1. INTRODUCTION
Projects management is defined by the British Standards Institution “A project is a unique set of coordinated activities, with a definite starting and finishing point, undertaken by an individual or organization to meet specific objectives within defined schedule, cost and performance parameters. (Paul D Gardner, 2005 P2)
The history of project Management dated back to the construction of the massive Egyptian pyramids and the great wall China. But modern day project management is associated in early 1900’s with Henry Gantts development of the barchart and during 1950’s and 1960’s in America and Britain techniques and tools used in military and aerospace projects is the beginning of the development of the special project management techniques and tools.
The last decade has witnessed a vast development in the hospitality industry with its demand for new trends and innovation taking centre stage and the industry today has stirred from being an accommodation and service provider to offering consumer products to its consumer.
Examples of the projects related to Tourism and Hospitality industry are,
Advertising campaigns on Holiday packages
New revenue generating project for a hotel for example: adding a sports centre Social events to fund raiser activities.
Entertainment projects.
Renovation of a hotel rooms or restaurant with upgrading features.
Hotel web based projects
The hospitality industry is moving though an evolutionally process in a supply-led market to a demand-led market. As the industry has become more globalized factors such as culture, economies, climate and geographical preference creates an impact on the end product where customer preference may differ or is less accepted at the time of its purchase. The modern day traveler is more sophisticated than of its previous generations with high levels of expectations that augment a more responsive product. (Rinsley & Ingram 2006).
Features of project include,
A Start and finish
A life Cycle
A Budget
Team Building
Dependability on the entire project
1:1 Project Management and its importance.
Project management is essential for a project as it is about managing a process and the people who participate in it. It hosts the organization to mitigate the risks by essentially manage people, resources and the delivery of products, not the work itself.
Planning, organizing, Controlling, Leading and motivating are the main four activities that carried out in project management , This can be differ to each organization from project objectives with investment towards the project with a broad scope of professionalism.
Many companies are adopting a “management by projects\’ approach to conducting business as a
Way of shortening product development times, lowering costs, and increasing quality, reliability and profit margins (Meredith and Mantel, 1995: 9)
1:2 Stages Associated with Project Management
PMI defines project management as “the application of knowledge, skills, tools and techniques to a broad range of activities in order to meet the requirements of a particular project.” (Projectinsight,2016)
Project can be divided into five basic phases throughout the process of the directing and controlling of the project from the start to end.
Each and every phase of a project hold an important place as it has different organizational goals for each phase. As an example at the initiation of the project considered on creativity and problem solving, during execution and control it emphasizes on turning the laid plans into reality, tight control of changes and rapid decision making are predominant needs. (Paul D Gardner,2005) A project manager will hold the responsibility to delegate team members with relevant tasks which would be carried out under his supervision mitigating risks, with quality controls, ensuring customer and employee satisfaction. (Trevor L. Y 2010)
1:3project management framework
Purpose of the project management framework is to create and share a clear understanding of the basis of a project and share this understanding among all shareholders.
Primarily the challenge would be to achieve all project goals and its objectives of, Scope time, Quality and budgets. Secondly the challenge would be is to optimize the said allocations and necessary inputs, incorporating to meet pre-defined objectives.
1.4 Project Management Knowledge areas
Further discussed in Project Management body of Knowledge (PMBOK) has break down in to nine knowledge areas.(David F, Greg H,2004)
I. Project Integration – Adjoins with three main steps, It involves input to develop the plan and the processes to keep on track.
• Planning – as an example planning tasks for the projects, setting and allocating duties, setting the designs, allocating the budgets for building a overwater wedding pavilion project.
• Control – Conducting meetings of staff and reviewing and monitoring the progress, controlling budgets.
• Execution –Taking necessary actions to implementing the project as an example making staff carry out the set tasks, Testing the efficiency of the project.
II. Project Scope Management
Includes processes required that ensures all work required to complete the project successfully. This area is composed of project initiation, scope planning, definition, verification change control. Main concern is to control and define of what is and is not included in the project that meets sponsor goals and objectives.
As an example when promoting over water wedding package in Maldives, the main objective of the sponsor would be to renovate an existing deck in to a unique overwater wedding pavilion which generates revenue.
III. Project Cost Management
These are the areas where it focus on projects resource planning, cost estimating, budgeting and control of the project.
IV. Project Time Management
“Time” is the key element to the project and it directly effects on the success of the project. Managing time of a project includes activities such as sequencing duration estimating schedule development and time controlling.
As an example creating a calendar of refurbishing overwater wedding pavilion and estimating duration to build the wooden deck.
V. Project Quality Management
This area involves all activities in quality planning, assurance and control. Includes processes required ensuring that the project is satisfactory on the terms it was undertaken. As an example, project of building a sea food restaurant- HAZARD food quality assurance.
