PROJECT MANAGEMENT:
Session 2

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PROJECT MANAGEMENT: Session 2 Outline:
• Session 1 Review • Questions about the Ch 1 Exercise. • Session 2: Alignment of Projects with the Organization Strategy. • The strategic management process • The project portfolio management system • The selection model

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PROJECT MANAGEMENT: Session 2:
• Why do we need to align the projects with the organization strategy?
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Project managers must respond to changes with appropriate decisions about future projects and adjustments to current projects.

– Project managers who understand their organization’s strategy can become effective advocates of projects aligned with the firm’s mission.
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PROJECT MANAGEMENT: Session 2:
• The mistakes managers tend to make for not understanding the organization’s strategy
– Focusing on low priority strategic projects – Focusing on the immediate customer rather than the whole market – Overemphasizing on technology as an end in and of itself – Trying to solve every customer’s issue rather than applying the Pareto’s Law. – Engaging in a never ending search of perfection that the customer doesn’t care about.

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PROJECT MANAGEMENT: Session 2:

Strategic Management:
It’s the process of assessing “what we are“ and deciding and implementing “what we intend to be” and “how we are going to get there”

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PROJECT MANAGEMENT: Session 2:
Strategic Management Overview:
– Provides the theme and focus of the future direction for the firm.
• Responding to changes in the external environment— environmental scanning • Allocating scarce resources of the firm to improve its competitive position—internal responses to new action programs

– Requires strong links among mission, goals, objectives, strategy, and implementation.

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PROJECT MANAGEMENT: Session 2:
Strategic Management Activities:
1. Review and define the organizational mission 2. Set long-range goals and objectives. 3. Analyze and formulate strategies to reach