Study Notes for Information Technology Project Management

Chapter 1: Introduction to Project Management

Overview

  • Focus on Information Technology Project Management, Ninth Edition.

  • © 2019 Cengage.

  • Restricted use: May not be copied, scanned, or duplicated except in accordance with specific licensing agreements.

Learning Objectives (1 of 2)

  • Understand growing need for better project management, especially in IT projects.

  • Define a project, provide examples of IT projects, list project attributes, and describe project management constraints.

  • Define project management and discuss its key elements:

    • Project stakeholders.

    • Project management knowledge areas.

    • Common tools and techniques.

    • Criteria for project success.

Learning Objectives (2 of 2)

  • Explain the relationship between project, program, and portfolio management, including their roles in enterprise success.

  • Summarize project manager roles, necessary skills, the Talent Triangle, and career opportunities in IT project management.

  • Key aspects of the project management profession:

    • Historical components.

    • Role of organizations like Project Management Institute (PMI).

    • Importance of certification and ethics.

    • Evolution of project management software.

Introduction

Rising Interest in Project Management

  • Renewed focus on project management among individuals and organizations.

  • Worldwide IT expenditure was approximately $3.5 trillion in 2017—an increase of 2.4 percent from 2016.

  • By 2017, job opportunities reached nearly 66 million; projected need by 2027 is 87.7 million individuals in project management roles.

Compensation and Skills

  • Average annual salary for project management professionals (2017):

    • $112,000 in the U.S.

    • $130,866 in Switzerland.

  • Top skills desired by employers for recent graduates include teamwork, problem-solving, and verbal communication.

  • PMI report indicates organizations squander $97 million for every $1 billion spent on projects.

Advantages of Formal Project Management

  • Enhanced control over financial, physical, and human resources.

  • Improved customer relations.

  • Accelerated development times and reduced costs.

  • Higher product quality and reliability.

  • Increased profit margins.

  • Enhanced internal coordination.

  • Positive effects on strategic goal attainment.

  • Improved employee morale.

What Is a Project?

  • Definition: A project is defined as “a temporary endeavor undertaken to create a unique product, service, or result” (PMBOK® Guide, Sixth Edition, 2017).

  • Distinction between operations and projects:

    • Operations: Ongoing work that sustains the business.

    • Projects: Temporary, conclude when objectives are met or terminated.

Examples of IT Projects

Examples (1 of 2)

  • Creation of a smartphone application by students and its sale online.

  • Development of a driverless car by a company.

  • A government initiative to design a system for tracking child immunizations.

  • Consolidation of systems and procedures after a global bank acquisition of financial institutions.

Examples (2 of 2)

  • Top Strategic Technologies for 2018 (Gartner):

    • Artificial Intelligence (AI) Foundation.

    • Intelligent Things.

    • Cloud to the Edge.

    • Immersive Experience.

Media Snapshot

  • In 2014, predictions indicated 70 billion mobile application downloads annually, but actual downloads approached double this figure.

  • Facebook remains the most downloaded app, with games as the leading app category.

  • As of March 2017, Android users could download 2.8 million apps, while Apple users had 2.2 million options.

Project Attributes

  • Unique purpose.

  • Temporary nature.

  • Drives change and enables value creation.

  • Developed through progressive elaboration.

  • Resource requirements span various domains.

  • Must have a primary customer or sponsor, who typically provides direction and funding.

  • Involves a degree of uncertainty.

  • Collaboration required among project managers, sponsors, teams, and stakeholders to achieve goals.

Project Constraints

  • Determining constraints that can affect project outcomes.

What is Project Management?

Definition and Objectives (1 of 2)

  • Project management is defined as “the application of knowledge, skills, tools, and techniques to project activities to meet project requirements” (PMBOK® Guide, Sixth Edition, 2017).

  • Project managers focus on meeting the triple constraint: scope, time, and cost whilst addressing the needs and expectations of stakeholders.

Definition and Objectives (2 of 2)

  • Emphasis on balancing competing goals and facilitating processes.

Project Stakeholders

  • Stakeholders are individuals involved in or impacted by project activities, including:

    • The project sponsor.

    • Financial institutions (e.g., banks).

    • The project manager.

    • Project team members.

    • Support staff.

    • Suppliers.

    • Project opponents.

Project Management Knowledge Areas

  • Description of 10 knowledge areas that project managers must master:

    1. Scope Management.

    2. Schedule Management.

    3. Cost Management.

    4. Quality Management.

    5. Resource Management.

    6. Communications Management.

    7. Risk Management.

    8. Procurement Management.

    9. Stakeholder Management.

    10. Project Integration Management.

  • Each knowledge area has a dedicated chapter in this text for comprehensive understanding.

