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Se Module 4

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An Autonomous Institute

Affiliated to VTU, Belagavi,


Approved by AICTE, New Delhi,
Recognized by UGC with 2(f) & 12(B)
Accredited by NBA & NAAC

Introduction to Project Management: Introduction, Project and Importance of Project Management, Contract
Management, Activities Covered by Software Project Management, Plans, Methods and Methodologies,
Some ways of categorizing Software Projects, Stakeholders, Setting Objectives, Business Case, Project
Success and Failure, Management and Management Control, Project Management life cycle, Traditional
versus Modern Project Management Practices.

An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi. Recognized
by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
objectives
• After completing this unit, you will be able to
• • Define software Project Management and its importance
• . • Describes the characteristics of software projects.
• • Describes projects and its attributes.
• • Compares software Project with other projects.
• • Differences between project management and contract management.
• • Outlines the roles and responsibilities of Project managers.
• • Explains in detail Project Management life.
• • Categories software Project.
• • Explains in details Project Charter.
2
• • Distinguishes between traditional and modern projects.
An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
2
Introduction
• Project Management is the discipline of defining and achieving targets
while optimizing the use of resources (time, money, people, materials,
energy, space, etc) over the course of a project (a set of activities of
finite duration).

• Software Project Management (SPM) is an effort made to develop a non-


routine and unique software which will involve a specific timeframe and
budget.

• It will also involve definite specifications and workings of an organization


through proper planning.

• Project management in generally complex as it has multi- disciplinary


areas included in various phases of its life span. 3

An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
3
• Software Project Management is a comprehensive management
which is planned, implemented, monitored, and controlled
throughout all phases of its life to achieve the desired objectives
of the developing organizations as well as the organizations that
is procuring it.

• It is an activity which documents, imparts knowledge, takes care


of the proper utilization of all the resources and modifies the
methods applied by the organization for its development.

• It is dynamic in nature as the stages, activities and the


deliverables keep changing as per the requirements of the 4
stakeholders
An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
4
WHAT IS A PROJECT?
• A project is a series of task that is carefully planned to achieve a
particular outcome. Project can range from simple to complex
and can be managed by either individual or a team.

• A project is defined as a planned undertaking of series of


activities in the beginning to achieve the desired goals.
• Generally, it is undertaken to explore new and unique methods
which will be far better than the old products or services.
• Its main aim is to accomplish the desired objectives by
incorporating interrelated tasks in a time bound manner along
with funds and proper utilization of resources.
• A general definition of Project is: “It is a temporary endeavor with
set of well-defined activities that leads achievement of a specific 5

goal(s)”.
An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
5
• Characteristics of a project:
• A project has the following characteristics.
• • Project has specific goal(s) • It has a definite start date and
end date.
• • It is not group of routine task or daily task
• • Unlike routine activities, project comes to end when its goal(s)
is achieved
• • Every project requires enough resources in terms of time,
skilled workforce, budget, material, and other support
• When the project is incorporated with Computer both software
and hardware, it creates a network of services and products.
• It helps to maintain a positive balance between time,
attributes, and resources. Project requires proper planning, 6
specific objective, timeframe, and a constrained resource
An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
6
WHY IS SOFTWARE PROJECT
MANAGEMENT IMPORTANT?
• Unlike machines or buildings, software does not have a physical
form, or it is not a tangible product.
• Today organizations are using software to drive business processes.
• One can imagine the complexity involved in mapping business
process to a software.
• Also, business process for one organization cannot be same for
other, it means requirement of a software for one organization will be
different from other.
• Given the rapid changes in the technology platform as well as
globalized but integrated economies induce element of risks in the
software already developed or under development.
• Hence to reduce the risk factor and ensure project delivery will meet
7
stakeholder’s expectations, there is a need to follow structured,
process-based approach, which is nothing but software project
management.
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7
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
• 1 Software Project Management It is important due to the
following reasons:
• i) It helps to develop a proper schedule along with
definite timeline.
• ii) It helps to control the project resources and the
environmental risks that occur during the Project
development process.
• iii) It is needed to manage and control the scope of the
business
• iv) It helps to develop Project with definite timeline and
costing associated with the project. It could be increased8
or decreased as per the needs of the project.
• v) It motivates the project team to remain focused and
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8
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
• vi) It can alter plans as and when needed by the client or needed in
the project
• vii) It also helps to communicate to the stakeholders about the
progress and state of the project and seek their opinions for further
development
• viii) It helps the project team to be prepared for any unforeseen issues
that might arise due to some presumptions that was made in the
planning stage of Project
• ix) As the project team had collected inputs of the project from
various areas hence, they are able to develop a critical path for the
successful completion of the project
• x) In the end, the project report ensures that the knowledge and 9
experiences are properly stored for future usage.
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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
9
SOFTWARE PROJECT VS OTHER PROJECT
• Most of the applications of Project Management are used in Software
Project Management but the products of software projects have
number of unique characteristics that make it different from others.
• Some of the features are as follows
• 1) Flexibility- The software used in the software Project
Management helps to make necessary changes as and when
needed both by the client and the operational team. It is one of its
most effective strengths
• 2) invisibility- The software is not able to physically show the
progress of the work. As a result, it is very difficult to quantify the
progress 5 Introduction to of the work. But in other physical projects,
the actual progress can be quantified.
10

