Project Management Based on Prince2 - Literature review Example

PROJECT MANAGEMENT By Name Course Instructor Institution City/State Date Table of Contents PROJECT MANAGEMENT 1 Table of Contents 2 3 1.0 Prince 2 Project Management Methodology 3 According to Selig (2013, p.49), every project is naturally distinct that is different settings, scale, projected results, resources, time, and budgets, time. For that reason, it is essential to permit a component of suppleness across any project management methodology. The themes, processes, and principles in PRINCE2 could be customized without difficulty to suit the project setting where they are being used. Furthermore, the PRINCE2 processes as well as principles can be tailored to suit any project of any dimension. PRINCE2 can as well simply combine with other business paradigms employed in organisational setting, and above all PRINCE2 permits the project to align to and concentrate on an acceptable business case. This, accompanied by an obviously clear report framework, makes sure that every partaker in the project understands their roles as well as responsibilities. Since 1996 when it was launched, PRINCE2 has turn out to be the valid standard for project management methodologies, continually developing with the advancing business world and reinventing itself. Arguably, training as well as requirements comes at a cost, but putting the PRINCE2 framework into practice requires no support or administration or fee. 4 Essentially, PRINCE2 is anchored in seven principles (learning from past experience, sustained business rationalization, identified roles as well as responsibilities, managing by exemption, managing by phases, concentrating on products, and modified to fit in the project milieu), seven themes (organization, business case, progress, change, risk, plans, and quality) as well as seven processes (Hedeman et al., 2011, p.21)The themes as well as principles materialise in the seven processes: Starting up the project (SU), initiating the project (IP), directing the project (DP), controlling a stage (CS), managing stage boundaries (SB), managing product delivery (MP), and closing the project (CP) (Hedeman et al., 2011, p.106). 5 2.0 PMBOK 5 3.0 Managing a Project 7 4.0 References 10 1.0 Prince 2 Project Management Methodology PRINCE2 (Projects in Controlled Environments) according to (Hedeman et al., 2011, p.9) is a process-established methodology for successful project management. Essentially, PRINCE2 is to all intents and purposes a standard utilised comprehensively by the Government of the United Kingdom and is broadly acknowledged and employed in the private sector, both globally as well as in UK (Selig, 2013, p.48). PRINCE2 is the colossus of all methodologies used in project management that is because it is valued, powerful, tried as well as tested, and most importantly it is employed by a number of the world’s biggest companies. However, as mentioned by Selig (2013, p.49) its attributes makes it somewhat intricate for the PRINCE2 beginner. PRINCE2 is the subsequent education of the previous PRINCE methodology that was at first developed and announced in 1989 by the Central Computer and Telecommunications Agency (CCTA), which is a support agency of the UK government. The initial version of the methodology was considered as a standards set for Information Technology project management (Hedeman et al., 2011, p.25.). Afterwards the PRINCE methodology exhibited high efficiency in handling diverse projects in distinct settings. Progressively companies started making use of this method for planning, implementing as well as controlling their project endeavors along with efforts. In 1996, the PRINCE second edition was launched and released as a standard project management methodology. Ever since, PRINCE2 has before now turned out to be more and more well-liked amongst manifold UK companies concerned in diverse forms of project, and these days the method is in fact considered the standard for project management as well as planning in the UK. Furthermore, the implementation of this methodology has widened beyond the borders of UK to over fifty other countries across the globe. Nowadays PRINCE2 mirrors a swiftly mounting global interest, including the experiences as well as requirements of available users across the globe. Until 2010, The UK’s Office of Government Commerce was solely responsibility for developing as well as updating the methodology, which included the Best Management Practice (Hedeman et al., 2011, p.25). According to Selig (2013, p.49), every project is naturally distinct that is different settings, scale, projected results, resources, time, and budgets, time. For that reason, it is essential to permit a component of suppleness across any project management methodology. The themes, processes, and principles in PRINCE2 could be customized without difficulty to suit the project setting where they are being used. Furthermore, the PRINCE2 processes as well as principles