Introduction to Project

Management

International Master
in Renewable Energy REMENA
Educational Objectives

• The learner will be able to:

• 1- Define a project, a project management, project stakeholders and triple

constraints of a project,
• 2- List examples of projects,
• 3- Relate project attributes,
• 4- Explain why prpject management is important,
• 5- Discuss study cases (scope, issues, recommendations…),
What is a Project?

• A project is a set of related tasks that are

coordinated to achieve a specific objective in a
given time limit.

• A project can be known as a temporary attempt

undertaken to create an unique product or
service.
Examples of Projects

A. Designing a new Product or Service.

B. Moving from one building to another.
C. Designing and building a new Vehicle.
D. Computerizing a Manual System.
E. Building a new Road.
F. Creating a new international master.
G. Organizing a meeting.
H. Creating your startup.
I. Renovating your kitchen.
What is Project Management?

Project Management is the application of

knowledge, skills, tools and techniques to project
activities to meet project requirements.
Attributes of a Project

• A project has a unique purpose

• A project is temporary
• A project is developed using progressive elevation
• The project requires resources from various areas
(people, hardware, software)
• A project should have a primary customer or
sponsor
• A project involves Risks
Why Project Management Important?

• To avoid the over runs of the project budget

constraints
• To avoid exceeding the estimated time duration of
project
• To deliver product or service which satisfying the
stated customer and project requirement
The Triple Constraints of a Project
Every project is constraint in different ways by its
scope, time and cost goals.
Project Stakeholders

• Project manager - the individual responsible for

managing the project.
• Customer - the individual or organization who will
use the project product.
• Performing organization - the enterprise whose
employees are most directly involved in doing the
work of the project.
• Sponsor - the individual or group within the
performing organization who provides the
financial resources, in cash or in kind, for the
project.
 TRIPLE CONSTRAINTS
ON
POLYHOUSE DEVELOPMENT
PROJECT

1
1
 POLYHOUSE
● Alternate technique in agriculture which reduces
dependency on rainfall.

● Makes optimum use of land & water resources by

controlling temperature, humidity & ventilation of
air using equipments

1
3
 Our Project includes...
● Setting up a polyhouse in given area.

● Setting up the required equipments & controllers

suiting the crops to be cultivated.

● Training the farmers in using the equipments.

1
4
 TRIPLE
CONSTRAINTS
ON
OUR CASE STUDY
1
5
 TRIPLE CONSTRAINT
Every project is constrained in different ways by-

● SCOPE
● TIME
● COST

These limitations in project management are known

as triple constraint.

1
6
 SCOPE
● Development of one detached & fully controlled
polyhouse over 1 acre of land area.
● Sawtooth shaped polyhouse with nylon net walls &
polythene film roofs.
● South-north direction polyhouse.
● It will be installed with :
– Fans
– Cooling pads
– Heater systems
1
7
● Irrigation Type:
– Fogging System
– Sprinklers
● Scope limits only to
– constuction of the polyhouse
– training to use the equipments installed

1
8
 COST

● The rough estimate of the budget can be given as

follows...

1
9
 Cost of Human Resources

Working Staff Amount

Technicians 10,000

Labourers 25,000

Botanist 5,000

Architect 10,000

Agricultural Scientist 5,000

2
0
 Raw Material+Equipment Cost
Equipments/Raw Material Amount
Aluminium frames &
pipes: 40 mm diameter 40,000
25 mm diameter 25,000
UV stabilized plastic films[1000m] 50,000
UV stabilized nylon nets[2000m] 20,000
Fans[10] 1,00,000
Cooling Pads[20] 20,000
Top Vent control motor[5] 5,000
Curtain Control motor[5] 2,000
Heater System[1] 25,000
Fogging System[1] 40,000
Sprinkler System[1] 30,000
Assembly aid 20,000 10

(cement ,tools,screws,etc)
 Other development+service costs
Land development Cost 10,000

Transport 30,000

Electricity Supply 20,000

Water Supply 10,000

Service Charge 50,000

22
● Total Cost Estimate:
,,,,,,,,,,,,,,,,,,,,

23
 TIME
● Total Estimate time includes-
– Development 52 days
– Maintenance 30 days

● This time period is roughly divided as follows:

24
 Pre-development

Activity Time Required

Land Survey & discussion 1 week

with the client
Cost estimate & 0.5 week
hiring manpower
Purchasing & transporting 1 week
the material needed
+
Land Development

25
 Development
Activity Time Required
Shaping the material into 1 week
proper required
shapes & sizes
Building the base structure on the land 1 week
Fitting of the aluminium rods on the 0.5 week
base structure
Fitting of the plastic films & nylon nets 0.5 week
Constructing the entrance cabinet 0.5 week
Assembling the fogging system 0.5 week
& installation
Setting up fans ,cooling pads & heater 1 week
Setting up the motors for vent 0.5 week
& curtains 15
Laying out sprinkler system 1 week
 Post-Development

