The Northampton Employability Award Workshop 4 1 Aim of Session • An introduction to Project Management tools/techniques • Find out about the Resources Capability Model • Understand what customer and business awareness is and how to make sure you have it 2 Project Management Comments? 3 Project Planning Activity: - Solution 4 What is a Project? • A project is a one-off, non-repeated activity or set of tasks, which achieves clearly stated objectives within a time limit. • All projects are different HOWEVER all projects have a customer(s) and/or sponsor(s) who expects the outcome of the project to be delivered at a particular time. • Most projects have other characteristics in common: – They are goal-orientated; the whole activity is directed at achieving the defined output or outcome; – They have clear beginnings and ends; – They have a set of constraints that limit and define the process; – Their output can be measured in terms of performance against agreed indicators. (Maylor, H (1996) “Project Management”, Pitman Publishing) 5 What Do you Think? Which of the following activities would you consider to be projects? (ie one-off, non-repeated activity or set of tasks) • Developing a new, documented administrative procedure • Establishing a jointly agree protocol to review the quality of a service provided by a new supplier • Maintaining client records for a home cleaning service • Managing staff provision in an information centre • Transferring tasks from main outmoded computer installation to a new system • Setting up a quality assurance system. 6 What can go wrong if projects are not planned properly? Suggestions? Think about any assignments/presentations that you have been involved in. Could have answered: • Missed deadlines/not keeping to schedule or not having a schedule • Project fails or project delivers but not in line with original brief • Project team unhappy/stressed • Team roles not specified or delegated clearly contributing to conflict within the team • Outcome no longer required as environmental changes • Team unsure of project objectives and/or deliverables 7 Life Cycle of a Project Phase 1 – project definition – is completed by the production of the agreed project brief. Phase 2 – planning – is completed as a project plan, although this remains flexible in many ways and is revised during the progress of the project. Phase 3 – implementation – leads to an achievement of the project outcomes and to … Phase 4 – closure – and … Phase 5 – final evaluation (although evaluations should be done at each phase). NB The Classic Six-Stage Project Management Model is on NILE. 8 The Classic Six-Stage Project Management Model The Project Definition • All project management methodologies emphasise the importance of the successful initiation of a project through the use of a Project Definition which specifies: – the overall purpose of the project and its key objectives – the key deliverables of the project – the things it will produce, and will – timetable the work of the project broken down into a series of tasks. • The Project Definition thus provides a clear statement of what the project entails and can be used to make sure that everyone understands what it will do. 10 Planning the Project “Planning is an unnatural process; it is much more fun to do something. And the nicest thing about not planning is that failure is a complete surprise rather than being preceded by a period of worry and depression.” John Harvey-Jones 11 Stages of Planning for Projects 1. The activities that must be done 2. The order in which the activities must be done 3. The timing of each activity 4. The resources needed for each activity. Need to start with a detailed list of all activities that must take place in order for the objective to be achieved and then sub-divide the major project deliverables into smaller, more manageable components until what needs to be done is defined in sufficient working detail. 12 Some Project Management Techniques • Task (or Work) Breakdown Charts • GANTT charts • Logic Diagrams / Critical Path Analysis • Use of mind maps – preferred in the main by people who are visual learners rather than those who tend to like to work with lists (Source: Buzan, T. (1982) Use Your Head, London, Ariel Books ) • PRINCE2 methodology • Microsoft Project 13 Task (or Work) Breakdown Charts • This technique is a very logical approach to identifying the tasks involved in a project. Some people may find it suits them better than using mind maps; other people may find the techniques complement each other. The Project Element A Element B Element C 14 An Example – Planning the Careers Fair Careers Fair Agree on date with venue/team marketing exhibitors Book venue Agree & produce marketing materials Compile database Agree catering & other arrangements Promote event to students and academics Produce Fair Guide Email exhibitors Process exhibitors 15 GANTT Chart • named after its inventor, Henry Gantt. • useful tool for planning and scheduling projects as sets out what activities should be taking place and when. • allows for the assessment of duration of a project, resources needed and lays out the order in which tasks need to be carried out. • once project under way, useful for monitoring its progress as can immediately see what should have been achieved at any particular point in time and remedial action can then be taken to bring the project back on course. • Microsoft Project often used to produce GANTT Charts as allows for “what if” scenarios to test a variety of situations. 