The latest edition of Project Management has been significantly revised to include important new developments in the field. The previous editions of this best-selling book have been widely used on university degree programmes, executive management training courses, planning software courses and professional certification.
Features:
Reflects changes in the new versions of the bodies of knowledge of the PMI (American Project Management Institute) and the APM (British Association for Project Management)
7 additional chapters including expanded coverage of project methodology, project management process and knowledge area trade-offs
New case studies from different industries to indicate broad use of project management techniques
Includes numerous worked examples and practical exercises, which introduce the reader to the latest planning and control techniques
Abbreviations xiii
Foreword xv
Author's Note xvii
PART I Key Principles, Processes and Methodologies 1
1 Introduction to Project Management Techniques 3
1. What is a Project? 5
2. Types of Projects 6
3. What is Project Management? 10
4. Different Types of Management 12
5. Role of the Project Sponsor 14
6. Role of the Project Manager 16
7. Role of the Project Steering Board 18
8. Project Success 20
2 Project Lifecycle 23
1. What is a Project Lifecycle? 24
2. Project Lifecycle (4 Phases) 25
3. What is a Project Phase? 27
4. Level of Effort 27
5. Level of Infl uence vs. Cost of Changes (Front-End Importance) 29
6. Product Lifecycle (10 Phases) 30
7. Project Lifecycle Costing 32
8. Project Lifecycle Contracts 35
3 Project Management Process 36
1. Summary of the Management Process 37
2. What is a Process? 37
3. Eastonian Process 38
4. Fayol's Management Process 40
5. Project Management Process 41
4 Project Methodology 44
1. What is a Project Methodology Systems Approach? 45
2. Project Methodology Systems Approach 46
3. Initiation Process - Initiate the Phase 48
4. Planning Process - Plan the Phase 49
5. Execution Process - Execute the Phase 50
6. Closing Process - Close the Phase 50
7. Extent of Corporate and Project Responsibility 51
5 Project Stakeholder Management 54
1. Who is a Project Stakeholder? 55
2. Project Stakeholders vs. Project Lifecycle 57
3. Identify Stakeholders and Interested Parties 57
6 Project Selection 64
1. Project Selection Models 65
2. Numeric Models 68
3. Payback Period 68
4. Return on Investment (ROI) 69
5. Discounted Cash Flow (DCF) 71
6. Net Present Value (NPV) 71
7. Internal Rate of Return (IRR) 74
8. Net Present Value (NPV) Using Variable Interest Rates 77
9. Scoring Models 78
10. Cost Breakeven Analysis 80
11. Project Lifecycle Cash Flow 81
PART II Content and Processes 83
7 Corporate Strategy Phases 85
1. Corporate Strategy Phases vs. Project Lifecycle 86
2. Corporate Vision 87
3. Corporate Values (Governance) 89
4. Corporate Requirements 91
5. Business Case 93
8 Project Feasibility Phase 96
1. Feasibility Phase vs. Project Lifecycle 97
2. Project Feasibility Study 97
3. Project Charter 98
4. Defi ne the Client's Corporate Requirements 104
5. Internal Project Constraints 106
6. Internal Operational Constraints 107
7. External Constraints 109
9 Project Defi nition Phase 112
1. Project Defi nition Phase vs. Project Lifecycle 113
2. What is a Project Design? 113
3. Project Design Process 114
4. Project Design Philosophy 115
5. Model Testing 117
6. Prototypes 118
7. Computer Simulation 118
8. Operational Confi guration 119
10 Project Execution Phase 120
1. Project Execution Phase vs. Project Lifecycle 121
2. What is Project Execution? 121
3. Project Build-Method 122
4. Project Execution Strategy 125
11 Project Commissioning and Handover Phase 130
1. Project Commissioning and Handover Phase vs.
Project Lifecycle 131
2. What is Project Commissioning? 131
3. Receive the Deliverables 132
4. Verify the Scope of Work 133
5. Test and Commission the Project 133
6. Handover Process 135
7. Terminate the Project 136
8. Project Closeout 137
9. Closeout Report Questionnaire 138
12 Operational Phases 141
1. Operation Phases vs. Project Lifecycle 142
2. What are the Operational Phases? 143
3. Operational Start-Up Phase 143
4. Project Upgrade Phase 144
5. Project Disposal Phase 146
PART III Content, Tools and Techniques 151
13 Project Plan 153
1. Project Plan (Flow Chart) 154
2. Project Plan (Spiral) 155
3. Trade-Offs 158
4. Closing Comments 161
14 Project Scope Management 162
1. What is Scope Management? 163
