Project management

Module 4
By
Dr Swati Minz
 Forms of project management

Line & staff organisation Divisional organisation Matrix organisation

Line & staff organisation

A line and staff organization

is a type of organizational In this type of organization,
structure where the chain of there are two types of
command flows vertically personnel: line personnel
from the top management to and staff personnel.
the bottom level employees.
Line & staff organisation

Line personnel: These are employees who

Staff personnel: These are employees who
are directly involved in the production or
provide support and assistance to the line
delivery of goods and services. They have
personnel. They do not have the authority
the authority to make decisions and are
to make decisions but provide advice,
responsible for achieving the goals and
assistance, and specialized expertise to the
objectives of the organization. They are the
line personnel. They include functions such
ones who perform the core activities of the
as finance, human resources, legal, and
business, such as manufacturing,
information technology.
marketing, and sales.
Divisional
organisation
• The main advantage of a divisional
organization is that it allows the
company to be more flexible and
responsive to changes in the
market, as each division can adapt
to the specific needs and demands
of its customers and environment.
• It also allows for better
management of resources, as each
division can allocate its resources
more efficiently to achieve its
goals.
Matrix
organisation
• A matrix organization is a type of
organizational structure in which
employees are grouped by both
function and project or product
teams.
• In a matrix organization,
employees report to both a
functional manager, who is
responsible for their skill
development and career
progression, and a project or
product manager, who is
responsible for the specific project
or product that they are working
on.
The matrix organization has several
advantages, including:

• Improved communication and coordination: As employees are working on cross-

functional teams, there is a higher degree of communication and coordination,
which can lead to better decision-making and problem-solving.
• Efficient use of resources: The matrix organization allows for a more efficient use of
resources, as employees can be shared across different projects or products,
reducing the need for duplication of effort and resources.
• Enhanced innovation and creativity: The matrix organization promotes innovation
and creativity, as employees from different functions and backgrounds come
together to work on a project or product
 • Project planning is the process of defining
project the scope, objectives, and timeline of a
project.
planning • It involves identifying the tasks that need to
be completed, the resources that will be
required, and the budget that will be
allocated for the project.
• Effective project planning is critical for the
success of any project, as it helps ensure that
the project is completed on time, within
budget, and to the satisfaction of all
stakeholders.
The following are some key steps involved in
project planning:

Define the project scope and objectives: Clearly define what the project will accomplish and what
is out of scope.

Identify the project requirements: Identify the specific tasks, resources, and budget required to
achieve the project objectives.

Develop a project schedule: Develop a detailed timeline for the project, including key milestones
and deadlines.

Allocate resources: Determine the resources required for the project, including personnel,
equipment, and budget.
The following are some key steps involved
in project planning:
Identify potential risks: Identify potential risks and develop a risk management
plan to mitigate those risks.

Establish communication protocols: Define how stakeholders will communicate,

including how often and what information will be shared.

Create a project plan: Develop a detailed project plan that includes all the above
information, and share it with all stakeholders.

Monitor and adjust: Continuously monitor the progress of the project and adjust
the plan as needed to ensure that it stays on track.
Project control

• Project control is the process of monitoring and managing a project to

ensure that it stays on track, meets its objectives, and is completed within
the allocated budget and timeframe.
• It involves using tools and techniques to identify and manage risks, track
progress, manage resources, and make adjustments as needed to keep the
project on course.
The following are some key aspects of
project control:
Monitoring project progress: This involves regularly tracking and reporting on the status of the project, including
tasks completed, tasks remaining, and any issues or risks that arise.

Controlling project scope: This involves managing changes to the project scope to ensure that they are properly
evaluated, approved, and incorporated into the project plan.

Managing project risks: This involves identifying potential risks to the project and developing plans to mitigate
them. Risk management may include contingency planning, risk avoidance, risk transfer, or risk acceptance.

Managing project resources: This involves ensuring that the project has the necessary resources, including
personnel, equipment, and materials, to complete the project successfully.
The following are some key aspects of
project control:
Managing project budget: This involves tracking project costs, managing
expenses, and ensuring that the project is completed within the allocated
budget.

Managing project schedule: This involves monitoring the project timeline,

identifying potential delays, and taking corrective action to keep the project on
schedule.