16 Exercise – the production of a directory Key stage Estimated time in weeks Dependency A Secure funds 0 B Negotiate with other agencies 4 A C Form advisory group 4 B D Establish data collection plan 6 C E Collect data 4 D F Write directory text 4 E G Identify printer 2 C H Agree print contract 2 G I Print directory 4 F 12 C K Organise distribution 4 J L Distribute directory 2 H, I ,K J Agree distribution plan 17 A B C D E F G H I J K L 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 To start you off…Gantt Chart Secure funds Negotiate with other agencies Form advisory group Establish data collection plan Collect data Write directory text Identify printer Agree print contract Print directory Agree distribution plan Organise distribution Distribute directory 18 A B C D E F G H I J K L 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 Gantt Chart Secure funds Negotiate with other agencies Form advisory group Establish data collection plan Collect data Write directory text Identify printer Agree print contract Print directory Agree distribution plan Organise distribution Distribute directory 19 Logic Diagram / Critical Path Analysis • Helps to decide the order in which to do elements of the project. • Additionally, if the time that each activity takes is known as are the activities that need to have been completed before this activity can take place, the shortest time in which a project can be completed – the Critical Path – can be determined. Any activities that are not on the critical path are known to have some slack – they can start and finish later than planned and the project can still be finished on time. 20 To start you off…Logic Diagram A Secure funds 0 B Negotiate with other agencies 4 L Distribute Directory 2 21 Logic Diagram/CPA Solution J Agree distribution plan 12 A Secure funds 0 B Negotiate with other agencies 4 C Form advisory group 4 D Establish data collection plan 6 K Organise distribution 4 E Collect data 4 G Identify printer 2 • F Write directory text 4 I Print directory 4 L Distribute directory 2 H Agree print contract 2 the critical path is A–B–C–D–E–F–I–L, and the earliest completion date for the project is the sum of the estimated times for all the stages on the critical path – 28 weeks – from the point of securing the funding. All the key stages on the critical path must be completed on time if the project is to be finished on schedule. 22 An example of a mind map (similar to fishbone diagram) 23 Microsoft Project 24 PRINCE2 - PRojects IN Controlled Environments • a process-based method for effective project management. • is a de facto standard used extensively by the UK Government and is widely recognised and used in the private sector, both in the UK and internationally. • The key features of PRINCE2 are: - Its focus on business justification - A defined organisation structure for the project management team - Its product-based planning approach - Its emphasis on dividing the project into manageable and controllable stages - Its flexibility to be applied at a level appropriate to the project. 25 Summarising: The 10 Rules All Project Managers Should Follow (1) 1. Set a clear project goal 2. Define accurate quality specifications 3. Break the project into sub-goals 4. Designate a lead-person for each sub-goal 5. Prepare Logic Diagrams, GANTT charts or similar 6. Research and identify possible risks and their impact and prepare contingency 7. Identify everyone you need to communicate with and keep everyone connected with the project appropriately informed (do not just rely on meetings) 26 The 10 Rules All Project Managers Should Follow (2) 8. Monitor closely the progress of the project (do not just rely on meetings) 9. Hold formal project meetings (do not just rely on corridor chats) 10.Motivate, recognise and reward throughout – be a good Project Manager NB Important to understand the people you are working with when working on a project. Some people concentrate on the detail and some concentrate on the bigger picture – all valuable attributes. Need to play to strengths. Belbin, Honey & Mumford, VAK, Myers-Briggs, etc are all useful tools 27 Short Break Organisational Boundaries Near environment (influence) Your organisation Internal environment (control) Far environment (respond) External environment In more detail... • The internal environment comprises the staff, resources and facilities within the organisation and is the environment that managers can control the most. • The external environment can be broken down into the near environment (customers, clients, contractors, suppliers and competitors) over which there is some influence and the far environment which refers to factors that can neither be controlled or influenced by an organisation and which can only be responded to. Examples of methods used to analyse a sector • SWOT analysis - measures a business unit, a proposition or idea • PEST (extended to PESTLE) analysis - most commonly measures a market • Porter’s five forces analysis SWOT analysis • a simple but widely used tool that helps in understanding the strengths, weaknesses, opportunities and threats involved in a project or business activity. • It starts by defining the objective of the project or business activity and identifies the internal and external factors that are important to achieving that objective: strengths and weaknesses are usually internal to the organisation, while opportunities and threats are usually external. SWOT Analysis – some prompts Strengths • What does your organisation do better than others? • What are your unique