PRINCE2: Project Management Methodology - Literature review Example

Topic Student’s Name Subject Professor University/Institution Location Date Table of Contents Table of Contents 2 1.1.0 Processes 3 1.1.2 Directing a Project 4 1.1.3 Initiating a project (IP) 4 1.1.4 Managing Stage Boundaries (SB) 4 1.1.5 Controlling a Stage (CS) 4 1.1.6 Managing Product Delivery (MP) 5 1.1.7 Closing a Project (CP) 5 1.1.8 Planning a Project (PL) 5 1.2.0 Components of PRINCE2 6 1.2.1 Business case 6 1.2.2 Organization 6 1.2.3 Plans 7 1.2.4 Controls 7 1.2.5 Management Risk 7 1.2.6 Quality in a Project Environment 7 1.2.7 Configuration Management 7 1.2.8 Change Control 8 2.0 Comparison of PMBoK with PRINCE2 8 3.0 Project Management 10 3.1 Initiation 10 3.2 Planning 11 3.3 Skills 11 3.4 Quality and risk management 12 3.5 Monitor and control 13 3.6 Closing 13 References 15 1.0 An Overview PRINCE2 Project Management Methodology Project in controlled environments well known as PRINCE2 is a project management methodology which takes in the management, control and organization of a project. This components and process-based methodology is designed to cover project activities in all disciplines (PRINCE2.com 2013). The key features associated with PRINCE2 include; focus on business case, definite organization framework for the project management team, planning, dissection of project into convenient and controllable stages, and flexibility. Its eight management processes runs right from the start to time of project completion. They process also define specific activities to be carried out at each stage (Wideman 2002). 1.1.0 Processes 1.1.1 Starting up a project (SU) This occurs only once. Its main purpose is to create and evaluate the business case. Being the first process in this project management methodology, SU ensures all requirements and preconditions for instigating a project are well defined and met. At this stage, project team is appointed; well defined approach to the project is worked on, as well as planning for the next stage. Additionally, a brief project description outlining the purpose for the project, business justification of the same, and the required outcome by completion of the project are prepared (PRINCE2.com 2013). 1.1.2 Directing a Project This stage runs right after the start up process till the close of the project, and dictates how the project board ought to control the general project. Generally, the main activity is authorization. The key activities authorized include; initiation, the project and exception plan. Providing ad-hoc course and verify project closure are also done here. 1.1.3 Initiating a project (IP) At this level the project brief is amplified to a business case. It is also identified how the project will be managed. Overall approach to project controls and approach to ensure project quality are defined. Project files and Project Initiation documents are created to form terms of reference for the entire project. Other major objectives of this stage are: defining how the intended quality is achieved, planning and costing the project, aid project board in taking up the project, coming up with a baseline for the process needed for decision making in the course of the project, and finally forming a plan for the next stage. 1.1.4 Managing Stage Boundaries (SB) Main activities during this process are planning for the next stage, and the general project. Registering of the risks and any necessary amendment to the business case is done. Also, the process offers a cover to a stage that has wavered away from its tolerance levels. And finally, dictating the right way of reporting the end of the stage. 1.1.5 Controlling a Stage (CS) This process engages in screening and controlling the project progress. As such, the project manager involves in; Authorizing the work package Monitoring progress Evaluating the stage status Being on the lookout incase of any changes Taking the corrective action 1.1.6 Managing Product Delivery (MP) This process ensures the project creates and delivers the intended products. Thus, it controls the link between PM and TM. Main objectives of the process; Ensuring the work on products assigned to the team is authorized and agreed upon The intended products are delivered as per expectation and quality criteria Monitoring progress of the project Performing and delivering the intended work, and consenting of the completed products. 1.1.7 Closing a Project (CP) Dictates what ought to be done at closure of a project. Thus, its main activities are to decommission the project, evaluating a project formally, as wells identification of follow-on actions. 