is proven in practice, based on its application in thousands of strategic, complex
projects in all types of business organizations. The Project Success Method SM is essential when you
cannot afford to fail on a mission critical project.

PSI's Project Success Method has proven successful in complex, business-critical projects in a wide
variety of industries over the last 25 years. PSI's clients include manufacturers of heavy equipment,
electronics, aircraft components, paper products, beverages, and many other products. Also included are
electric and gas utilities, hotel and restaurant chains, and companies in the financial services,
telecommunications, real estate, entertainment, and transportation industries.

The Project Success Method has proven effective in a vast array of project applications, including new
product development and introduction, IT systems development and implementation, process
improvement initiatives, marketing programs, engineering and architectural design, construction and
renovation, facility relocations and startups, mergers and acquisitions, major industrial maintenance, and
special events.

Organizations that leverage The Project Success Method achieve benefits that fall into three categories:
 There are several techniques and approaches
that can be applied in order to by the book
manage a project.
 1. Hire an experienced person project management consultant

Companies usually appoint an employee as a project manager to oversee the tasks and
activities involved in the project. This is effective if the employee has previous encounter
a propos the project at hand and is familiar with the departments and responsibilities
involved. Though, if the project is something new and complex and goes beyond the
encounter and expertise of the designated manager, it might be wise to hire an
experienced person project management consultant to help the project chief. Project
management consultants simplify the processes involved and help the project
management members know the whole scope of the undertaking. Projects usually have to
be accomplished in a limited amount of time and consultants help speed up the process
by preventing delays and mistakes.

 2. Take subsidy of project management software

There are many software programs and Internet-based applications that are particularly
calculated to help plot, organize and coordinate projects and update the management
process. These project management software applications have functions that break down
the project into point tasks and allocate resources for each, monitor the progress made,
make possible project loud and many others. By integrating technology onto the activities
of the team time and mistakes can be reduced.

 3. Use risk assessment

Risk assessment is vital for projects and an elemental practice in project management.
Risk assessment involves identifying the potential risks that may arise in the course of the
project, analyzing these risks and prioritizing them. Risk assessment can help the project
team strategize successfully and prepare solutions to harms that might occur, thus
reduction time and resources.

 4. Know and make use of the plotting of and PERT and Gantt charts and use them

One of the most basic and fundamental tools that have been used in project management
are the Project Evaluation and Assess Practice (PERT) and Gantt charts. These tools have
long been applied in project management even before the Internet or computer
technology became available. PERT charts are used to identify the sequence of tasks and
help to determine which tasks are needy on the others. On the other hand Gantt charts
 help determine the order that the tasks must be completed. Understanding the concepts
behind Gantt and PERT charts also helps the project management team allocate their
resources efficiently and can serve as a guide for all team members in accomplishing
their tasks.

Every project is crucial to the success of the organization and its members who need to be
equipped with effective and appropriate management techniques.

CASE STUDY
A&A CONSTRUCTIONS

Effective Project Management

Purpose of this Article
This article describes effective project management. The article does not focus on tools. Instead
it discusses the points which are imperative to Effective Project Management. The article is
aimed at those who never under-estimate Project Management and are always on the look out for
excellence. Each point below has many dimensions however not all dimensions are discussed
here. I hope that, this article will help readers interested in project management.

Requirement Analysis
Generally, the project manager or requirements analyst gathers
initial requirements from the client. He or she then starts
developing the architecture/design etc. and creates a framework
so that, the development team can start working. The important
thing is that, it is essential that, requirements are checked with
the client on a regular basis.

The requirements analyst / PM should keep on asking the client at each stage, if there are any
changes in the requirements. What happens is that, when requirements changes, the client is not
aware in advance. Hence, when the client comprehends that requirements are changing, he
rushes to the contractor with a new sets of requirements.

This can also be towards the conclusion stage of the project and then, it becomes extremely
difficult to complete the project on time. Then, there is no schedule or planning it just becomes
fire fighting. Of course, the new requirements are fulfilled but with all kind of pain, delays and
sacrifices by the team. In the end, all are happy but nobody thinks that there could have been a
better way. Everybody thinks that, it was the fault of somebody else!

Good requirement analysts visit their clients, communicate and discuss their requirements in
great depth. By doing so, many times, it becomes evident to the client that, he is missing
something; he crosschecks and finds that there is more to the requirements. The shortcomings are
identified well in advance and work becomes much smoother. The total effective time spent is
much less compared to the earlier case.

Planning
A well-defined plan with facts and practical aspect to it is the key to success. Not all managers
are good planners. Planning and executing are two different aspects. While planning, it is
strongly recommended that, you consult people who are actually going to execute the plans,
crosscheck with facts and calculate using a spice of practicality.

Planning should also consider the availability of good resources along with commitments to
customers and the organization. If commitments to the customers are broken, whatever may be
the reason, it becomes one cause for the client to move away from you. In the other case, even if
there is pressure on the client, it will become extremely difficult for client to move away from a
“High Quality Service Provider”. Also cost factors should be considered and balanced. Planning
should also take into account previous experience and best practices

Resource Management
A lot needs to be arranged before the start of a project and also during execution. Mostly PMs do
this very well. Sometimes however, they miss on something such as, people getting sick, or
leaving the job etc. Hence, the schedules suffer. This results in dissatisfaction from the client.
The client is ready to accept that, people can be sick or, they can leave the job. What the client is
not ready to accept is the effect of this on the project. Backups should always be provided in
sufficient numbers to avoid such situations. Resource in terms of hardware or infrastructure is
not discussed here as it is normally managed very well.

