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Chapter 2 Project Initiation

The document discusses the initiation phase of project management, which involves formally recognizing that a new project exists or that an existing project is continuing to the next phase. Key activities in the initiation phase include defining the project trigger, sponsor, scope, and objectives; developing a charter; and assigning a project manager. Proper initiation establishes the foundation for effective project planning and execution.

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0% found this document useful (0 votes)
98 views

Chapter 2 Project Initiation

The document discusses the initiation phase of project management, which involves formally recognizing that a new project exists or that an existing project is continuing to the next phase. Key activities in the initiation phase include defining the project trigger, sponsor, scope, and objectives; developing a charter; and assigning a project manager. Proper initiation establishes the foundation for effective project planning and execution.

Uploaded by

redjhon458
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Project

Management

Mathieu Col
Overview1Forewords/8
Phases Chapter Lessons
Chapter 1 Project definition
INITIATION Chapter 2 Project initiation
Chapter 3 Enterprise landscape and Strategic planning
Chapter 4 Project organization
Chapter 5 Project planning
PLANNING
Chapter 6 Resources management
Chapter 7 Procurement management
Chapter 8 Time & Cost management
Chapter 9 Stakeholder management
Chapter 10 Issue & Risk management
EXECUTION Chapter 11 Project monitoring and control
Chapter 12 Change management
Chapter 13 Communication & Motivation
Chapter 14 Negotiation
Chapter 15 Project closure
Chapter 16 Escalation
CLOSURE
Chapter 17 Program & Projects Portfolio management
Chapter 18 PPM efficiency
Chapter 2

Project initiation
Restart from last session

What did you « digest »


since last session?
Preparation

• What is needed to start a Project?


• What do we call « Charter »?
• What is a Sponsor?

5
Starting a project

Initiation phase – process of formally recognizing that a new project exists, or an


existing project continue to next phase

Initiating Planning Executing Closing

• Define trigger
• Define sponsor


Define scope
Define objectives • Project is triggered by:


Develop charter
Assign PM
• Market Demand
• Agree working • Business Need
framework • Customer Request
• Technological Advance
• Legal Requirement
• …..
Define objectives/8

• Define trigger
• Assess context (business, economic, human, …)

• Clarify who is mandating you (sponsor)

Case study introduction


• Collect specifications of needs
• Clarify success criteria (measurable)
• Search history for previous attempts or similar requirement

• Spend time on sponsor requests and expectations


• Write down needs understanding
• Get sponsor’s validation of your understanding
7
Define objectives
Business casesion 1Forewords/8

• Return on Investment (ROI)


Projected project cost = $400,000
Benefit for first year = $500,000
ROI = ($500,000 - $400,000)/400,000=25%

• Pay back period


Case study introduction
Flat purchased at 50K
Monthly loan of 0,8K
Pay back period = 50/0,8=62,5 months=5 years and 3 months

Chose the most appropriate methodology!


9
Environmention 1Forewords/8

• Business environment
Company strategy
Short term priorities
Business processes (Business Process Management)
• Technical environment
Software
Case study introduction
Equipments
Systems
• Human environment
Project manager and team
Competences and qualifications
Human relationships/Politics
Sponsors and stakeholders

10
Project scopen 1Forewords/8

Project scope
IN: what is part of the project
OUT: what is not part of the project

Balance between Product - Cost - Timeline

Product
Case study introduction Functionalities - Scope
Expected quality – Technical and legal constraints…

Cost Timeline
Implementation delay
Investment
Setup delay
Return On Investment (ROI)
Deadlines
Financial constraints
Time constraints
1111
Project Scopen 1Forewords/8

Objectives
Build a house for an average French family, in
French Alps, with minimum ecological impact,
within 6 months maximum.

Case study introduction


In Scope Out of Scope
Close from French Alps Far from French Alps
House construction (including gardens) Constructions not aimed for living
Suitable for a family (2 parents + 2 children) Not for single or family without children
Affordable budget for an average French family Too expensive for an average French family
Material and techniques should comply with Material and techniques not compliant with ecological
ecological standards standards
Maximum duration is 6 months More
12 than 6 months
Product/service description1Forewords/8

Analyse fonctionnelle
Product/service description1Forewords/8
Scope priority matrixion 1Forewords/8

Timeline Product Cost

Constrainted
(least flexible)
Case study introduction
Optimized

Accepted
(most flexible)

15
Project charterion 1Forewords/8
WHY WHAT HOW

Business need/
A Trigger 1 Budget expectations
problem statement

Product/
B Context 2 Timeline expectations
service description

Sponsors Objectives/
C 3 Major milestones
client/mgt success criteria

Assumptions – factors that are WHO


considered true for planning purposes
Project manager and authority level
Constraints – factors that limit project
management team’s options
Team members
Risks – if known at this stage
16
Project charterion 1Forewords/8

Project name Project mgr Sponsor

Context Triger

Business need Product description Success criteria


1
2
3
Timeline expectations Key milestones Budget expectations

Start 1
2
End
3
Assumptions Constraints Risks
1 1 1
2 2 2
3 3 3
Project fits within Enterprise organisation

Case study introduction

18
Project fits within Enterprise organisation

19
Stakeholdersn 1Forewords/8

Stakeholders:
Individuals and org. impacted by project
Often have conflicting expectations and objectives
In general, differences should be resolved in favor of the client

Case study introduction


Stakeholder management is a proactive task
Project Managers must determine all stakeholders and incorporate their
needs into the project

20
Stakeholdersn 1Forewords/8

Customers
Sponsors
Finance Bosses

Case study introduction


Consultants Users
Auditors

Contractors Project team Suppliers

2121
Stakeholdersn 1Forewords/8
Sponsor/8

Case study introduction

23
Complexity factors/8

Badly defined Team


needs Financial Interaction
Unidentified constraints
Time
sponsor
constraints
Political
constraints …

Case study introduction


Previous Remote users
cases

Project manager Badly defined


experience scope

Multinational Virtual Human


Multicultural project team constraints
2424
What is a Project Life Cycle?

Projects follow a Life Cycle from « start » to « close »


(ex: initiating>planning>executing>closing)

Initiating Planning Executing Closing

• Define trigger • Build team • Manage team • Review Project


• Define sponsor • Assign R&Rs • Manage scope outcomes
• Define scope • Refine requirements • Manage procurement • Document learnings
• Define objectives • Develop Work Break • Manage schedule • Close procurement
• Develop charter down structure • Manage cost • Communicate closure
• Assign PM • Clarify dependencies • Manage risks • Reward team
• Agree working • Consolidate plans • Manage stakeholders • Celebrate
framework (time, schedule, …) • Change control • Transition
Quick test

The project charter A Initiation


is created in which B Planning
phase
C Execution
The project sponsor A The person giving money
is B The entity mandating the project manager
C The bank
What is not A The name of the PM
included in the B The planning
project charter?
C The customer
Case study initiation
You need to present a proposal to « launch » a Project to a Steering
Commitee (check point 1)

Class mades will play the Steering Commitee.

Mark will cover your presentation and your rôle as Steering Commitee.

1. Break into group of 5/6 team members


2. Try to balance profile
3. Agree on a team project
4. Start defining your project charter

Initiating Planning Executing Closing

1
End of session

28

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