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10
• 3) complexity -Software Projects are generally more complex than
other types of projects due to various reasons like programming used
in it, the cost associated with it keeps varying with time due to
upgrading of software, etc.
• 4) Conformity -Software engineers have to design software as per the
demands of the clients but in other projects the engineers have to
abide to the laws of the land
• 5) Technology- In Software Project, technological exchanges are high as
the software’s are easy to copy and can be hacked. On the other hand,
technological exchanges in physical projects are low as they cannot be
copied.
11

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11
CONTRACT MANAGEMENT AND
TECHNICAL PROJECT MANAGEMENT
• 2 types
• i] In House Projects and ii] Out House Projects.
• When the industries/ companies use their own software or develop their own
personalized software within their organization than it is called as “In House Projects”.
• On the other hand, when the industries / companies contact software developers outside
the organization for their personal use by making a contract between the two
organizations, than they are called “Out House Projects”.
• In “Out House Projects” the client organization will appoint a manger for monitoring and
reviewing the contract and is called the Project Manager.
• His primarily duty is to closely monitor the development of the project as per the
contract, take technical decisions as and when required, to keep the project within the
budget and lastly should try to adhere to the timeline.
• Again, in “Out House Projects” the supplier organization will also appoint a manger who
is known as the Technical Project Manager and will specifically look into the technical
12
needs of the client organizations.

An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
12
• Common features of contract management and
technical project management Some of the common
features of contract management and technical project
management are as follows: - a) stakeholders are involved in
both. b) Team from both the clients and suppliers are involved for
accomplishing the project. c) They generally evolve out of need
and requirements from both the clients and suppliers. d) They are
interdependent on each other.
• e) Standard protocols are maintained by both the clients and
suppliers

13

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13
Difference between Technical Project Management and Contract
Management:- Some of the differences of contract management
and technical project management are as follows: -

14

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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
14
ACTIVITIES COVERED BY SOFTWARE
PROJECT MANAGEMENT
• Software Project Management not only includes development process
but are associated with several activities which are primarily required to
develop the whole project.
• There are 5 stages involved in Software Project Management. They are
as follows: -
• 1] Stage 1 – Project Initiation This is the 1st and the most important
step in Software Project Management as it lays down the foundation for
the development of the project.
• This step marks the beginning of the project, and it starts by studying
the needs of the business along with resource allocation, time and
money involved in the project.
• In other words, we can say that the Feasibility study of the projects 15
carried out by gathering valuable information from different sources.
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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
15
• In this stage, the Project Charter is also prepared by the
organization. Project Charter is an official document which
authorizes the project manager to handle the project on behalf of
the company.
• Anyone who takes part in the project both in present and in
future will also be a part of the project initiation stage as they will
be easily identified by the managers as stakeholders.
• As the business needs are directly related with the goals and
objectives of the organization, hence the project manager should
also properly understand the objectives of the business needs
that lead to the development of the project and will ultimately
meet the requirements of the stakeholders.
16

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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
16
• Stage 2 – Project Planning After the feasibility study is found
viable for the organization in the 1 stage, planning is done. As
the project is new to the organization and has been undertaken
for the first time, hence careful planning is needed.
• It involves identifications of number of activities, milestones, and
project deliverables.
• It should be done by keeping in mind the requirements of the
business along with its size and complexities.
• In this stage, Detail Project Report (DPR) is prepared by
incorporating the methodologies to be applied in different phases
of the project along with the timelines and the finances involved
in it.
• Planning is an iterative and never-ending process as it might
require changes in budget, timeframe, requirements of the 17

stakeholders, etc due to various reasons like natural calamities,


change in government
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Institution ,Affiliated etc.Technological University, Belagavi. Approved By AICTE, New Delhi.
to Visvesvaraya
17
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
• It is at this point that the project manager has to use his
experience and technical knowledge in developing a sound and
realistic project plan. He needs to focus on the goals of the
project and narrow down on the project descriptions to achieve
the desired results.

