Project management is a term that is frequently used, but its meaning may still be unclear to many. Ultimately, what does it entail?
Let’s try to unpack this in the following sections:
What is a Project?
A project is a temporary endeavor aimed to accomplish a specific goal. It is established for a specific period and ends once the intended objectives are achieved.
Think of building a hospital, a road, a factory, or a new IT solution, as examples.
Every project is unique in terms of its scope, design, location, and client. A designated project manager is responsible for acquiring and allocating resources to achieve the project objectives within a specified timeframe and budget. When the project goals are met, the project is deemed finished.
The project is vastly distinct compared to an ongoing operation such as managing a factory, production facility, or business aimed at hiring individuals and offering goods and services.
In summary, a project aims to achieve a specific outcome, which marks its completion. The assets produced by the project then transition into an ongoing operation.
What is Project Management?
Project management can be viewed as using methodology and processes to have a structured approach to managing projects across their life cycle.
Sounds complicated?
Allow me to clarify: Suppose you have been designated as a project manager for a new construction project that is worth millions of dollars.
How do you plan to execute the project and ensure it is completed on time and within budget? What steps will you take to start, and what resources will you need?
This scenario illustrates the significant effort and complexity required to manage a project, and it is where the project management methodologies become instrumental in achieving success.
Throughout my experience, I have observed numerous project managers who rely on their industry experience and interpersonal skills rather than formal training and education to manage and deliver projects effectively.
I believe this is mainly due to undervaluing project management education and training roles in project success.
This is not to say that managing projects is only based on knowledge, methodology, and processes. It certainly involves the team and the project manager’s personal traits and skills, their professional experience, and the tools (project management software, registers, document control systems, etc.) aiding the overall process.
Why is Managing Projects Crucial?
It might sound like a fundamental question, but the unique nature of projects makes them inherently risky encounters, particularly concerning cost, time, stakeholders‘ expectations, and quality.
Most projects are funded by private entities aiming to create assets to generate a financial outcome.
These entities would create a business case with assumptions around the delivery cost, delivery duration, and the completion date by which the assets will become operational and generate revenue.
Any deviation from the business case regarding the budget or duration means the client initiating the project won’t achieve the required outcome.
On the other hand, government-funded projects might have different drivers other than commercial ones. Still, at the same time, they would be under public and political scrutiny if they couldn’t deliver the project on budget and on time while meeting the broader stakeholders‘ expectations.
Finally, the private businesses delivering the project or part of it, whether a contractor, a consultant, or a solution provider, need to ensure they are profitable at the end of the job.
What are the Project Phases and knowledge Areas?
There are two methods of breaking down a project structure.
The first involves dividing it into phases: Initiation, Planning, Execution, and Closeout, with the Monitor and Control phase overlapping with the others.
The second method is to examine the various knowledge areas of project management. The PMI PMBOK® identifies nine such areas:
- Project Integration Management.
- Project Scope Management.
- Project Time Management.
- Project Cost Management.
- Project Quality Management.
- Project Human Resource Management.
- Project Communication Management.
- Project Risk Management.
- Project Procurement Management.
While all of these are important when managing a project, in my opinion, the scope, time, cost, risk, and stakeholder management are of the highest importance, especially in small and mid-size project environments.
Project Management Methodologies
Over the years, various project management methodologies and frameworks have been developed to provide a structured approach to managing projects.
These methodologies include tools and processes such as Six Sigma for managing quality and Lean to enhance efficiency. Here is a list of the seven most widely used project management methodologies.
1. PMI’s PMBOK® (Project Management Body of Knowledge)
It is a project management framework that provides a comprehensive set of processes, tools, and techniques for managing projects. It is the most widely used project management methodology in the world.
2. PRINCE2 (Projects in Controlled Environments)
It is a project management framework that is used by the UK government and many other organizations around the world. It is a more structured and prescriptive methodology than PMI’s PMBOK®.
3. Agile
It is a set of project management principles emphasizing flexibility and iterative development. Agile projects are typically broken down into smaller, more manageable chunks, and the project team adapts the plan as they learn more about the project.
4. Scrum
It is a popular agile methodology that is used for software development. Scrum teams work in sprints, which are short, iterative development cycles. At the end of each sprint, the team delivers a working product increment.
5. Lean
It is a project management methodology that is based on the principles of waste elimination and continuous improvement. Lean projects focus on delivering value to the customer and minimizing waste.
6. Kanban
It is a visual project management methodology that helps teams to manage their workflow. Kanban boards use cards to represent work items, and the cards are moved through the board as the work progresses.
7. Waterfall
It is a traditional project management methodology that is based on the sequential completion of phases. Waterfall projects are typically planned in detail at the beginning of the project, and the project team does not move on to the next phase until the previous phase is complete.
I have solid experience using the Waterfall methodology, which is most suitable for the projects I have managed throughout my career.
In 2003, a few years into my professional career, I obtained the PMI PMP® certification. Even today, the PMP® is widely recognized as one of the top accreditations in project management.
I highly recommend project managers proactively seek out and educate themselves on the project management methodology commonly utilized within their particular industry.
Project Management Tools & Software
Project managers and organizations can often use different tools and software in managing projects. These can vary widely depending on the project type, size, and complexity but include the following:
- Spreadsheet: used to track costs and budget and create risk registers.
- File storage and sharing software.
- Gantt chart and planning software: used to create, monitor, and control the schedule.
- Enterprise Resource Planning (ERP) software: mainly used by big organizations to manage business operations and project work.
- Collaborative project management software: used to integrate teams working on the same project, manage tasks, schedule, and communicate.
