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MEC310_Lecture 01_251

The document provides an introduction to engineering project management, defining key concepts such as projects, programs, and portfolios, along with their characteristics and classifications. It outlines the objectives of projects, the project life cycle, and the definition and benefits of project management. Additionally, it discusses success criteria for projects and identifies common causes of project failure across various domains.

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14 views

MEC310_Lecture 01_251

The document provides an introduction to engineering project management, defining key concepts such as projects, programs, and portfolios, along with their characteristics and classifications. It outlines the objectives of projects, the project life cycle, and the definition and benefits of project management. Additionally, it discusses success criteria for projects and identifies common causes of project failure across various domains.

Uploaded by

mn7884541
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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MECHANICAL ENGINEERING

DEPARTMENT
3rd Year(Production-Power)

Engineering Project Management


MEC310

Lecture #01
Introduction to
engineering project
management

Prepared By: Dr. Sayed Ali Zayan


What is a project?
As stated by PMI, a project is “A temporary endeavor
undertaken to create a unique product or service.”
PRINCE2 defines a project as “a temporary organization
that is created for the purpose of delivering one or more
business products according to an agreed Business Case.”
A Project is "A unique set of coordinated activities,
with definite starting and finishing points, undertaken
by an individual or organization to meet specific
objectives with defined schedule, cost and performance
parameters.“
What is a project?
A project can create the following:
 A product that can be an end item (for example, a hybrid car) or a
component of another item (for example, a hybrid engine)
 A capability to perform a service (that is, a business function that
supports another function)
 A result such as an outcome or a document (for example, a public
policy evaluation that delivers results that can be used to readjust
the policy)

a project as a way to introduce change


What is a Program?
 A program is a group of related projects, subprograms, and program
activities managed in a coordinated way to obtain benefits not available
from managing them individually. This group of related projects or the
program often shares the same goal and requires similar resources.
 A Program is “A group of related projects managed in a coordinated
way to obtain benefits and control not available from managing them
individually” (PMI)
 Program management is defined as applying knowledge, skills, tools,
and techniques to meet requirements and to obtain predetermined
benefits. It is a systematic approach of aligning multiple components of
the program to achieve the program goals while optimizing the
integrated cost, schedule, and effort required to execute the program.
 Programs and program management are of great importance,
specifically for the government and large and multinational
corporations.
What is a Portfolio?
 A portfolio is projects, programs, sub portfolios, and operations
managed as a group to achieve strategic business objectives.
 A portfolio can include multiple programs as well as multiple projects.
 A program may include components such as portfolios, projects, and
subprograms.
 To avoid confusion, programs deal with a specific group of related
projects, while a portfolio deals with all of an organizations projects.
Characteristics of Projects:
A project is temporary,
A project has a unique purpose ,
A project requires resources ,
A project should have a sponsor,
A project involves uncertainty ,
A project uses progressive elaboration.
Project objectives:
The objectives (or goals) of any project will be:
 To complete the project within the allotted
(or budgeted) funds,
 To complete the project within the scheduled
time limit.
 To execute the project in such a way that the
project meets the quality standards,
 To ensure that the project is completed to the
satisfaction of the end users.
Project classifications:
1. Based on the type of activity. Projects can be classified as: Industrial
projects, and Non-Industrial projects
2. Based on the location of the project. Projects can be classified as:
National projects, and International projects.
3. Based on project completion time. Normal projects, and Crash projects
4. Based on ownership. Projects can be classified into: Private sector
projects, Public sector projects, and Joint sector projects.
5. Based on size : Projects can be classified based on the size into three
categories: Small projects, Medium projects, and Large projects.
6. Based on need : Projects can be classified under the following groups,
based on the need for project. New project, Balancing project,
Expansion project, Modernization project, Replacement project.
What Is a Life Cycle?
 A life cycle refers to the phases that a product or service
undergoes:
research and development, release, growth, expansion,
maturity, saturation, decline, and retirement.
 The life cycle covers the lifespan of a corporate product or
service destined for the marketplace, or of an organizational
asset or process destined for use internally by the corporation.
 The project development life cycle focuses on the research and
development, realization, and release of products, services,
assets, and processes; it addresses the needs, opportunities,
and issues of the performing organization.
What Is a Life Cycle?
Project life cycle-PMI phases

The project life cycle can be mapped according to PMBOK in the following
structure, whatever its size or complexity (see Figure).
The Project Life Cycle
Definition of Project Management
Project management is a set of activities which includes
initiating, planning, executing, controlling and closing
projects. It’s a discipline that gives you principles,
techniques, and tools to help you finish things on time and
within budget.
Project Management is "The planning, monitoring and
control of all aspects of a project and the motivation of all
those involved to achieve the project objectives on time and
to cost, quality and performance.“
Project Management is “the application of knowledge,
skills, tools, and techniques to project activities to meet
project requirements” (PMI).
Benefits of Project Management:
 Project management allows us to accomplish more work in less time, with
fewer people.
 Profitability will increase.
 Project management will provide better control of scope changes.
 Project management makes the organization more efficient and effective
through better organizational behavior principles.
 Project management will allow us to work more closely with our customers.
 Project management provides a means for solving problems.
 All projects will benefit from project management.
 Project management increases quality.
 Project management will reduce power struggles.
 Project management allows people to make good company decisions.
 Project management delivers solutions and will increase our business.
Project success criteria:
 Clear objectives and project brief agreed with client
 Good project definition
 Good planning and scheduling methods
 Accurate time control and feedback system
 Rigorous performance monitoring and control systems
 Rigorous change control (variations) procedures
 Adequate resource availability (finance, labor, plant, materials)
 Full top management and sponsor support
 Competent project management
 Comprehensive quality control procedures
 Motivated and well integrated team
 Good contractual documentation
 Good internal and external communications
Causes of Project Failure
Planning/execution failures:
 Business case requirements changed significantly over the life of the project
 Technologically unrealistic requirements
 Poor estimates, especially financial
 Plans are based upon insufficient data
 Lack of resources
 Lack of attention provided to the human and organizational aspects of the
project
 Project estimates are best guesses and not based upon history or standards
 Team members working with conflicting requirements
 Poor assessment of risks if done at all
 Poor performance tracking metrics
 Insufficient organizational process assets
 …………. etc.
Causes of Project Failure
Governance/stakeholder failures:
 End-use stakeholders not involved throughout the project
 Minimal or no stakeholder backing; lack of ownership
 New executive team in place with different visions and goals
 Constantly changing stakeholders
 Corporate goals and/or vision not understood at the lower
organizational levels
 Unclear stakeholder requirements
 Passive user stakeholder involvement after handoff
 Each stakeholder uses different organizational process assets, which
may be incompatible with each other
 Weak project and stakeholder communications
 Inability of stakeholders to come to an agreement
Causes of Project Failure
Political failures:
 New elections resulting in a change of power
 Changes in the host country’s fiscal policy, procurement policy and
labor policy
 Nationalization or unlawful seizure of project assets and/or
intellectual property
 Civil unrest resulting from a coup, acts of terrorism, kidnapping,
ransom, assassinations, civil war and insurrection
 Significant inflation rate changes resulting in unfavorable monetary
conversion policies
 Contractual failure such as license cancellation and payment
failure

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