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Project Managment

Chapter 1
Introduction

Why Project Management?

Introduction

Projects are one of the principal means by which we change our world , whether the goal is to split the atom , tunnel under the English channel , introduce Windows XP, or plan the next Olympic games in Beijing , the means to achieve all these tasks remains the same : through project management: Project management has become one of the most popular tools for organizations , both public and private , to improve internal operations, respond rapidly to external opportunities, achieve technological breakthroughs, streamline new product development, and more robustly manage the challenges arising from the business environment. Consider what Tom Peters, best-selling author and management consultant, has to say about project management and its place in business: “projects, rather than repetitive tasks, are now the bases for most value-added in business.” Project management has become a critical component of successful business operations in worldwide organizations today.”

One of the key features of modern business is the nature of the opportunities and threats posed by external events. As never before, companies face international competition and the need to pursue commercial opportunities rapidly, they must modify and introduce products constantly, respond to customers as fast as possible, and maintain competitive costs at operating levels. Does performing all these tasks seem impossible? At one time, it was. Conventional wisdom held that a company could compete using a low-cost strategy or as a product innovator or with a focus on customer service. In short, we had to pick our competitive niches and concede others their claim to market share, in the 1990s, however, everything turned upside down. Companies such as General Electric, Nokia, Eriksson, Boeing, and Oracle became increasingly good at realizing all of these goals, rather than settling for just one. These companies seemed to be successful...