Project Management Tools and Techniques

Tools and Techniques (1 of 2)

  • Variety of tools and techniques to assist project managers and teams:

    • Project charter, scope statement, and Work Breakdown Structure (WBS) for scope management.

    • Gantt charts, network diagrams, critical path analysis, and critical chain scheduling for time management.

    • Cost estimates and earned value management for cost management.

  • Reference to Table 1-1 for an expanded list.

Tools and Techniques (2 of 2)

  • PMBOK® Guide classifies tools and techniques by their purposes:

    • Data gathering.

    • Data analysis.

    • Data representation.

    • Decision making.

    • Communication.

    • Interpersonal/team skills.

Project Success

Criteria for Success (1 of 4)

  • Several definitions of project success:

    • Meeting of scope, time, and cost objectives.

    • Satisfaction of the customer/sponsor.

    • Fulfillment of main project objectives (e.g., financial return).

Criteria for Success (2 of 4)

  • Success Factors Table (source: Standish Group, CHAOS Manifesto 2015):

    • Executive sponsorship: 15 points

    • Emotional maturity: 15 points

    • User involvement: 15 points

    • Optimization: 15 points

    • Skilled resources: 10 points

    • Agile processes: 7 points

    • Modest execution: 6 points

    • Project management expertise: 5 points

    • Clear business objectives: 4 points

Criteria for Success (3 of 4)

  • Top factors for federal technology projects' success:

    • Adequate funding.

    • Staff expertise.

    • Engagement from all stakeholders.

Criteria for Success (4 of 4)

  • Attributes of companies excelling in project delivery capability:

    • Utilization of an integrated toolbox.

    • Growth of project leaders.

    • Streamlined project delivery processes.

    • Measuring project health via metrics such as customer satisfaction and ROI.

Program and Project Portfolio Management

Global Economic Impact

  • Approximately one-quarter of the world’s GDP is allocated to project spending.

Concepts for Enterprise Success

  • Two critical concepts aiding project alignment with enterprise goals:

    • Program management.

    • Project portfolio management.

Programs

  • Definition: A program is “a group of related projects managed in a coordinated manner to obtain benefits and control not available from managing them individually” (PMBOK® Guide — Sixth Edition, 2017).

  • Common IT programs include:

    • Infrastructure.

    • Application development.

    • User support.

  • Role of program manager: Provides leadership and direction to project managers within the program.

Project Portfolio Management

Overview (1 of 2)

  • Project portfolio management involves grouping and managing projects and programs as a portfolio of investments.

  • Objective: To contribute to overall enterprise success through strategic evaluation of projects.

  • Portfolio managers aid organizations in making informed investment choices.

Overview (2 of 2)

  • Emphasis on integrating projects and programs to optimize outputs and outcomes in alignment with strategic goals.

Best Practice

  • Definition: A best practice is “an optimal way recognized by industry to achieve a stated goal or objective.”

  • Fundamental tenets proposed by Robert Butrick for organizations:

    1. Ensure projects align with your strategic vision.

    2. Engage stakeholders actively to avoid project failure.

Organizational Project Management

Definition and Framework (1 of 2)

  • Organizational project management involves the integration of portfolio, program, and project management with organizational enablers to attain strategic objectives.

Definition and Framework (2 of 2)

  • Importance of aligning project management practices with business goals and structures.

The Role of the Project Manager

  • Project managers collaborate with stakeholders, especially sponsors and teams.

  • Effective management necessitates familiarity with the 10 project management knowledge areas and associated tools.

Project Manager Job Description

  • Responsibilities typically include:

    • Planning.

    • Scheduling.

    • Coordinating project activities.

    • Collaborating with stakeholders to reach project goals.

  • Project management is a critical skill across all major IT fields, including database administration, network specialization, and technical writing.

Advice for Young Professionals

  • Key self-inquiry questions to determine suitability for a project management role:

    • Frustrated by ineffective leadership? Could you do better?

    • Interest in organizational dynamics and project integration?

    • Experience in leadership roles (team captain, club president, entrepreneur)? Did you enjoy and excel in those roles?

    • Capability to mentor others, sought for guidance on skills and decisions?

Suggested Skills for Project Managers

Necessary Skills (1 of 2)

  • According to the Project Management Body of Knowledge, essential skills include:

    • Knowledge of application areas, standards, and regulations.

    • Understanding the project environment.

    • General management knowledge and skills.

    • Soft skills (human relations).