1.1.8 Planning a Project (PL) This repeatable process ensures quality in the project management. This is because it ensures risk analysis is done and right controls and procedures a put in place. That is, effective planning will be based on product planning. Additionally, planning ensures the progress of the project is assessed and controlled accordingly. Above and beyond, planning is intended to locate resources, time, cost, and required activities to ensure the intended product is delivered (PRINCE2.com 2013). Figure 1.0 illustrates a summary of PRINCE2 processes Source: http://www.best-anagementpractice.com/gempdf/prince2_small_scale_projects_white_paper.pdf 1.2.0 Components of PRINCE2 PRINCE2 is also based on eight components discussed below (Hut 2008): 1.2.1 Business case In PRINCE2 a project is controlled through a business case. This should be approved before the project begins as well as at various intervals before beginning the next stage. This means, viability of the business case is no longer exists the project automatically is stopped. 1.2.2 Organization This component defines the roles, tasks, and relationships of all those involved into project management team. In case the project does not necessitate a big team, then roles and responsibilities may be merged. 1.2.3 Plans The planning is product based rather than an activities approach. In order to meet the requirements of the project, they can be modified. 1.2.4 Controls The controls aids in acquiring of information needed in decision making. They offer a practical approach that leads to consciousness of impending issues and problems, and solutions provided on time. When it comes to senior managers, a project will be run by exception which helps reduce unneeded meetings. So, the project manager gets ample time to manage the project. Projects are also divided into controllable stages, with review of progress and business case done at the end of every stage. 1.2.5 Management Risk Assessing of risks in a project is compulsory. PRINCE2 methodology offers milestones at which to monitor risks and provide techniques for doing so. The appropriate time and approach for reviewing and analyzing the risks is defined. 1.2.6 Quality in a Project Environment PRINCE2 integrates an excellent approach for the management of the project. This begins with customer. After customers expectations are known, standards are formed with assessment methods. 1.2.7 Configuration Management The final products undergo various stages and changes before it is completed. Control of versions as well as individual components is necessary. This control is therefore referred to as configuration management. PRINCE2 points out one method of many, which will incorporate other PRINCE2 processes. 1.2.8 Change Control Control change techniques are fundamentally required. Control change is identified, analyzed, recorded, and progresses through processes used in PRINCE2 (Hut 2008). 2.0 Comparison of PMBoK with PRINCE2 Both PRINCE2 and PMBOK methods agree on organizational procedures that a project manager can use. They can also be modified to suit the circumstance. For instance, PMBOK shows how the processes link together, tools and techniques to be used. In PRINCE2, the size and needs of the project are scaled in every process. The methods also concur on organizational culture, set of contexts where a certain project is to be commissioned. Additionally, the methodologies agree on progressive steps of the project, where the product is handled with care throughout the process. Finally, they both concur on the major project performance criteria, but approach them differently (Rankins 2009).. On the other hand, these two methodologies contrast in some areas. To begin with, the PMBOK main criteria are scope, cost and quality which are the key factors recognized as the informative area by the method. In PRINCE2 scope, schedule, cost, quality, risk and benefits are the major project performance factors, which are dealt with under one or more of the themes, like planning and change control. Despite agreeing on organizational processes assets such as corporate processes and experiences from previous projects, PRINCE2, observes these activities as specialist, and not as project management. Thus, it gives no guidance on the areas. On the other hand, PMBOK regards these as project management activities, which falls under procurement and administration (Rankins 2009). PRINCE2 method offers a further prescriptive steps to be followed by the project manager, and the team over the life of the project, PMBOK gives a substantial organizational information that are proven practices in this field, thus leaving it to the project manager to apply them where necessary. Accordingly, In PRINCE2, the coverage of integration aspect is seen to some extent in the flow of work through themes such as, start-up, initiation and planning processes, change and progress. In PMBOK, the integration management deals with all the aspect of integration in project management. PRINCE2 is a sequenced management process method, which defines what should be done, when, the way it should be done and by whom throughout the life of a project, while PMBOK is a method that describes centered practices and a wider range of techniques that are applied in project management. PRINCE2 method has the definition of roles and responsibility of every individual involved in a project, PMBOK focuses only on the role of the project manager. PRINCE2 is a method that is based on