18

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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
18
• Stage 3– Project Execution and Control After the completion of the
planning, it is time for the execution of the plan to produce
estimated product in time and in good quality.
• Generally, there are 2 types of methods, and they are as follows: -
• i) results in the designing and production of goods or services and
plays a vital role in the execution of the project. It is the external
appearance of the project which is the user interface of the internal
architecture.
• ii) results in the formation of supporting processes to be
implemented. The core attributes of the supporting process are risk
management, quality assurance, team management, etc. and plan
an equal role in project execution.
• It is also considered to be the code which is required for the
19
implementation of the project.

An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
19
• The execution phase is a part of all project management and is the
most physically active and prominent phase of the project.
• The second part of this stage is Controlling, and its main objective
is to quantify and mange the project activities in order to
guarantee that they on the right path to achieve their desired
goals.
• There are 5 Variables of Project Control, and they are 1. Time 2.
Cost 3. Quality 4. Scope 5. Risk
• The controlling process also adheres to the scope, budget,
schedule, and quality constraints of the project.
• It identifies any deviations if found, from the plan and proposes the
corrective measures that can be taken to rectify the deviations.
• Though it is present in all the stages of the project, but it has more 20

importance during this stage.


An Autonomous Institution ,Affiliated to Visvesvaraya Technological University, Belagavi. Approved By AICTE, New Delhi.
Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
20
• Stage 4 – Project Closing The main aim of the project closure is to
ensure that the project had reached its rational level where the
project can be said to be completed.
• In project management, project management and project closure
are a formal written assessment of a project.
• It documents all stages of project management into a feasible
report. Through introspection, a project manager learns what
worked and what didn’t.
• It is marked by the contract made between the administrative
department of the organization and the developers of the project.
• The project teams ensures that the objective of the project is
achieved and is as per the requirements of the company. 21

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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
21
• Once the contract closure has been initiated than the full and
final payment of the suppliers to the project must be settled.
• This is often followed by the administrative closure where they
document all the project activities and experiences for future use.
• A project closure report also shows proof that the project team
delivered what they promised they would in the beginning.
• A project closure report is the number one way to determine
whether a project was successful.

22

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22
• Stage 5– Project Evaluation The main objectives of this phase are
divided into 3 parts.
• First part is the generalized where all the above four phases
are being assessed.
• This is done by the project team along with the project manager
as their leader.
• They try to analyze both the positive and the negative outcomes
of the project along with the experiences gained.
• They also try to incorporate the best practices that had evolved
during the project in their day-to-day affairs.

23

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23
• The second part of this project is individual specific where the
individual performances in various stages of the project are being
appraised.

• Third and not the least, the third part review must be conducted
by a neutral organization to evaluate the outcome of the project
along with the performances of the project manager and his
team members as an individual and as a team in achieving the
objectives of the project that they were handling.
• They also review on various other aspects like the quality
of the project delivered, customer satisfaction, ethical
practices used in the project, team work etc.
• Towards the end of this stage, it determines whether the
project delivered was as per the need of the organization 24
and gave the value of money, time and the resources that
were involved in the project
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24
• Project Plans, Methods, And Methodologies Before the
execution of the actual production, proper planning has to be done.
• It is a dynamic activity and starts from the initial stage of the project and
continues till the product is delivered.
• They has constantly been reviewed and revised as per the latest updates.
• It involves making sets of plans that guides the project manager and his
team members in managing resources, time, cost, risks, etc.
• Generally, it includes the following: -
• i. generation of the requirements ii. analyze the necessities iii. design the
pilot cases iv. design the model v. develop the codes vi. assess the codes
vii. compare the actual and the expected outcomes of the project viii.
installation of the project ix. maintenance of the project This part is
followed by a set of activities that has been demarcated in the plan. The
plan translates the methods into activities to achieve the desired 25

objectives of the organization


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Recognized by UGC with 2(f) & 12(B) status. Accredited by NBA and NAAC.
25
• Hence the method includes the following: -
• i. starting and ending date of the project
• ii. division of responsibility in the execution of the project
• iii. list of requirements including software and the resources
needed in the project Methodology is a set of methods that are to
follow in a sequential manner to meet with success in the project.
• It is generally seen that all the methods are interlinked with
each other. As a result, the output of one method is the input
for the next method. So, by grouping all such methods and
techniques, we form the methodology.

