Frank Matejcik SD School of Mines _ Technology 4 - HPC Page

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					               TM 665
     Project Planning & Control
     Dr. Frank Joseph Matejcik
 1st Session: Class Introduction, Projects
 in Contemporary Organizations



South Dakota School of Mines
      and Technology
         Rapid City
                          Agenda
    Excuses, and About Excuses (breaks, too)
    About the Professor, (Funny Resume)
    Attendance
    The Syllabus stuff (Access)
    M & M (1 Introduction)
    Comments Sheet




Frank Matejcik SD School of Mines & Technology   2
  Excuses, and About Excuses
         (breaks, too)
     Fourth time through for me
      – I taught this in 2000 year and started from
        Stu Kellogg’s Slides and the same book.
      – Book was severely dated in parts
      – Stu repeats things across courses
     Excuses generally granted
      – Tell me about it. I want to hear.
      – Late, late, late rule.
        (One died before….)
Frank Matejcik SD School of Mines & Technology   3
 First Assignment about you & PM
   Send me a contact info e-mail. Include all
    important contact information phones, fax,
    e-mail, mail addresses. Preferred mode.
    Send it to ----- our tech, too.
   Questions page 24 book’s answers will be
    posted on the net.




Frank Matejcik SD School of Mines & Technology   4
      Professor’s (Funny Resume)
              ACADEMIC
 CLEVELAND STATE B.Mech.E., '79
             (Arsenio Hall, Drew Carey)
 MINNESOTA Nights of Transition ‘80-’83
 WESTERN MI M.S., Stats, '85 (Tim Allen)
 BOWLING GREEN Mrs. '88
 OHIO State Ph.D., IE, '92 (R. Lewis)
 SDSM&T Asst. Prof. IE '93 on
 SILLIMAN, R.P. '98-'99 Fulbright
    – Sounds like a good place
Frank Matejcik SD School of Mines & Technology   5
      Professor (Funny Resume) II
   INDUSTRIAL
    – EMERSON ELECTRIC (Rosemount) '81- '83
    – EATON (Char-Lynn) July '80 to Sept. 81
    – EATON (Fuller Transmission) '80 to '80
    – GENERAL TIRE Summer '79
    – GENERAL ELECTRIC (H.I.D. LAMPS) 5 Qtrs
    – THE WEATHERHEAD CO. Fall '75
   Service
    – Black Hills Section of ASQC & ASTD
    – Rapid City Bike Walk Run (race, too)
    – Faculty Development, K of C
Frank Matejcik SD School of Mines & Technology   6
     Professor (Funny Resume) III
           RESEARCH INFORMATION
  MCB uses for Discrete Event Simulation
  Ranking and Selection (w/ Mulekar)
  Ancient Tools for Statistics, SQC, & K-12
     – CAMP web pages, Workshops, Translation,
       Filled & Thrilled rooms, Animation Tools
  Information Distortion Simulation
  Setting cutoff scores at
   Silliman University
            Attendance
Frank Matejcik SD School of Mines & Technology   7
                Access & Overview
   Instructor: Dr. Frank J. Matejcik CM 319
    – Directions on Syllabus Extra stuff, too
    – Work: (605) 394-6066 Roughly 10-3 M-F
          No U.S. complaints until 9/9/99. Late e-mail
          My wife was injured in a cooking fire.
    – Home: (605) 342-6871 Call at reasonable hours
    – Frank.Matejcik@.sdsmt.edu
 Project Management A Managerial
  Approach, Meredith & Mantel,
  Wiley, 2003. With software
 Do the book, mostly

Frank Matejcik SD School of Mines & Technology   8
               Tentative Schedule
       Chapters     Assigned                Chapters
 12-Jan      1      e-mail           22-Mar    4
       contact, p24 questions
 19-Jan      Holiday                 29-Mar          5, 6(start)
 26-Jan      2                       05-Apr          6, 7
 02-Feb      8                       12-Apr          Holiday
 09-Feb      9                       19-Apr          11
 16-Feb      Holiday                 26-Apr          12,13
 23-Feb      10                      3-May           Final
 01-Mar      Test
 08-Mar      Break
 15-Mar      3


Attendance Policy: Help me work with you.
Frank Matejcik SD School of Mines & Technology   9
                    Objectives
      Develop an understanding of the
       managerial aspects (organizational
       structures, team building, and
       sociological relationships) of project
       planning and control.
      Develop the quantitative skills of cost
       control, time management,
       and performance specifications.
      Demonstrate knowledge by
       homework & exams
Frank Matejcik SD School of Mines & Technology 10
      Computing Requirement
       SDSM&T           Distributed Computing

       MS   Project 2002 and Crystal ball
         are bundled & MS Project 2002 is
         on the SDSM&T network

