| Importance of Project Management is an important | | | | and Scitor Corporation (1979). In the 1970's other |
| topic because all organisations, be they small or large, | | | | project management tools such as Material |
| at one time or other, are involved in implementing | | | | Requirements Planning (MRP) were also |
| new undertakings. These undertakings may be | | | | introduced.Examples of projects undertaken during |
| diverse, such as, the development of a new product | | | | this period and which influenced the development of |
| or service; the establishment of a new production line | | | | modem project management as we know it today |
| in a manufacturing enterprise; a public relations | | | | include: (a)Polaris missile project initiated in 1956 that |
| promotion campaign; or a major building programme. | | | | had the objective of delivering nuclear missiles carried |
| Whilst the 1980's were about quality and the 1990's | | | | by submarines, known as Fleet Ballistic Missile for the |
| were all about globalisation, the 2000's are about | | | | U.S Navy. The project successfully launched its first |
| velocity. That is, to keep ahead of their competitors, | | | | Polaris missile in 1961; (b) Apollo project initiated in |
| organisations are continually faced with the | | | | 1960 with the objective of sending man to the |
| development of complex products, services and | | | | moon; and (c) E.I du Pont de Nemours chemical plant |
| processes with very short time-to-market windows | | | | project commencing in 1958, that had the objective |
| combined with the need for cross-functional | | | | of building major chemical production plants across |
| expertise. In this scenario, project management | | | | the U.S.[3] 1980-1994: Production Centre Human |
| becomes a very important and powerful tool in the | | | | Resources. The 1980s and 1990's are characterised |
| hands of organisations that understand its use and | | | | by the revolutionary development in the information |
| have the competencies to apply it.The development | | | | management sector with the introduction of the |
| of project management capabilities in organisations, | | | | personal computer (PC) and associated computer |
| simultaneously with the application of information | | | | communications networking facilities. This |
| management systems, allow enterprise teams to | | | | development resulted in having low cost multitasking |
| work in partnership in defining plans and managing | | | | PCs that had high efficiency in managing and |
| take-to-market projects by synchronising | | | | controlling complex project schedules. During this |
| team-oriented tasks, schedules, and resource | | | | period low cost project management software for |
| allocations. This allows cross-functional teams to | | | | PCs became widely available that made project |
| create and share project information. However, this is | | | | management techniques more easily |
| not sufficient, information management systems | | | | accessible.Examples of major projects undertaken |
| have the potential to allow project management | | | | during this period that illustrate the application of high |
| practices to take place in a real-time environment. As | | | | technology, and project management tools and |
| a consequence of this potential project management | | | | practices include: (a) England France Channel project, |
| proficiency, locally, nationally or globally dispersed | | | | 1989 to1991. This project was an international project |
| users are able to concurrently view and interact with | | | | that involved two governments, several financial |
| the same updated project information immediately, | | | | institutions, engineering construction companies, and |
| including project schedules, threaded discussions, and | | | | other various organisations from the two countries. |
| other relevant documentation. In this scenario the | | | | The language, use of standard metrics, and other |
| term dispersed user takes on a wider meaning. It not | | | | communication differences needed to be closely |
| only includes the cross-functional management teams | | | | coordinated; (b) Space Shuttle Challenger project, |
| but also experts drawn from the organisation's supply | | | | 1983 to 1986. The disaster of the Challenger space |
| chain, and business partners.On a macro level | | | | shuttle focused attention on risk management, group |
| organisations are motivated to implement project | | | | dynamics, and quality management; and (c) xv |
| management techniques to ensure that their | | | | Calgary Winter Olympic of 1988 which successfully |
| undertakings (small or major) are delivered on time, | | | | applied project management practices to event |
| within the cost budget and to the stipulated quality. | | | | management.[4] 1995-Present: Creating a New |
| On a micro level, project management combined | | | | Environment. This period is dominated by the |
| with an appropriate information management system | | | | developments related to the internet that changed |
| has the objectives of: (a) reducing project overhead | | | | dramatically business practices in the mid 1990's. The |
| costs; (b) customising the project workplace to fit | | | | internet has provided fast, interactive, and |
| the operational style of the project teams and | | | | customised new medium that allows people to |
| respective team members; (c) proactively informing | | | | browse, purchase, and track products and services |
| the executive management strata of the strategic | | | | online instantly. This has resulted in making firms more |
| projects on a real-time basis; (d) ensuring that | | | | productive, more efficient, and more client oriented. |
| project team members share accurate, meaningful | | | | Furthermore, many of today's project management |
