Projects continue to grow larger, increasingly strategic, and more complex, with greater collaboration, instant feedback, specialization, and an ever-expanding list of stakeholders. Now more than ever, effective project management is critical for the success of any deliverable, and the demand for qualified Project Managers has leapt into nearly all sectors. Project Management provides a robust grounding in essentials of the field using a managerial approach to both fundamental concepts and real-world practice.
Designed for business students, this text follows the project life cycle from beginning to end to demonstrate what successful project management looks like on the ground. Expert discussion details specific techniques and applications, while guiding students through the diverse skill set required to select, initiate, execute, and evaluate today's projects. Insightful coverage of change management provides clear guidance on handling the organizational, interpersonal, economic, and technical glitches that can derail any project, while in-depth cases and real-world examples illustrate essential concepts in action.
Table of Contents
1 Projects in Contemporary Organizations 1
1.1 The Definition of a “Project” 2
1.2 Why Project Management? 9
1.3 The Project Life Cycle 16
1.4 The Structure of This Text 21
PROJECT MANAGEMENT IN PRACTICE
A Unique Method for Traveler-Tracking at Copenhagen Airport 5
The Smart-Grid Revolution Starts in Boulder, Colorado 7
The Olympic Torch Relay Project 8
Turning London’s Waste Dump into the 2012 Olympics Stadium 19
PART I: PROJECT INITIATION
2 Strategic Management and Project Selection 28
2.1 Organizational Project Management and Governance 29
2.2 Project Selection Models 33
2.3 Project Portfolio Management (PPM) 47
PROJECT MANAGEMENT IN PRACTICE
Taipei 101: Refitted as World’s Tallest Sustainable Building 37
Using a Project Portfolio to Achieve 100 percent On-Time Delivery at Decor Cabinet Company 49
Implementing Strategy through Projects at Blue Cross/ Blue Shield 50
CASE: Pan-Europa Foods S.A. 61
READING: From Experience: Linking Projects To Strategy 68
3 The Project Manager 77
3.1 Project Management and the Project Manager 78
3.2 Special Demands on the Project Manager 84
3.3 Attributes of Effective Project Managers 94
3.4 Problems of Cultural Differences 101
PROJECT MANAGEMENT IN PRACTICE
The Project Management Career Path at AT&T 83
A Surprise “Director of Storm Logistics” for Katrina 85
Shanghai Unlucky with Passengers 90
The Wreckmaster at a New York Subway Accident 92
Lawrence Gamache, Wreckmaster 94
Growing Stress at Twitter 101
Success at Energo by Integrating Two Diverse Cultures 104
CASE: The National Jazz Hall of Fame 110
READING: Juggling Act 116
Chapter 3 Appendix: Primer on Effective Time Management (online)
4 Managing Conflict and the Art of Negotiation 118
4.1 Identifying and Analyzing Stakeholders 120
4.2 Conflict and the Project Life Cycle 122
4.3 Dealing with Conflict 129
4.4 The Nature of Negotiation 130
4.5 Partnering, Chartering, and Scope Change 131
4.6 Some Requirements and Principles of Negotiation 135
PROJECT MANAGEMENT IN PRACTICE
Quickly Building a Kindergarten through Negotiation 120
Stakeholder Involvement at Nemours Children’s Hospital 123
A Consensus Feasibility Study for Montreal’s Archipel Dam 128
CASE: Negotiation in Action - The Quad Sensor Project 140
READING: Power of Persuasion 142
5 The Project in the Organizational Structure 145
5.1 Projects in a Functional Organization 147
5.2 Projects in a Projectized Organization 151
5.3 Projects in a Matrixed Organization 153
5.4 Projects in Composite Organizational Structures 158
5.5 Selecting a Project Form 159
5.6 The Project Management Office 160
5.7 The Project Team 169
5.8 Human Factors and the Project Team 171
PROJECT MANAGEMENT IN PRACTICE
Reorganizing for Project Management at Prevost Car 150
Software Firm Yunio Avoids Complex Technologies 157
Trinatronic, Inc. 161
A Project Management Office Success for the Transportation Security Administration 164
South African Repair Success through Teamwork 172
CASE: Acorn Industries 180
READING: Four Steps to A Stronger PMO 184
PART II: PROJECT PLANNING
6 Activity Planning: Traditional and Agile 187
6.1 Traditional Project Activity Planning 189
6.2 Agile Project Planning 208
6.3 Coordination Through Integration Management 214
PROJECT MANAGEMENT IN PRACTICE
Beagle 2 Mars Probe a Planning Failure 188
Child Support Software a Victim of Scope Creep 194