Activity Time Required

Testing all the equipments 2 days

Training 1 week

Maintenance 1 month

27
CASE SHARING:
AMEX- HUNGARY
 ABSTRACT

This case will provide a detailed analysis of the issues

Michael Thomas has confronted in AMEX’s Hungarian
venture.
AMEX launched Thomas into Hungary without any formal
training, therefore he faced a multitude of issues, including
economic, cultural, and regulatory. Also discuss how
Thomas responded to the issues, as well as
recommendations for how he should have responded.
CONTENTS

❖ Introduction
❖ Findings
❖ Recommendations
❖ Conclusion
 INTRODUCTION
AMEX Petroleum is an oil company that has established an
overseas project in the Eastern European nation of Hungary.
The scope of the project entails forming a market presence
in the country by establishing between 10 and 14 gas
stations in an unspecified time period. These gas stations
may be obtained in different ways, including the purchasing
of existing stations, building new ones, and negotiating
franchise agreements with current owners.
Michael Thomas an expatriate working for AMEX, was
promoted to project manager and has been on site in
Budapest, Hungary for four months. Although Thomas’s
primary goal is establishing the gas stations, renovating the
AMEX offices in Hungary and hiring of personnel are
secondary goals that are overall essential factors of the
international project.
 WHAT’S ISSUES?

1. Economics ： AMEX’s strategy for success in Hungary

hugely depends on the prediction that an increase in
automobile sales will take place. However, inflation has
increased in the country to thirty-two percent, causing a
general rise of prices for goods and services. A high
inflation percentage may discourage Hungarians from
purchasing high-involvement products, such as motor
vehicles.

2. High Unemployment & Low Motivation：Ever since his

arrival at AMEX Hungary, Thomas has been confronted by
employees who exhibit a lack of motivation. Due to the
high turnover rate, Thomas had difficulty delegating work
and therefore failed to complete his assignments
punctually and efficiently. The low level of motivation may
be provoked by several factors.
 WHAT’S ISSUES?
3. Cultural：Cultural differences are extremely important to
consider, for a lack of understanding of the differences
associated with culture will create enormous difficulty in
the completion of the international project. Thomas faced
occurred during his interaction with a Hungarian
businessman, Zoltán Kodaly. Different business etiquette
factors include punctuality and relationship building prior
to the discussion of business. Both of these factors were
displayed during Thomas’s interaction with Kodaly.

4, Security ： Personal and safety risks are important factors

to consider when relocating to a foreign country. It is
imperative to evaluate security risks before deciding to
pursue international projects. Expatriate Michael Thomas
came upon a potential threat four months into his
international assignment.
 RECOMMENDATIONS
1. Economics：Due to these uncontrollable forces, in order
to gain a larger market share, Thomas should focus on
capturing car- owning customers instead of hoping that
the percentage of car owners will increase. For example,
Thomas could focus on attempting to acquire existing
gas stations that reside in areas with high
concentrations of car traffic. Unless the percentage of
car owners increase, establishing a strong presence is
the country is the only approach that will ensure AMEX’s
survival.

2. High Unemployment & Low Motivation ： Thomas needs

to acknowledge that his American managerial style
might contribute to the demotivation of his employees.
In order to assure that he is performing according to
Hungarian standards, Thomas should hire a business
consultant who will teach him how to lead his Hungarian
team successfully.
RECOMMENDATIONS
3. Cultural：Cultural differences also occurred when
Thomas mentioned to Kodaly that because the
stations were over-staffed, 15 employees had to be
let go. Thomas’s alternative would be to relocate the
employees to areas of the business where they may
be needed. This act will show Kodaly that both the
welfare of the business and employees matter to him.

4. Security：Thomas should become a member of

International SOS, an organization that manages the
health and security of expatriates. Some of the
services the organization offers include a 24/7 hotline
that provides medical and security advice and
reassurance, crisis support, and emergency
evacuations. Implementing these safety precautions
will assure that the Thomas family will live safely and
comfortably in Hungary.
 CONCLUSION
The pursuit of globalization has become nothing short of a
necessity for aspiring companies to succeed. With
increased competition and government regulations,
locating and exploiting alternative competitive markets
may be the only way for a firm to generate a profit. That
being said, the pursuit of international projects presents
many challenges for both the company and its affected
employees.
In the case of AMEX Petroleum, Michael Thomas entered
Hungary without conducting any research or formal
training, as evident by the number of issues he’s facing. It
is the responsibility of both the company and the affected
parties to ensure that all members involved receive
training, especially project managers
HOW DID YOU THINK?

❖ If you were assigned as the project manager instead

of Thomas,
how would you prepare and what would you do before
you start the project ?

❖ I would take the time to study the culture and learn how
business is conducted in Hungary. I
would look into the possibility of
hiring a
local business consultant that has established ties in
Budapest, which could help me to acclimate and to move
my project forward.
HOW DID YOU THINK?

❖ How would you handle the hiring process ?

❖ The hiring process may be better handled by a

recruiting firm. Also, based on customary
business practices, I would try to
handle the process as if I were local.
HOW DID YOU THINK?

❖What is the difference working as a project

manager in Local and on an international project ?