26

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26
CATEGORIES
• 4 categories:
OF SOFTWARE PROJECTS: -
• Custom Software Projects - In this, the software application is
developed as per the specific requirements of the users or the
organization.
• This software meets the specific needs of the customers and is not like the
traditional and off the shelf software.
• This software is customized either by a third party after a contract is
signed between the customer and the client or by the in-house research
and development team of the organization.
• Custom Software are tailored as per the needs of the single entity and
would only be used by that single entity.
• Distributed Computing Projects - A distributed computing system
consists of multiple software components that are on multiple computers
but runs as a single system. 27

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27
• The computers that are in a distributed system can be physically close
together and connected by a local network, or they can be
geographically distant and connected by a Wide Area Network.
• A distributed system permits resource sharing, including software by
systems linked to the network.
• Some of the examples of the distributed systems are Intranets,
Internets, www, emails, etc

• Free Software Projects – Free software is software that can be freely


used, modified, and reallocated with only one constraint.
• Any redistributed version of the software must be distributed with the
original terms of free use, modification, and distribution.
• In other words, the user has the liberty to copy, run, download,
distribute and do anything for his upgradation.
28
• Thus, this software gives the liberty without money and the users can
regulate the programs as per their needs.
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• Software Hosted on Code Plex – Code Plex is Microsoft’s
opensource project hosting website.
• Code Plex is a site for managing opensource software projects,
but most of those projects are leniently licensed, commonly
written in C# and the building blocks for own open-source project
using advanced GUI control libraries.
• The great thing about permissively licensed building blocks is
that one doesn’t have to worry about the project being sucked
into GPL if one decides to close the source.
• Because Code Plex is based on Team Foundation Server, it also
provides enterprise bug tracking and build management for
open-source project, which is far better than the services 29
provided by Source Forge.
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29
STAKEHOLDERS
• Project stakeholder are entities with an interest in certain project.
• These stakeholders could probably be inside or outside a
company which: sponsor a project, or don’t mind spending time
or a gain upon a very good completion of a project and might
have a positive or negative impact inside the project completion.
• Samples of project stakeholder include in customer, the person
group, the challenge manager, the improvement team, the
testers, etc. as a result, it very important that the project
manager establishes a sound communication among all the
stakeholders and achieve the project requirements for them.

30

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30
• They might be a single person or an organization in totality.
• The stakeholders will be able to deliver important inputs to the
projects and it will not only improve the quality of the project but
will also help the project to meet with success.
• Moreover, all the stakeholders do not contribute positively to
the project while others have major influences on the outcome
of the projects.
• 1 Some Stakeholders in the projects are: -
• 1) the client or the end user are the persons who will be using
the project
• 2) project team or the persons involved in the development of
the project 31

• 3) project authority / project in charge / project sponsor is the


person who had the authority to sanctioned funds and resources
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• 4) Project manager is the person who is solely
responsible for the execution of the project
• 5) Business partners like the suppliers, customers and
the vendors
• 6) Functional managers are the persons who are
responsible in different departments of the organization
and contribute for the development of the projects.

32

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32
SETTING OBJECTIVES
• Objectives are defined as some goals that is realistic
and achievable and should not be imaginary.
• Project objectives are the goals that one wants to
achieve at the end of the project.
• It will include deliverables and assets along with more
intangible objectives like increase in productivity and
motivation.
• Project objectives should be designed in such a way so
that they can be attainable, and time bound along with
specific goals which can be measurable at the end of
the project.
33
• The objectives of the project should be clearly defined
and thoroughly known to the project manager as he will
be the main person responsible for the success or
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33
• Any amount of ambiguity in understanding the objectives and
purpose of the project would lead to disastrous consequences.
• Clarity on the goals of the project will not only help the
organization in getting success but will also help to save time,
money and resources.
• As a result, the 1st step in project management is to understand
the motive of the organization behind developing the software
project.
• Once the objectives are clear to the project manager than he can
plan accordingly to achieve it keeping in mind the time, money
and resources allocated to him for the completion of the project.
• In brief, project management objectives are the successful
development of the project’s events of initiation, planning, 34
execution, regulation and closure as well as the supervision of
the project team’s operations towards accomplishing all the
agreedAn upon goals within the set scope, time, quality and budget
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• Reasons for setting objectives: Some of the reasons for
setting objectives are as follows:-
• The successful development and implementation of all project’s
procedures.
• A project, regardless of its size, generally involves five distinctive
project life cycle phases of equal importance: Initiation, Planning
and Design, Construction and Execution, Monitoring and Control,
Completion.
• The smooth and uninterrupted development and execution of all
the above phases guarantees the success of a project.

