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A GUIDE TO EFFECTIVE PROJECT MANAGEMENT IN TECHNOLOGY-BASED FIRMSUsed effectively, project management can increase a firm’s market share, product quality, and customer satisfaction. Though technology-based companies place themselves at a competitive disadvantage if they neglect this strategic tool, many overlook project management’s benefits because they see themselves as continuously adapting organizations. In reality, this role makes project management even more vital.Managing Technology-Based Projects imparts the latest approaches and tools essential to lead a successful technology-based project. It outlines the practical integration of project management with four key areas: strategic alignment of projects within the enterprise, the project management process and its organizational support system, invaluable tools and techniques, and the individual and group leadership within a project’s organization. Complete with examples of industrial applications, the book includes: Methods for defining key performance indicators and assessing project management process effectivenessSuggestions for fine-tuning and continuous improvementPractical case scenarios, discussion topics, end-of-chapter reviews, and exercisesAttention to project management as it applies to a globalized businessNo one in a managerial role should be without Thamhain’s expert advice. This guidebook is your road map to successfully incorporating enterprise project management into technology-based work.
HANS J. THAMHAIN is Professor of Management and Director of the Technology and Project Management Programs at Bentley College. With experience in high-technology management positions at GTE/Verizon, General Electric, Westinghouse, and ITT, he has authored more than seventy research papers and seven professional reference books on project and technology management.
Preface xiii1 Challenges of Managing Projects in a Technology World 1Apple iPhone 5 11.1 Project Management in a Changing World: Challenges and Opportunities 21.2 Global Dimensions 21.3 Project Deserve Special Attention within the Enterprise 31.4 The Unique Nature of Technology Projects 41.5 Evolution and Growth of Project Management and Technology 111.6 Where Are We Heading? 151.7 Key Points, Lessons, and Conclusions 161.8 Questions for Discussion and Exercises 171.9 PMBOK® References and Connections 17Internet Links and Resources 18References and Additional Readings 182 Contemporary Project Management: Concepts and Principles 19Amazon 192.1 The Big Picture: The Art of Managing Projects 202.2 Project Management Defined 212.3 The Project Life Cycle (PLC) 222.4 Programs, Projects, Tasks, and Committees 242.5 The Role of the Project Manager 272.6 Classification of Projects 282.7 Project Management Standards and Guidelines 302.8 Key Points, Lessons, and Conclusions 362.9 Questions for Discussion and Exercises 362.10 PMBOK® References and Connections 37Internet Links and Resources 37References and Additional Readings 373 The Effective Project Manager: Skills, Values and Agility 39Project Management Skills Emphasized in PMI’s Annual Report 393.1 Project-based Organizational Cultures and Values 393.2 Measuring Managerial Performance 403.3 Skill Requirements for Managing Technology Projects 433.4 How Learnable Are These Skills? 483.5 Transitioning from Individual Contributor to Project Management 483.6 Implications for Senior Management 503.7 Summary of Key Points and Conclusions 543.8 Questions for Discussion 553.9 PMBOK® References and Connections 56Internet Links and Resources 56References and Additional Readings 564 Aligning Projects with the Enterprise 59Summer Olympics, 2016 in Rio. 594.1 Making the Case for Enterprise Project Management 604.2 Connecting with the Existing Strategy Framework 624.3 Project Portfolio Management (PPM) 644.4 Strategic Project Leadership 654.5 Where Are We Heading? 674.6 Summary of Key Points and Conclusions 704.7 Questions for Discussion 704.8 PMBOK® References and Connections 71Internet Links and Resources 71References and Additional Readings 715 Understanding Project Organizations 73General Motors, Shanghai 735.1 Today’s Business Processes Require Flexibility, Speed, and Efficiency 745.2 Why Do We Need to Organize Differently to Manage Projects? 