can be tailored to suit any project of any dimension. PRINCE2 can as well simply combine with other business paradigms employed in organisational setting, and above all PRINCE2 permits the project to align to and concentrate on an acceptable business case. This, accompanied by an obviously clear report framework, makes sure that every partaker in the project understands their roles as well as responsibilities. Since 1996 when it was launched, PRINCE2 has turn out to be the valid standard for project management methodologies, continually developing with the advancing business world and reinventing itself. Arguably, training as well as requirements comes at a cost, but putting the PRINCE2 framework into practice requires no support or administration or fee. Essentially, PRINCE2 is anchored in seven principles (learning from past experience, sustained business rationalization, identified roles as well as responsibilities, managing by exemption, managing by phases, concentrating on products, and modified to fit in the project milieu), seven themes (organization, business case, progress, change, risk, plans, and quality) as well as seven processes (Hedeman et al., 2011, p.21)The themes as well as principles materialise in the seven processes: Starting up the project (SU), initiating the project (IP), directing the project (DP), controlling a stage (CS), managing stage boundaries (SB), managing product delivery (MP), and closing the project (CP) (Hedeman et al., 2011, p.106). 2.0 PMBOK Project Management Body of Knowledge (PMBOK) according to Harrington and McNellis (2006, p.11) is a set of Best Practices created by the PMI (Project Management Institute) with the intention of developing as well as improving knowledge and processes areas needed in project management. PMBOK is a globally acknowledged standard (IEEE 1490-2011 as well as ANSI/PMI 99-001-2008), and it offers the basics of project management, regardless of the project type be it engineering, software, or construction. PMBOK identifies five groups of basic process and ten areas of knowledge classic for nearly all projects. According to the five groups of basic process the organisation must initiate, plan, execute, control as well as monitor, and finally close (Haughey, 2013). The ten areas of knowledge include Project Scope, Time, Cost, Quality, Human Resource, Communication, Risk, Procurement, and Stakeholder Management (Harrington & McNellis, 2006, p.13). A great deal of PMBOK is matchless to project management, for instance, work breakdown structure (WBS) as well as critical path. General management as well consists of controlling, executing, staffing, organising, and planning the organisation’s operations. PMBOK Users are from time to time discouraged given that individuals could erroneously see the project manager as a conqueror that can plan, solve problems, manage human resources, and also be the main decision maker. In a number of sectors, the common belief is that the key decision maker is the project manager; however, present organisations know that the last-word concerning the financial and functional authority is with senior management and not within the project manager. According to PMBOK, key project decisions must be executed by project managers bearing in mind that in scores of business settings project managers are not at all times well placed to decide soundly. In contrast, the project responsibility in PRINCE2 is with organisational senior management and for that reason the project manager’s role is to supervise the project daily for senior management (Haughey, 2013). If aforementioned argument can be explained as a key PMBOK criticism it would be reasonable to state the key PRINCE2 criticism is that it overlooks the significance of the soft skills required for managing a project and also fails to offer additional detail on knowledge areas like contract management and scope management, which PMBOK offers direction on. Possibly, the recent PRINCE2 attractiveness is for the reason that it offers a set of standard for the management of every type of projects within the organization. What’s more, PRINCE2 is widely considered the best method because it ensures approach consistency unlike PMBOK, which leaves it exposed for the project manager to choose their approach which time and again indicates distinct approaches are espoused all through the organization to handle its projects. Bigger companies are more and more spotting the benefits for standardizing the projects management, and therefore view PRINCE2 as the key for this necessity. Unlike PMBOK, Hedeman et al. (2011, p.24) posits that PRINCE2 concentrates on the Business Case that is arguably the management theme intended for supporting industrious decision making. Given that PRINCE2 is a methodology that is process-based; therefore the project team must not be exceedingly skilled to use. However, PMBOK is a set of knowledge areas and so needs a team with management know-how to create a technique for supporting its application. 