MBA 565 PROJECT
MANAGEMNET
INTEGERATION
AND COMPARISON OF THE PMBOK PROCESS BASED APPROACH WITH DIFFERENT APPROACHES
SECTION: F11070
INSTRUCTOR: Dr.
Frank “Fenix” Theuerkon
SUBMITTED
BY:
(567689781)
This report is
submitted in partial fulfillment of the requirements of the course Project
Management MBA 565.
Faculty Of
Management
Vancouver Island
University
Nanaimo, BC,
Canada
(Submitted on
June 1, 2012)
I have read the
Student Academic Code of Conduct and this Assignment complies with the Code.
TABLE
OF CONTENTS: -
1. Introduction…………………………………………………………3
2. Integration
of the PMBOK Process Based Approach
Integration with
ISO.........................................................................4
Integration with
Total Cost Management……………………….....6
3. Comparison
of Project Management Process based approach with
Lean
Management………………………………………………......8
Extreme
Management……………………………………….............9
4. Conclusion …………………………………………………………11
INTRODUCTION: -
The
industrial revolution is building up lot of challenges for the different
organizations to compete with the others. In this competitive environment the
proper management procedures are necessary to be followed. In the past few
years the Project Management has become the basic approach for the business
world to achieve success. The wide range of companies undertakes their work as
project and gain step by step profit. The PMBOK Guide (2008) and Kerzner, H
(2009) explains the project is defined as set of activities and tasks, which
need to be accomplished to achieve the required objectives in respect to
specific start and end dates. For the completion of the project the specific
resources need to be defined like financial resources, human resources and
equipment (Kerzner, H 2009). The PMBOK Gude (2008) describes about the
Project Management consists of five process groups, which are Initiation,
Planning, Execution, and Monitoring & Control and finally closure. By
integrating the project management with other approaches ISO and Total Cost
Management the organizations will gain the competitive advantage. The
comparison between the Project management and the Lean management and Extreme
management will also help the organizations to improve their processes.
INTERGERATION: -
Integration of PMBOK Process based approach with
ISO: -
The
PMBOK explain the concepts, which are mostly followed by most of the organizations
in managing the different types of projects (Stanleigh, M 2004). The main
objective of the PMBOK is to provide the common platform to the managers in
respect to the project management (Stanleigh, M 2004). The ISO 10006 and PMBOK
both states that project is a criteria to be followed to achieve unique product
and service and it should have the specific start and end date (Stanleigh, M
2004). The ISO 10006:2003 delivers the information regarding the quality
guidelines for the various processes in the project management. ISO 10006 guide
the project managers to sustain the process and product quality at the
different stages of the project (Stanleigh, M 2004). The implementation of ISO
standards is practiced at the different countries and at the different organizations
all over the world (Al-Rawahi, A, & Bashir, H 2011). The ISO 10006 adopts
the systematic approach, which means to understand the needs and interests of
the customers and stakeholders and accordingly apply the quality policies and
procedures for the different projects (Stanleigh, M 2004). The PMBOK guide
(2008) also states that the project management in the group of activities which
are performed by using the knowledge, skills and specific tools and techniques
to fulfill the needs of the stakeholders and the customers (Meier,
R 2008).
For
evaluating the quality of the different projects the PMBOK and ISO have stated
that specific type of quality policies and standards should be constructed
(Stanleigh, M 2004). This will result in the managing the project according to
the quality standards, which have been established to achieve the overall
success in the project (Stanleigh, M 2004). The PMBOK consists of the whole
section explains about the quality management of the project which is gives the
proper instructions for managing the quality of the projects at different
levels (Stanleigh, M 2004). The PMBOK and ISO clearly describe the significance
of consumers and to understand their necessities and manage the project
accordingly (Stanleigh, M 2004). The ISO stresses on the facts that projects
should be strategically arranged in order to prevent the failure of the project
and higher authorities should approve the project for its proper completion
(Stanleigh, M 2004). The ISO 10006 focuses on the requirement of continuously
making improvements in the project at all different levels and PMBOK also
concentrate on the same concept in the close out project evaluation (Stanleigh,
M 2004). The integration of the processes of project management with the
quality tools will ensure the success of every project at all levels (Meier,
R 2008). The practices of the combination of PMBOK process based approach with
quality tools will also reduce the failure of the project (Meier, R 2008). The
ISO 2007 has already launched ISO 21500 the international standard for the
project management, which will apply to all organizations and sectors
irrespective to their size and is developed for the new generation of the
project management.