selling points? • What do you competitors and customers in your market perceive as your strengths? • What is your organisations competitive edge? Opportunities • What political, economic, social-cultural, or technology (PEST) changes are taking place that could be favourable to you? • Where are there currently gaps in the market or unfulfilled demand? • What new innovation could your organisation bring to the market? Weakness • What do other organisations do better than you? • What elements of your business add little or no value? • What do competitors and customers in your market perceive as your weakness? Threats • What political, economic, social-cultural, or technology (PEST) changes are taking place that could be unfavourable to you? • What restraints to you face? • What is your competition doing that could negatively impact you? Complete a SWOT analysis for an organisation you know ... PESTEL Analysis • P=political • E= economic • S=sociological • T=technological • E=environmental • L=legal 35 PESTEL Advantages...include • it is a simple framework • it facilitates an understanding of the wider business environment • it encourages the development of external and strategic thinking • it can enable an organisation to anticipate future business threats and take action to avoid or minimise their impact • it can enable an organisation to spot business opportunities and exploit them fully. PESTEL Disadvantages...include • some users over simplify the amount of data used for decisions – it is easy to use scant data • to be effective this process needs to be undertaken on a regular basis • the best reviews require different people being involved, each having a different perspective. • access to quality, external data sources can be time consuming and costly • the pace of change makes it increasingly difficult to anticipate developments that may affect an organisation in the future • the risk of capturing too much data is that it may make it difficult to see the wood for the trees and lead to ‘paralysis by analysis’ • the data used in the analysis may be based on assumptions that subsequently prove to be unfounded (good and bad). Complete a PESTEL analysis for an organisation you know ... Looking at the Near Environment ... Consists of: • The task environment – consists of the major participants in the performance of the organisation's task, such as suppliers, distributors and final buyers. • The competitive environment – consists of organisations which compete with the organisation for customers and scarce resources of all types. Source: Kotler, P (1980) Marketing Management: analysis planning and control, Englewood Cliffs, NJ, Prentice-Hall What constitutes a near environment? • Organisations can be thought of sharing a a near or microenvironment if they interact frequently , with which they frequently interact. These organisations will include customers, suppliers and competitors. Examples of the impact of the near environment on an organisation include: – competition for customers – competition for (or collaboration with) suppliers – competition for resources – competition (or collaboration) to influence external factors. Influences on the near environment Resource rivals • internal • political • financial Customer rivals • specialist • generalist • alternative Supplier rivals • in same industry • in other industries Porter's ‘five forces of competition’ • Much strategy is concerned with establishing and maintaining competitive advantage. • Porter's ‘five forces of competition’ helps with the analysis of the near environment. • This model is widely used as a means of understanding the structure of an industry or sector, and as a framework within which to identify possible structural changes. Source: Porter, M. E. (1980) Competitive Strategy: Techniques for Analysing Industries and Competitors, New York, Free Press Porter’s Five Forces- an overview New Entrants Threat of entrants Suppliers Bargaining power COMPETITIVE RIVALRY Threat of substitutes Substitutes Bargaining power Buyers The five forces are: 1. Supplier power. An assessment of how easy it is for suppliers to drive up prices. This is driven by: – the number of suppliers of each essential input – the uniqueness of their product or service – the relative size and strength of the supplier – the cost of switching from one supplier to another. 2. Buyer power. An assessment of how easy it is for buyers to drive prices down. This is driven by: – the number of buyers in the market – the importance of each individual buyer to the organisation – the cost to the buyer of switching from one supplier to another. – If a business has just a few powerful buyers, they are often able to dictate terms. The five forces are (contd): 3. Competitive rivalry. The key driver is the number and capability of competitors in the market. Many competitors, offering undifferentiated products and services, will reduce market attractiveness. 4. Threat of substitution. Where close substitute products exist in a market, it increases the likelihood of customers switching to alternatives in response to price increases. This reduces both the power of suppliers and the attractiveness of the market. 