❖ The big difference is that you are out of your

element and you need to adapt your management
style to fit the country you are working in.
It would be very difficult to succeed if you did not.
 Introduction to Project
Management
3rd meeting
Vision – SMARTObjectives
Learners will be able
to know differences between vision and objectives,
formulate SMART objectives
International Master
in Renewable Energy REMENA
 •Project Vision

Project vision is the overall grand idea of

where the team or project is going. The
statement on the other hand is sort of a tool
that allows to communicate this vision in a
clear and concise manner.
To put it simply, project vision statement is a
written down version of the project vision.
 •Vision Statement

A vision statement is an aspirational

statement made by an organization that
articulates what they would like to achieve.

Furthermore, the vision guides the direction

of the organization's efforts.
 •Examples of Vision Statement

Amazon: To be the world’s most customer-centric company

Nike: To bring inspiration and innovation to every athlete in the
world
L’Oréal: Offering all women and men worldwide the best of
cosmetics innovation in terms of quality, efficacy and safety
Disney: To make people happy
Facebook: To give people the power to share and make the world
more open and connected
McDonalds: To be the world’s best quick service restaurant
experience
 •Examples of Vision Statement

In 1960, Nike's vision statement was simple: "Crush Adidas.“

Facebook: To give people the power to share and make the

world more open and connected.

Honda in 1970: We will destroy Yamaha

 •Definition of Objectives

Project objectives are what you plan to achieve by the end of

your project. This might include deliverables and assets, or
more intangible objectives like increasing productivity or
motivation.
Your project objectives should be attainable, time-bound,
specific goals you can measure at the end of your project.
• SMART Objectives
 • Is it a SMART Objective?

To achieve a 15% net profit by 31 March',

'to generate 20% revenue from online sales before 31

December‘

to recruit three new people to the marketing team by

the beginning of January'
How can I be a good leader one day?
Facilitative
Leadership
TRAINING OBJECTIVES
➢Define Facilitative Leadership
➢Discuss how Facilitative Leaders can support your work
➢Identify how Facilitative Leaders center their efforts
➢Identify and discuss the Principles of Facilitative
Leadership
➢Exercise: Explore YOUR personal strengths as a Facilitative
Leader
➢Reflect: How can I use today’s lessons in my
work/volunteer efforts
➢Questions?
TRAINING AGREEMENTS
• Be open
• Show respect
• Listen to each other
• One person speaks at a time
• Silence Cell Phones
• Participate
• Share experiences
• Keep discussion confidential
• Give feedback in writing
 What is A Leader?

“Leadership at its core, is a very simple process of thinking well or

thinking clearly about the situation facing them”
»Sean Ruth
 LEADERSHIP STYLE

A Leadership Style refers to a leader’s way of providing direction,

implementing plans, and motivating people.

▪ Your style describes HOW you lead.

▪ There are many different
leadership styles.
▪ No one style is correct for all
situations.
✓ Know how to use the correct
leadership style for a given situation.
✓ Help individuals recognize and
maximize their full potential as team
members.
✓ Energize and engage people by helping
them create a meaningful sense of
purpose and direction in their work.
 What is
Facilitative
Leadership?
 Definitions:
• LEADER: A person who has FACILITATE: To make easy or
commanding influence possible.
(power).
 A Facilitative Leader:
Facilitative Leaders: Empower others to work together
and achieve common goals through relationships,
processes and outcomes. They make it easier for people
to:
• Think, understand, & communicate their thoughts
• Work with others and focus on group goals and
outcomes
• Speak up when there are challenges
• Make and carry out decisions
• Allow members to develop their own leadership potential
• Achieve high quality results through the group’s abilities
Leadership Is About Having A Vision
Leadership Is About Inspiring Trust
Leadership Is About Seeing Possibilities
Leadership Is About Seeking New
Strategies
Leadership Is About Quality Communication
 Key Assumptions

Because Facilitative Leaders manage relationships, processes and

outcomes. It is important that you take time to learn about yourself
so that you can best support others. For example do you understand
your:
•Natural Leadership stance
•Your innate relationship with Conflict
•Your communications strengths and challenges
•Your ability to build trust…quickly Facilitative
All of these will be tested as you practice Leadership

facilitation skills and engage others.

Group Awareness
Facilitative Leaders Focus On:

Setting
Direction

Inspiring
Commitment
Facilitative Leaders Practices:
Set
Direction

Share an
Inspiring Vision

Balance Results,
Process and
Relationships
Facilitative Leaders Practices:
Inspire
Commitment

Practice
Appropriate
Maximum
Involvement

Create Pathways
to Action

Facilitate
Agreement
Facilitative Leaders Practices:
Build
Capacity

Coach Others for

Success

Celebrate
Accomplishment
Setting The Stage for Great Facilitative
Leadership
 IMPROVE LISTENING SKILLS

1) Choose to listen
2) Be an effective listener
3) Don’t interrupt unless necessary
4) Listening requires focus. You are
paying attention to the story, how it
is told, use of language and voice,
body language
5) Summarize to verify mutual
understanding, even where there is
disagreement
6) Don’t impose your solutions, you can
ask if they are interested.
 **Listening Activity**

❑Facts - A true statement that can be proven with evidence. It

can be verified.

