Overview of PRINCE2 Project Management Methodology - Assignment Example

ENGINEERING PROJECT MANAGEMENT Name Professor Institution Course Date Part 1: An Overview of PRINCE2 Project Management Methodology We apply PRINCE2 project management methodology across all the different processes, right from developing to implementing of a new engineering system. This imposes some discipline on different integrated activities, and in turn guarantees success. Therefore, having an overview of this methodology is crucial. PRINCE2 project management methodology is mostly used in the UK. The initials of the word PRINCE stand for projects in controlled environments. The second version of PRINCE is PRINCE 2. The five principle elements that have been used in organizing PRINCE2 include: A product-based approach Justification of business The structure for a project management team Flexibility of the project Segmentation of the project into controllable stages PRINCE 2 methodologies consists of documentation on how a project should be started, the standard techniques meant for project management, and the order of performing all the different stages. It also offers information on how both documentation and management fit together. The main aim of PRINCE 2 is to offer a methodology of subdividing the project into smaller and easier processes or stages, and measure development in terms of time, cost and quality (Gray & Larson, 2008). Besides, with this methodology, an individual can take corrective action in allocating and managing both human and physical resources of the project. PRINCE 2 methodologies is driven by the processes. It is organized into 8 processes which are, further, divided into about 45 sub-processes. The eight processes or stages include: 1. Start up of the project 2. Planning of the project 3. Initiating the project 4. Directing the project 5. Controlling the project 6. Managing product delivery 7. Managing stage boundaries, and 8. Closing a project. When the project is at start up stage, the project team is designed, and the initial plans are initialized. The project is then initiated according to a set of objectives in order to ensure proper resource management and enable stable management. The work of the project board is to direct the whole project throughout its lifecycle. All the events meant for control and monitoring are described at the project control stage. Project delivery is managed so that all the deliverables are produced on time. The board responsible for project management should also be given sufficient information on how to progress or discontinue the project. In the end, when the project is closed, the project board should evaluate the project to see whether the requirements of the project have been satisfied. PRINCE 2 puts emphasis on quality while meeting the project goals and objectives. One of the major quality elements that it supports includes meeting standards, such as ISO 9000, quality assurance and quality control. All the project stages must be appropriately planned in order to meet quality standards. The plans, further, undergo approval by the relevant authorities within the organization. PRINCE 2 methodology targets higher control levels through the use of resources and cost plans. In project management, risk management is a must. PRINCE 2 defines risk as uncertainty of outcome. Risk management handles exposure to risks. Therefore, the project management team should boost risk management, come up with policies and assess the stages that relate to some risks. Risk tolerance is also another crucial risk management element under PRINCE2. Risk tolerance varies depending on the product cost, project scope, and the perceived significance of the expected risks. What is more, risk responsibility has to be taken into account. For instance, it is the responsibility of the project board to warn the project managers about emerging new risks. Another significant thing about the application of PRINCE 2 methodology is that it addresses a number of issues. These include the analysis of stakeholders and business cases, proper organization, risk management, application of quality management tools, proper planning, and controlling. Investigation of a business case and stakeholders gives a distinct picture on how management is committed to improve business investments. Therefore, business cases emphasize on the need for business prosperity, customer satisfaction, clear assurance on the realizable gains, and on intangible and intangible project costs. Under PRINCE 2 methodology, organization should be restructured after establishing of all the probable deliverables. A proper organization will ensure a formal way of structuring the roles and responsibilities of all the managers and others who are involved in the project. According to PRINCE2 methodology, a project manager is a person responsible and authorized to manage projects from one day to another in order to obtain the anticipated products within the specified limits. The success of the project entirely relies on how the human resources involved are employed while controlling and evaluating the risks (Phillips, 2006). In the process of evaluating project risks, it is worth noting that there are those risks that project managers anticipate. Such risks can be quantifies and noted before the project is started. An appropriate record is evidence on how the organization is prepared to mitigate and reduce the risks. There are several benefits of using PRINCE 2 methodology. The methodology is very interesting for reason that it is teachable, repeatable and even based on experience. In other words, this ensures that any individual involved is made aware of what