Managing project quality: This involves ensuring that the project deliverables
meet the required quality standards.
Human Aspects of project management

Authority Orientation

Motivation Group functioning

 Clear authority

Authority :H Delegation of authority

uman Aspects Respect for authority
of project
management Use of authority

Accountability
 Introduction to the project

Project processes
Orientation :Human
Aspects of Role and responsibilities
project management
Team culture

Resources and support

 Clear goals

Human
Aspects of Rewards and recognition

project Opportunities for growth

management:
motivation Positive work environment

Communication
Human Team building
Aspects of Leadership
project
management: Communication
group
Conflict resolution
functioning
Decision-making
 • Adequate formulation
• Sound project organisation
• Proper implementation planning
Pre-requisites • Advance action

for successful • Timely availability of funds

• Judicious equipment tendering and
project procurements
• Better contract management
implementation • Effective monitoring

• Note :Refer P.Chandra page 21.16

Development
of project
network
PERT • A PERT chart, sometimes called a PERT diagram, is a project
management tool used to schedule, organize and coordinate tasks
within a project. It provides a graphical representation of a
project's timeline that enables project managers to break down
each individual task in the project for analysis.
• The PERT chart template uses nodes -- drawn as rectangles or
circles -- to represent events and milestones throughout the
project. The nodes are connected by vectors -- drawn as lines --
which represent the various tasks that need to be completed.
• PERT charts provide project managers with an estimation of the
minimum amount of time needed to complete a project. Managers
can also analyze the work breakdown and task connections, as well
as assess the risk associated with the project. The breakdown
structure makes it easy to organize a complex project with a
variety of moving parts by visualizing the dependencies between
each step of the process.
• PERT stands for Program Evaluation Review Technique, a
methodology developed by the U.S. Navy in the 1950s to manage
the Polaris submarine missile program. A similar methodology, the
critical path method (CPM) was developed for project
management in the private sector at about the same time.
When to • determine the project's critical path in
order to guarantee all deadlines are met;
use a PERT • display the various interdependencies of
chart tasks;
• estimate the amount of time needed to
complete the project; and
• prepare for more complex and larger
projects.
Terminolo • Nodes are visual representations of milestones or
events within the project. They are drawn as
gy either numbered boxes or numbered circles.
• Arrows are visual representations of the tasks
Here is a that occur throughout the project. The direction
of the arrow indicates the sequence of the task.
list of terms Diverging arrows show that various tasks can be
completed at the same time.
associated • Fast tracking is when tasks and activities are
performed simultaneously.
with PERT • A PERT event is the point at which one or more
tasks are started or completed.
charts: • A predecessor event occurs
immediately before some events. A successor
event naturally occurs after events.
Terminolo • Slack is the amount of time a single task can
be delayed without harming other tasks or
gy the project as a whole.

Here is a • The critical path is the longest -- or most

time-consuming -- path from the start to the
list of terms completion of an event or task.
• Critical path activity refers to a task that does
associated not experience slack.
• Crashing critical path is when the completion
with PERT time of a task is shortened.

charts: • Lag time refers to the earliest point at which

a task can follow another.
• Lead time is the amount of time it should
take to complete a task without impacting
the following activities.
Terminolo
Expected time is the best estimation of how long a
gy task will take to complete, taking into consideration
any problems or obstacles that might arise.
Here is a
list of terms Optimistic time refers to the minimum amount of
time it will take to complete a task.

associated
with PERT Pessimistic time is the maximum amount of time it
will take to finish a task.

charts:
Most likely time is the best guess of how long a
task will take, assuming no problems arise.
When creating a PERT chart,
project managers should follow
the below steps:

• Define all activities involved in the

project.
• Consider any dependencies between
tasks.
• Draw nodes and arrows based on the
information gathered in the first two
steps.
• Identify the completion time for each
task.
Once the PERT chart is drawn, project
managers can use it to develop a realistic
time frame for the project
• This can be done by finding the longest path, based on
the estimations entered. This path should include the
tasks that take the longest to complete.
• By adding together the time it takes to complete each
task, an estimation will be provided for how long the
entire project will take.
• Once this is done, the PERT chart can then be used to
adjust the times if circumstances change or to ensure
the project is finished by its designated deadline.
PERT • The PERT technique provides the ability to evaluate
the time and resources necessary to a project by

advantages tracking required assets at each stage of the process,

as well as throughout the course of the project.