❑Feelings – Listen for the emotions you hear

❑Values – What core principles or underlying personal driving

forces do you hear behind the feelings

Adapted from University of Minnesota Extension. NELD North Central 2014 Chicago Workbook. Created by Jody
Horntvedt and Toby Spanier
 Encouraging Dialogue vs. Controlling the
Conversation

CONTROL DIALOGUE
•Encourages CONFLICT •Encourages
RESOLUTION
 Supporting DIALOGUE
• Ask open ended questions that encourage broad thinking
and participation
• Use close-ended questions for details
• Listen actively
• Don’t evaluate
• Be comfortable with silence
• Be observant of body language
• Seek to understand, identify information to resolve conflict
• Offer genuine support
 PRACTICE EMPATHY
• Recognize emotions in others
• Have Fundamental “people skills”
• Have awareness of others’ needs/wants
• Consider others’ feelings as factors in
decision making
• Attempt to put yourself in someone else’s
shoes to feel & understand the person’s
perspective
 PRACTICE ACCEPTANCE
ACCEPTANCE IS SIMPLY NON-JUDGMENTAL
UNDERSTANDING

…NOT AGREEMENT, sanction, compliance,

sympathy, encouraging, and the like

…is simply seeing something the way it is and

saying, “That’s the way it is.”
 Introduction to Project
Management
4th meeting

Project Management Life Cycle

International Master
in Renewable Energy REMENA
 Let’s review the last meeting

AMEX- Hungary Case

Issues Michael Thomas has confronted
Types of issues
Recommendations
Inflation
Turnover
Etiquette
globalization
What’s a Project Management Life Cycle

The project management life cycle is a

series of activities that are necessary
to fulfill project goals or objectives.
These activities may go by different
names, depending on the
methodology, but tend to be similar in
nature.
What’s a Project Management Life Cycle

A project management life cycle is a

framework (System) comprising a set
of distinct high-level stages required
to transform an idea of concept into
reality in an orderly and efficient
manner.
Project Management Life Cycle
Note:
Some methodologies also include
a fifth phase—controlling or monitoring
but for our purposes, this phase is
covered under the execution and
closure phases.
Project Management Life Cycle

Initiation Phase
Steps for the project initiation phase
may include the followings

Undertaking a feasibility study,

Identiying scope,
Identifying deliverables
Identifying project stakeholders (4)
Developing a business case
Developing a statement of work
 •What is a feasibility study?

A feasibility study is an assessment of the

practicality of a proposed plan or method.
Just as the name implies, the study answers the
question
« Is this project feasible?»
Is it viable, realistic?
 •5 types of feasibility studies

1- Economic Feasibility: Will your project be profitable?

With an economic feasibility study, you run a cost-benefit
analysis to determine how much value the project will
bring to the business.

2- Technical Feasibility: This broad concept can be applied

to many types of projects, from software development to
construction. Validate the technical resources and
capabilities needed to convert the ideas into a working
project or system.
 •5 types of feasibility studies

3- Operational feasibility: This type of analysis helps you

understand how well the proposed project will address the
problem, it’s a measure of how well a proposed system
solves the problems and takes advantages of the
opportunities and satisfies the requirements
4- Schedule Feasibility: Time is money. It’s the time
visibility. Good evaluation at this step can also help you
avoid unpredictable or extra costs.
5- Legal feasibility: To help you understand if your
proposed plan conforms to legal and ethical requirements.
It may include zoning laws, data protection acts or privacy
laws.
 •Steps to conduct a feasibility study

1- Analyze the problem,

2- Evaluate the budget,
3- Do your reasearch,
4- Make a plan: A Work Breakdown Structure (WBS), which
breaks down projects into smaller, more manageable
pieces that you can reasonably evaluate and assign to
teams, can be used to build this plan,
5- Make a balance sheet,
6- Check your data,
7- Decide what’s next
• The Wbs is a deliverable oriented hierarchical decomposition of the
work,
 •Identifying Scope

Define the depth and breadth of the project.

Project scope is a detailed outline of all aspects of a

project, including all related activities, resources,
timelines, and deliverables, as well as the project’s
boundaries. A project scope also outlines key
stakeholders, processes, assumptions, and
constraints, as well as what the project is about,
what is included, and what isn’t. All of this essential
information is documented in a scope statement.
 •Project Scope Management Process

1- Plan Scope Management: You define how you

will define, manage, validate and control the scope
of the project.
2- Collect all requirements: Business requirements,
Stakeholders requirements, Quality requirements,
Product requirements ; you can use documentation
like project charter or business case to gather the
necessary informations.
3-Define exactly the scope and create WBS
4- Control Scope/ Avoid scope creep
 •What’s Scope creep?

Scope creep in project management refers to

changes, continuous or uncontrolled growth in a
project's scope, at any point after the project
begins.

The definition of scope creep is when a project’s

scope changes, the project work starts to extend, or
“creep”, beyond what was originally agreed.
 •What causes scope creep?