35

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• Productive guidance, efficient communication and apt
supervision of the project’s team.
• Always keep in mind that the success or failure of a project is
extremely dependent on teamwork, thus, the key to success is always
in project association.
• To this end, the establishment of good communication is of major
importance.
• On one hand, information needs to be articulated in a clear,
unambiguous, and complete way, so everything is comprehended
fully by everyone and on the other hand, is the ability to be able
listen and receive constructive feedback.
• The achievement of the project’s main goal within the given
limitations. The most important project limitations are, Scope in that
the main goal of the project is completed within the estimated Time,
36
while being of the expected Quality and within the estimated Budget.
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• Staying within the decided limitations always feeds back into the measurement of a
project’s performance and accomplishment.
• Optimization of the allocated necessary inputs and their application to meeting the
project’s pre-defined objectives, is a matter where is always space for improvement.
• All processes and procedures can be reformed and upgraded to enhance the
sustainability of a project and to lead the team through the strategic change process.
• • Construction of a complete project which follows the client’s
exclusive requirements and objectives :
• This might mean that you need to shape and reform the client’s vision or to negotiate
with them as regards the project’s objectives, to modify them into feasible goals.
• Once the client’s aims are clearly defined, they usually impact on all decisions made by
the project’s stakeholders.
• Meeting the client’s hopes and keeping them happy not only leads to a successful
collaboration which might help to eliminate surprises during project execution, but
37 also
ensures the sustainability of your professional status in the future.

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BUSINESS CASE
• Business case states the reasons to adopt the project charter. It
provides the justification for undertaking a project, programmed
or portfolio.
• It is very similar to an investment proposal.
• It evaluates the benefit, cost and risk of alternative options and
provides a rationale for the preferred solution A business case is
a way to prove to your client, customer, or stakeholder that the
product you are developing is worth the investment.
• The need for a business case is that it collects the proposal,
outline, strategy and marketing plan in one document and offers
a full look at how the project will benefit the organization.
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• But one can also proceed without business case in project planning as it is
very similar to it.
• It is a document that provides the top management with all the necessary
information needed to select the project that is to be funded.
• It is generally built on the significance of the business goals and
objectives.
• It also considers the cost of the solution, breakeven point, return on
investment and the maintenance cost.
• Business case handles both the qualitative and quantitative issues in the
project. Moreover, the developer of the business case must present
convincing facts and figures in favor of the project.
• A decent business case should contain the following: - 39

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• i) Detail project report along with possible impacts, costs and
benefits ii) Include all the necessary information’s related to the
project iii) Should be clear and logical in comparing the cost
benefits impact on alternative project iv) Systematically
summarizing all the findings.
• Objectives of Business case: The objective of the
business case is to evaluate and advocate the utilization of
information technology to improve the efficiency and
effectiveness of the organization.
• Information Technology are generally undertaken for various
reasons like improving customer satisfaction, reducing costs,
improving communications, integrating customers, etc. with the 40
underlying objectives of achieving organizational goals.
• There Anare number of steps involved in developing the business
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case and they are as follows: -
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• ii) Formation of the project team – a teamwork is required to develop a
business case and the team includes the stakeholders, users, project
team and IT experts.
• This team is formed with the intention to exchange knowledge,
experience and the information in order to develop the software project.
• As the stakeholders, are the primary ones who will be affected by the
project, so their views points should be properly represented in the
business case.
• There are several advantages of having a team develop the business
case and they are as credibility, alignment with the organizational goals
and access to real costs.
• As the team comprises of people from different areas of the 41
organization, hence it helps the project manager to overcome all the
resistance that he might face in the development of the project.
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• Developing Measurable Organizational Value (MOV) – in IT projects, the
success of the project is assessed through Measurable Organizational
Value (MOV. For any project to be successful, the MOV should align with
the organization’s mission, objectives and goals.
• A transparent MOV helps the team to know the road map of the project
along with the life cycle of the project.
• There are certain steps that are to be followed in developing MOV and
they are a) Identifying the desired area of impact
• b) Identifying the desired value of the project
• c) Developing an appropriate matric
• d) Setting a time frame for achieving the MOV
42
• e) Verifying with stakeholders
• f) Summarize the MOV in a clear and concise statement.
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• Iii) Identifying Alternatives – Alternative solutions to problems and
opportunities should be properly accounted in the business case.
• These alternatives should also enable the company to reach the
desired MOV. The business case should put out convincing reasons
to bring about any changes and the cost that would be associated
with the changes.
• iv) Defining Feasibility and Assess Risk – Actually feasibility is the
probability of effectively applying an alternative while the risk
focuses on what can go against or what is right. The feasibility
and the risk associated with each alternative solution should be
properly analyzed and assessed. These will help the project
manager to identify alternatives that are not worth pursuing.
43

