61FIT2PRM . IT Project Management .

Lecture 1

INTRODUCTION
About the Lecturer
 Lecturer: Vũ Minh Tuấn
 Worked as Tutor and the Lecturer at FIT – HANU
from 2011.
 Vice Dean of FIT and be in charged of IS
Department.
 Also, working as Director and Project Manager at
I.P Communication JSC.
Contact detail
 Lecturer:
 Mr. Vũ Minh Tuấn
 Email: minhtuan_fit@hanu.edu.vn
 Office: Room 210C, Hanoi University
 Tutor:
 Ms. Nguyễn Thị Ngà
 Email: nga@litech.vn
Tutorial Activities
 Reviewing things in the Lecture
 Main activities of the Tutorial
 3 Exercises
 1 Game (Crossword/Flashcard)
 Homework => Review things we learnt for the
chapter.
Assessment
 Attendance: Attend at least 80% (Absence at most
3 lectures and 3 tutorials)
 Attendance Mark (10%)
 Midterm Test (30%)
 Final exam (60%): online test / paper-based test
Pass criteria
 To get PASS students MUST
 Final mark >= 5
 Relearn the course:
 Final Mark < 5
 OR Misses >= 20% classes
Introduction
 Many organizations today have interest in PM
 Technology and the use of interdisciplinary and
global work teams have radically changed the
work environment
 The U.S. spends $2.3 trillion on projects every
year
 one-quarter its gross domestic product
 the world as a whole spends nearly $10 trillion of its
$40.7 gross product on projects of all kinds.
 more than 16 million people regard project
management as their profession
Project Management Statistics
 Total global spending on technology goods, services, and staff
was projected to reach $2.4 trillion in 2008, an 8 percent
increase from 2007
 In the U.S. the size of the IT workforce topped 4 million
workers for the first time in 2008
 In 2007 the total compensation for the average senior project
manager in U.S. dollars was $104,776 per year in the United
States, $111,412 in Australia, and $120,364 in the United
Kingdom
The number of people earning their Project Management
Professional (PMP) certification continues to increase

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Why Study PM?
 IT projects have a terrible track record
 A 1995 Standish Group study (CHAOS) found that only 16.2
percent of IT projects were successful in meeting scope, time, and
cost goals
 Over 31 percent of IT projects were canceled before completion,
costing over $81 billion in the U.S. alone
 A PricewaterhouseCoopers study found that overall, half of
all projects fail and only 2.5% of corporations consistently
meet their targets for scope, time, and cost goals for all types
of project

*The Standish Group, “The CHAOS Report” (www.standishgroup.com) (1995). Another reference is
Johnson, Jim, “CHAOS: The Dollar Drain of IT Project Failures,” Application Development Trends (January
1995).
Advantages of Using Formal PM
 Better control of resources, i.e., financial, physical,
and manpower
 Improved customer relations
 Shorter development times
 Lower costs/higher profit margin
 Higher quality and increased reliability.
 Better internal coordination/Improved
productivity
 Higher worker morale (less stress)
What is a Project?
 A project is “a temporary endeavor undertaken to
create a unique product, service, or result” *
 Operations is work done to sustain the business.
 A project ends when its objectives have been
reached, or the project has been terminated
 Projects can be large or small and take a short or
long time to complete

*PMI, A Guide to the Project Management Body of Knowledge

(PMBOK® Guide) (2004), p. 5.
Example of ITPM
 A technician replaces ten laptops for a small
department
 A small software development team adds a new
feature to an internal software application for the
finance department
 A college campus upgrades its technology
infrastructure to provide wireless Internet access
across the whole campus
 A cross-functional task force in a company decides
what Voice-over-Internet-Protocol (VoIP) system to
purchase and how it will be implemented
Project Attributes
 A project (6)
 Has a unique purpose
 Is temporary
 Is developed using progressive elaboration
 Requires resources, often from various areas
 Should have a primary customer or sponsor
 The project sponsor usually provides the direction and
funding for the project.
 Involves uncertainty
Project and Program Managers
 Project managers work with project sponsors,
project teams, and other people involved in
projects to meet project goals
 Program: “A group of related projects managed in
a coordinated way to obtain benefits and control
not available from managing them individually.” *
 Program managers oversee programs and often
act as bosses for project managers

*PMI, A Guide to the Project Management Body of Knowledge

(PMBOK® Guide) (2008), p. 9.
The Triple Constraints of PM
Successful project management
means meeting all 3 goals (scope,
time, and cost) – and satisfying the
project’s sponsor!
What is Project Management?
 Project management is “the application of
knowledge, skills, tools and techniques to project
activities to meet project requirements.” *
 Project managers strive to meet the triple
constraint by balancing project scope, time, and
cost goals

*PMI, A Guide to the Project Management Body of Knowledge

(PMBOK® Guide) (2008), p. 6.
PM Framework
 Knowledge areas describe the key competencies
that project managers must develop
Project Stakeholders

 Stakeholders are the people involved in or

affected by project activities
 Stakeholders include
 Project sponsor
 Project manager
 Project team
 Support staff
 Customers
 Users
 Suppliers
 Opponents to the project
9 PM Knowledge Areas
 Four core knowledge areas lead to specific project
objectives
 scope, time, cost, and quality
 Four facilitating knowledge areas are the means
through which the project objectives are achieved
 human resources, communication, risk, and
procurement management
 One knowledge area (project integration
management) affects and is affected by all of the
other knowledge areas
PM Tools and Techniques
 Assist project managers and their teams in
various aspects of project management
 Specific tools and techniques include

