Datasheet

6
Chapter 1
Establishing Project Management Fundamentals
Business needs
Business needs such as improving efficiency, reducing costs, and increasing
inventory churn are often reasons for project creation. An example business need might involve
implementing an enterprise resource planning system that improves the customer ordering and
fulfillment process while providing the organization with up-to-the-minute revenue information.
Customer requests
Customer requests are an endless source of project creation. We usually
think of customers as external to the organization. Keep in mind that there are also internal
customers. Typically the information technology, human resources, and accounting divisions
have internal customers within the organization that they serve. Customer requests, both
internal and external, may drive many projects. For example, the folks in the human resources
department might decide to implement an automated system for tracking all human resource
transactions. They want to track job applications, promotions, terminations, and so on online
rather than in file drawers.
Legal requirements
Legal requirements primarily come about as a result of government action.
For example, the Food and Drug Administration requires an extensive testing process for new
medical devices before they can be introduced to the marketplace and used on us mere humans.
Those processes may drive a project or drive the need for additional requirements for an existing
project. The legal requirements category may also include industry regulations imposed to ensure
safety, accountability, environmental protection, and so on.
Technological advances
This one happens to be the authors’ favorite category. Without
technological advances, we wouldn’t have the iPod, cell phones, personal digital assistants,
digital cameras, or myriad other devices we could not live without. Today it seems that tech-
nological advances come about almost overnight. It especially seems that way after you’ve just
purchased what you thought was the latest and greatest only to find the next latest and great-
est introduced the week after you purchased your model.
Social needs
Projects driven by social needs may include things like preventing infectious dis-
ease, purifying drinking water, and creating educational programs for underprivileged children.
Social needs may come about due to customers or concerned citizens.
Each category represents opportunities, business requirements, or problems that need
solved. Management generally decides how to respond to needs and demands, and those deci-
sions will likely bring about a new project.
Overview of the Project Process Groups
Most project management methodologies have a series of processes through which projects
progress. Most methodologies start with an initiating process and continue through to closing.
Since we’re basing our methodologies on
A Guide to the PMBOK
standards, we’ll look at the
five project management process groups they promote:
Initiating
Planning
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