to expect. As a result, a warning on early problems should be given. Also, the framework of PRINCE 2 is useful for any project, and clear for both macro and micro projects. Some of the techniques in PRINCE 2 are an improved version of PRINCE, and some of its processes cannot be found in other project management methodologies, such as PMBOK. However, PRINCE 2 has some disadvantages, as well. It is hard to apply for smaller projects. It also involves a lot of documentation, and it is purely an implementation methodology which does not offer explicit requirements’ analysis. Part 2: A comparison of PRINCE 2 and PMBOK PRINCE 2 is based on project lifecycle. Between the start and closing of the project, there are other six processes. Directing and planning are continuous processes that support the other six processes. PRINCE 2 also offers a detailed description of three techniques, such as product planning, product quality review, and adjustment of controls. It gives a narrative that anyone can easily follow, with checklists, hints, tips, and process diagrams. However, the twelve chapters in PMBOK gives a description that is function-based, with appropriate examples on project management, and narrative descriptions in form of outputs, inputs, tools, and even techniques ( Frank, 2010) PRINCE 2 focuses on processes and not the phases. It clearly holds that as much as the application of the processes is mandatory, the number of processes can be altered as per the requirements of management. In addition, PRINCE 2 gives the difference between the technical and management processes. The technical processes demand some special skills whereas the management stages stresses on resources and the authority to spend. On the contrary, PMBOK describes a project phase as a set of systematically associated project activities that normally result to accomplishment of major project deliverables (Kathy, 2010). But, the distinction between phases and stages is not given. PRINCE 2 and MPBOK also differ in definition of a project manager. PRINCE 2 defines a project manager as a person accorded the responsibility and authority to manage the project on a daily basis, and output the required products within the scope that is agreed upon by the Project Board. Alternatively, according to MPBOK, a project manager is an individual assigned the responsibility of managing the project. This is a shallow definition as compared to PRINCE2. Unlike PRINCE 2, PMBOK gives more sufficient amount of selective information to a project manager on the established practises under project management and demands the project manager to apply some of these tools where appropriate. PRINCE 2 has prescriptive or flexible number of processes that the project manager and other teams should follow. Whereas PMBOK teaches on main competencies in having a project manager who is effective, PRINCE 2 teaches on how a project can be undertaken efficiently. PMBOK identifies the primary skills and soft skills on management of human resource, something which PRINCE 2 does not get into. A lot of PMBOK’s content is incorporated in PRINCE 2; with a clear blueprint on how an individual should undertake a project from the first process to the last process (Colin, 2005). The structure of PRINCE 2 allows it to be applied on virtually any project because its methodology is not rigid. It can be changed in many ways to suit the parameters of a project, unlike PMBOK which allows project managers to learn what is supposed to be learnt. Generally, both PRINCE 2 and PMBOK are valuable project management tools despite their differences. Therefore, it is appropriate to apply both of them because they supplement each other at some point. . Part 3: Analysis of an Engineering Management Project with Successes and Failures For the purpose of analysing an engineering project with focus on success, failures, we should consider installing, monitoring and managing auto controls that are managed by several software applications. Such a project can be complex, with some repetitive and non-repetitive activities. The management effort can be limited by time, budget, resources, and the technical specifications required while working to meet the deliverables. The management team will need tools, techniques and knowledge in order to effectively run this project. Compounded with other factors, failure and success will be realized. However, how can success or failure be defined? A lot of contests around this question attribute to the economic outcomes that can be measured. The project objectives define what a project is, and when a great number of these project objectives are met, the project can be said to be successful. If an insignificant number of the project objectives are met or the project is cancelled, then it would imply that the project has failed. Therefore, a successful project is workable, has the right people on the ground, and management team or project board is easily characterized by its desirable output. A project can be fully or partially successful. According to Bert et al. (2009), there are several elements that surround a project and determine its success or failure. These include the physical location where the project is contracted, the interest of stakeholders on the project, political and conflicting intentions, project cost, time constraints, and also quality and quantity factors on project performance. Some of the factors as to why projects succeed include working with an industrious and a focussed group, a competent staff, executive support from management, proper planning, stakeholder’s involvement, a clear definition of requirements, clear vision and goals, measurable and realistic