1- A documented Statement of Work that is vague and

undefined.
2- Undocumented conversations and agreements directly
between the client and team members.
3- Attempting to add additional uncontrolled changes that
haven’t been approved.
4- Poor communication between team members, team
leaders/project managers, clients, and stakeholders.
5- frames and deadlines that are impossible to achieve.
6- A change control process that isn’t flexible, or doesn’t
exist at all.
7- Lack of a project scope statement.
 •Identifying project stakeholders

Identify what their needs may be, keep them

informed and updated on new and in-progress
projects…
Identify their power, interest…..
•Make your documents complete and updated

Business case,
Statement of work: agreement between the
project owner and those working on the project.
Project Management Life Cycle

Planning Phase
Steps for the project planning phase
may include the followings

Creating Project Plan,

Creating workflow diagrams,
Estimating Budget,
Gathering resources
Anticipating Risks,
Project kickoff meeting.
 •Steps to create a realistic project plan

1-Collect requirements from key stakeholders,

2- Define the scope of the project,
3- Create a WBS,
4- Define project activities,
5- Sequence project activities,
6- Estimate activity duration, costs and resources,
7- Assign resources to work packages and activities
according skills and interests,
8- Build in contingencies,
9- Create a performance measurement baseline,
10- Develop all subsidiary plans,
11- Document everything,
12- Build a knowledge base.
 •Be careful!!!
•Project documentation is so important

Implementing a project documentation strategy for your

project will:
1- Create more visibility, meaning you can immediately see
which tasks needs to be done, when and by whom.
2- Ensure that the project requirements are
fulfilled,meaning you can easily track whether your project
is heading in the right direction, as the documentation will
help you to define its requirements, while working on the
project.
3- Gives a clear overview of the project at any time, because
documentation keeps project constantly up-to-date.
Stakeholders are always aware of the project’s current
status.
 •Be careful!!!
•Project documentation is so important
Implementing a project documentation strategy for your
project will:
4- Makes you enable to manage risks and issues. You will be
well-equipped and you can take the necessary actions
immediately,
5- Makes the project traceable, meaning at the end of the
project, the project manager can evaluate what worked
well, and what aspects need improvement.

As we mentionned earlier, the project documentation gives

you a through, complete knowledge of the roles ,
deadlines, responsabilities, mistakes, lessons for the
future….
 •Examples
•Of Project Documentation
1- Project Business Case
2- Project Charter
3- WBS,
4- Business Requirements Document,
5- Summary of risks,
6- Project Communication Plan,
7- Lessons learned Register,
8- Statement of work,
9- Description of customer requirements.
 •Creating a workflows diagrams

Visualize your processes using swimlanes to make

sure team members clearly understand their role
in a project.
 •Estimating Budget
•and creating a financial plan

Use cost estimates to determine how much to

spend on the project to get the maximum return
on investment. ROI
 •Gathering Resources

Build your functional team from internal and

external talent pools while making sure everyone
has the necessary tools (software, hardware, etc.)
to complete their tasks.
 •Anticipating risks
•and potential quality roadblocks

Identify processes and situations that may cause harm,

particulary to people,
Determine how likely it is that hazard will occur and how
severe the consequences would be,
decide what steps the organization can take to stop these
hazards from occuring or to control the risk.

A hazard is anything that can cause harm, including work

accidents, emergency situations, toxic chemicals, employee
stress or conflict.
A risk is the chance that a hazard will cause harm.
 •Hazard and Risk

A hazard is something that can cause harm,

e.g. electricity, chemicals, working up a
ladder, noise, a keyboard, a bully at work,
stress, etc. ... For example, working alone
away from your office can be a hazard. The
risk of personal danger may be high.
Electric cabling is a hazard.
 •Project Kickoff Meeting

Bring your team on board and outline the

project so they can quickly get to work,
Project Management Life Cycle

Execution Phase
You’ve received business approval,
developed a plan, and built your team.
Now it’s time to get to work. The
execution phase turns your plan into
action. The project manager’s job in
this phase of the project management
life cycle is to keep work on track,
organize team members, manage
timelines, and make sure the work is
done according to the original plan.
Project Management Life Cycle

Execution Phase
Steps for the project execution phase may include the
following:
Creating tasks and organizing workflows: Assign granular
aspects of the projects to the appropriate team members,
making sure team members are not overworked
Briefing team members on tasks: Explain tasks to team
members, providing necessary guidance on how they should
be completed, and organizing process-related training if
necessary
Communicating with team members, clients, and upper
management: Provide updates to project stakeholders at all
levels
Project Management Life Cycle

Execution Phase
Monitoring quality of work: Ensure that team members are
meeting their time and quality goals for tasks

Managing budget: Monitor spending and keeping the project

on track in terms of assets and resources

If you have a properly documented process already in place,

executing the project will be much easier. (GANTT
Diagramm)

Communication is so important in this phase

Project Management Life Cycle

Closure
Once your team has completed work on a project,
you enter the closure phase. In the closure phase,
you provide final deliverables, release project
resources, and determine the success of the project.
Just because the major project work is over, that
doesn’t mean the project manager’s job is done—
there are still important things to do, including
evaluating what did and did not work with the
project.
Project Management Life Cycle

Closure
Steps for the project closure phase may include the
following:
Analyzing project performance: Determine whether the
project's goals were met (tasks completed, on time and on
budget) and the initial problem solved using a prepared
checklist.
Analyzing team performance: Evaluate how team members
performed, including whether they met their goals along with
timeliness and quality of work
Documenting project closure: Make sure that all aspects of
the project are completed with no loose ends remaining and
providing reports to key stakeholders
Project Management Life Cycle

