2.3 Project Life Cycle and Organisation

• 2.4 Organisational Cultures and Styles
• cultural norms influence the project e.g. 
• 'accepted' way of doing things
• who is influential  & who makes decisions?
• culture is an enterprise environmental factor that manifests itself in 
• values & beliefs, policies & methods, authority structure, work ethic, resource allocation, priorities
• Structures
• Functional: PM has little/ no authority, part time, reports to functional manager (has budget), PM role: negotiates resources
• Weak Matrix: PM has slightly more authority & resources, PM role: coordinator  
• Balanced Matrix: moderate authority & resources, PM full time, functional & PM share budget
• Strong Matrix: high auth & resources, PM reports to manager of PMs, project staff are full time on the project
• Projectised: most organisational resources are in projects, staff report to PMs
• Composite: mix of matrix and projectised, some PMs report to functional managers & others to PMs
• Organisational Process Assets
• Processes & procedures
• PLCs, standards, policies (e.g. H&S), procedures (e.g. financial/ risk/ change control), guidelines (e.g. for prioritising), templates, communication requirements... 
• Knowledge base
• project files, lessons learned database, configuration management, financial DBs...

2.2 Project Life Cycle and Organisation

• 2.2 Projects V Operational Work
• Work can be categorised as Operational or Project based
• Characteristics of each type: 
• individuals do the work
• have constraints
• have objectives
• are planned, executed, monitored & controlled
• Operations: ongoing, produce repetitive product
• Project: temporary, unique product
• generally a lot of interaction between a project team and operational functions
• project deliverables can change Operations e.g.
• developing new product/ service to sell
• developing a new information system
• 2.3 Stakeholders
• people or organisations who might be affected by the project
• stakeholders have different levels of authority over the project & this can change during the project
• it is essential that the project team identifies all internal and external stakeholders - failure can cause delays and costs
• key stakeholders
• customers/users: internal/external, custs & users may be the same people or different
• sponsor: provides money and authority for the project, champions project, helps develop scope & charter, acts as escalation path
• portfolio managers/portfolio review board (select projects): review project ROI,value, risks...
• program managers: support and guide project managers
• Project Management Office (PMO): centrally manages & supports projects, stakeholder if has direct/indirect responsibility for project outcome: 
• project managers: 
• project team: project manager, project team, subject matter experts (SMEs)
• functional managers: e.g. finance, HR managers...
• operations managers: managers in a core business area e.g. R&D, maintenance...
• sellers/business partners: partners can do training, installation etc for your organisation

2.1 Project Life Cycle and Organisation

2.0 Project Life Cycle and Organisation

• Aim: understand the broader context in which projects are carried out
• 2.1 The Project Life Cycle – Overview and Characteristics
• PMBOK Definition: "Collection of generally sequential and sometimes overlapping phases"... "determined by the management and control needs", "the nature of the project itself, and its area of application"
• Shaped by the organisation, industry & technologies involved
• Can be documented by a methodology; framework for managing the project
• Life cycle structure (phase : end artefact)
• Starting : Project Charter
• Organising & preparing : PM Plan
• Execute : Accepted deliverables
• Closing : Archived Project Documents
• Cost & staffing goes from zero, peaks & plateaus in execution, falls to zero by end of closing
• Stakeholder influences, risk, and uncertainty start high and lower throughout the project life cycle
• Cost of changes & error correction start low and get steadily greater during project
• Product V Project Life Cycle Relationships
• Some parts of Product Life Cycle involve a Project e.g. feasibility study, market research
• A product can have many associated projects
• Project phases
• PMBOK definition: "divisions within a project where extra control is needed"
• each phase has: IPEC processes (initiating, planning, executing, closing)
• often sequential but can overlap
• phase closes with a deliverable handed over
• Governance
• method of controlling a project that is described in the PM Plan
• Project Manager decides how to manage resources and direct the project within the governance structure and constraints
• initiating a phase
• each phase is formally started with a management review
• especially if preceding phase is not finished
• review activities and processes e.g. procurement...
• closing a phase
• phase-end review deliverables (completed, accepted?)
• 3 types of phase-to-phase relationship
• sequential
• overlapping
• iterative (plan 1 phase at a time; plan for the next phase during current phase; used in uncertain environments like research)

