Improve Your Project Management - Report Example

Project Management Methodology Table of Contents Contents 1 Part 1 – PRINCE2 Overview 3 1.1 Origin and Development 3 1.2 PRINCE2 Project Stages 3 1.3 PRINCE2 Motivating Principles, Themes, Guidance, and Process Lifecycle 4 1.4 PRINCE2 Management Levels 7 1.5 PRINCE2 Capability and Framework for Countering Risk 8 2 Part 2 – PRINCE2 and PMBOK Comparison 9 3 Part 3 – Analysis of Engineering Project Management Project 11 4 References 13 1 Part 1 – PRINCE2 Overview 1.1 Origin and Development PRINCE stands for “PRojects IN Controlled Environments” and a project management methodology developed in 1989 by the Central Computer and Telecommunications Agency as a standard for IT project management in the United Kingdom . Developed from the original methodology in 1996, PRINCE2 on the other hand is a generic project management method thus unlike PRINCE, this version is not limited to a particular industry, organization, and others . PRINCE2 according to is a structured project management method developed based on the experience of various contributing project managers. It is compatible with other approaches, prescriptive, provide high-level framework to ensure that the project continuously meet business objectives, and flexible enough to accommodate details of a particular project within the overall framework . 1.2 PRINCE2 Project Stages PRINCE2 subdivided the project management process into four project stages that include Pre-Project, Initiation, Continuation, and the Closing Stage. Moreover, as shown below there are seven main processes within these stages that according to should be seen from the Project Board and Manager’s point of view. Figure 1 - Project stages with seven main processes 1.3 PRINCE2 Motivating Principles, Themes, Guidance, and Process Lifecycle PRINCE2 is generally a process model consisting of activities that needs to be manage, directed in order to successfully deliver a project . According to , PRINCE2 has set of principles, control themes, guidance, and process lifecycle applicable to almost all project. These principles are universal and can be used on any project regardless of size, geography, organization, or culture. The principles contained in PRINCE2 are not specific rules and precepts but set of values users can use to organize, mould, and customize their project according to its individual characteristics and context . However, as shown below, these principles according to are not optional thus managers of PRINCE2 projects should think and act according to the perspective of these principles. Figure 2 - PRINCE2 Seven Principles For instance, Principle # 1 or the principle that a project should have continued business justification requires a particular project to have a sound business reason before it can commence. The second principle on the other hand where PRINCE2 require project team members to learn from experience, encourage project management to plan for the unexpected, new challenges, risks, mishaps, and strokes of luck . The third principle encourage project management to defined roles and responsible while the fourth and fifth promote managing the project by stages and by exception respectively . The sixth principle encourages PRINCE2 users to focus on products thus project management should be results-oriented and ensure that each activity in the project will deliver something. The seventh and last encourage project management to use PRINCE2 according to a particular project needs and environment . The seven PRINCE2 themes on the other hand represent the most important aspects of the project that must be address throughout the project . As shown below, these include the project’s business case, organisation, quality, plans, risk, change, and progress. Figure 3 - The Seven Themes of PRINCE2 These themes according to ensures that the project is desirable, viable and achievable, well organised, planned and achieving expected quality, effectively managing risks and change, and with mechanism for monitoring progress and forecasting project viability. Being a project management methodology, PRINCE2 according to is a guiding document that can be applied in various situations. These include list of things to do in the project, a particular approach or a set of templates, forms, and checklist that can be use throughout the project lifecycle. Moreover, since PRINCE2 is a process-based method, it can help users structure and manage project teams, and effectively control each stage of the project. . 1.4 PRINCE2 Management Levels The four management levels shown below – Corporate, Direction, Management, and Delivery- have their own specific role. According to , the Corporate Level defines the objectives and deliverables of the project, govern and implement planned corporate activities, and ensuring achievement of anticipated benefits. The Project Board works on the Direction Level where important decisions about the project are made. The Managing Level is the stage where the Project Manager executes his day-to-day leadership of the projects, gather information and update the Project Board, and perform responsibilities expected from a PRINCE2 project manager. Finally, the Team Manager and team members perform their tasks of ensuring production of expected deliverables at the Delivery Level. Figure 4 - The Four Management Level in PRINCE2 1.5 PRINCE2 Capability and Framework for Countering Risk Independent of application domain such as IT software development, marketing, building and construction, and so on, PRINCE2 is flexible and suitable from small to multidiscipline project teams, available to public, has active user groups in UK and Netherlands, applicable to small and large mega-projects, and a beneficial method in terms of time, cost, quality, functionality, and delivery of project results . Since PRINCE2 provides a framework for countering risks, the Project Manager along with the Project Board can jointly plan a sound response that not only can reduce threats but take advantage of opportunities . According to the SWOT analysis created by , some useful threat responses include making some changes in the project to avoid or reduce the impact of threats, sharing the risks to a third party, creating a fallback plan, and exploiting the opportunity provided by the threats. For this reason, PRINCE2 according to encourage Project Managers to communicate the risks, accept input from the team and stakeholders, formulate the most appropriate response, and ensure execution of planned actions. Moreover, PRINCE2’s generic framework for managing risks requires identification of risk techniques and standards as early as project initiation stage thus the Project Board’s position on risk taking is known from the start including boundaries for acceptable level of risk , and actions that must be taken in case the risk goes beyond set limits . 