755.3 Organizational Layers and Subsystems 765.4 Organizational Designs for Project Management 785.5 Managerial Perspective 895.6 Building the Project Organization 915.7 Working Effectively in Resource-Shared Environments 975.8 Summary of Key Points and Conclusions 975.9 Questions for Discussions and Exercises 985.10 PMBOK® References and Connections 99Internet Links and Resources 99References and Additional Readings 996 The Project Management Office 102IBM Wins PMO of the Year Award 1026.1 Management Perspective 1036.2 PMO Concept and Functionality 1046.3 Reason for Establishing a Project Management Office (PMO) 1106.4 Establishing a Project Management Office 1166.5 A Final Note 1226.6 Summary of Key Points and Conclusions 1226.7 Questions for Discussion 1236.8 PMBOK® References and Connections 124Internet Links and Resources 124References and Additional Readings 1257 Project Evaluation and Selection 127Multiple Project Selection at DIRECTV 1277.1 Management Perspective 1287.2 Quantitative Approaches to Project Evaluation and Selection 1317.3 Qualitative Approaches to Project Evaluation and Selection 1387.4 Recommendations for Effective Project Evaluation and Selection 1397.5 Concluding Remarks 1427.6 Summary of Key Points and Conclusions 1437.7 Questions for Discussion and Exercises 1447.8 PMBOK® References and Connections 144Internet Links and Resources 145References 1457.9 Appendix: Summary Description of Terms, Variables, and Abbreviations used in This Chapter 1478 Setting Up an Effective Planning and Control Cycle 148Project Management for NASA 1488.1 Planning the Cornerstone to Effective Project Management 1508.2 An Integrated Approach to Project Planning 1568.3 Managing the Planning Process 1628.4 Summary of Key Points and Conclusions 1628.5 Questions for Discussion and Exercises 1648.6 PMBOK® References and Connections 164Internet Links and Resources 165References and Additional Readings 1659 The Tools for Integrated Project Planning and Control 1672012 London Summer Olympics 1679.1 Management Perspective 1689.2 The Basic Tools and Techniques for Project Management 1769.3 Using Project Management Tools Property 2069.4 A Model for Project Performance 2079.5 Summary of Key Points and Conclusions 2099.6 Questions for Discussion 2109.7 PMBOK® References and Connections 210Internet Links and Resources 211References and Additional Readings 21110 Defining the Project 213Chevrolet Volt Electric Cars Development 21310.1 The Need for a Clear Plan 21410.2 Building the Project Plan 21510.3 A Life Cycle Approach to Project Planning 22810.4 Summary of Key Points and Conclusions 22810.5 Questions for Discussion and Exercises 22910.6 PMBOK® Guide References and Connections 230Internet Links and Resources 230References and Additional Readings 23011 Resource Estimating and Budgeting 232At Google, Technology Projects Are Done on a Rapid Schedule. 23211.1 Why We Need Budgets 23311.2 Cost Estimating Methods 23411.3 Where to Begin? 23811.4 Cost Estimating and Budgeting Philosophy 24011.5 Summary of Key Points and Conclusions 24311.6 Questions for Discussion and Exercises 24411.7 PMBOK® Guide References and Connections 245Internet Links and Resources 245References and Additional Readings 24612 Monitoring and Controlling Technology-Intensive Projects 248Prairie Waters Project Wins PMI’s Project of the Year Award 24812.1 The Challenges of Managerial Control 24912.2 What We Know About Managerial Control of Complex Projects 25112.3 What Do We Want to Control? 25212.4 Available Tools and Techniques 25412.5 Recommendations for Using Project Controls Effectively 26112.6 Conclusion 26412.7 Summary of Key Points and Conclusions 26512.8 Questions for Discussion 26612.9 PMBOK® References and Connections 267Internet Links and Resources 268References and Additional Readings 26812.10 Appendix: Management Techniques for Project Control 27013 Concurrent Engineering and Other Project Management Systems 278The Pentagon Reconstruction Project 27813.1 The Need for Effective Project Management Processes 27913.2 A Spectrum of Contemporary Management Systems 28113.3 Criteria for Success 28413.4 Defining the Management Process—A Team-Based Effort 28613.5 Understanding the Challenges 28813.6 Understanding Organizational Linkages and Benefits 28913.7 Recommendations for Setting Up and Managing Contemporary Systems 29113.8 Conclusion 29813.9 Summary of Key Points and Conclusions 30013.10 Questions for Discussion 30113.11 PMBOK® References and Connections 302Internet Links and Resources 302References and Additional Readings 30214 Managing Risk and Uncertainty 307Risk-Taking in New Product Developments is Part of Staying Competitive at Intel 30714.1 The Role of Uncertainty in Managing Projects 30814.2 What We Know about Risk Management 31114.3 Key Variables Affecting Risk Management 31314.4 A Simple Risk-Impact Model 31714.5 How Do Risks Affect Project Performance? 