Project Management

We explain what project management is and the methodologies it uses. Also, what are its stages, benefits and importance.

project management
In the business world, the project management approach is extremely common.

What is project management?

Project management is a discipline of business administration, whose object of study covers planning, organization, motivation and control of resources necessary to achieve a goal determined in advance, that is, to meet an objective.

In this sense, “project” is defined as an undertaking with a beginning and an end certain, whose objective is to produce a single product, service or result, that is, equipped with unique objectives and which, when met, will add value to the production chain or achieve some type of positive change.

Thus, project management can be understood as a set of specific actions that guarantee the fulfillment of an objective within specific time periods, during which resources, tools and talents are used. These types of studies allow us to evaluate, manage and control processes of a very diverse nature, applying methodologies, reasoning and concepts.

In today's business world The project management approach is extremely common regardless of the dimensions or objectives of an organization, since practically all its operations can be understood as projects: from the development of an important product or service, or the fulfillment of secondary objectives, to the improvement of internal processes of the same productive organization.

See also: How to make a project?

Methodologies for project management

Gantt chart - project management
The Gantt chart details the tasks and activities of each project.

There are three main project management methodologies, which use various material and conceptual tools, and they are:

  • The Gantt chart This methodology has been used for almost 70 years and is probably the most and best known of all project management methods, due to its relative simplicity. It is a two-axis diagram, in which the tasks and activities of each project are detailed, associating them with a schedule that details its beginning, duration and closure. The different phases of the project must be included there, organizing it sequentially in time, in order to obtain a kind of “script” or procedure to adhere to during the execution of the project.
  • Pert/CPM These are two complementary approaches, often applied together. CPM is known as the Path to the Critical Path, and is about the design of an optimal trajectory that, if followed to the letter, would allow the smooth execution of the activities that make up a project. To find it, the project must be simplified as much as possible and an account of priorities and dependencies, as well as workload distribution, must be made. However, since this method does not consider uncertainty, it is usually combined with Pert, a methodology that applies a probabilistic function to calculate the total time of project execution, based on the activities that comprise it. With its results, a network of nodes is composed that allows analyzing the critical path and predicting its standard deviation. For this, computer programs are usually used.
  • Critical chain method The most recent of the three methodologies, but one of the most celebrated by specialists, is very suitable for complex projects that require a simplifying perspective. It consists of finding, among all the activities that make up the project, which are the “critical” ones, that is, those that determine its maximum duration, and then reduce the estimated time for each one by incorporating “time buffers” in places clue. These buffers diversify tasks, allowing time and effectiveness to be gained on the given task.
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Stages of project management

The stages or phases of project management are the following:

  • Feasibility analysis The initial step consists of determining how viable or convenient the project is, that is, what it implies to carry it out in financial, logistical and profitability terms. If the investment in a project far exceeds its profitability, there must be other compelling reasons to carry it out.
  • Work planning Then we proceed to list and detail the different tasks that carrying out the project will involve, that is, the steps that will have to be followed, without losing sight of the resources that each step will require and the estimates of cost, effort and time necessary.
  • Project execution In this stage, the planned tasks are carried out and a report is prepared on how they occur, that is, what setbacks are encountered, what results are obtained and all the necessary information to feed the control stage. This is the stage in which everything planned is deployed.
  • Monitoring and control In this step, it must be monitored that the process is yielding the expected results, and the relevant conclusions must be drawn from the information collected during execution. Based on these conclusions, strategies can be modified, corrective measures taken and the process directed towards an ideal result.
  • Project closure The completion of a project is also very important, since at this stage the entire process is evaluated retrospectively, taking note of failures, accidents, unforeseen events and preparing a report that is used for the planning and execution of future projects. This is the learning stage. If the projects are successful, this is where the backup of what has been achieved is made.
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Benefits of project management

Project management
Efficient project management guarantees greater learning margins.

There are many benefits of efficient project management:

  • Effective provision of resources and time Avoiding waste, shortages and other setbacks that would reduce the profitability of the project.
  • Greater control over the destiny of the organization Since you can visualize and organize (prioritize, prioritize, for example) the projects to be undertaken.
  • Greater guarantee of success Since unplanned projects are at the mercy of what can go wrong, without awareness of what they imply or simply occur in a disorganized way.
  • Greater learning margins Since project management ultimately provides valuable reports regarding the organization's behavior and its strengths and weaknesses in project execution.

Importance of project management

The formalization of the field of project management gives it the rigor of a scientific discipline, meticulousness, and the ability to generate information, experience, and learning. In that sense, it is vital knowledge for business administration and organizational planning which is currently carried out using various software tools to take advantage of the technological advantages of the time. Without project management, standardization of this type of business information would not be possible.

References

  • “Project management” on Wikipedia.
  • “Project management” in tic.Portal.
  • “The 3 most used project management methodologies” at OBS Business School.
  • “Project management: concept, benefits and phases” on The Workmeter blog.
  • “Project Management Basics: 6 Steps to Creating a Foolproof Project Plan” on Wrike.