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• v) Defining Total Cost of Ownership – total cost of ownership is
over and above the cost of purchasing or developing the
application.
• The total cost of ownership of the application needs to be
accounted for before any decision is taken on implementing it.
• As a result, the calculation of total cost of ownership is complex
and the project manager must validate the calculation with data
sources, expectations and methods for arriving at the cost.
• vi) Defining Total Benefits of Ownership - Total Benefits of
Ownership comprises of direct and indirect profits that are linked
with each alternative. Profits should be in terms of increased
efficiency, improved productivity, improved customer service, 44
improved accuracy, etc.
• Each alternative has certain tangible and intangible benefits
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• vii) Analyzing Alternatives – once the cost and the profits have
been recognized than starts the comparisons with the alternative
to zero in the alternative that best suits the requirements of the
project.
• Different financial models are being applied to get the desired
results.
• viii) Recommended solutions – after analyzing each alternative
the most suited one is recommended to the customer for the
approval.

45

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PROJECT SUCCESS AND FAILURE
• There are certain factors that make a project successful.
• They are timely delivery of the project. the project developed
should be reliable, it should meet the expectations of the client,
should be within the budget, the product should be high
performing, it should be maintainable and enhance able.
• On the other hand, there are some factors that are associated
with the failure of the project, and they are as unrealistic
projects, inadequate planning, insufficient risk management,
poor communication, poor understanding of the objectives,
complexities of the project, market competition and many such
reasons.
46

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• Triple Constraints of Project Management The three major
constraints of project management are :-
• I. Delivering on time
• II. Delivering within allotted budget
• III. Ensuring adherence to scope of the project

47

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WHAT IS MANAGEMENT? MANAGEMENT
CONTROL
• Management is the coordination and administration of tasks to achieve a
goal.
• Such administration activities include setting the organization’s strategy
and coordinating the efforts of staff to accomplish these objectives through
the application of available resources.
• Management can also refer to the seniority structure of staff members
within an organization.
• Management defined as all the activities and tasks undertaken for archiving
goals by continuous activities like; planning, organizing, leading and
controlling.
• It is one of the latest areas that has been added to modern day business. As
time and requirements are constantly changing very fast, so the role of the
48
managers is also changing.
• Due to the development of management science, the modern-day
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• Managers are more equipped to meet the challenges of dynamic
business environment.
• In other words, management is an art of getting people together
to achieve the desired goals of the business organization.
• Management is important in all works of our life.
• Management is a process of planning, decision making,
organizing, leading, motivation and controlling the human
resources, financial, physical, and information resources of an
organization to reach its goals efficiently and effectively.

49

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• 1 Features of Management:– Management is the process of
setting and reaching goals effectively and efficiently.
Management process has some qualities or features.
• 1. Management is Associated with Group Efforts
• 2. Management is Purposeful
• 3. Management is Accomplished Through the Efforts of Others
• 4. Management is Goal-oriented
• 5. Management is Indispensable
• 6. Management is Intangible
• 7. Management can Ensure Better Life
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• Management Control:- is a function of management which supports
to check errors to take remedial actions.
• This is done to curtail deviation from values and safeguard that the
definite goals of the organization are attained in a chosen manner.
According to modern notions, control is a foreseeing action.
• Earlier concepts of control were only used when errors were detected.
Control in management includes setting standards, measuring actual
performance, and taking corrective action in decision making.
• Control procedures provide managers with the type and amount of
information they need to quantify and display the performance.
• The information from various controls must be as per the needs of the
management, departments, or units of operations 51

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PROJECT MANAGEMENT LIFE CYCLES
• A project management life cycle is a framework encompassing of a
set of different high-level stages essential to transform an idea of
concept into reality in an orderly and efficient manner.
• Projects are temporary activities of the organization and have
definite aims. They do not form the core activity of the organization.
• Project life cycles is also used in all works of life.
• Like in aerospace, government offices, hospitals, hotel, etc.
• The Project Lifecycles defines the different rational stages in the life
of a project, and it starts from the incorporation of the project till
the end.
• The project life cycle structure commonly displays the following
characteristics: 52