       Access to the World Wide
         Web and Internet e-mail


Frank Matejcik SD School of Mines & Technology 11
                   Time/Place
 Class: Monday 6:00-9:00 pm CB 110
 Class Web site on the HPCnet system at
  http://www.hpcnet.org/sdsmt/directory/course
  s/2004sp/tm665M021
 The site for two years ago at
  http://www.hpcnet.org/InfoTM665_02




Frank Matejcik SD School of Mines & Technology 12
                      Grading
   Exams(2)
   Assignments           - Answers
                         will be on a web site

   90-100% A
   80- 89% B
   70- 79% C
   I may be more generous
Frank Matejcik SD School of Mines & Technology 13
   Project Management
        A Managerial Approach




       Chapter 1

Projects in Contemporary
     Organizations
       Ch.1: Projects in
  Contemporary Organizations
     What is a “project”
     Why project management?
     The project life cycle (PLC)
     Structure of rest of text




Frank Matejcik SD School of Mines & Technology 15
      Projects in Contemporary
           Organizations
     Project Management has emerged because
      the characteristics of our turn-of-the-century
      society demands the development of new
      methods of management
     Many forces have fostered the
      emergence and expansion of
      Project Management


Frank Matejcik SD School of Mines & Technology 16
          Ch. 1.0 Introduction:
        Project Management Drivers

     Expansion of knowledge
     Demand for new products
     Worldwide markets
     Competition
     Belief “better living though
      technology”
     Expanding size of projects

Frank Matejcik SD School of Mines & Technology 17
              Forces Of Project
                Management
     3 Paramount Forces driving Project Management:
      – 1. The exponential expansion of human knowledge
      – 2. The growing demand for a broad range of complex,
           sophisticated, customized goods and services
      – 3. The evolution of worldwide competitive markets for the
          production and consumption of goods and services
     All 3 forces combine to mandate the
      use of teams to solve problems that
      used to be solvable by individuals


Frank Matejcik SD School of Mines & Technology 18
          Objectives of a Project
         3 Project Objectives:
          – Performance
          – Time
          – Cost
         Expectations of clients are
          not an additional target,
          but an inherent part of the
          project specifications M&M

Frank Matejcik SD School of Mines & Technology 19
           Objectives of a Project
     3 Project Objectives:




Frank Matejcik SD School of Mines & Technology 20
     The Professionalism of Project
             Management
   Complexity of problems facing the project manager
   Growth in number of project oriented organizations
    –   The Project Management Institute (PMI) was established in 1969
    –   By 1990 it had 7,500 members
    –   5 years later, over 17,000 members
    –   And by the end of 2001, it had exploded to over 86,000 members
   This exponential growth is indicative
    of the rapid growth in the use of projects
   Also reflects the importance of PMI as a
    force in the development of project
    management as a profession
Frank Matejcik SD School of Mines & Technology 21
    Project Management Institute




Frank Matejcik SD School of Mines & Technology 22
    Recent Changes in Managing
           Organizations
   The process of managing organizations has been impacted
    by three revolutionary changes
     – 1. Accelerating replacement of traditional, hierarchical
       management by participatory management
     – 2. Currently witnessing the adoption of the “systems
       approach” (sometimes called “systems engineering”)
     – 3. Organizations establishing projects as
       the preferred way to accomplish the many
       specific changes that must be made
       when the organization attempts to alter
       its strategy

Frank Matejcik SD School of Mines & Technology 23
      The Definition of a “Project”
   PMI: A temporary endeavor undertaken to
    create a unique product or service.
   Must make a distinction between terms:
    – Program - an exceptionally large, long-range
      objective that is broken down into a set of projects
    – Task - set of activities comprising a project
    – Work Packages - division of tasks
    – Work Units - division of work packages
   In the broadest sense, a project is a
    specific, finite task to be accomplished

Frank Matejcik SD School of Mines & Technology 24
     Characteristics of a Project

       Have a purpose
       Have a life cycle
       Interdependencies
       Uniqueness
       Conflict




Frank Matejcik SD School of Mines & Technology 25
      Why Project Management?
     Companies have experienced:
      – Better control
      – Better customer relations
      – Shorter development times
      – Lower costs
      – Higher quality and reliability
      – Higher profit margins
      – Sharper orientation toward results
      – Better interdepartmental
        coordination
      – Higher worker morale
Frank Matejcik SD School of Mines & Technology 26
    Why Project Management?
   Companies have experienced negatives:
    – Greater organizational complexity
    – Increased likelihood of organizational policy
      violations
    – Higher costs
    – More management difficulties
    – Low personnel utilization




Frank Matejcik SD School of Mines & Technology 27
          The Project Life Cycle
         Stages of a Conventional Project:
          – Slow beginning
          – Buildup of size
          – Peak
          – Begin a decline
          – Termination