Closure
Steps for the project closure phase may include the
following:
Conducting post-implementation reviews: Conduct a final
analysis of the project, taking into account lessons learned for
similar projects in the future
Accounting for used and unused budget: Allocate remaining
resources for future projects

By remaining on task even though the project’s work is

completed, you will be prepared to take everything you’ve
learned and implement it for your next project.
Project Management Life Cycle

Closure
The project closure report is the final project management
deliverable for a project and is used for senior management
to assess the success of the project.
• Let’s review the main concepts of last meetings

1- Definition of project / Examples

2- Definition of project management
3- Attributes of a project
4- Why project management is important
5- Project Stakeholders
6- Triple constraints of a project
7- Project stakeholders
8- Case Sharing: Amex – Hungary, Example of real
scope/ Examples of issues/ Motivation/ Turover/
inflation/ globalization/Etiquette/ hiring process
• Let’s review the main concepts of last meetings

9- How can you be a good leader one day?

10- SMART Objectives
11- Definition of Project Management life cycle
12- 4 or 5 phases in PM life cycle
13- Feasibility study
14- 5 types of feasibility study
15- WBS
16- Project Charter
17- Business Case
18- Avoid Scope creep
19- Documents
 The 5th Meeting

The 10 Project Management

Knowledge Areas
(PMBOK)
•What is PMBOK in Project Management?

PMBOK stands for Project Management Body of

Knowledge. It is a set of standard terminology and
guidelines for project management published and
updated by The Project Management Institute
(PMI).
•What is PMBOK in Project Management?

PMBOK is a book (about 600 pages) :

-Represents good practice for most projects most of
the time,
-Consensus-based and research-informed,
-Created to help you tailor and select what you
need for your project,
-Contains 10 Knowledge Areas – what you need to
know, understand and practice,
- Available in English and 11 additional languages.
•What are the 10 Knowledge areas in PM?

PMI has divided the large field of project

management into 10 more digestible parts, which it
calls the 10 project management knowledge areas in
its A Guide to the Project Management Body of
Knowledge (PMBOK).
Project management knowledge areas coincide
with the process groups, which are project
initiation, project planning, project execution,
monitoring and controlling, and project closing.
These are the chronological phases that every
project goes through.
•What are the 10 Knowledge areas in PM?

Project Integration Management

Project Scope Management
Project Schedule Management
Project Cost Management
Project Quality Management
Project Resource Management
Project Communications Management
Project Risk Management
Project Procurement Management
Project Stakeholders Management
 •Areas and Processes in PM

The PMI framework of project management

consists of 49 processes which are categorized in
10 knowledge areas as set out in the Project
Management Body of Knowledge (PMBOK®,
6th edition).

This is based on the philosophy

that project management consists of a one-off
and recurring processes for which the PMBOK
describes common good practices.
Project Management Processes

We can describe each process by:

1. Inputs
2. Tools and Techniques
3. Outputs
Industrial
Marketing
 What is Marketing (in general)

Marketing refers to activities a company undertakes

to promote the selling of a product or service.
Marketing includes advertising, selling, and delivering
products to consumers or other businesses.

Examples of products:………………
Examples of Services:………………
 Types of advertising

• Print Advertising: Newspaper, magazines, &

brochure advertisements, etc.

• Broadcast Advertising: Television and radio advertisements.

• Outdoor Advertising: Hoardings, banners, flags, wraps, etc.

• Digital Advertising: Advertisements displayed over the

internet and digital devices.
Examples of advertisement
Examples of advertisement
Examples of advertisement
Examples of advertisement
Examples of advertisement
 What is Marketing

 Marketing is the science and art of

identifying, creating, and delivering value
to satisfy the needs of a target market at
a
profit. Marketing identifies unfulfilled
needs and desires. It pinpoints which
segments the company is capable of
serving best and it designs and promotes
the appropriate products and services
Marketing
 Marketing is often performed by a
department within the organization. This is
both good and bad. It’s good because it
unites a group of trained people who focus
on the marketing task. It’s bad because
marketing activities should not be carried
out in a single department but they should
be manifest in all the activities of the
organization.
 Marketing : another definition

Marketing is the management process that identifies,

anticipates and satisfies customer or business
requirements profitably
To anticipate/ to expect/ to predict
I: Polyster
Nike: purchase polyster to make shoes
Why Marketing is important?

1. Marketing Is an Effective Way of Engaging Customers:

• It’s important for your business to engage its customers. Marketing is a tool
to keep the conversation going.

• Engaging customers is different from pushing your offers. Engaging involves

furnishing your customers with relevant information about your products
and your business as well. It’s all about creating fresh content.

• Tell your customers what they don’t know. Let it be interesting and worth
their time.
Why Marketing is important?

• 2. Marketing Helps to Build and Maintain the Company’s Reputation

• The growth and life span of your business is positively correlated to

your business’s reputation.

• The customers become proud to be associated with your products.

Why Marketing is important?

3. Marketing Helps to Build a Relationship Between a Business and Its

Customers

• Businesses need to build a relationship of trust and understanding with their

customers. How does marketing establish this relationship?

• Marketing research segments should be based on demographics,

psychographics, and consumer behavior.