2. Project Scope Management vs. Project Lifecycle 164
3. Scope Defi nition 166
4. Scope Change Control 168
5. Scope Verifi cation and Validation 172
15 Work Breakdown Structure (WBS) 174
1. What is the Work Breakdown Structure (WBS)? 175
2. Product Breakdown Structure (PBS) 176
3. Work Breakdown Structure (WBS) 178
4. Methods of Subdivision 180
5. Numbering System 183
6. WBS Templates 184
7. PBS, WBS, CBS, OBS Interface 185
8. Spreadsheet Presentation 186
16 Project Time Management 188
1. Project Management Plan 189
2. Defi nition of an Activity 190
3. WBS - Activity List 192
4. Calendar (Work Pattern) 193
5. Estimating an Activity's Duration 194
6. Time Trade-Off with other Knowledge Areas 196
17 Critical Path Method (CPM) 199
1. What is the Critical Path Method (CPM)? 200
2. Network Diagram 201
3. Activity Logic - Tabular Reports 203
4. Critical Path Method Steps 204
5. Forward Pass 204
6. Backward Pass 209
7. Activity Float 212
18 Gantt Charts 215
1. What is a Gantt Chart? 216
2. How to Draw a Simple Gantt Chart 216
3. Tabular Reports 217
4. Activity Float 218
5. Select and Sort Functions 219
6. Hammock Activities 221
7. Events, Key Dates, Milestones and Deadlines 222
8. Rolling Horizon Gantt Chart 223
9. Revised Gantt Chart 224
19 Project Procurement Management 227
1. What is Project Procurement Planning? 228
2. Project Procurement Process 229
3. Just-In-Time 233
4. Procurement Schedule 234
5. Procurement Expediting 236
20 Project Resource Management 238
1. How to Draw the Resource Histogram 239
2. Resource Loading 241
3. Resource Smoothing 241
4. Time-Limited Resource Scheduling 242
5. Resource-Limited Resource Scheduling 243
6. How to Increase the Project's Resources 245
7. How to Reduce the Project's Resources 246
21 Project Cost Management 248
1. What is Project Cost Management? 249
2. Estimating Continuum 250
3. Top-Down and Bottom-Up Estimating 251
4. Estimating Costs 252
5. Establishing Budgets 257
6. Budget Format 259
7. Cost Trade-Off with other Knowledge Areas 259
22 Project Cash Flow 262
1. What is a Project Cash Flow Statement? 263
2. Project Cash Flow Example 1 263
3. Cash Flow Timing 265
4. Project Cash Flow Example 2 267
5. Project Cash Flow Example 3 268
6. Invoicing 270
7. Cost-to-Complete 271
8. How to Draw an Expense 'S' Curve (PV, Planned Value) 272
9. Project Cash Flow Response 273
10. Performance Bonds and Retention 274
11. Benefi ts of Using Project Cash Flow 274
23 Project Control 277
1. Project Control Cycle 278
2. Monitor Progress (Data Capture) 280
3. Problem Solving 283
4. Decision-Making 286
5. How to Apply Project Control 288
6. Acceleration 290
7. Crashing Steps 290
8. Time-Cost Trade-Off Theory 291
9. Acceleration (Crash) Cost Priority Table 295
24 Earned Value 297
1. The Need for Earned Value 298
2. Earned Value 299
3. Earned Value Table 312
4. Project Control 312
5. Client's View of Earned Value 313
6. Earned Value Reporting 313
25 Project Quality Management 315
1. What is Project Quality Management? 316
2. Quality Planning 317
3. Quality Assurance Plan 318
4. Quality Control Plan 319
5. Continuous Improvement 322
6. Quality Trade-Off with other Knowledge Areas 324
26 Project Risk Management 327
1. What is Risk Management? 328
2. Risk Management vs. Project Lifecycle 329
3. Risk Identifi cation 332
4. Risk Quantifi cation 336
5. Risk Response 337
6. Contracting 338
7. Response to an Opportunity 341
8. Risk Control 341
27 Project Communication Management 343
1. What is Project Communication? 344
2. Communication Plan 345
3. Project Meetings 347
4. Project Reporting 349
5. Document Control 352
6. Communication Trade-Off with other Knowledge Areas 353
28 Project Leadership 355
1. What is Project Leadership? 356
2. Situational Leadership 356
3. Leadership Traits 359
4. Leadership Power (Responsibility - Authority Gap) 360
5. Action Centred Leadership 361
6. Decision-Making Continuum 363
7. Herzberg's Motivation and Hygiene Factors 365
8. Maslow's Hierarchy of Needs 366
9. Confl ict 368
10. Delegation 369
29 Project Teams 372
1. What is a Project Team? 373
2. Team Charter 374
3. Team Development Phases 377
4. Team Building Techniques 379
5. Levels of Team Building 380
6. Why Companies Use Project Teams 381
7. Benefi ts of Using Project Teams 381
30 Project Organization Structure 383
1. What is a Project Organization Structure? 384
2. Functional Organization Structures 385
3. Matrix Organization Structure 388
4. Pure Project Organization Structure 390
Glossary 393
Index 403