Necessary Skills (2 of 2)

  • Six traits characterizing highly effective project managers:

    1. Serve as a strategic business partner.

    2. Acknowledge and reward contributions.

    3. Respect and motivate stakeholders.

    4. Be genuinely committed to success.

    5. Uphold integrity and accountability.

    6. Ability to navigate ambiguity and gray areas.

PMI Talent Triangle and Leadership Skills

  • PMI Talent Triangle includes three core skill categories:

    1. Technical project management skills.

    2. Strategic and business management skills.

    3. Leadership skills.

  • Leadership styles relevant to project management:

    • Laissez-faire.

    • Transactional.

    • Servant leadership.

    • Transformational.

    • Charismatic.

    • Interactional.

Careers for IT Project Managers

Career Insights (1 of 2)

  • According to a 2017 survey, in-demand tech skills:

    • Project management ranks second after full-stack software development.

    • Fundational project management knowledge beneficial even in purely technical roles.

Career Insights (2 of 2)

  • Top tech skills for 2017 (from table referenced):

    1. Full-stack software development.

    2. Project management.

    3. Cybersecurity.

    4. Networking.

    5. User experience/user interface (UX/UI) design.

    6. Quality assurance (QA)/testing.

    7. Cloud engineering.

    8. Big data.

    9. Machine learning/artificial intelligence.

    10. DevOps.

The Project Management Profession

  • The project management profession is experiencing rapid growth.

  • Importance of understanding the field’s history, the role of professional societies like PMI, and the rise of project management software.

History of Project Management

Historical Context (1 of 4)

  • Arguments that monumental projects (e.g. Egyptian pyramids, Great Wall of China) utilized project management principles.

  • The Manhattan Project considered the first major instance of employing “modern” project management practices.

    • Three-year project costing approximately $2 billion (1946 dollars) with dedicated project and technical managers.

Historical Context (2 of 4)

  • The 1990s saw the emergence of Project Management Offices (PMOs) to manage complex projects effectively.

  • Definition: A PMO is an organizational group that coordinates and oversees project management functions throughout an organization.

Historical Context (3 of 4)

  • Growth of PMOs was driven by the need to handle increasing project quantity and complexity.

Historical Context (4 of 4)

  • Established practices continue to shape current project management methodologies.

Global Issues in Project Management

  • Global dynamics compelling organizations to adapt:

    • Talent development for project managers is paramount.

    • Mastery of basic project management techniques is essential.

    • Increased prevalence of agile methodologies in project management.

    • Focus on benefits realization of projects as a key performance metric.

The Project Management Institute (PMI)

  • Founded in 1969, PMI is an international professional society for project managers.

  • Membership growth: Over 500,000 members globally by late 2017.

  • Communities of practice exist in various fields, including:

    • Information systems.

    • Financial services.

    • Healthcare.

  • Growth in research and certification initiatives.

PMI Student Membership

  • Availability of reduced fee membership for students.

  • Students can pursue Certified Associate in Project Management (CAPM) certification (check PMI for details).

Project Management Certification

Certification Process (1 of 2)

  • PMI offers Project Management Professional (PMP®) certification.

  • Requirements for PMP® certification include:

    • Documented project management experience.

    • Adherence to a code of ethics.

    • Successful completion of the PMP® examination.

Certification Process (2 of 2)

  • Rapid growth in PMP® certificants reflects increased demand and recognition of project management expertise.

Ethics in Project Management

  • Definition: Ethics encompasses principles guiding decision-making based on personal values of right and wrong.

  • Project managers frequently encounter ethical dilemmas.

  • Candidates for PMP® certification must commit to PMI’s Code of Ethics and Professional Conduct.

  • PMP® exam includes multiple questions related to professional responsibility and ethics.

Project Management Software

  • Diverse range of software products available to aid project management.

  • Categories of tools:

    • Low-end tools: Suitable for small projects; cost under $200 per user.

    • Midrange tools: Manage multiple projects; cost between $200-$1,000 per user; Microsoft Project remains popular.

    • High-end tools: Enterprise project management software, usually licensed on a per-user basis.

    • Availability of various free or open-source tools.

Chapter Summary

  • A project is a temporary endeavor aimed at creating a unique product, service, or result.

  • Project management involves applying knowledge, skills, tools, and techniques across project activities to fulfill project requirements.

  • A program consists of related projects managed together for efficiency gains.

  • Project portfolio management involves organizing and managing projects as investments toward enterprises' success.

  • Project managers are key to achieving project and organizational success.

  • The project management profession is continuously evolving and expanding.