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• i. In the beginning, cost and staffing stages are low and reach a
ultimate level when the efforts are in progress. It again starts to drop
speedily as the project begins to halt.
• ii. The typical cost and staffing curve does not spread over to all
projects. Substantial expenditures protect the essential resources early
in its life cycle
• . iii. Risk and uncertainty are at their heights at the start of the project.
These features drop down as the life cycle of the project progresses,
decisions are reached, and deliverables are acknowledged.
• iv. The capability to touch the final product of the project without
affecting the cost considerably is at its upper most level at the start of
the project and decreases as the project progresses towards 53
conclusion.
• It is indistinct that the cost of constituting new changes and mending
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• The project is fragmented into different stages in order to ensure that
the project can run smooth and efficiently.
• By breaking down the projects into various stages, the activities get
arranged in a sequential manner and the risk factor also gets reduced.
• The stages are arranged in such a manner that each stage of the
project provides one or more deliverables which are tangible in nature
and can be verified.
• The deliverables at the end of each stage helps the project manager
to evaluate the outcome of that stage and take necessary actions as
and when required.
• Though it is said that the stages of project life cycle are linear in
sequence but sometimes they overlap to save time, but it is risky to 54
undertake such activities. There are 6 Phases of Project Management
Life Cycle, and they are
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• 1. Project Initiation Project initiation is the first stage in Project
Management life cycle, where the project starts rolling.
• It offers a summary of the project, along with the tactics which are
essential to achieve the desired results. In this stage, the feasibility and
business value of the project are determined.
• The project manager starts with a meeting in order to understand the
client and stakeholders’ requirements, goals, and objectives.
• It is important to study minute specifications and requirements in order
to have a better understanding of the project.
• once a decision is made to proceed, the project can move on to the
next step which is creation of a project team.
• The Project Charter is measured to be the most significant document 55
of
any project.
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• i. Undertake a Feasibility Study - In the initial stage, it is vital to
recognize the feasibility of the project. It is also important to understand
the viability from the economic, legal, operational, and technical
aspects.
• ii. Identify the Project Scope – here the project scope is identified, and it
comprises of defining the length, breadth, and depth of the project.
• On the other hand, it’s equally important to plan functions, deadlines,
tasks, features, and services. iii. Identify the Project Deliverable–after
identifying the project scope, the next phase is to plan the project
deliverables.
• They include defining the product or services required. iv. Identification
of Project Stakeholders - identification of project stakeholders is
important. Meetings among team members and experts helps to identify 56
project stakeholders.
• Documentation of related information on stakeholders is important for
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• v. Develop a Business Case - Before developing a business case,
one should check whether the vital pillars of the project such as
feasibility, scope, and identification of stakeholders are in place.
• The next phase is to come up with a complete business case.
After the formation of a statement of work (SoW) and the
formation of a team, the project initiation phase comes to an end.
• 2. Project Planning – A lot of planning is associated with the
project in this phase. On identifying the project objectives, it is
time to develop a project plan which could be followed by all.
• The planning phase decides a set of plans which will guide the
team in implementing the phase and thereafter closing it.
• The program assembled here will surely help you to manage 57
cost, quality, risk, changes, and time.
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• The project plan established should comprise all the important facts associated with
the project goals and objectives.
• It is the most composite phase in which project managers take care of operational
requirements, design limitations, and functional requirements.
• The project planning stage comprises the following mechanisms: i. Generating
a Project Plan
• A project plan is a design of the whole project. An elegant project plan controls the
activities, the time frame, dependencies, restrictions involved, and probable risks. It
helps the project manager to rationalize the operations.
• ii. Generating a Resource Plan - The resource plan delivers information about
numerous resource stages essential to achieve a project.
• Resources used should have applicable Project Management expertise.
• iii. Budget Estimation - financial plan benefits one to make the budget and bring project
deliverables without surpassing it.
• The final budget plan states the expenses on material, labour, and equipment. Making
58
a budget plan will aid the team and the project managers to monitor and control the
finances throughout the Project life cycle.
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• iv. Collecting Resources - collecting resources is an important part
of project planning and assists to monitor the quality stage of the
project. Resources like equipment, money, software solutions,
and the workplace should be given to complete the work.
• v. Forestalling Risks and Potential Quality Barriers - The risk plan
will assist in identifying risks and lessen them.
• It comprises all the probable risks, the level of severity, and
preventive actions to curb it.
• 3. Project Execution Project execution is the stage where the
execution processes are applied, works and resources are
allocated.
• The technique includes constructing deliverables and satisfying 59
customer needs.
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• Project managers or team leaders achieve the job through resource sharing and by
keeping the team members focused. The team starts generating project deliverables
and pursue to attain project goals and objectives.
• The final deliverable of the project takes form during the project execution phase.
• i. Writing Growth of a Project - During the project execution phase, it is important to
get steady project information as it delivers the essential information and even
recognizes the problems
• ii. Conduct Regular Meetings - Before starting a project meeting, the agenda should be
clear to all the team members. Proper communication should be done on time.
• iii. Accomplish Problems - Problems inside the project are certain to occur.
• Problems like time management, quality management, weakening in team spirit
can hamper the success of a project. So, make sure all problematics issues are
solved in the beginning itself.
• 4. Project Monitoring and Control The Project Monitoring and Control is all
about measuring the performance of the project and chasing the development. 60
• It is applied during the execution phase and the main goal of this phase is to align
with the plan especially related to financial constraints and timelines.
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• It is the accountability of the project manager to make essential modifications
connected to resource allocation and guarantee that all the things are on
track.
• Monitoring project after the project execution phase will allow the project
manager to take remedial measures.
• 5. Project Closure The final phase of the Project Management life cycle phases
is similarly significant as all other phases.
• This phase signifies the final phase of the Project Management life cycle,
which is also recognized as the “followup” phase. During this time, the
ultimate product is completely ready for delivery.
• Here the project manager and his team focus on product release and product
delivery. During this phase, all the happenings associated with the project are
wrapped up.
• The closure phase is not necessarily after a successful completion phase alone
but also after the project meets with failures.
61
• After the project is completed, it is timely delivery to clients and Introduction
to it highlights the strengths, identifies the ambiguities and recommends how
they could be corrected
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TRADITIONAL V/S MODERN PROJECT
MANAGEMENT PRACTICES
• The pace of technology change in IT projects makes it difficult for
Project Managers to ensure that the project they are implementing is
relevant by the time they are done.
• Most of the methods and methodologies such as “waterfall” assume
that every requirement of the project can be identified before any
designing or coding occurs.
• On the other side, would it not be more pragmatic that the
stakeholders describe their vision to the development team and the
team development functional software.
• To overcomes these limitations of rational methodologies the agile
methodology was introduced.
• The agile methodology helps the team respond to unpredictability 62
through incremental, iterative work known as sprints.
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• 1 Traditional Project Management: - With the fast development in
Information Technology, it becomes very difficult for the project
managers to keep pace with the changes.
• In traditional Software practices like the "Waterfall" method, it
wants one job to be completed before the start of the next one.
• Detail Plans are made before the beginning of the project date.
• Moreover, the successive stages are also plotted out initial to
deliver clarity on the work that should be accomplished to reach
the desired goal.
• Many businesses organizations still use it for projects having a
fixed budget or deadline.
63