Frank Matejcik SD School of Mines & Technology 28
           The Project Life Cycle




Frank Matejcik SD School of Mines & Technology 29
             The Project Life Cycle
    Time distribution of project effort is characterized by
     slow-rapid-slow




Frank Matejcik SD School of Mines & Technology 30
         The Project Life Cycle
  Other projects also exist which do not
   follow the conventional project life cycle
  These projects are comprised of subunits
   that have little use as a stand alone unit,
   yet become useful when put together




Frank Matejcik SD School of Mines & Technology 31
             The Project Life Cycle
   Unlike the more conventional life cycle,
    continued inputs of effort at the end of the
    project produce significant gains in returns




Frank Matejcik SD School of Mines & Technology 32
         The Project Life Cycle
    It is essential for the Project Manager to
     understand the characteristics of the life
     cycle curve for his project
    The distinction between the two
     life cycles plays a critical role in
     the development of budgets
     and schedules for the project


Frank Matejcik SD School of Mines & Technology 33
             The Project Life Cycle
   Risk during project life cycle
    – With most projects there is some uncertainty
      about the ability to meet project goals
    – Uncertainty of outcome is greatest at the start
      of a project
    – Uncertainty decreases as the project moves
      toward completion




Frank Matejcik SD School of Mines & Technology 34
  Risk During Project Life Cycle
      Uncertainty decreases as the project moves toward
       completion




Frank Matejcik SD School of Mines & Technology 35
     Ch 1.3: Project Life Cycle:
 Reduce Uncertainty of Cost Estimate




Frank Matejcik SD School of Mines & Technology 36
            Textbook Structure
     Structure of the text follows the life cycle
      of projects
      – Text divided into 3 main sections:
          Part I - Project Initiation

          Part II - Project Implementation

          Part III - Project Termination

      – Much of the New Crystal Ball
        additions occur in chapter 4
Frank Matejcik SD School of Mines & Technology 37
 Lessons for an Accidental Profession
   1. Understand the context of project
    management.
   2. Recognize project team conflict as
    progress.
   3. Understand who the stakeholders are
    and what they want.
   4. Accept and use the political
    nature of organizations.
   5. Lead from the front.

Frank Matejcik SD School of Mines & Technology 38
  Lessons for an Accidental Profession
 6. Understand what "success" means.
 7. Build and maintain a cohesive team.
 8. Enthusiasm and despair are both infectious.
 9. One look forward is worth two looks back.
 10. Remember what you are trying to do.
 11. Use time carefully or
  it will use you.
 12. Above all, plan, plan, plan.


Frank Matejcik SD School of Mines & Technology 39
  Lessons for an Accidental Profession




Frank Matejcik SD School of Mines & Technology 40
  Lessons for an Accidental Profession




Frank Matejcik SD School of Mines & Technology 41
  Lessons for an Accidental Profession




    Kerzner’s Pictures
     Cover, p.13, p. 20-24

Frank Matejcik SD School of Mines & Technology 42
                     Summary
     The Project Management Institute (PMI) was
      founded in 1969 to foster the growth and
      professionalism of project management

     Project management is now being recognized
      as a valuable “career path” in many
      organizations, as well as a way to
      gain valuable experience within the
      organization


Frank Matejcik SD School of Mines & Technology 43
                      Summary
    The three primary forces behind project
     management are:
     – 1. The growing demand for complex, customized
       goods and services
     – 2. The exponential expansion of
       human knowledge
     – 3. The global
       production-consumption
       environment


Frank Matejcik SD School of Mines & Technology 44
                       Summary
    The three prime objectives of project
     management are:
     – 1. To meet specified performance
     – 2. To do it within specified costs
     – 3. Complete on schedule

    Terminology follows in this order:
     program, project, task,
     work package, work unit


Frank Matejcik SD School of Mines & Technology 45
                      Summary
     Projects are characterized by a singleness
      of purpose, a definite life cycle, complex
      interdependencies, some or all unique
      elements, and an environment of conflict

     Project management, though
      not problem-free, is the best
      way to accomplish certain goals



Frank Matejcik SD School of Mines & Technology 46
                      Summary
 Projects often start slow, build up speed
  while using considerable resources, and
  then slow down as completion nears
 This text is organized along the project life
  cycle concept:
    – Project Initiation (Chapters 2-6)
    – Project Implementation (Chap. 7-11)
    – Project Termination (Chapters 12-13)



Frank Matejcik SD School of Mines & Technology 47
    Final ?’s Comments Sheet

    Tell me something you liked about the
     class.
    Suggest a change in the class.
    Are their any problems, which
     you do not have a suggestion.




Frank Matejcik SD School of Mines & Technology 48

				
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