• Segmentation helps the business meet the needs of its customers hence
gaining their trust. The product team ensures the business delivers what’s
promised at the right time. This makes the customers brand loyal.
Why Marketing is important?

• 4. Marketing Is a Communication Channel Used to Inform

Customers

• Marketing informs your customers about the products or services

you’re offering them.

• Through marketing, the customers get to know about the value of

the products, their usage and additional info that might be helpful to
the customers. It creates brand awareness and makes the business
stand out.
Why Marketing is important?

• 5. Marketing Helps to Boosts Sales

• Marketing utilizes different ways to promote your products or

services. Once a product has been advertised, it’s already on the
radar and this increases your chances of selling it.

• When customers are happy about your products or services, they

become your brand ambassadors without your knowledge. They will
spread the word and your sales will start to increase.
Why Marketing is important?

• 6.Marketing Helps the Management Team to Make Informed

Decisions

• Every business is confronted with problems such as to what, when,

for whom and how much to produce. A complex and tedious process
determine your business’s survival. As a result, businesses heavily
rely on marketing mechanisms to make these decisions.
 Industrial marketing
 The basic concept of marketing remain the same for
both the consumer marketing and industrial
marketing. However there are differences between
consumer markets and industrial markets.
What is Industrial Marketing

 Industrial marketing is also referred to as

business to business (B2B) marketing or
business marketing or organizational
marketing. Industrial marketing is the
marketing of products and services to
business organizations. Business
organizations include manufacturing
companies, educational institutions,
hospital, distributors and dealers.
 Let’s be more clear

Industrial marketing happens when one

business tries to sell industrial products or
services to another business.

For clarity, an industrial product or service

is anything that helps produce an end
product from raw materials.
 Examples of raw materials
and end products
Cars (end product) are made of a wide variety of materials, such
as steel, aluminum, copper, glass, rubber, and special fibers.

First, a raw material production company takes individual raw

materials and turns them into materials that can be used to make car
parts, and delivers them to parts production companies or to Toyota.
 Examples of raw materials
and end products
The supply chain begins with the procurement of raw materials, which
in the case of Coca-Cola also includes agricultural products (e.g. sugar
cane or fruit) and water.
 Examples of raw materials
and end products
Nike uses six raw materials for its footwear manufacturing:
Polyester,
Rubber,
EVA foam,
Cotton,
Synthetic Leather,
and Leather
 Classification
Of Industrial Product
Industrial products and services are classified into three broad groups.

(1) Material andParts

These goods enter the product directly

 Raw Material ( Basic Products like iron ore, crude oil, fruits, vegetables )

 Manufactured Items ( Acids ,fuel oil, steel, chemicals)

 Components Parts ( semi finished parts like bearings ,TV Tubes , small
motors , tyres)

 Subassemblies ( semi finished goods like exhaust pipe in motorcycle)

 (2) Capital Items
A capital good is a durable good (is a good that does not quickly
wear out) that is used in production of goods or services. These
goods are used in production process.

 Light equipment or accessories ( Hand tools, computer

terminals.)

 Installations or heavy equipment's ( machines , turbines)

 Plant and building ( Offices ,plants, warehouses, parking lots ,

housing, which are real estate property)
 (3) Supplies and Services
These goods /services support the operations

 Supplies – These are operating maintenance

supplies like fuels , packaging materials, lubricants,
paints, electrical items

 Services – Companies need a wide range of services

like Legal ,auditing, advertising, courier, marketing
research agency
Difference between Industrial Marketing
& Consumer Market
Sr. Areas Industrial Consumer market
No Marketing

1 Market Characteristics Geographically Geographically disbursed

concentrated
Mass market
Relatively fewer buyer
buyers

2 Product Characteristics Technical complexity Standardized

Customized
3 Service Characteristics Service, timely Service, timely delivered &
delivered & availability availability somewhat
very important important
Raw Mat: water, sugar
 Difference between Industrial
Marketing & Consumer Market
Sr. Areas Industrial Marketing Consumer market
No

4 Buyer Involvement of various Involvement of family

Behaviour functional areas in both members
buyer & supplier firms
Purchase decisions are
Purchase decisions are mostly made on
mainly made on physiological/social/
rational/performance physiological needs
basis
Less technical expertise
Technical expertise
Non-personal relationship
 Difference between Industrial
Marketing & Consumer Market
Sr. Areas Industrial Consumer market
No Marketing

5 Channel Characteristics More direct Indirect

Fewer Multiple layers of

intermediaries/middlem intermediaries
en
6 Promotional Emphasis on personal Emphasis on
Characteristics selling Advertising

7 Price Characteristics Competitive bidding & List prices or maximum

negotiated prices retail price (MRP)

List prices for standard

products
 Characteristics of Industrial Market
Customers
 Industrial Market customers comprise commercial
enterprises, institutions and governments.
HCL Computers customers can be Air India, Delhi
University and State Governments
 A single purchase by an industrial customer may be
far larger than individual customers.
An individual may purchase one unit of Microsoft
software or an upgrade but Citibank may buy 1000
 Characteristics of Industrial Market
Customers

 The demand for industrial products is derived from the

ultimate demand for consumer products.
Increase in demand for housing will stimulate demand for
wood for making furniture and numerous other related
products.