: • PERT charts are useful in what-if analyses, helping

companies understand all possible workflows and
choose the most efficient and beneficial path.
• The analysis of the PERT chart includes data from
various departments within an organization.
Combining all of the information helps identify each
responsible team within the company, while facilitating
an environment where each department takes
responsibility for its work.
• The process of creating a PERT chart also improves
communication and enables an organization to invest
energy in projects that will enhance its strategic
positioning.
• PERT charts make unclear
deadlines more predictable, clarify dependencies
between tasks and establish a clear order for
completing the tasks.
PERT • A strict focus on deadlines may not enable managers
disadvantages to see the full financial positioning of the project.
• PERT charts lack the flexibility to adapt to small
changes that occur when confronted with a
roadblock.
• If any calculations are inaccurate in the creation of
the chart, delays could occur, causing bottlenecks
and negatively impacting the final delivery date.
• PERT charts are subjective; their success depends
on the experience of the project manager.
Consequently, some charts may include unreliable
data or unrealistic expectations for the cost and time
frame of the project.
• Creating a PERT chart is labor-intensive, requiring
additional time and resources. Also, in order for the
chart to remain valuable, it must be consistently
reviewed and maintained.
CPM
• The critical path method (CPM) is a technique where you identify tasks that are
necessary for project completion and determine scheduling flexibilities. A critical path in
project management is the longest sequence of activities that must be finished on time
in order for the entire project to be complete. Any delays in critical tasks will delay the
rest of the project.
• CPM revolves around discovering the most important tasks in the project timeline,
identifying task dependencies, and calculating task durations.
• CPM was developed in the late 1950s as a method to resolve the issue of increased costs
due to inefficient scheduling. Since then, CPM has become popular for planning projects
and prioritizing tasks. It helps you break down complex projects into individual tasks and
gain a better understanding of the project’s flexibility.
Why use the critical path method?
• Improves future planning: CPM can be used to compare expectations with actual
progress. The data used from current projects can inform future project plans.
• Facilitates more effective resource management: CPM helps project managers prioritize
tasks, giving them a better idea of how and where to deploy resources.
• Helps avoid bottlenecks: Bottlenecks in projects can result in lost valuable time. Plotting
out project dependencies using a network diagram, will give you a better idea of which
activities can and can’t run in parallel, allowing you to schedule accordingly.
Advantages of CPM

1. Better communication
• Critical route method schedules call for feedback from important
parties at every stage of the project's lifespan. The timeline
becomes more realistic and solid from the outset when the skills of
diverse team members & subcontractors, such as architects,
electricians, and construction managers, are combined.
2. Ease in prioritization
• Prioritization is made simpler since project managers may more
easily define priorities and calculate the float of each work by
identifying the critical path. Slack or float measures how much time
a task may be put off before it affects when it will be finished. The
float of non-critical activities is positive, whereas the float of critical
path tasks is zero. Teams can determine the priority of each work by
calculating its float. The priority increases as the float decreases.
Advantages of CPM

3. Improved scheduling accuracy

• The critical path approach is a well-liked and dependable tool for enhancing project schedule
accuracy. The PERT analysis helps teams in estimating overall project time and is often used
alongside CPM. PERT considers unpredictable events, while CPM concentrates on predictable
activities, resulting in three potential timelines: the most optimistic, the most pessimistic, and the
most realistic. Project managers can produce the most precise forecasts by combining PERT and
CPM.
4. Better risk detection
• Due to critical route schedules clearly showing the dependencies between jobs, project managers
are better able to anticipate the ripple effects of a delay. Compared to alternative systems that do
not manage dependencies, CPM offers earlier opportunities for corrections and prevents more
surprises.
Advantages of CPM

5. Greater flexibility
• Project managers have the capabilities to quickly adjust the timetable when things don't go as
planned, thanks to CPM network diagrams. To compare results and choose the best
alternative, project managers might use software that can even simulate the consequences of
various adjustments.
6. More visual impact
• Project managers may quickly comprehend the timing and status of a project by using Gantt
charts and CPM network diagrams to illustrate critical path schedules. Team members and
project managers can have a more intuitive sense of a project's trajectory using these visual
tools than they might be able to use a less visually stimulating option.
Disadvantage of CPM

1. Increased complexity
• CPM drawbacks include increased complexity and using a method with numerous moving elements
called the critical path. Although the computations can be automated using software, accurate data
entry involves extensive investigation and still carries the danger of human error.
2. Reduced applicability
• Not all projects can benefit from the critical route approach. For instance, CPM demands repeatable
and predictable timelines. For creative projects that frequently come together in unforeseen ways,
such as product designing or research work, CPM is not a suitable fit. On the other hand, repetitive
or autonomous tasks are not ideal candidates for CPM. For instance, dozens of machines may need
to be cleaned as part of a weekly maintenance schedule, but the sequence in which they are
serviced is irrelevant. Since there are no activity constraints and no critical route in this situation,
CPM is not useful.
Disadvantage in CPM

3. Limited attention to high-float activities

• When using the CPM, project managers concentrate on the tasks that are on the
critical path. Even though the critical route does affect the overall project duration,
employing this strategy can make it simpler to disregard low-priority or floaty
activities, which can cause delays. A new building's electrical system installation, for
instance, is not a critical path task because it may be completed over a long period of
time. However, project managers can still affect the completion schedule if they
overlook wiring work or put it off for too long.