“What is many times seen is that, project managers do resource management activity very well
but are not able to provide suitable attention to other activities or are not skilled enough to carry
out other activities. Many think that, once the resource management is done, everything is done.
People will do the rest. This is not true. Each area in project management has to be addressed
amply.”

Process & Methodologies

There are advantages in having processes present to guide the development and execution
activities in a structured manner. Many a time it is obvious that the person following the process
does not know why he or she is following the particular process; they just do it so because his or
her boss has told them to do it that way. At times, there are a bunch of processes that may not
suit the needs but are there because someone wants to show that, they are following all the
processes in the book. This is not the right approach. Employees are forced to follow processes
whether applicable or not! What is required is that, process should help to save time and improve
the quality but eventually, the reverse happens.

Knowledge Management
Everyone knows that, “Knowledge is spread by giving” but we are not inclined to pursue the
same. We believe something else and do something else. A good PM ensures proper flow of
knowledge and also encourages employee trainings to carry out the required job. Training should
always be available for the latest technologies. This gives the company an upper hand from the
perspective of the clients.

Risk Management
Risk management is a balancing act. It involves the cost calculation for various risks,
prioritisation of risks, taking appropriate steps and efforts to minimize the risks. If you do not
handle them now, then you have to deal with them later, in a much bigger degree and spending
more energy. A smart PM is one who decides to choose the first solution.

Budget
Neither lavish nor meager budgets work. In today’s world, where high optimisation is the way to
go, one should not forget that, good investment helps to increase profitability.

People Management
People management is a vital feature to achieve sure success in project management. People
working on projects are not routine workers. They have special skill sets. They should be
handled with an improved understanding of the situation.

 Avoiding conflicts in advance

The project manager typically addresses the conflicts, as and when they appear. A good PM
always smells conflicts in advance and does not allow them to grow although no one can get
complete rid of the conflicts. There are also positive conflicts that can bring greater efficiency in
the way of working. The key to manage conflicts is to support the right attitudes with a good
amount of competency.

 Motivation for the Right Candidates

Good candidates should be motivated through increase in salaries, promotion, recognition,

providing more challenges and backing the right cause. The project is the prime looser if the
right candidate quits the job. Of course, the job will go on but no one can replace the same
person in exactly the same way. Also the rich experience and maturity goes away. Management
has to reinvest and rotate the wheel again. More money is lost in this process with loss of
credibility.

 Tracking People’s satisfaction

The project manager cannot wait for the team member to come to him and pronounce that, he or
she is not satisfied. A good team member is an asset to the project and thereby the organization.
The PM should keep his or her eyes and ears open to track the satisfaction of team members
otherwise, it builds negative thoughts in the mind of even a right member. The Project Manager
is then no longer, a respected guy. People start working out of compulsion, and loose enthusiasm
thereby, loosing the quality and output, which can end with the member leaving the organization.

 Accessing People’s Delivery in Terms of Benefits brought to the Project

The ideal project manager will value the contribution of employees in many dimensions e.g. a
candidate providing training to other team members, establishing superb relations with client,
motivating others, taking the lead and bringing results, introducing and practicing the right
procedures and ways of working, showing the way to others. If the PM overlooks these abilities
and only concentrates on technical abilities of team members, he will be discouraging effective
team members to benefit the project and thereby the PM.

Sub-contract Management
This should be undertaken in the same spirit as you handle clients. Contractors should be
identified keeping in mind their ability to perform, commitments, attitude etc. It is as if you are
recruiting a competent member to carry out tasks in your own team.

One of the most important things to judge the sub contractor is their dedication to work. Also
their orientation towards, quality, timeliness, budget and behaviour are equally important.
Working in tandem with the sub contractor can yield great results. They should be provided with
all the help and information they need to carry out the assigned contract. Treating them as a part
of your team gives them motivation to perform better and stop them hiding things. They should
feel free to come and discuss their issues openly with you, which is a better way to handle
critical situations. Getting their confidence is extremely important. Proper and realistic planning
can be carried out and accomplished, if you are working effectively with sub-contractor.

Deadlines
Missing deadlines is a failure of planning and execution. It is a failure of a team to deliver. No
excuses are sufficient (except natural calamities) to cover failures. What is important is the
promise to the customer, and having a “Right on Target” attitude.

Client Communication
Effective communication is saying “Yes” to opportunities and “No” if there is no chance of
delivery but suggesting an alternative “Win-Win” situation. Those who do not accept “Win-
Win” situations are not worth doing business with in the long term. The client is always seeking
a solution. Permanent solutions help you get a pat on your back and more high-end work. One
should not get into trivial and repeated work unless it is impossible to give a permanent solution
by enhancements and automation.

Communication techniques are not discussed here. What is discussed here is the basis of
communication. The best communication is your work, your abilities, skills and most important
your attitude. Regular timely information to the client is important in the same way. Conflicts
with clients should be solved with patience explaining clearly the benefits for client. Nobody can
deny the proposal where all seems to be a mixture of success. Not even your boss!!

Successful Team

Successful teams are generally led by bright, dynamic and mature leaders. Dull, lazy and
immature leaders cannot create successful teams though sometimes, it looks that they are!
Time always brings out the real situation. History shows that, many successful leaders of
their time are not considered as Great leaders today. Others proved to be inspiration for
millions. Definitely it is a team who makes the success. Without a true leader, it can never
achieve it.

Today, what we lack most are the right leaders!! A true leader not only fights for his or her
position. He or she has a major concern about people working with him. He or she brings
prosperity for many, organizations and the country. He or she creates successful career path for
many. He or she shows the right way to go.