1.3 Introduction to Project Management

• 1.5 Project V Operations Management
• Operations: 
• ongoing permanent activities that produce a a product or service repeatedly 
• e.g. manufacturing ops, accounting ops
• require Business Process Management
• Project: 
• temporary, unique outcome, require a project manager
• can be used to change processes
• Intersection of projects and ops can happen during the project (i.e. resources or knowledge pass from one to the other) e.g
• at phase closeout
• when project is to change processes
• when the project is to develop/ change a product or outcome
• 1.6 Project Manager role
• Different types of managers
• Operational: responsible for core business
• Functional: responsible for administrative area
• Project: responsible for delivering project objectives
• Might report to a 
• functional manager
• portfolio/ program manager
• Needs these characteristics:
• PM knowledge
• Performance (able to carry out project activities)
• Personal (attitudes,personality, leadership)
• 1.7 PMBOK: 
• describes industry standard tools,techniques,processes
• a PMIism is a term that is specific to the PMI, that appears in the PMBOK and in the PMP and CAPM exams
• 5 Project Management Processes: (IPECC) Initiating, Planning, Executing, Monitoring & Controlling, Closing
• 9 Project Knowledge Areas: Integration, Scope, Time, Cost, Quietly, HR, Communication, Risk, Procurement
• Other standards
• The Standard for Program Management
• The Standard for Portfolio Management
• Organizational Project Management Maturity Model (OPM3)
• 1.8 Enterprise environmental factors
• PMBOK definition: "internal and external environmental factors that surround or influence a project's success"
• factors to consider when developing the charter e.g. Need to hire in specialised skills? Industry expertise required?
• include
• culture, structure, processes
• legislation and industry standards
• existing infrastructure (space, equipment...)
• human capital available (knowledge, skills experience...)
• HR policy (staffing, performance appraisal...)
• stakeholder attitude to risk 

1.2 Introduction to Project Management

• 1.4 Project, Program and Portfolio Management
• Hierarchy is used to align projects with the strategic plan:
• Higher level portfolio
• Lower level portfolio and possibly individual projects
• Higher level program
• Lower level program and possibly individual projects
• Projects
• Portfolio Management
• PMBOK definition of a portfolio: "a collection of projects or programs and other work that are grouped together to facilitate efective management of that work to meet strategic business objectives"
• The mix of projects and programs in the portfolio all help meet the strategic objective (e.g. maximise ROI) but might not be directly related or interdependent
• PMBOK definition of portfolio management: "centralised management of one or more portfolios, which includes identifying, prioritising, authorising, managing, and controlling projects, programs, and other related work, to achieve specific strategic business objectives"
• Program Management
• Program PMBOK definition: "a group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually"
• Projects are related by sharing a common outcome
• A project can exist outside of a program, but all programs contain projects
• Program Management PMBOK definition: "centralised coordinated management" of programs 
• Focuses on project interdependencies like
• resource constraints and conflicts
• shared change management issues

• Reasons for initiating projects
• business need (to support strategy)
• e.g. to operationalise a plan e.g. to improve customer service, to create a new web application, to design and build a process or product, to set up a new sales department in a different country
• to fulfill an internal or external request
• legal / regulatory requirement
• market demand
• social need
• technical progress
• Note: benefits arising from a project can support program, project, strategic objectives
• Project Management Office (PMO)
• Primary function is to support PMs including
• coordination, support, centralised management of projects
• manage shared resources
• training
• communication coordination between projects
• PM methodology, standards,best practices - and monitoring to ensure compliance
• Organisational Process Assets (policies, procedures, templates,documentation)
• can also manage projects
• can have authority to recommend changes, terminate projects
• Differences between PM and PMO
• PM focuses on project, PMO on program changes seen as opportunities to better achieve business objectives
• PM manages P resources, PMO on shared resources
• PM manages constraints (scope, Q, schedule, cost…) of individual project, PMO manages methodologies, standards, overall risk/opp, P interdependencies