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• 6. Project Evaluation It is not possible to immediately evaluate
the real value of the software project after its completion as the
goals might be long time.
• By simply appraising the success accomplished in implementing
the hardware and the software peripherals of the projects does
not amount to having succeeded in the project.
• The documents produced in the project evaluation stage are very
useful for use in the future projects that the organizations might
undertake later on.
• Evaluation of the project team along with the project manager is
also carried out in this stage.
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• Advantages of Traditional Project Management are: -
• 1. No surprises - This approach allows hardly any space for
flexibility or changes once the project starts rolling. In the
beginning itself, the plan is placed before the management and
decided by them in the subsequent meeting.
• This leaves very little space for readjustment and the
unintended scope creep is decreased.
• As both the parties approve on the project timeline and jobs, it
offers clarity on the development and assigns responsibilities to
everyone in the initial stages only so that they are aware of their
duties.
65

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• Smooth knowledge transfer – Elaborate documentation is the most important
part of the waterfall methodology. When the information is always easily
available, it becomes easier for new team members to adopt quickly.
• Moreover, the information will not be lost when an employee switches over to
another company.
• 3. Sets potentials both internally and externally – much of time is consumed in
placing together a complete project timeline for the client to assess.
• A main advantage is that the client is aware in the initial stage on what to
expect and can plan consequently.
• Moreover, very slight participation is needed after the initial phase, and they
have sufficient time to gather the assets they need for a specific phase.
• Internally, team members can design their time in a better manner which
comes in handy when occupied on multiple projects simultaneously.
66

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THANK YOU
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