2 Part 2 – PRINCE2 and PMBOK Comparison PRINCE2 and PMBOK (Project Management of Knowledge) are both recognised as project management methodology but they differ in many ways. For instance, according to . PRINCE2 is project life cycle based method while PMBOK is a guide describing function-based knowledge areas. PMBOK is actually a “Guide” or a guiding document illustrating project management processes and describing tools and techniques while PRINCE2 contains philosophies promoting flexibility in project management . The comparative table contains similarities and differences between PRINCE2 and PMBOK. Table 1 - PRINCE2 and PMBOK Comparative Table Area of Comparison PRINCE2 PMBOK Product description Provide specific approach but does not cover procurement Offers advice, covers procurement, detailed pre-assignment for team members, Terminology Use stages but similar concept Use the term “phase” but similar concept Organisational Influence With similar approach but do not provide details. Discusses two organisational cultures and their impact to the project. Key Management Skills Does not cover these skills Describe each management skills Socio-Economic-Environment Influences Not covered in PRINCE2 Merely provide examples and do not provide solutions. Change control Provide complete change control approach Only discusses the need for change control Offers Stage and Team plans and benefits of breaking them into manageable parts. Generally talk about project plan Project Management Team Provide standard roles None Project Cost Management Recognise other processes as minor and focusing on Cost Control Provide more detailed cost management Project Quality Management Recognise customer expectations and management responsibility Same as PRINCE2 According to , the major similarities between PMBOK and PRINCE2 are in the area of integration, scope, time, cost, quality, risk, communications, and human resources. For instance, similar to PMBOK, PRINCE2 integrate processes, components, and change control. PRINCE2 also covered PMBOK scope, time, and cost through plans and business case. They both have quality and configuration management; consider risks, communication, and organisational structure. Both project management methods have frameworks to fix the project and approach to control each stage and activities. The major differences on the other hand are the fact that PRINCE2 deals with methods to run a project while PMBOK describe the necessary skills of a project manager. PRINCE2 is more of a checklist while PMBOK is a reference guide developed to teach project managers. However, in terms of project management, PMBOK is more complete than PRINCE2 that concentrates on implementing project elements and monitoring project feasibility . Moreover, business case is a critical element in PRINCE2 but it is absent in PMBOK. In addition, PRINCE2 include numerous components, justification, plans and controls, risk and configuration management . In knowledge areas, PMBOK seems to provide more with nine compared to PRINCE2’s eight. Moreover, although both method recognised the relationship between scope, time, cost, and quality, their approach is different . 3 Part 3 – Analysis of Engineering Project Management Project The Te Apti Wind Farm project in New Zealand is remote, located in unstable terrain, in an area frequently visited by destructive storms, and with significant power shortages . Some the key challenges faced by its project management team include physically demanding environment, difficult landowner’s requirements, and meeting important project milestones. The project severely suffered the effect of adverse weather conditions since it began in 2003 but was completed 5 days ahead of schedule and within budget . The developer, Meridian Energy Limited readily recognised the risks and environmental challenges and developed a comprehensive plan clearly indicating their direction and purpose. It deployed skilled and committed project management team who in turn used proven project management practices . The team for instance developed a plan integrating actions to develop strong team culture, transparency, positive decision-making ability, and two-way communication between parties. They collaborate with suppliers and subcontractors, anticipate and resolve problems using project management practices. According to , the project team used risk management based on PMBOK in order to determine risks and incorporate them in the project plan. Consequently, by using established project management methods the Te Apiti project was able to avoid most of the risks associated with civil engineering projects. The project team learned numerous lessons from the project and in fact made the Te Apiti as benchmark to stakeholders and blueprint for similar projects in the future. The team learned the importance of project management method and techniques in reducing and avoiding the impact of risks, establishing collaborative working between stakeholders, and getting the work done despite numerous challenges. 4 References BAGULEY, P. 2010. Improve Your Project Management: Teach Yourself, Hodder & Stoughton. BARKER, S. 2014. Brilliant PRINCE2 ePub eBook, Pearson Education. BENTLEY, C. 2010. PRINCE2: A Practical Handbook, Taylor & Francis. CHARVAT, J. 2003. Project Management Methodologies: Selecting, Implementing, and Supporting Methodologies and Processes for Projects, Wiley. COOKE, J. L. 2012. Everything you want to know about Agile: How to get Agile results in a less-than-agile organization, It Governance Limited. FERRARO, J. 2012. Project Management for Non-Project Managers, AMACOM. HEDEMAN, B., VAN HEEMST, G. V. & FREDRIKSZ, H. 2010. Project Management Based on PRINCE2 2009, Bernan Assoc. HEDEMAN, B., VAN HEEMST, G. V. & FREDRIKSZ, H. 2011. Project management based on Prince2 (english version), Haren Publishing, Van. JONES, R. 2007. Project Management Survival: A Practical Guide to Leading, Managing & Delivering Challenging Projects, Kogan Page. KEYES, J. 2008. Leading IT Projects: The IT Manager's Guide, Taylor & Francis. MORRIS, P. & PINTO, J. K. 2010. The Wiley Guide to Project Organization and Project Management Competencies, Wiley. MURRAY, A. 2011. Prince2 in one thousand words. In: LTD., O. U. (ed.). UK: The Stationery Office. NORTON, A. 2008. CIMA Official Learning System Integrated Management, Elsevier Science & Technology Books. OFFICE, S. & COMMERCE, G. B. O. O. G. 2010. Agile project and service management: delivering IT services using PRINCE2, ITIL and DSDM Atern, Stationery Office. PMI. 2014. NEW ZEALAND WIND FARM: Completed On-time and Within Budget Despite Record Storms [Online]. Online: PMI. PORTMAN, H. 2009. PRINCE2 in Practice: A Practical Approach to Create Project Management Documents, Germany, Van Haren Publishing. RANKINS, G. 2007. The Yin and Yang of Project Management: Comparing PMBoK and PRINCE2 (again) VERHAGE, L. 2009. Management Methodologie Voor de Implementatie Van Enterprise Systems, Eburon Delft.  Read More