Source 2nd International Conference On
Contruction
Integration of PMBOK Process based approach with
Total Cost Management: -
The AACE International defines the Total
Cost Management as applying the professional and technical expertise in the
management and planning of resources, costs, profitability and risks. If
interpreted simply it is the systematic approach of management of cost at all
the different stages of the project and the cost management is achieved through
cost management principles, latest technology and proven methodologies (Hollmann.
J, & Querns, W 2003). The PMBOK guide 2008 states that the project cost
management includes the three major processes estimating budgeting and
controlling the financial resources so that the project can be completed in the
requires budget. The TCM is the process, which connects itself, totally to the
project management process based approach (Hollmann. J, & Querns, W 2003). The
project control in TCM is the cycle which goes continuously and which manages
the assets the of the project strategically and in the project management
processes the project control is managing the quantitative resources (Hollmann.
J, & Querns, W 2003). In the TCM the investing money is the analyzing process,
which considers the different alternatives like how, when and this criteria is
also followed by the project management processes (Hollmann. J, & Querns, W
2003). The project management has the three pillars, which are cost, schedule
and quality, so the decision makers should take the decisions following the criteria,
which involves everything (Hollmann. J, & Querns, W 2003). Many of the
decision makers follow the monetary equivalents approach that means grouping
quality and schedule in terms of cost (Hollmann.
J, & Querns, W 2003). The project control staff and financial advisors will
always be involved with the changing and improving the accounting systems to
control the cost. The proper management of the project is important and also to
keep track on how efficiently the project is achieving its objectives and what
factors which are contributing to the success and failure of the project (Hollmann.
J, & Querns, W 2003). The integration of the PMBOK process based approach
and TCM will be determined by developing the schedule and the scheduling
process will be related to the cost estimating and resource planning (Hollmann.
J, & Querns, W 2003). The process of TCM considers the people and managing
their performance in relation to the cost and in the project management
processes the leadership plays important role in improving the performance of
the individuals (Hollmann. J, & Querns, W 2003).
Source (Hollmann. J, & Querns, W 2003).
COMPARISON: -
Lean Management v/s Project Management
According
to the John Krakicik lean production refers to the usage of fewer of resources
in comparison to the mass production. The usage of all resources but in half
capacity like tools, equipment’s, manufacturing and labor (Aziz, B . 2011).
While producing the greater and ever producing variety of products. The organizations
which follow the lean concept first they focus on the elimination of waste and
to concentrate on the continuous improvement of product and processes for the
satisfaction of the customers
(Aziz,
B . 2011). The organizations also try to produce the products, which are defect
free to control waste. The lean organizations try to incorporate
multifunctional teams which can perform distinctive tasks which includes
regulating, organizing, controlling and improving the work (Aziz, B . 2011).
The
lean organization follow the decentralized responsibilities which means that
they don’t follow the supervisory system (Aziz, B . 2011). The lean
organization also follows the vertical informational system, which helps the
multifunctional team to achieve the organizational goals (Aziz, B . 2011).
The
lean thinking works on the five principles specifying value, identify the value
stream, flow, pull, perfection (Aziz, B . 2011).
The project
management refers to the planning, organizing, directing and controlling of
organization resources with the perspective to achieve the goals and objectives
of the organization (Aziz, B . 2011).
Sources Aziz, B . 2011
The
comparison between the lean and the project management are on the different perspectives:
-
In
the lean management the focus is on the production system but in the project
management the focus is on the transactions and contracts
Table 1
Lean
Management
|
Project
Management
|
Focus
on production management
|
Focus
on transactions and contracts
|
All
organization involve in decisions
|
Decisions
are made by higher authorities
|
Multi
tasking teams
|
Team
members are specialize in one specific field
|
Product
and process are design together
|
First
the product design is complete then the process design
|
Sources Aziz, B . 2011
Extreme Management v/s Project Management
Project management refers to a methodical approach of planning,
organizing, scheduling and controlling. It is a framework within which Projects
are undertaken of companies in the form of restructuring or implementation of
project activities. Project management includes management functions because
every project have a deliverable time and in order to reach the delivery time
proper planning to execution have to be performed. (Kerzner, H
2009). Project management takes into consideration
input and output functions as interactions as processes. This facilitates in
building of tools and techniques that are applied to create outputs from
inputs. Project management emphasizes more on time cost and risk associated
with the project along with with quality assurance and scope of the project.