| and timely project documents; and (e) ensuring that | | | | software have an internet connectivity feature. This |
| critical task deadlines are met. Whilst the motivation | | | | allows automatic uploading of data so that anyone |
| and objectives to apply project management in | | | | around the globe with a standard browser can: (a) |
| organisations is commendable, they do not assure | | | | input the most recent status of their assigned tasks; |
| project success.However, before discussing the | | | | (b) find out how the overall project is doing; (c) be |
| meaning and achievement of project success it is | | | | informed of any delays or advances in the schedule; |
| appropriate at this stage to provide a brief history of | | | | and (d) stay "in the loop" for their project role, while |
| project management.Brief History of Project | | | | working independently at a remote site.An example |
| Management | | | | of a major project undertaken during this period is |
| Project management has been practiced for | | | | the Year 2000 (Y2K) project. The Y2K Project, |
| thousands of years dating back to the Egyptian | | | | known as the millennium bug referred to the problem |
| epoch, but it was in the mid-1950's that organisations | | | | that computers may not function correctly on |
| commenced applying formal project management | | | | January lst, 2000 at 12 AM. This was a global |
| tools and techniques to complex projects. Modern | | | | phenomenon and was highly problematic because |
| project management methods had their origins in two | | | | resolving the problem at one's organisation did not |
| parallel but different problems of planning and control | | | | guarantee immunity, since a breakdown in the |
| in projects in the United States. The first case | | | | organisation's supply chain could affect the |
| involved the U.S Navy which at that time was | | | | organisation's operating capability. Many organisations |
| concerned with the control of contracts for its Polaris | | | | set up a project office to control and comply with |
| Missile project. These contracts consisted of | | | | their stakeholders regarding the Y2K issue. |
| research, development work and manufacturing of | | | | Furthermore, use of the Internet was common |
| parts that were unique and had never been | | | | practice that led to the establishment of the virtual |
| previously undertaken.This particular project was | | | | project office. The goal of this virtual project office |
| characterised by high uncertainty, since neither cost | | | | was: (a) to deliver uninterrupted turn-of-the-century; |
| nor time could be accurately estimated. Hence, | | | | (b) monitor Y2K project efforts; (c) provide |
| completion times were based on probabilities. Time | | | | coordination; (d) develop a risk management plan; and |
| estimates were based on optimistic, pessimistic and | | | | (e) communicate Y2K compliance efforts with various |
| most likely. These three time scenarios were | | | | stakeholders. Thus, the virtual project office was a |
| mathematically assessed to determine the probable | | | | focal point for all the project works, and it increased |
| completion date. This procedure was called program | | | | the awareness and importance of risk management |
| evaluation review technique (PERT). Initially, the PERT | | | | practices to numerous organisations.Why Project |
| technique did not take into consideration cost. | | | | Management?There is no doubt that organisations |
| However, the cost feature was later included using | | | | today face more aggressive competition than in the |
| the same estimating approach as with time. Due to | | | | past and the business environment they operate in is |
| the three estimation scenarios, PERT was found (and | | | | a highly turbulent one. This scenario has increased the |
| still is) to be best suited for projects with a high | | | | need for organisational accountability for the private |
| degree of uncertainty reflecting their level of | | | | and public sectors, leading to a greater focus and |
| uniqueness. The second case, involved the private | | | | demand for operational effectiveness and |
| sector, namely, E.I du Pont de Nemours Company, | | | | efficiency.Effectiveness and efficiency may be |
| which had undertaken to construct major chemical | | | | facilitated through the introduction of best practices |
| plants in U.S. Unlike the Navy Polaris project, these | | | | that are able to optimise the management of |
| construction undertakings required accurate time and | | | | organisational resources. It has been shown that |
| cost estimates. The methodology developed by this | | | | operations and projects are dissimilar with each |
| company was originally referred to as project | | | | requiring different management techniques. Hence, in |
| planning and scheduling (PPS). PPS required realistic | | | | a project environment, project management can: (a) |
| estimates of cost and time, and is thus a more | | | | support the achievement of project and |
| definitive approach than PERT. The PPS technique | | | | organisational goals; and (b) provide a greater |
| was later developed into the critical path method | | | | assurance to stakeholders that resources are being |
| (CPM) that became very popular with the | | | | managed effectively.Research by Roberts and |
| construction industry. During the 1960s and 1970s, | | | | Furlonger [2] in a study of information systems |
| both PERT and CPM increased their popularity within | | | | projects show that using a reasonably detailed |
| the private and public sectors. Defence Departments | | | | project management methodology, as compared to a |
| of various countries, NASA, and large engineering and | | | | loose methodology, improves productivity by 20 to |
