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Project Management Guide © For [Project Name] Document Control Document Informa

Project Management Guide © For [Project Name] Document Control Document Information © Information Document Id [Document Management System #] Document Owner [Owner Name] Issue Date [Date] Last Saved Date [Date] File Name [Name] Document History Version Issue Date Changes [1.0] [Date] [Section, Page(s) and Text Revised] Document Approvals Role Name© Signature Date Project Sponsor Project Review Group Project Manager© Quality Manager (if applicable) Procurement Manager (if applicable) Communications Manager (if applicable) Project Office Manager (if applicable) ©2003 Method123 Ltd. All rights reserved. i Table of Contents 1 INTRODUCTION....................................................................................................1 1.1 WELCOME....................................................................................................................................1 1.2 INTENDED READERS.......................................................................................................................1 1.3 WHAT IS A PROJECT?.....................................................................................................................1 1.4 WHAT IS A PROJECT MANAGEMENT?..................................................................................................2 2 OVERVIEW..........................................................................................................2 2.1 PROJECT METHODOLOGY.................................................................................................................2 2.2 APPROPRIATE PROJECTS..................................................................................................................3 2.3 PROJECT BENEFITS........................................................................................................................4 3 METHODOLOGY....................................................................................................5 3.1 INITIATION..................................................................................................................................7 3.1.1 Develop Business Case.............................................................................................................7 3.1.2 Perform Feasibility Study..........................................................................................................7 3.1.3 Establish Terms of Reference...................................................................................................7 3.1.4 Appoint Project Team..............................................................................................................8 3.1.5 Set up Project Office................................................................................................................8 3.1.6 Perform Stage-Gate.................................................................................................................8 3.2 PLANNING....................................................................................................................................9 3.2.1 Develop Project Plan................................................................................................................9 3.2.2 Develop Resource Plan.............................................................................................................9 3.2.3 Develop Financial Plan...........................................................................................................10 3.2.4 Develop Quality Plan..............................................................................................................10 3.2.5 Develop Risk Plan..................................................................................................................10 3.2.6 Develop Acceptance Plan.......................................................................................................11 3.2.7 Develop Communications Plan................................................................................................11 3.2.8 Develop Procurement Plan.....................................................................................................11 3.2.9 Contract Suppliers.................................................................................................................11 3.2.10 Perform Stage-Gate..............................................................................................................11 3.3 EXECUTION................................................................................................................................12 3.3.1 Build Deliverables..................................................................................................................12 3.3.2 Monitor and Control...............................................................................................................12 3.3.3 Perform Stage-Gate...............................................................................................................14 3.4 CLOSURE...................................................................................................................................15 3.4.1 Perform Project Closure.........................................................................................................15 3.4.2 Review Project Completion.....................................................................................................15 4 APPENDIX.........................................................................................................16 4.1 TEMPLATES................................................................................................................................16 4.2 GLOSSARY OF TERMS....................................................................................................................18 4.2.1 Summary..............................................................................................................................18 4.2.2 Acronyms..............................................................................................................................18 4.2.3 Definitions.............................................................................................................................18 ©2003 Method123 Ltd. All rights reserved. ii 1 Introduction 1.1 Welcome Welcome to the Method123 Project Management Guide. This Guide provides a practical approach to what many consider a complex process: the management of projects. This Guide is designed to simplify the management processes required to manage a project successfully from end to end. It defines Project Management in simple terms and provides you with all of the documentation tools required to make your individual project a success. The key benefit of Method123 over other methodologies is that each Project Management activity is accompanied by a complete set of project templates. Our project templates are written specifically for project management and currently provide the most thorough set of project template documentation available on the web. © 1.2 Intended Readers The Method123 Project Management Guide is primarily intended as a tool for Project Managers, Project Sponsors, Business Leaders and Team Leaders. In fact, any person who is involved with or has the responsibility