32114.6 Managing Risks in Projects: Lessons from the Field 32314.7 Criteria for Effective Risk Management 32614.8 A Final Note 33114.9 Summary of Key Points and Conclusions 33114.10 Questions for Discussion 33314.11 PMBOK® References and Connections 334Internet Links and Resources 334References and Additional Readings 33415 Managing by Commitment and Collaboration 338Wind Energy Research 33815.1 The Critical Role of Commitment and Collaboration 33915.2 What Do We Know about Collaboration and Commitment? 34215.3 Drivers and Barriers to Collaboration and Commitment 34315.4 Managing by Commitment 34615.5 Conclusion 34915.6 Summary of Key Points and Conclusions 34915.7 Questions for Discussion 35015.8 PMBOK® References and Connections 350Internet Links and Resources 351References and Additional Readings 35115.9 Appendix: Field Research Summary on Commitment 35316 Managing People and Interfaces 362At GE, Management Philosophy Focuses on People 36216.1 Changing Roles and Challenges of Managerial Leadership 36216.2 What Drives Performance in Technology-Based Teams 36616.3 How To Motivate and Inspire 37016.4 The Power Profile of Project Managers 37816.5 Criteria and Recommendations for Working Effectively with People on Projects 38116.6 Concluding Remark 38316.7 Summary of Key Points and Conclusions 38416.8 Questions for Discussion 38616.9 PMBOK® References and Connections 386Internet Links and Resources 387References and Additional Readings 38717 Managing Conflict in Project Organizations 391Sun Tzu—The Ancient Art of Leadership: Making Conflict Unnecessary 39117.1 Conflict—Good, Bad, and Inevitable 39217.2 Categorizing Conflict in Organizations 39317.3 How to Anticipate Issues 39517.4 Conflict in the Project Life Cycle 39817.5 How to Deal with Conflict 40317.6 Criteria for Managing Conflict in Projects Effectively 41017.7 Summary of Key Points and Conclusions 41417.8 Questions for Discussion and Exercises 41617.9 PMBOK® References and Connections 416Internet Links and Resources 417References and Additional Readings 41718 Leading Technology Teams 421Boeing 787 Dreamliner 42118.1 Team Leadership—Critical to Project Success 42218.2 Measuring Team Performance 42618.3 Fostering Conditions for Collaboration, Commitment, and Self-Control 42818.4 Building High-Performance Teams 43018.5 Team Leadership Lessons 43318.6 Guidelines for Effective Team Management 43418.7 How to Make It Work 43918.8 Summary of Key Points and Conclusions 44118.9 Questions for Discussion and Exercises 44118.10 PMBOK® References and Connections 442Internet Links and Resources 443References and Additional Readings 44319 Professional Development: Training and Education 446Developing Management Talent at GE 44619.1 Project Managers Have Special Needs for Professional Development 44719.2 Linking Knowledge, Skills, and Competency 44819.3 Building Knowledge, Skills, and Competency 44919.4 Developing Project Managers 45319.5 Professional Education 45419.6 Professional Certification and Accreditation 45619.7 Career Opportunities in Project Management 45919.8 Summary of Key Points and Conclusions 46019.9 Questions for Discussion and Exercises 46119.10 PMBOK® References and Connections 462Internet Links and Resources 462References and Additional Readings 46320 The Future of Project Management 46520.1 Is the Future Predictable? 46520.2 Changes and Trends in the Project Environment 46520.3 What Does It Mean for the Future of Project Management? 46820.4 Summary of Key Points and Conclusions 47020.5 Questions for Discussion and Exercises 471Internet Links and Resources 471References and Additional Readings 472Appendix 1: Policy and Procedure Examples 473Appendix 2: Professional Societies, Journals, and Conferences in Project Engineering, and Technology Management 481Glossary 491Index 499