| construction companies world wide applied project | | | | 30 percent. Furthermore, the use of a formalised |
| management principles and tools to manage large | | | | project management structure to projects can |
| budget, schedule-driven projects. The popularity in | | | | facilitate: (a) the clarification of project scope; (b) |
| the use of these project management tools during | | | | agreement of objectives and goals; (c) identifying |
| this period coincided with the development of | | | | resources needed; (d) ensuring accountability for |
| computers and the associated packages that | | | | results and performance; (e) and encouraging the |
| specialised in project management. However, initially | | | | project team to focus on the final benefits to be |
| these computer packages were very costly and | | | | achieved. Moreover, the research indicates that |
| were executed only on mainframe or mini computers. | | | | 85-90% of projects fail to deliver on time, on budget |
| The use of project management techniques in the | | | | and to the quality of performance expected. The |
| 1980s was facilitated with the advent of the personal | | | | major causes identified for this situation include: |
| computer and associated low cost project | | | | (a) Lack of a valid business case justifying the |
| management software. Hence, during this period, the | | | | project; |
| manufacturing and software development sectors | | | | (b) Objectives not properly defined and agreed; |
| commenced to adopt and implement sophisticated | | | | (c) Lack of communication and stakeholder |
| project management practices as well. By the 1990s, | | | | management; |
| project management theories, tools, and techniques | | | | (d) Outcomes and/or benefits not properly defined |
| were widely received by different industries and | | | | in measurable terms; |
| organisations.Four periods in the development of | | | | (e) Lack of quality control; |
| modern project management.[1] Prior to 1958: Craft | | | | (f) Poor estimation of duration and cost; |
| system to human relations. During this time, the | | | | (g) Inadequate definition and acceptance of roles |
| evolution of technology, such as, automobiles and | | | | (governance); |
| telecommunications shortened the project schedule. | | | | (h) Insufficient planning and coordination of |
| For instance, automobiles allowed effective resource | | | | resources.It should be emphasised that the causes |
| allocation and mobility, whilst the telecommunication | | | | for the failure to deliver on time, on budget and to |
| system increased the speed of communication. | | | | the quality of performance expected could be |
| Furthermore, the job specification which later became | | | | addressed by the application of project management |
| the basis of developing the Work Breakdown | | | | practices. Furthermore, the failure to deliver on time, |
| Structure (WBS) was widely used and Henry Gantt | | | | on budget and to the quality of performance |
| invented the Gantt chart. Examples of projects | | | | expected does not necessarily mean that the project |
| undertaken during this period as supported by | | | | was itself a failure. At this stage what is being |
| documented evidence include: (a) Building the Pacific | | | | discussed is the effectiveness and efficiency of |
| Railroad in 1850's; (b) Construction of the Hoover | | | | project execution and not whether a project is a |
| Dam in 1931-1936, that employed approximately | | | | success or failure.Conclusion |
| 5,200 workers and is still one of the highest gravity | | | | Project management should be viewed as a tool |
| dams in the U.S. generating about four billion kilowatt | | | | that helps organisations to execute designated |
| hours a year; and (c) The Manhattan Project in | | | | projects effectively and efficiently. The use of this |
| 1942-1945 that was the pioneer research and | | | | tool does not automatically guarantee project |
| development project for producing the atomic bomb, | | | | success. (project success will be discussed in a |
| involving 125,000 workers and costing nearly $2 | | | | subsequent issue). However, in preparation for the |
| billion.[2] 1958-1979: Application of Management | | | | next issue, I would like you to think about the |
| Science. Significant technology advancement took | | | | distinction between project success and project |
| place between 1958 and 1979, such as, the first | | | | management success. This distinction will provide |
| automatic plain-paper copier by Xerox in 1959. | | | | further insight to the questions: Why are some |
| Between 1956 and 1958 several core project | | | | projects perceived as failures when they have met all |
| management tools including CPM and PERT were | | | | the traditional standards of success, namely, |
| introduced. However, this period was characterised | | | | completed on time, completed within budget, and |
| by the rapid development of computer technology. | | | | meeting all the technical specifications? Why are |
| The progression from the mainframe to the | | | | some projects perceived to be successful when they |
| mini-computer in the 1970's made computers | | | | have failed to meet two important criteria that are |
| affordable to medium size companies. In 1975, Bill | | | | traditionally associated with success, namely, not |
| Gates and Paul Allen founded Microsoft. Furthermore, | | | | completed on time and not completed within |
| the evolution of computer technology facilitated the | | | | budget?Sandro Azzopardi is a professional author |
| emergence of several project management software | | | | who writes several articles on various subjects on his |
| companies, including, Artemis (1977), Oracle (1977), | | | | web site and local newspapers and magazines. |