Defining the key terms #
In order to understand the key terms of project management, let us consider a case scenario. You have been imparted with the responsibility of a project by your organization. Your duties involve managing the whole project to completion. You will first need a sound comprehension of the components that make up a project and its various parameters. Additionally, it is also imperative to know that which factors account for a project to be successful or not.
Generally, a project has the following specifications:
- A pre-set date of initiation and termination
- Pre-determined allocation of resources. It includes people, time, finances, and the necessary equipment needed for a particular project. For instance, if you have to produce a brochure, the pre-determined resources will include: people (copywriters, designers, creative directors, etc.), the required time frame, equipment (digital software, computer, internet, printer, etc.) and lastly, the financial resources.
- Specific pre-ordained deliverables. It includes the project outcomes such as the formation of a brochure, setting up of a new office, new software etc.
Success of a Project #
The success of any major or minor project depends on three key parameters i.e.
- The delivery time: the project is delivered within the pre-set time frame
- The promised outcome is ensured without compromising quality
- The project remains within the pre-allocated budget and resources
The following figure depicts a relationship between these three parameters.
It should be noted that budget, outcome, and timeframe are interdependent, and you may need to do trade-offs between them in the course of your project. For instance, if you want your project to be completed in the shortest period of time, you will have to spend more money in hiring more individuals and buying more resources.
Significance of Project Management #
After considering the above parameters, one might inquire about the need of project management in the current era. Project management allows the structuring of various operations within an organization. Henceforth, it enables better planning, management, organization, and allocation of resources for better outcomes in an optimal timeframe. Various organizations have been surveyed with regards to the employment of project management techniques. The results clearly indicate that project management not only facilitates sound outcomes, organization and time but also enhances interdepartmental coordination. Thus, organizations can focus more on quality of outcomes rather than the operational process.