expectations, and also making of smaller project milestones. But, the causes of failure range from insufficient stakeholder’s involvement, inaccurate cost estimation, poor planning, and insufficient resources, among other reasons. Main Factors that Attribute to Project Success i. Executive support from management Any management can easily interfere with project processes and progress. Also, we should recall that managers are the main project drivers, who give direction on what should be done throughout the project lifecycle. Executive managers are competent by virtual of their training and experience. They can, therefore, use the right tools in enhancing project stability. ii. Stakeholders’ Involvement The stakeholders of any project should be consulted before the project starts and also during the project implementation. They can be resourceful in giving feedback for appropriate amendments. iii. Proper Planning Proper planning is essential to project management. The managers and the project board are responsible for planning. A good plan should define what needs to be done and by when it should be done. iv. Clear Definition of Requirements The requirement for a project should be clear, realistic, measurable, and easy to obtain. At every project stage, the requirements may vary, but should meet on time so that the project cannot delay. Also, the requirements should not only be cheap in order to lower project costs, but should also be sufficient. Each department should be allocated sufficient resources that it needs in order to effectively execute its activities. Main Factors that Contribute to Project Failure The main factors that can lead non-realization of project objectives include human factors, implementation factors, planning and cost estimation factors. i. Human Causes of Failure Right from top management, middle level management, up to casuals- they play a central role in production. This human resource can either be skilled or semi-skilled. Managers will be able to apply the skills they have learnt and also train even the semi-skilled labour in order to increase productivity. Passage of information from one level to another should be clear. Further, due to continuous technological changes, all the human resources of a project should continually upgrade itself for quality results. An inefficient staff will take a lot of time to complete the project or deliver low quality products that may require to be redone. This may waste a lot of other resources. Absenteeism should be avoided for increased productivity of the project results. ii. Implementation Causes of Failure If a project is poorly implemented, it will definitely fail or collapse. Some of the factors that normally affect project implementation include abrupt changes of project scope and inefficient application of technology and methodology. Also, introduction of several changes to the project can be detrimental to the project. Therefore, to boost implementation process, appropriate tests and inspections have to be performed. Any form of implementation should be done on time because an abnormally delayed project is as good as a failed one. iii. Planning and Cost Estimation Causes of Failure Project costs may be affected by changes in market prices. Therefore, if the factors that touch costs are not revised from time to time, the project is likely to fail. Scheduling should also prioritize the urgent needs in order to avoid cases of running out of budget. Project plans are blueprints that must be followed so that the project does not culminate in failure. What can be Learnt from Project Challenges Management tools should be applied consistently for any success to be realized. The tools enhance some form of discipline which is a basis for success. Openness is also paramount when allocating the project resources so that all loopholes of fraud can be sealed. Right people should be involved for their particular purposes because they are seasoned with the right skills and experience for tackling the jobs. They should also be motivated and job promotions should be done in a fair manner. Projects fail due to a number of several causes. Some of these can be controlled, reduced or completely eliminated depending on the situation at hand. Failure normally results for poor application of procedures or practices. Therefore, in cases where executions stand ambiguous, some revisions must be done before proceeding. Customers can also affect project completion time due changes they introduce to the production processes, especially when they revise their orders. A customer’s impact on the ongoing project can lead to additional costs, and which the customer must take care of before making changes. State laws should not be ignored at all. They pose external forces, which if not obeyed, can lead to some penalties or termination of the project immaturely. Some laws are, however, supportive in nature, whereas others are inhibitive. When projects are complex, they should be broken down into simple divisions that are easy to tackle. Remember a project can be unique, though not to everyone. But, such complexity can impact on the project in one way or another. References Bert, H, Gabor VH, & Hans, F 2009, Project Management Based on PRINCE, Van Haren, Zaltbommel. Colin, B 2005, Practical PRINCE2, TSO, Norwich. Frank, T 2010, An Introduction to PRINCE 2, APB Group, Norwich. Gray, CF, & Larson, EW 2008, Project Management: The Managerial Process. 4th Edition, McGraw-Hill Educations, Singapore. Kathy, S 2010, Information Technology Project Management, Course Technology Ltd, Boston. Phillips, J 2006, Project Management Professional Study Guide, 2nd Edition, McGraw Hill, California. Read More