Agile Project to Create Website Following Earthquake 211
Using Agile to Integrate Two Gas Pipeline Systems 212
The Current State of Agile Project Management 213
Trying to Install a Wind Farm in the Middle of the North Sea 215
An Acquisition Failure Questions Recommended Practice 216
CASE: Heublein: Planning a Project Management and Control System 222
READING: The Evolution of Agile 230
7 Budgeting and Risk Management 233
7.1 Estimating Project Budgets 234
7.2 Better Cost Estimating and Bidding 246
7.3 Project Risk Management 256
7.4 Quantitative Risk Assessment
Methodologies 266
PROJECT MANAGEMENT IN PRACTICE
Pathfinder Mission to Mars - on a Shoestring 235
Convention Security: Project Success through Budget Recovery 238
Managing Costs at Massachusetts’ Neighborhood Health Plan 240
Habitat for Humanity Wins a Big One 244
The Emanon Aircraft Corporation 255
Risk Analysis vs. Budget/Schedule Requirements in Australia 258
Facebook Risks Interruption to Move a Terabyte 265
Ignoring Risk Contrasted with Recognizing Risk in Two Industries 269
Simulating the Failure of California’s Levees 270
CASE: Fuddruckers and the Crystal Coast Music Festival 286
READING: Building Resiliency 289
8 Scheduling 291
8.1 Background 291
8.2 Network Techniques: PERT and CPM 293
8.3 Risk Analysis Using Simulation with Crystal Ball® 322
8.4 Using These Tools 332
PROJECT MANAGEMENT IN PRACTICE
Massachusetts’ Instant Bridges 293
Election Returns within Three Hours 300
Hosting the Annual Project Management Institute Symposium 320
Designing and Delivering a Rush Vehicle for War 331
CASE: NutriStar Energy, Inc. 342
READING: Without Further Delay 345
9 Resource Allocation 348
9.1 Critical Path Method - Crashing a Project 349
9.2 The Resource Allocation Problem 356
9.3 Resource Loading 359
9.4 Resource Leveling 362
9.5 Constrained Resource Scheduling 366
9.6 Goldratt’s Critical Chain 372
PROJECT MANAGEMENT IN PRACTICE
Expediting Los Angeles Freeway Repairs after the Earthquake 349
Thirty Days to Rescue 357
Benefits of Resource Constraining at Pennsylvania Electric 371
Architectural Associates, Inc. 378
CASE: D. U. Singer Hospital Products Corp. 384
READING: Let The Games Begin - Now 387
PART III: PROJECT EXECUTION
10 Monitoring and Information Systems 389
10.1 The Planning-Monitoring-Controlling Cycle 390
10.2 Information Needs and Reporting 394
10.3 Earned Value Analysis 398
PROJECT MANAGEMENT IN PRACTICE
Using Project Management Software to Schedule the Olympic Games 391
Using Earned Value to Monitor Governmental Archiving and Records Costs 404
Success through Earned Value at Texas Instruments 410
CASE: The Project Manager/Customer Interface 415
READING: Raise The Red Flags 418
11 Project Control 421
11.1 The Fundamental Purposes of Control 425
11.2 Three Types of Control Processes 427
11.3 The Design of Control Systems 436
11.4 Control of Change and Scope Creep 442
PROJECT MANAGEMENT IN PRACTICE
Regaining Control of Nuclear Fusion 424
Extensive Controls for San Francisco’s Metro Turnback Project 427
Tracking Scope Creep: A Project Manager Responds 439
Major Scope Creep in Boston’s “Big Dig” 444
Better Control of Development Projects at Johnson Controls 445
CASE: The Project Manager/Customer Interface (B) 451
READING: Ford Motor Co.: Electrical/Electronic Systems Engineering 453
12 Project Auditing 459
12.1 Purposes of Evaluation - Goals of the System 460
12.2 The Project Audit 463
12.3 The Project Audit Life Cycle 469
12.4 Some Essentials of an Audit/Evaluation 472
12.5 Measurement 474
PROJECT MANAGEMENT IN PRACTICE
Lessons from Auditing 110 Client/Server and Open Systems Projects 463
Auditing a Troubled Project at Atlantic States Chemical Laboratories 469
CASE: Theater High Altitude Area Defense (THAAD): Five Failures and Counting (B) 479
READING: An Assessment of Postproject Reviews 482
13 Project Closure and Benefits Realization 488
13.1 The Varieties of Project Closure 489
13.2 When to Close a Project 492
13.3 The Closure Process 497
13.4 The Final Report - A Project History 503
13.5 Benefits Realization 505
13.6 Afterword 507
PROJECT MANAGEMENT IN PRACTICE
Nucor’s Approach to Closure by Addition 491
Twelve Hospital Handoff Projects 493
Terminating the Superconducting Super Collider Project 497
When You Have to Kill a Project 503
AUTHOR INDEX 511
SUBJECT INDEX 513
APPENDIX A Probability and Statistics (online)
APPENDIX B Answers to Even-Numbered Problems (online)
APPENDIX C Technological Forecasting (online)
APPENDIX D Creativity and Idea Generation (online)