processes of project management, while PMBOK is a method based on the knowledge of how to approach to project management. Also, PRINCE2 observes two major products, business case and benefits review plan, while in PMBOK an element of the project charter is the only business case (Wideman 2002). The best method of project management is PRINCE2; this is because the method provides a detailed plan on how to run the project from the beginning to the end. The resources are well controlled and business becomes easy to manage since roles and responsibilities are shared and good communication exists between the management and the organization, unlike in PMBOK where the project manager has to decide on every issue. PRINCE2 also helps the project management to project risk more efficiently. This method is business case focused which is a management theme by itself, and it is designed in support of diligent decision making. 3.0 Project Management There are applied tools, techniques, knowledge and skills to activities which are meant to achieve the requirements of any project. The directing and control processes from the initiation to closing can be looked into details according to their phases (Taylor 2008). For analysis, this paper considers the Walsham Hotel installation of sensing mini-bars in accommodation rooms to serve the guest even in the night without many interactions with hotel workers. 3.1 Initiation According to Highsmith & Cockburn (2001), project initiation entails a definition of processes and steps which are necessary to steer the project forward from conceptual idea to meaningful project. It is a developed charter for decision making particularly by sponsor and which can allow more detailed investigations to be undertaken. As Hayes 2000, argues, together with goals and objectives it also details the nature and scope to allow planning and sponsor commitment. The mini-bar project had some characteristics including defined and finite life span, measurable business products, corresponding activities for achieving business products, defined resources and an organization structure that defines responsibilities for managing the project. The project began after all the processes were conducted and Renovations committee approved commencement. The starting process clearly detailed steps including appointment of Project Manager, designed Project Management Team, definition of project approach and planned initiation stage leading to authorizing initiation. The Mechatronic Group was assigned preparation and installation of mini-bars in 800 hotel rooms. 3.2 Planning The stage give expectations about what are the outcomes ,the time of delivery, the personnel to deliver, resources to be consumed and the benefits. Project planning implements business case and provide essential artifacts for delivery of the project. It defines the organizational unit responsible for the project, the finances it can afford, processes to take place in order to ensure the project minimizes risk, and the manner to measure the end benefits to demonstrate the success or failure of the project (Dvir, Raz & Shenhar 2003). Walsham project was to start in June 2006 and end in August 2008 with a budget of $ 600,000. The processes were identified starting from planning initiation stage where materials were enjoined for 35 weeks, transported from China to US in 16 weeks and renovation done in 4-6 weeks. The personnel included the hotel’s General Manager, Director of Rooms (Project Manager), Engineering and IT teams and Mechatrinic Group and suppliers. Every process was allocated its duration, personnel and resources. 3.3 Skills According to Sukhoo, et al (2005) hard skills are process-related through use of tools and comprise the scope, cost and time management that is more measurable or quantitative. Scope management entails what to and what not to deliver. Time management considers resource of time; the likely duration the project will take including it’s possibly started and time constraints that exist. Cost management is most top consideration of stakeholders’ concerns. The financial resources estimate; what is required, likelihood of exceeding the estimate, and how to manage the costs and meet stakeholder expectations. The rigorous management techniques reasonably work well to define and control the outcomes. Soft skills on the other hand provide project management art. These include the timeless principles for working within the organization. The Soft skills allow definition of business value, determine requirements, clarify the vision, provide direction, resolve issues, build teams and mitigate risk. Appropriate soft skills increase the likelihood for project success. There are various service providers to offer training, tools, consultancy and services to projects and thus ensure competitive supplied services to support organizations implementation of the project. Hard skills were all met to the point, however soft skills in communication, evaluation and assessment lacked for this project. This led the project to overrun its schedule and cost objectives and failed satisfactory progress for attaining the technical performance objectives. 