5. Threat of new entry. Profitable markets attract new entrants, which erodes profitability. Unless incumbents have strong and durable barriers to entry, for example, patents, economies of scale, capital requirements or government policies, then profitability will decline to a competitive rate. Porter's five forces diagram Threats of substitution e.g. • Buyer switching cost • Buyer propensity to substitute • Product differentiation Buyer power e.g. • Buyer information • Buyer volume • Buyer price sensitivity • Buyer switching costs • Bargaining leverage Rivalry e.g. • Number of competitors • Size of competitors • Industry growth rate • Differentiation • Exit barriers Threat of new entry e.g. • Switching costs • Economies of scale • Learning curve • Capital requirements • Patents Supplier power e.g. • Supplier concentration • Importance of volume to supplier • Cost relative to selling price Activity • Nando’s is in the process of considering making a bid to open an franchise at The University of Northampton. • In a group, complete Porter’s Five Forces and SWOT for Nando’s to help them decide whether the option is feasible. Rationale for the Resource-based Approach to Strategy • When the external environment is subject to rapid change, internal resources and capabilities offer a more secure basis for strategy than market focus • Resources and capabilities are the primary source of profitability. Key Elements of Business Strategies • Understanding Resources, Capabilities, and Competencies is the key: Selecting a business strategy that exploits valuable resources and distinctive competencies (ie. competitive advantages) Ensuring that all resources and capabilities are fully employed and exploited Building and regenerating valuable resources and distinctive competencies - competitive advantages Robert Grant: Resources-Capabilities Model Competitive Advantage Strategy Key Success Factors Organisational Capabilities Resources Tangible (physical, financial) Intangible (technology, reputation, culture) Human (skills & knowledge, communication & interaction, motivation) Applied to self: shortlisted SUCCESS! Competitive Advantage source, types of employer & roles, research, etc Strategy interview CV body – quals, work history, interests etc restrictions IT skills, references, family background location, progression, what, rewards, sector Key Success Factors Letter of application Organisational Capabilities CV profile achievements Resources liquidity Tangible (physical, financial) Intangible (technology, reputation, culture) Human (skills & knowledge, communication & interaction, motivation) qualifications, volunteering, work experience interpersonal skills, perseverance, tenacity Resource Tangible Resources Intangible Resources Human Resources Characteristic Indicator Financial Borrowing capacity Internal funds generation Debt/Equity ratio Credit rating Net cash flow Physical Plant and equipment: Size, location, technology flexibility. Land and buildings Raw materials Market value of fixed assets. Scale of plants Alternative uses for fixed assets Technology Patent, copyrights, know how, R&D facilities Technical and scientific employees No. of patents owned Royalty income R&D expenditure R&D staff Reputation Brands. Customer loyalty, company reputation (with suppliers, customers, government) Brand equity Customer retention Supplier loyalty Training, experience, adaptability, commitment and loyalty of employees Employee qualifications, Pay rates, turnover Prerequisites for success What do customers want? How does the organisation survive competition? Analysis of demand • Who are our customers? •What do they want? Analysis of competition • What drives competition? • What are the main dimensions of competition? •How intense is the competition? •How can we obtain a superior competitive position? KEY SUCCESS FACTORS A Framework for Analysing Resources and Capabilities 4. Develop strategy implications: (a) In relation to strengths-How can these be exploited more effectively and fully? (b) In relation to weaknesses -Identify opportunities to outsourcing activities that can be better performed by other organizations. -How can weaknesses be corrected through acquiring and developing resources and capabilities? 3. Appraise the firm’s resources and capabilities in terms of: (a) strategic importance (b) relative strength STRATEGY POTENTIAL FOR SUSTAINABLE COMPETITIVE ADVANTAGE 2.Explore the linkages between resources and capabilities CAPABILITIES 1. Identify the firm’s resources and capabilities RESOURCES Activity • In a group, consider the various elements that make up the Resources-Capabilities model and apply it to Nando’s. Defining Organisational Capabilities Organisational Capabilities = firm’s capacity for undertaking a particular activity. (Grant) Distinctive Competence = things that an organization does particularly well relative to competitors. (Selznick) Core Competence = capabilities that are fundamental to a firm’s strategy and performance. (Hamel and Prahalad) Assignment 4 – Project Management & Company Research 1. Complete the Project Management Homework Activity 2. Complete the Company Research brief This assignment must be emailed to [email protected] by 19th March 2014 THIS ASSIGNMENT IS ASSESSED Decide which careers workshop you want to attend… Workshop 5 – Final workshop of the programme • 5A - CVs and Cover Letters – Weds 12th March – Park campus OR • 5B - Interviews and Assessment Centres – Weds 19th March – Avenue campus Please sign up now 58 Final Assignments Need assistance? Final Assignments – • CV & covering letter/book a mock interview (after workshop 5B) • Complete your ‘Meet the Real Me’ CV • Complete your BCU skills audit These assignments must be emailed to [email protected] by Friday 28th March 2014 Email: [email protected] Phone: 01604 893241 Blog: http://mypad.northampton.ac.uk/employabilityaward/
© Copyright 2024