This is carried out by project managers formed grouped in a team which includes
project customers, stakeholders, functional managers and consultants. Most of
the activities revolve around operations under time and resources constraints
in designing, developing or constructing innovative products. (Kerzner,
H 2009). The functionality of project management works
within project life cycle, which is based on the characteristics of beginning
and end of project. The most important aspect at the beginning of the phase is
the study of a project feasibility based on which the latter activities of the
project are carried forward. Project management follows different approaches
based on the nature of the project. One of the most common ways is PMBOK, which
is primarily adopted by the North American countries (Kerzner, H
2009).
Another approach is Extreme Project Management, which is where a
comprehensive detail of the project is well defined. The stakeholders identify
in a feasibility study important objectives of the project to be achieved and
deliverables in a specific time. These can be further broken down into sub
categories of project, if under a situational constraint the delivery schedule
is not met (Ludwig, C 2011) This type incorporates delivering of the project to
the customers in bits and pieces but at the same time it establishes a
well-functioned database to detect errors and perform calculations. At the end
of the project time, the customer receives all the functionalities they
desired. This saves time and the approach gives them flexibility to make
adjustments at the same time not losing control over the process, ensuring a
positive result. This sort of approach can be used when a project needs to be
delivered with in a specific time frame. (Ludwig, C 2011)
Comparing both project management with Extreme management it can be
said that Extreme management is a process approach within project management. Project
management covers a wider functionality combining management functions at the
same time operations considerations taking in to account time constraints. On
the other hand extreme PM is a more flexible approach where the project can be
broken down in sub categories and the deliverables can be given in bits and
pieces to customers, keeping the functionality at optimum level (Ludwig, C
2011).
CONCLUSION: -
The different organizations should try to incorporate the distinctive
tools and techniques in order to gain profit in the industry. By combining the
approach of project management with the approaches like ISO and Total Cost
Management they will be able to evaluate the quality and development of the
project. Furthermore, the comparison of Project management process based
approach with the Lean Management and the Extreme Management will help the
project managers to incorporate the positive aspects from different management
techniques to be able to meet the objectives and goals of the organization.
REFERENCES: -
•
Project
Management Institute (2008). A Guide To The Project Management Body Of
Knowledge (PMBOK GUIDE). 4th. ed. USA: Project Management Institute, Inc..
•
Kerzner,
H (2009). Project Management A Systems Approach To Planning, Scheduling
and Controlling. 10th. ed. New Jersey: John Wiley.
•
Stanleigh,
M (2004). Quality Digest [online]. [Accessed 24 May 2012].
Available from: <
•
Al-Rawahi,
A, & Bashir, H 2011, ‘On the implementation of ISO 9001:2000: a comparative
investigation’, TQM Journal, 23, 6, pp. 673-687, Business Source
Complete, EBSCOhost, viewed 31 May 2012.
•
Meier,R
(2008). Merging The Bodies Of Knowledge in Quality, Project, and Risk
Management. The Quality Management Forum, 13 March, p.3.
•
International
Organization of Standardization [online]. (2007) [Accessed 25 May 2012].
Available from: <
•
2nd
International Conference on Construction (2011). Project Quality
Management Approaches :A comparative Evaluation Of International Standards.
Press release, issued 2011.
•
Hollmann,
J, & Querns, W 2003, 'The Total Cost Management (TCM) Framework 1.
INTRODUCTION', AACE International Transactions, p. 1, Business
Source Complete, EBSCOhost, viewed 29 May 2012.
•
Aziz,
B. 2011, “ Improving project Management with Lean thinking”, Masters of
Innovation and Product Development, INN Division of Project, Innovation and
Enterpreneurship (PIE) Available at:
[Accessed 24 May 2012]
•
Ludwig, C 2011, “Extreme Project Management”
[ONLINE] Available at:
[Accessed 02 June 2012].