3.4 Quality and risk management Another fundamental aspect in project management involves quality management. This applies to all deliverable and process used for delivery of outcomes. It is a constant process of identifying, defining, applying, monitoring and control. The modern view in quality management should permeate in the whole organization and ensure quality is designed and worked out to a product. Management procedures and arrangements should be put in place to realize this. The project manager has a responsibility of specifying items effectively and nominates appropriate quality requirements. There are national guidelines which assist project managers (Sukhoo, et al 2005). There was no international accreditation program that the teams and consultants followed to ensure effectiveness of high-tech sensing mini-bars. High quality and consistent service level failed for the project. Professional qualifications lacked to assess Mechatronic Group knowledge, ability and method to apply to project scenario. There was no active user group dedicated to support, promote and strengthen the project method. 3.5 Monitor and control As Dvir, Raz & Shenhar (2003) argues, the project personnel should be able to respond to the changing circumstances of the project environment. Mostly, this follow introduction of planned variations in appropriate ways to the project. This involves the ability of detecting unwanted and unplanned changes and rectifying those changes. According to Hunt (2007)monitoring entails the processes which relate to execution stage including monitoring project progress, applying control processes and detection of variances in order to bring project back to its track. The extent of control may commence from the start to the end, however they can be intensified at different points. In most cases monitoring and control follows initiation, the planning, execution and closing sequence for most projects. Walsham project did not include all the consequent steps like capturing the progress information, review process, work, issues, quality and risk status, taking corrective action, analysis of the impacts of issues and report to Project Board are well aligned with the project processes. 3.6 Closing As Dvir, Raz & Shenhar (2003) argues, projects are terminated when the planned work has been completed. However there are a number of reasons behind termination. If the project results in form of a product/ service are delivered to stakeholders and customer, the project is the terminated. A project end is dependent on Project Board confirmation that expectations have been delivered, correct levels of quality assured, and where necessary it correspond to useful, operational, supportable and sustainable state. At this point, the benefits and performance of end product are assessed. However for Walsham project the project close was necessitated by foreseen failure to deliver the stakeholders expectations. References Rankins, G., 2009. Comparing PMBOK and PRINCE2, Brisbane: Australian Institute of Project Management. http://www.goalgroup.com.au/SiteFiles/goalgroupcomau/C007_ComparingPMBoKAndPRINCE2In2009.pdf Hayes, D S, 2000, ‘Evaluation and Application of a Project Charter Template to Improve the Project Planning Process. Project Management Journal, 31(1), p.14. Available at: http://0-search.ebscohost.com.brum.beds.ac.uk/login.aspx?direct=true&db=buh&AN=2856456&site=ehost-live&scope=site. Hut, P. M. (2008). PPRINCE2 Components. Retrieved 02 24, 2013, from http://www.pmhut.com/prince2%E2%84%A2-components PRINCE2.com. (2013). PRINCE2 Process Model. Retrieved 02 25, 2013, from http://www.prince2.com/prince2-process-model.asp Wideman, R. M. (2002). Comparing PMBoK with PRINCE2. Vancouver: AEW Services. http://www.maxwideman.com/papers/comparing/comparing.pdf Dvir, D, Raz, T & Shenhar, A J 2003, ‘An empirical analysis of the relationship between project planning and project success’, International Journal of Project Management, 21(2), 89-95. Available at: http://linkinghub.elsevier.com/retrieve/pii/S0263786302000121. Highsmith, J & Cockburn, A 2001, ‘Agile software development: The business of innovation’, Computer, 34(9), 120-127. Available at: http://ieeexplore.ieee.org/lpdocs/epic03/wrapper.htm?arnumber=947100. Hunt, B, 2007, ‘Parametric Project Monitoring and Control: Performance-Based Progress Assessment and Prediction. 2007 IEEE Aerospace Conference, p.1-12. Available at: http://ieeexplore.ieee.org/lpdocs/epic03/wrapper.htm?arnumber=4161725. Sukhoo, A et al., 2005, ‘Accommodating Soft Skills in Software Project Management Motivation for this Research’, Issues in Informing Science and Information Technology, 2, p.691-703. Taylor, J C, 2008, ‘Project Scheduling and Cost Control: Planning, Monitoring and Controlling the Baseline. Project Management Journal, 39(2), p.115. Available at: http://0-search.ebscohost.com.brum.beds.ac.uk/login.aspx?direct=true&db=buh&AN=37276883&site=ehost-live&scope=site. Read More