Project Gantt charts,

charters, network
scope diagrams, CPA,
statements, critical chain
WBS scheduling

Cost
estimates, Others; see
earned value Table 1.1 in
management textbook
(EVM)
The Good News
 Standish Group’s CHAOS studies show
improvements in past decade
 Cost are halved (31% vs 19%)
 Success rate doubled (16% vs 35%)
 Money wasted halved ($140 vs $53)
 Why the improvements?
 Better tools
 Better project managers!
 Better processes!
Define success
 There are several ways to define project success
(3)
 The project met scope, time, and cost goals
 The project satisfied the customer/sponsor
 The results of the project met its main objective, such
as making or saving a certain amount of money,
providing a good return on investment, or simply
making the sponsors happy
Some Success Factors
 Executive support  Firm basic requirements
 User involvement  Formal methodology
 Experienced managers  Reliable estimates
 Clear business  Small milestones
objectives  Proper planning
 Minimized scope  Competent staff and
 Standard software ownership
infrastructure
Program and Project Portfolio Management

 A program is “a group of related projects managed in a

coordinated way to obtain benefits and control not
available from managing them individually” (PMBOK®
Guide, Fourth Edition, 2008, p. 9)

 A program manager provides leadership and direction for

the project managers heading the projects within the
program

 Examples of common programs in the IT field include

infrastructure, applications development, and user support

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Project Portfolio Management

 As part of project portfolio management,

organizations group and manage projects and
programs as a portfolio of investments that
contribute to the entire enterprise’s success
 Portfolio managers help their organizations make
wise investment decisions by helping to select
and analyze projects from a strategic perspective

25
Figure 1-3. Project Management Compared to Project
Portfolio Management

26
Suggested Skills for Project Managers

 Project managers need a wide variety of skills

 They should:

 Be comfortable with change

 Understand the organizations they work in and with

 Be able to lead teams to accomplish project goals

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The Role of the Project Manager

 Job descriptions vary, but most include

responsibilities like planning, scheduling,
coordinating, and working with people to
achieve project goals

 Remember that 97% of successful projects were

led by experienced project managers, who can
often help influence success factors

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Suggested Skills for Project Managers
 The Project Management Body of Knowledge
 Application area knowledge, standards, and
regulations
 Project environment knowledge
 General management knowledge and skills
 Soft skills or human relations skills

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15 PM Job Functions
 Define scope  Evaluate requirements
 Identify stakeholders,  Identify and manage risk
and decision makers  Develop contingency plan
 Develop task list  Identify interdependencies
 Estimate time  Identify and track milestones
requirements  Participate project review
 Develop initial PM  Secure resources
flowchart
 Manage change control
 Identify resources and
 Report project status
estimate budget
Skills that PM Need
 Hard skills  Soft skills
 Product knowledge  Comfortable with change
 Knowledge of PM tools  Leadership
 Communication
 Organization
 Team building
Different Skills Needed in Different Situations

 Large projects: leadership, relevant prior experience,

planning, people skills, verbal communication, and team-
building skills were most important
 High uncertainty projects: risk management, expectation
management, leadership, people skills, and planning skills
were most important
 Very novel projects: leadership, people skills, having vision
and goals, self confidence, expectations management, and
listening skills were most important

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The Project Management Profession
 Professional societies such as the Project
Management Institute (PMI) have grown
significantly
 There are specific interest groups in many areas,
such as engineering, financial services, health
care, and IT
 Project management research and certification
programs continue to grow
The Project Management Profession

 The profession of project management is

growing at a very rapid pace
 It is helpful to understand the history of the field,
the role of professional societies like the Project
Management Institute, and the growth in project
management software

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History of Project Management
 Some people argue that building the Egyptian
pyramids was a project, as was building the
Great Wall of China

 Most people consider the Manhattan Project to

be the first project to use “modern” project
management

 This three-year, $2 billion (in 1946 dollars)

project had a separate project manager and a
technical manager
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The Project Management Institute
 The Project Management Institute (PMI) is an
international professional society for project
managers founded in 1969
 PMI has continued to attract and retain members,
reporting 277,221 members worldwide by August 31,
2008
 There are specific interest groups in many areas, like
engineering, financial services, health care, IT, etc.
 Project management research and certification
programs continue to grow

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Project Management Certification

 PMI provides certification as a Project

Management Professional (PMP)
 A PMP has documented sufficient project
experience, agreed to follow a code of ethics,
and passed the PMP exam
 The number of people earning PMP certification
is increasing quickly
 PMI and other organizations offer additional
certification programs (see Appendix B)

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Ethics in Project Management
 Ethics, loosely defined, is a set of principles that guide
our decision making based on personal values of what
is “right” and “wrong”

 Project managers often face ethical dilemmas

 In order to earn PMP certification, applicants must

agree to PMI’s Code of Ethics and Professional Conduct

 Several questions on the PMP exam are related to

professional responsibility, including ethics

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Project Management Software
 There are hundreds of different products to assist in
performing project management
 Three main categories of tools:
 Low-end tools: handle single or smaller projects well, cost under
$200 per user
 Midrange tools: handle multiple projects and users, cost $200-600
per user, Project 2007 most popular
 High-end tools: also called enterprise project management software,
often licensed on a per-user basis, like VPMi Enterprise Online
(www.vcsonline.com) – see front cover for trial version information
 See the Project Management Center Web site or Top Ten
Reviews for links to many companies that provide project
management software

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Summary
 Projects are becoming bigger
 A380 is an exemplar of the importance of PM
 Windows operating system and Boeing
 A framework for PM applies to project of any
form and domain
 Good project managers are hard to come by
 Experience is important
 Need both hard and soft skills
 Read accompanying textbook slides