businiess Flashcards
(31 cards)
what is a project
“A project is a temporary organisation that is created for the purpose of delivering one or
more business products according to an agreed business case”
Main features of a project
Finite duration Specific deliverable's or products Defined scope Unique and one-off Uncertain and risky Multi-disciplined Cross functional / cross enterprise Complex relationships
define runner in terms of spectrum of projects
delivery process the same with new end produc
what is Drill for oil; open new Tesco; financial audit; type of project
runner
define repeaters in terms of spectrum of projects
like the last job but with these differences
what is Mergers and acquisitions; mountain rescue type of project
repeaters
Strangers
highly bespoke
examples of strangers
Management consultancy;
R&D, product development,
process change, major
disaster relief
What is a business case
Documentation of the justification of a project, owned by the Project
Executive/Sponsor on the Project Board
examples of juistifactions
Usually quantified in financial terms, e.g. revenues/market share, cost/efficiency
savings, regulatory requirement
what is the role of the senior user on the board
Often only realised after project is completed – responsibility for ensuring they
happen usually rests with the Senior User on the Project Board
what is net present value
Net present value (NPV)= value of all free cash flow from operation, current and future, discounted to reflect the risk of those earnings
what is FCF
FCF is cash available to the
providers of capital to the
business: debt holders and
equity holders
what is the role of project board
Accountable for the success and realisation of benefits.
Approve plans/resources; Monitoring/Assurance; Direction
Need: Authority/Credibility/Ability to delegate/Available
what is role of manager
Responsible for day to day management within
constraints set by Project Board.
Managing NOT doing
role of Team/Stream
Leader
Responsible for the work packages and
deliverables: cost/time/quality
features of communication
• Project managers spend most of their time communicating
• Internally at all levels and externally
• Creates the bridge between diverse stakeholders
• Different cultures, expertise, perspectives and interests
• Misunderstandings and lack of information are a key reason for
project failures
Featutes of managing by stages
Plan, monitor and control on a stage by stage basis
• Stage gates allow formal review of activities and deliverables to decide whether to proceed to the next stage – continued justification
why is the initiation phase important
. Where the project is defined and planned
• Where most of the decision that affect costs and
benefits are made
• Where revision to decision are most easily made
as little is committed at this stage
what is the project brief
Summaries what the project is
What it will deliver – the scope
Why it is desirable – the high level business case
How the project will work – the plan for the plan
Who is going to do it - Sponsor and project management team
When - The top level project stage schedule
What can go wrong – key risks
It is owened by the sponser
What are the features of Focus on products
❑ Focus on Products, or deliverables In contrast to focus on activities or work
❑ Clients want outputs NOT activity
❑ Client knows what they are going to get
❑ Scope is as clear as can make it -What is in and what is out
❑ What it will do and the quality expectations
❑ Gets user buy-in
❑ Interfaces are made clear
what is bottom up costing estimation approach
❑ Use the financial model to create detail of cost items
❑ Can go to high level of detail
❑ Build in sensitivity modelling
what is Analogous estimating
estimating In proportion to similar project
examples of parametic estimating
Parametric
❑ Lines of code per day
❑ Metres of road per day
❑ Miles of tunnel per day