for delivering a project against time, cost and quality criteria will find this methodology helpful. © 1.3 What is a Project? A project is “a unique endeavor to produce a set of deliverables within clearly specified time, cost and quality constraints”. Projects are different from standard business operational activities as they:  Are unique in nature. They do not involve repetitive processes. Every project undertaken is different from the last, whereas operational activities often involve undertaking repetitive (identical) processes  Have a defined timescale. Projects have a clearly specified start and end date within which the deliverables must be produced to meet a specified customer requirement  Have an approved budget. Projects are allocated a level of financial expenditure within which the deliverables must be produced to meet a specified customer requirement  Have limited resources. At the start of a project an agreed amount of labor, equipment and materials is allocated to the project  Involve an element of risk. Projects entail a level of uncertainty and therefore carry business risk  Achieve beneficial change. The purpose of a project, typically, is to improve an organization through the implementation of business change. © ©2003 Method123 Ltd. All rights reserved. 1 1.4 What is a Project Management? “Project Management is the skills, tools and management processes required to undertake a project successfully”. Project Management comprises:  A set of skills. Specialist knowledge, skills and experience are required to reduce the level of risk within a project and thereby enhance its likelihood of success  A suite of tools. Various types of tools are used by project managers to improve their chances of success. Examples include document templates, registers, planning software, modeling software, audit checklists and review forms  A series of processes. Various management techniques and processes are required to monitor and control time, cost, quality and scope on projects. Examples include time management, cost management, quality management, change management, risk management and issue management. © 2 Overview 2.1 Project Methodology The Method123 Project Management Methodology is a set of phases, activities, and tasks which are undertaken to complete a project successfully. Each activity is accompanied by a comprehensive set of document templates which enable the Project Manager to substantially reduce the time taken to undertake each activity and ensure that it is completed in a clear and concise manner. A set of ‘management processes’ is also provided to enable Project Managers to monitor and control the production of deliverables within a project successfully. Method123 was developed by a group of Project Managers over a number of years to increase the likelihood of their projects' achieving success. Method123 is based on the learnings of hundreds of projects, totaling hundreds of millions of dollars, and involved the implementation of a large variety of products and services within a wide spectrum of industries. “The vision of Method123 is to standardize the manner within which Project Management is undertaken around the world and, as a result, to influence every project beneficially through the provision of a standardized set of management processes and documentation.” © The Method123 philosophy is also based on the principles and techniques set out by the world-wide Project Management Institute (PMI®) as defined within A Guide to the Project Management Body of Knowledge (PMBOK® Guide). ©2003 Method123 Ltd. All rights reserved. 2 2.2 Appropriate Projects The Method123 Project Management Methodology is intended for all project sizes, types and industries. Project Size Whether embarking on a small, medium or large project, Method123 provides a standardized approach to achieving success. The entire lifecycle is applicable to projects of all sizes; however, for smaller projects it may be necessary to implement only a subset of the activities provided in the lifecycle to meet the time, cost and quality constraints of the project. © Project Type There are two classical approaches to undertaking projects: 1. The ‘waterfall’ approach involves undertaking a series of activities in a logical, sequential manner until the final deliverable set is produced 2. The ‘iterative’ approach requires the production of a number of prototypes (or deliverable iterations), until the final deliverable set is produced. Regardless of the approach undertaken, Method123 provides the processes and templates required to complete the project. © Project Industry Method123 has been written in a generic manner so as to apply to projects within any country and industry. Examples of industries/businesses/institutions/organizations/firms, etc., within which Method123 has been applied include (but are not limited to):  Banking  Building  Computer manufacturing  Distribution  Education  Engineering  Finance  Government  Law  Manufacturing  Motor Vehicle manufacturing  Retail  Tourism  Transport© ©2003 Method123 Ltd. All rights reserved. 3 2.3 Project Benefits The top 10 benefits to be gained from adopting the Method123 methodology are: 1. Reduces time because the project document templates and standards have already been created prior to the start of the project 2. Decreases cost because a clear lifecycle for initiating planning, executing and closing projects has already been identified 3. Improves quality because the processes required to monitor and control the quality of deliverables are clearly outlined 4. Reduces the impact of risks, issues and changes because there is a clear process for identifying, quantifying, approving and resolving them 5. Includes the tools, templates and methods necessary to conduct projects in accordance with company standards 6. Provides a common discipline for planning and executing projects throughout the organization 7. Promotes standard terminology that is clearly understood by project team members, thereby enhancing communication within the project 8. Clarifies roles and responsibilities for project team members and stakeholders 9. Enables more accurate forecasts of project timelines, costs and risks 10. Enhances the likelihood of success through the use of a standard, best practice, tried and proven project management methodology. © ©2003 Method123 Ltd. All rights reserved. 4 3 Methodology The following diagram outlines the Method123 Project Life-Cycle. ©2003 Method123 Ltd. All rights reserved. 5 The Project Lifecycle consists of four phases: Project Initiation The Initiation Phase is the first phase in the project. In this phase a business problem (or opportunity) is identified and a business case which provides various solution options is defined. A feasibility study is then conducted to investigate the likelihood of each solution option's addressing the business problem and a final recommended solution is put forward. Once the recommended solution is approved, a project is initiated to deliver the approved solution. A ‘Terms of Reference’ is completed, which outlines the objectives, scope and structure of the new project, and a Project Manager is appointed. The Project Manager begins recruiting a project team and establishes a Project Office environment. Approval is then sought to move into the detailed planning phase. © Project Planning Once uploads/Management/ project-management-guide.pdf