A CEO is presenting the annual report in front of 20,000 employees when suddenly the projector breaks down. A key account manager cannot pay the restaurant bill for his top client as he has lost his wallet. A newly elected mayor misses his first public speech as he is being held up in a traffic jam. All these examples taken from daily business and their negative effects, such as the loss of time, a damaged reputation and higher costs, could have been avoided with an appropriate planning beforehand.
Projects are even more critical as they are by definition unique. [...]
Although this idea seems to be consistent and companies should therefore strive to complete their projects successfully, only 32 % of all projects succeed in terms of com-pliance with time, budget and specifications. 44 % are completed late, exceeding budget, showing a deficit in features or with a combination thereof. The remaining 24 % of all projects fail, i.e., they are cancelled before completion or are finished but never used. Going back to the year 2000, this failure rate has never been higher.
A reason for this may be that the unique nature of projects also implies uncertainties. [...] the more aspects of a project are unique, the higher are the entailed uncertainties and the higher is the risk to fail.
And projects are becoming more and more demanding with an increasing pressure on companies in terms of time, budget and quality. As globalisation is rising, the need for fast and comprehensive adjustments of processes, systems and products is increasing simultaneously. [...]
To be able to bear the growing competitive pressure, companies need fast, innovative and interdisciplinary solutions, which they achieve best by applying projects. But projects lacking clear targets, specifications, communication channels, schedules and budgets are likely to fail. Hence, an appropriate project planning is vital to avoid or at least minimise all uncertainties and risks that could lead to a full or partial failure of the project.
But project planning itself does not guarantee success. It must be executed in a way that is comprehensive and efficient at the same time. [...] Finding out which planning processes are required and to which detail is crucial for performing a completely successful project.
Table of Contents
A. Initiation
1. Introduction
2. Aim and Approach
3. Annotation
B. Fundamentals
4. History of Project Management
5. Common Definitions of Project Management Terms
5.1. Definition of Project
5.2. Definition of Project Management
5.3. Definition of Project Planning
5.4. Definition of Project Success
6. Standards in Project Management
6.1. Why Project Management Needs Standards
6.2. Project Management Body of Knowledge (PMBOK)
6.2.1. Origin of PMBOK
6.2.2. Concept of PMBOK
6.3. International Competency Baseline (ICB)
6.3.1. Origin of ICB
6.3.2. Concept of ICB
6.4. PRojects IN Controlled Environments 2 (PRINCE2)
6.4.1. Origin of PRINCE2
6.4.2. Concept of PRINCE2
6.5. Comparing the Standards
6.6. Standard Used for Further Investigation
C. Project Planning According to PMBOK
7. Definitions of Project Management Terms According to PMBOK
7.1. Definition of Project According to PMBOK
7.2. Definition of Project Management According to PMBOK
7.3. Definition of Project Planning According to PMBOK
7.4. Definition of Project Success According to PMBOK
8. PMBOK Knowledge Areas and Planning Processes
8.1. Project Integration Management: Project Plan Development
8.2. Project Scope Management
8.2.1. Scope Planning
8.2.2. Scope Definition
8.3. Project Time Management
8.3.1. Activity Definition
8.3.2. Activity Sequencing
8.3.3. Activity Duration Estimating
8.3.4. Schedule Development
8.4. Project Cost Management
8.4.1. Resource Planning
8.4.2. Cost Estimating
8.4.3. Cost Budgeting
8.5. Project Quality Management: Quality Planning
8.6. Project Human Resource Management
8.6.1. Organisational Planning
8.6.2. Staff Acquisition
8.7. Project Communications Management: Communications Planning
8.8. Project Risk Management
8.8.1. Risk Management Planning
8.8.2. Risk Identification
8.8.3. Qualitative Risk Analysis
8.8.4. Quantitative Risk Analysis
8.8.5. Risk Response Planning
8.9. Project Procurement Management
8.9.1. Procurement Planning
8.9.2. Solicitation Planning
9. Practice: Planning a Project
9.1. Setting of the Project
9.2. Project Plan:“Implementation of Uniform SAP (UniSap) in Europe”
9.2.1. UniSap Scope Management
9.2.2. UniSap Time Management
9.2.3. UniSap Cost Management
9.2.4. UniSap Quality Management
9.2.5. UniSap Human Resource Management
9.2.6. UniSap Communications Management
9.2.7. UniSap Risk Management
9.2.8. UniSap Procurement Management
10. Evaluation of Project Planning According to PMBOK
10.1. Chances and Benefits of Project Planning According to PMBOK
10.2. Risks and Constraints of Project Planning According to PMBOK
D. How Project Planning Facilitates Project Success
11. Accomplishing Element 1: Time Adherence
12. Accomplishing Element 2: Cost Adherence
13. Accomplishing Element 3: Specification Adherence
14. Accomplishing Element 4: Scope Adherence
15. Accomplishing Element 5: Stakeholder Appreciation
16. Accomplishing Element 6: Benefit
17. Accomplishing Element 7: No or Reasonable Trade-offs with Other Company Areas
18. Accomplishing Element 8: Alignment with Company Culture and Strategy
19. Accomplishing Element 9: Compliance with Laws and Regulations
E. Conclusion and Outlook
20. Conclusion
21. Outlook
Research Objective and Focus
The thesis demonstrates that project planning is an essential component of project management for achieving successful project completion. It provides guidance on mandatory versus negligible planning processes to meet various success criteria.