3.0 Managing a Project After Airbus was instituted in 1970 two key goals prevailed; the first goal was to develop a syndicate of existing corporations that has facilities in four European countries, which included Spain, Britain, Germany, and France. The subsequent goal was to change those companies into an integrated and contemporary business enterprise able to compete more successfully with American giant companies like Boeing. These days, Airbus and Boeing are the only two existing companies producing commercial aircrafts. Whereas this plan did succeed in bringing together sixteen companies, such incongruent business units had problem working as an amalgamated company from the very start.  By 2001, the amalgamation was observed as a slackly united organization. However, the success story of Airbus is evident since the key aspect of Airbus was the sustained innovation, particularly the successful application of digital fly-by-wire technology, which brought better management, improved safety as well as operational cohesion to its contemporary jetliners’ product line. The fly-by-wire technology was a successful project by Airbus and it offered numerous operational benefits for Airbus aircraft, which included reduced costs of maintenance and higher accuracy during flight. Airbus in 2000 embarked on, the A380 project, which evidently was the most grand project ever undertaken by the company.  A380 was an aircraft intended for ushering in a innovative epoch of superjumbo jets, that could carry almost 853 passengers including the crew members.  Prior to the launch of the project, Airbus made it known that it had taken extra steps to incorporate the syndicate and so publicized the new organizational structure.  This new organizational structure made it possible to locate senior managers from all of the sixteen locates in one site.  Problems in the production started to surface in 2005, and so the German together with French production facilities started pointing fingers on each other in public after the postponement of deliveries from the 2005 to 2006.  After that, in 2006, the pre-assembled wiring harnesses manufactured in Germany (the Hamburg plant) failed to accurately fit into the aircraft frame during the assembly stage in France (the Toulouse plant). According to Paulsen (2012, p.4), Hamburg plant had used the older version of Computer Aided Three-dimensional Interactive Application (CATIA) to design the wiring harnesses. CATIA is software widely used in the aircraft industry. However, the Toulouse assembly plant utilised the most state-of-the-art version of the CATIA software.  Regrettably, compatibility issues surfaced between both software versions and one effect was that the design specifications failed to flow automatically between the Toulouse and Hamburg plants (Paulsen, 2012, p.4).  Consequently, during the installation of wiring cables into the aircraft’s fuselage in Toulouse, they did not fit.  Airbus, as a result, was left without option but to stop A380 project, reschedule aircraft deliveries of for more than twenty months, and redesign the system or wiring.  Any failed project comes with a cost, and in this case the cost was projected to go beyond $6 billion, and also the project was delayed by two years.  After taking the required measures, the first A380 aircraft was produced in 2007 and sold to Singapore Airlines. The A380 delayed launched created noteworthy anxiety both in EADS and amongst stockholders. The vital lesson learnt from this project failure is that effective project managements and organizational culture is imperative and devoid of a valuable culture projects then project managers are destined to generate mediocre outcomes or be unsuccessful altogether. Another lesson is that organizations must integration between business units must always be considered.  At Airbus, integration between business units was noticeably not present and the harness failure to fit into the frame of the aircraft verifies that Airbus business units did not work co-ordinately.  The last lesson is that organisations undertaking any project must consider conflict tolerance.  It is sensible to affirm that devoid of an suitably accommodating project culture there is no methodology that can constantly reduce the risk of project failure. 4.0 References Harrington, H.J. & McNellis, T., 2006. Project Management Excellence: The Art of Excelling in Project Management. 2nd ed. Chico, California: Paton Professional. Haughey, D., 2013. The Project Management Body of Knowledge (PMBOK). [Online] Available at: http://www.projectsmart.co.uk/pmbok.php [Accessed 6 August 2014]. Hedeman, B., Heemst, G.V.v. & Fredriksz, H., 2011. Project management based on Prince2 (english version): Best practice. Amsterdam: Van Haren. Paulsen, J.H., 2012. Strategic Risk Management - A new Framework based on the Airbus A-380 crisis. Munich: GRIN Verlag. Selig, G.J., 2013. Implementing IT Governance. Amsterdam: Van Haren. Read More