Project Management Module in ERP

Project management is the process of the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. That is, project management is an interrelated group of processes that enables the project team to achieve a successful project. These processes manage inputs to and produce outputs from specific activities; the progression from input to output is the nucleus of project management and requires integration and iteration. For example, a feasibility report could be an input to a design phase; the output of a design phase could be a set of plans and specifications. This progression requires project management acumen, expertise, tools and techniques, including risk management, contingency development, and change control.

The fundamental nature of a project is that it is a temporary endeavor undertaken to create a unique product, service, or result.

Temporary Endeavor

To be temporary signifies that there is a discrete and definable commencement and conclusion; the management of a project requires tailored activities to support this characteristic, as such, a key indicator of project success is how it performs against its schedule that is, does is start and end on time.

A Project Versus an Operation

The operations of an organization are continuing and repetitive activities that are executed to achieve its mission and sustain the business, but without a definable end to their performance and without a unique output that is, it is not produced or provided only once.

A Project Versus a Program

A project differs from a program in that a program is a group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually. Programs may include elements or related work outside the scope of discrete projects in the program. Furthermore, programs often involve a series of repetitive or cyclical undertakings. In Reclamation, a program is typically a group of projects administered by Reclamation. Reclamation programs do not have to be specifically authorized, and a programs schedule may continue past any individual project.

Unique Deliverable

The uniqueness of the deliverable, whether it is a product, service, or result, requires a special approach in that there may not be a pre-existing blueprint for the projects execution and there may not be a need to repeat the project once it is completed. Uniqueness does not mean that there are not similarities to other projects, but that the scope for a particular project has deliverables that must be produced within constraints, through risks, with specific resources, at a specific place, and within a certain period; therefore, the process to produce the deliverable as well as the deliverable itself is unique.

Progressive Elaboration

This unique process and deliverable produces the third characteristic of a project: progressive elaboration. Project management is a group of interrelated processes, implemented in a progressively elaborative manner, in which to produce the deliverable. Progressive elaboration is the revealing and focusing of details through time. For example, in the engineering design process, a general and broad concept may be a starting point for the design team; but through the design process, the concept is narrowed to a specific scope and is further elaborated to achieve the completed design; moreover, it may continue to be elaborated and not be finalized until the product, service, or result is delivered.

Progressive Groups

The project management process are initiating, planning, executing, monitoring and controlling, and closing. Initiating defines and authorizes the project or a project phase. Planning defines and refines objectives and plans the course of action required to attain the objectives and scope that the project was undertaken to address. Executing integrates people and other resources to carry out the project management plan for the project. Monitoring and controlling regularly measures and monitors progress to identify variances from the project management plan so that corrective action can be taken when necessary to meet project objectives. Closing formalizes acceptance of the product, service, or result and brings the project or a project phase to an orderly end.

Project Management Plan

A project management plan is a fundamental tool for the project manger to deliver the project successfully. This document is a strategic and formalized roadmap to accomplish the projects objectives by describing how the project is to be executed, monitored and controlled, which includes creating a project work breakdown structure, identifying and planning to mitigate risk, identifying manners in which to effectively communicate with stakeholders and other project team members, and developing a plan to manage changes. It is essentially a guide for executing the project, and a manner in which to gain buy-in and approval from stakeholders and sponsors prior to commencement. This plan is a living document that is updated and revised throughout the project at strategic milestones or significant events to accommodate the progressive, elaborative nature of the project.

The project management plan will vary based on size, complexity, risk, and/or sensitivity of the project. Implementing the project management plan requires competency in all of the project management knowledge areas and is critical to the success of the project.