- The importance of project planning for project success.
- A comparison of international project management standards (PMBOK, ICB, PRINCE2).
- Detailed analysis of PMBOK knowledge areas and their planning processes.
- A practical case study demonstrating project planning in a fictitious chemical company.
- The link between specific planning processes and project success elements.
Book Excerpt
1. Introduction
A CEO is presenting the annual report in front of 20,000 employees when suddenly the projector breaks down. A key account manager cannot pay the restaurant bill for his top client as he has lost his wallet. A newly elected mayor misses his first public speech as he is being held up in a traffic jam. All these examples taken from daily business and their negative effects, such as the loss of time, a damaged reputation and higher costs, could have been avoided with an appropriate planning beforehand.
Projects are even more critical as they are by definition unique. As there is only one chance to satisfy the stakeholders, the pressure to bring a project to a successful end is much higher, and a failure has much more serious consequences than a faux pas in daily business.
Although this idea seems to be consistent and companies should therefore strive to complete their projects successfully, only 32 % of all projects succeed in terms of compliance with time, budget and specifications. 44 % are completed late, exceeding budget, showing a deficit in features or with a combination thereof. The remaining 24 % of all projects fail, i.e., they are cancelled before completion or are finished but never used. Going back to the year 2000, this failure rate has never been higher.
A reason for this may be that the unique nature of projects also implies uncertainties. What has never been dealt with before is hard to predict and to control. And the more aspects of a project are unique, the higher are the entailed uncertainties and the higher is the risk to fail.
Summary of Chapters
A. Initiation: Introduces the critical nature of projects, identifies the high failure rates in project management, and outlines the thesis structure and annotation.
B. Fundamentals: Provides a historical overview of project management, defines core terms, and compares major standards like PMBOK, ICB, and PRINCE2 to justify the selection of PMBOK.
C. Project Planning According to PMBOK: Offers detailed definitions of terms according to PMBOK, explores all knowledge areas and their planning processes, and applies this to a fictitious practice scenario.
D. How Project Planning Facilitates Project Success: Connects specific planning processes to nine distinct elements of project success, explaining how planning supports time, cost, and scope adherence, among others.
E. Conclusion and Outlook: Summarizes key findings and provides an outlook on the future development of project management and the increasing importance of social skills.
Keywords
Project Management, Project Planning, PMBOK, Project Success, Project Lifecycle, Risk Management, Cost Estimation, Stakeholder Appreciation, Time Adherence, Quality Planning, SAP Implementation, Resource Planning, Project Scope, Procurement Management, Project Standards
Frequently Asked Questions
What is the fundamental purpose of this thesis?
The thesis aims to prove that comprehensive project planning is vital for project success and provides practical guidance on identifying which planning processes are mandatory for achieving specific success components.
What are the central thematic areas covered?
The work covers the history of project management, comparative analysis of international standards, detailed breakdown of PMBOK knowledge areas, and the practical application of these processes within a simulated corporate environment.
What is the primary research goal?
The goal is to demonstrate the essential link between structured project planning and successful project outcomes, specifically identifying which planning activities contribute most effectively to project success.
Which scientific methodology is utilized?
The author uses a literature-based theoretical analysis of project management standards, combined with a practical case study simulation to visualize and validate the theoretical findings.
What core topics are addressed in the main body?
The main body focuses on defining project management terms according to the PMBOK guide, detailing its specific knowledge areas (Scope, Time, Cost, etc.), and mapping these to real-world practical planning execution.
Which keywords best characterize this work?
The work is characterized by terms such as Project Planning, PMBOK, Project Success, Risk Management, and Project Lifecycle.
Why was the PMBOK guide selected as the standard for this investigation?
The PMBOK was selected because it is the most widely used and well-known standard, offers high adaptability, and is structured in a process-oriented way that makes it highly suitable for detailed analysis.
How does the author incorporate a practical perspective into the theoretical discussion?
The author utilizes a fictitious case study, "HiPe Plastics AG," simulating the implementation of a uniform SAP system in Europe to illustrate how theoretical PMBOK processes are applied to real project challenges.
- Quote paper
- Stefanie Vater (Author), 2012, Project Planning as Key to Success in Project Management, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/192968