VI. Project Human Resource Management
Effective utilization of individuals included in the project comprising with organizing and planning, recruitment and team building. Example- Planning on how many trained and untrained staff required for the project.
VII. Project Communications Management
Includes processes required for successful communication of the project, it ensures collective data and its distribution of project information. Includes communications planning, information distribution, performance reporting and administrative closure. Example: Arranging meetings for project staff and planning of project phases.
VIII. Project Risk Management
Includes processes with identifying and analyzing the responses to risks of the project and its mitigation. Risk management includes identification of the risks, responding, monitoring and controlling it.
IX. Project Procurement Management
Includes processes of acquiring goods and services from external sources than of its project team, consisting of planning, solicitation, source selection and administration and close out
1.5 Stake holders of a Project
Project stake holders are both internal and external people and the organizations who are actively involved in the project .Stake holders’ skills and knowledge of the project may on influence the success of the project.This will include A project sponsor, A project manager and his team, supporting staff, the end customers, suppliers etc.
2. Project Finance Management tools
Application of a collection of tools and techniques to direct the use of diverse resources toward the accomplishment of a unique, complex, one-time task within time, cost, and quality constraints. Each task requires a particular mix of these tools and techniques structured to fit the task environment and life cycle (from conception to completion) of the task.
2:1 Cash Flow
This represents a summary of the actual or anticipated incomings and outgoings of cash in a project over an accounting period. It used as basis of budgeting and planning of the project. Data present in a cash flow usually would include operating activities, investing activities, financing activities. The project confirms it viability when the income generates is greater than the expenditure.
2:2 Cost benefit analysis
Cost benefit analysis performed to establish the financial feasibility of the project. It also can be used to take into account the benefits the company receives as well as the benefits that accrue to the community at large.
2.3 Net Present Value (NPV)
“Think of a project as an abandoned suitcase containing money, If the amount of cash is positive, you will pick it up. If the suitcase contains ‘negative cash’ which would diminish your wealth you will leave it alone. (Paul .D, 2005) NPV simply states how much money is in the suitcase and whether it is positive or negative.
2:4 Pay Back Period:-
It shows the time taken to gain a financial return equal to the original investment. It usually express in years or months.
3. Project Time Management tools
3:1 Gantt Charts
These charts are invented by Henry Guntt in the early twentieth century. It is another common method of scheduling information of the project.
Figure 3: 1 – Gantt chart
Source – Google images
Above graphic represents milestones and demonstrates individual resources with schedule timings. Mile stones play an important part in planning and managing projects.
3:2 Critical Path analysis – (CPA)
This is a powerful tool which effectively used to plan all tasks that has to be complete as part of a project. It further relates to interdependent activities which connect with many other elements.
3.3 Network Diagram
Network diagram defined as a graphical presentation of the project of the projects activities showing the planned sequence of work. It required the information only for two items which are list of activities and the logical relationship between the activities.(Rory B.2003)
Figure 3:3 Network diagram Source – Author
Comparison of Gantt chart and network diagram characteristics
Figure 3:3 Comparisons of Gantt Charts and Network diagram features
Source Paul .D 2004, P254
3:4 Project Management Software – (PMS)
There are several soft ware’s used in the project management to deal with large projects. The software provides features of scheduling, planning, tracking and reporting, costs and budget management, and further communication and administrative systems. Procore, workflowMax, BuildTools , BuilderTREND are some of the award winning PM softwares named in 2015. (best project management software reviews , 2016)
Figure 3: 4 – Project management software Source – Google images
4. Theories in Project Management
4.1 Total Quality Management – TQM
“According to William P. Anthony t al (1996) TMQ is a strategic, integrated system of management for achieving satisfaction that involves managers and employees and uses quantitative methods to continuously improve quality.” (John N.M , 2009 ,P.13)
Figure 4:1: TQM Framework Source: Beterfield et.al,2009
4:2 Information Management (IM)
Information management is the collection, storage, dissemination, archiving and destruction of information. It enables teams and stakeholders to use their time, resource and expertise effectively to make decisions and to fulfill their roles. (IPMA, 2016)
4:3 Management by objectives
It is a systematic and organized approach that allows management to focus on achievable goals and to attain the best possible results from available resources.
5 .CONCLUSION –
It has been concluded that project management has of very much importance for the organizations success and growth. Organizations that do not implement the practices of project management have to suffer a lot in terms of resources, time and money.
In such a competitive world organizations have to take necessary actions to reduce their cost and resources on any given tasks in projects. Project management is one of the tools from which one organization could use its resources efficiency and minimize costs. It has tangible and intangible benefits, therefore every organization have to think of implementing the project management tools and techniques.