 Relationships between industrial marketers tend to be close

and enduring.
(HCL Computers relationship with some key customers spans
decades
 Characteristics of Industrial Market
Customers

 Buying decisions by industrial customers often

involve multiple buying influences rather than a
single decision maker.
A textile producer will evaluate various textile
machinery companies before buying from any
particular company. Purchasing, engineering,
material management and other division members
may be involved in this purchase
 Industrial Customers

1. Commercial Enterprises
2. Government Organisations
3. Institutions
 FEATURES
&
IMPORTANCE OFINDUSTRIAL
MARKETING
 FEATURES OF INDUSTRIAL MARKETING

 FEWER; BUT LARGER MARKET:

Business buyers will be very less as compared to
consumer buyers; but they purchase in bulk or more
quantities.
 CLOSE RELATIONS:
Relation between seller and buyer have to be kept
very close and professional. Because once the
relations are build; can’t be changed easily as it
reflects huge profit.
 COMPLEX BUYING PROCESS:
Very complex procedure is adopted by business
buyers; because before purchasing, the approval is
required from different officials and authorities.

 CONTINUOUS SALES CALLS:

To finalize the deal, it requires constant follow-ups
and continuous sales calls.
 EXPERTISE SELLING SKILLS:
Sharp selling skill is required to sell the product to
industrial buyers. As they are purchasing in bulk,
they will not be easily convinced. Deep product
knowledge is required.
 INFLUENCES:
To finalize the product, different authorities and
officials will interfere and influence the decision to
purchase the product.
 IMPORTANCE OF INDUSTRIAL
MARKETING
 MAJOR SHARE OF REVENUE:
Major share of revenue is generated by selling the
product to business buyers as they purchase in bulk
therefore it is important to take care of business
deals.
 LESS EXPENDITURE:
as the business buyer are very few, no much
expenditure is required to reach and to contact them.
 LESS PROMOTIONAL EFFORTS:
Free gifts, demonstration etc is not required; because
the product is not to be shown to mass audience.
 PERMANENT CUSTOMERS:
Once the relations are built, business buyers will
purchase the products for longer period of time.
Therefore the future is secured if existing buyers are
satisfied properly.
INDUSTRIAL
BUYING
BEHAVIOUR
INDUSTRIAL BUYING BEHAVIOUR

Meaning:

Industrial buying behavior refers to the study

of the motives and actions of, and influences upon,
industrial buyers while engaged in the purchasing of
goods and services
 Factors Influencing
Buying Behaviors
There are number of external and internal factors that directly or
indirectly effect organizational buying behavior. Economic factors are
considered very important role in buying. Other factors are political
influencers that are dominant. Organizational buying is also situational
and situations play an important role. Most thinkers feel that these
influencers can be grouped under four major headings.
External Environmental Factors

Under this heading we have social,political,legal,cultural,economic

factors that interact with each other, for example they could be power
shortages, credit squeezes, political and economic changes, which govern
many of the rules regulations. The shortage of raw materials leads excessive
tariffs and taxes for a particular item. These affect the buyer behavior and the
industry has to adapt itself to these changes.
Organizational Factors
 An organization is purposefully created and deliberately structured to
attain specific objectives. These objectives and polices differ in every
organization. Every organization had a climate and culture of its own.
The organization is interested in selling its products to the industries
that have a “buying center” or, a group of people who have the
authority to buy. The marketer of industrial products thus wants to
know who constitutes this “power center”,
Interpersonal Factors

The buying center consists of a number of persons who are involved in

buying. It is an inter Personal activity. Those people come from various levels
of the organization . They have different backgrounds, different expiries,
different values and considerations. They play different roles and make the
buying more complex. In some cases this leads to a conflict, which has to be
solved, and uniformity and harmony is made to prevail between members
involved in buying.
IndividualFactors
The buying center consists of individual factors such as, income,
education, job, position and risk taking.
PARTICIPANTS IN BUYING
PROCESS
Buyer

 Formal authority to sign contracts

 Member of purchasing department

 Influences the vendor selection

 Not in technical details

 Main criteria: price + terms and conditions of the
contract
User

 Person working with the product

 Interested in benefits and unobstructed function of

the product to buy

 Large knowhow and preconceived opinion

Influencer
 A person with high technical knowledge and
practical experience

→ definition of minimum requirements on

technical or company standards
Gatekeeper
 Controls the flow of information within the buying center
 Assistant of decision maker
 Influence by preparing the decision and the relevant
documents
Decider

 Right to say yes or no

 Mightiest person

Rajnish Kumar
Accman Institute of management
PGDM-MKT (2011-13)
Initiator
 Person who brings new ideas and solutions into
the company

Rajnish Kumar
Accman Institute of management
PGDM-MKT (2011-13)
BUYING
SITUATIONS
 BUYING SITUATIONS
The business buyer faces many decisions in making a purchase. The
number depends on the buying situations.

➢ Complexity of the problem being solved.

➢ Newness of the buying requirement.

➢ Number of people involved

➢ Time Required
 Buying phases
 Problem recognition

 General need description

 Product specification

 Supplier search

 Proposal solicitation

 Supplier selection

 Order routine specification

 Performance review