Module

Project Cycle &

Management
Course:

Overview and introduction

Annette Bos
UNESCO-IHE Delft
UNESCOEmail: a.bos@unesco
a.bos@unesco--ihe.org
Phone: extension number 770
Room number: W.325
Slide 1

Lecture Outline

Introduction
Aim project management module
Outline of module
Course works (marked assignments)

Topics for today

Introduction to PM
Project & the Project Cycle
Management & Project (Cycle) Management

Slide 2

Aim of module

Slide 3

To provide participants with an understanding of

essential elements within project management. It will
consider the organisational and people issues
surrounding projects and will give a practical insight
into concepts, tools and techniques.

Slide 4

Didactics

Lecturers (1 of 2)

Lectures
Cases
Workshop
Field trip

Name

Background

A. Bos

Module Coordinator UNESCO -IHE

Water Services Management

E. Hes

Office of the Director

D. Bjrdanovic

Urban Sanitation

F. Jaspers

Water and Environmental Law and Water

Engineering

M. De Lange

Transport Planning and Economics

Slide 5

Lecturers (2 of 2)
Name

Background

R. De Heer

Project Management and Hydraulic Engineering

O. Braadbaart

Urban Management, University of Wageningen

Slide 6

Schedule Week 1 (about 24 hours)

Day 1 Tuesday November 30, 2004: 6 hours (Bos)

09:45 - 16:30: Introduction Project Cycle Management

Day 2 Wednesday December 1 , 2004: 5 hours

08:45 - 12:30: Terms of Reference ( Hes

Hes))

13:45 - 14:30: Terms of Reference ( Bjrdanovic

Bjrdanovic))
Day 3 Thursday December 2, 2004: 7 hours ( Bjrdanovic
Bjrdanovic))

08:45 14:30: Introduction to project preparation and

scheduling
Day 4 Friday December 3,
3, 2004: 6 (+ 2) hours (Jaspers)

08:45 17:30: Contract Management

Slide 7

Slide 8

Schedule Week 2 (about 26 hours)

Schedule Week 3 (about 22 hours)

Day 10/11/12

Day 5 Monday December 6, 2004: 2 hours (de Lange)

10:45-- 12:30: Project Appraisal

10:45

Day 6 Tuesday December 7, 2004: 6 hours ( de Lange / B o s)

s)

08:45-- 10:30: Project Appraisal

08:45

10:45-- 15:30: The Project Manager

10:45

Monday / Tuesday / Wednesday

December 13 - 15, 2004
Deepening of topics

Day 13 Thursday December 16

16,, 2004: 4 hours ( Braadbaart
Braadbaart))

08:45-- 12
08:45
12:30:
:30: Procurement
Day 14 Friday December 17
17,, 2004: 6 hours

Field Visit High Speed Line

Day 7/8 December 8/9,

8/9, 2004: 12 hours

9:45-- 16:30: Objective Oriented Project Planning

9:45
Day 9 Friday December 10, 2004: 6 hours ( B o s)
s)

09:15-- 10:30: Presentations

09:15

10:45-- 16:30: Logical Framework

10:45

Slide 9

Slide 10

Marked Assignments + Exam

Deepening of topics

Date

Topics

Topics

Topics

13,14,15
December

Project
Preparation
and
Scheduling

Project
Appraisal and
Cost Benefit
Analysis

Risk and
Contract
Management

Slide 11

Assignment 1: Writing a Terms of Reference and

LogFrame
To be submitted by December 13th
Assignment 2: Deepening of topics in last week
To be submitted by December 17th before going on
excursions
Exam, 3th of January 2004

Slide 12

Project Cycle Management module

Conventional
PM

Development
related issues

Projects
Interaction

Large Group

Sharing of
experiences
Tools

Slide 13

Defining a project

Key characteristics of a project

A set of interinter-related tasks that are undertaken by an

organisation to meet defined objectives, that have an
agreed start and finish time, is constrained by cost and
has specified performance requirements and
resources (Association of Project Management, UK).

Slide 15

a project is a unique undertaking

projects have specific objectives or goals to achieve
projects require resources and the effort of people
projects have budgets and schedules
measures of quality will apply

Slide 16

Project Management Triangle

Project Management Diamond

Time

Time

Quality

Scope

Quality

Expectations

Cost

Cost
Scope
Slide 17

Slide 18

Projects vs Programmes
Scope /
Quantity

Quality

Practitioners often describe

COST

Time

a project as a particular development activity that

in or referring to.

they ar e involved

a programme to denote a sector development initiative where the

the
scale of planning and operation invariably involves the
implementation of a number of related project that are directed
directed
towards the same or similar development goal(s).

Participation

Tension in projects between

Quality/Scope/Time/Participation/Costs

Slide 19

Slide 20

Why Projects?
What is the purpose of projects?
This is unique at the detail level; but is always
about delivering (and often SUSTAINABLE)
change. The deliverable(s) may be physical or
logical objects, and will include information.
The purpose of the project may seem to be
different from the different viewpoints of the
customer, supplier, designer, constructor,
operator It is important to reconcile these
different views.

What are aspects contributing to

project success?

Slide 21

Aspects contributing to project success include:

Slide 22

Sustainability

(DFID, 1998)

Sustainability
Effectiveness
Equity
Efficiency

(O & M)
(degree that intervention
meets objectives)
(poor / rich - men / women)
(output produced per unit)

Slide 23

What is sustainable development?

What are advantages and disadvantages of
sustainable development?
What are aspects of sustainability?

Slide 24

What is sustainability?

Sustain to cause to continue (as in existence or a certain

state, or in force or intensity); to keep up, especially
without interruption diminution, flagging, etc.; to
prolong

In developmental terms
..development that meets the needs of the present
without compromising the ability of future generations to
meet their own needs

In water and sanitation sectorial terms

water supply and sanitation interventions continue to
operate satisfactorily and generate benefits over their
planned life

World Commission on the Environment and Development

Webster's New International Dictionary.

(Springfield, Mass.: Merriam -Webster Inc., 1986)

Abrams

Slide 25

Sustainability in Project Phases

A service is sustainable when:

Slide 26

it functions and is being used

it is able to deliver an appropriate level of benefits
it continues over a prolonged period of time
its management is institutionalised
its operation,maintenance,administrative and
replacement costs are covered
it can be operated and maintained
it does not affect the environment negatively.

Source: Operation and Maintenance Systems,

IRC & WHO (2000)

Adapted from: Operation and Maintenance Systems, IRC & WHO (2000)
(2000)

Slide 27

1&2

Development reaches sustainability

Unsustainable development

Slide 28

Processes which are likely to influence

sustainability

Aspects influencing sustainability

Policy support
Appropriate technology
Environmental protection
Socio--cultural aspects
Socio
Institutional and management capacity
Economic and financial viability

Demand from customers

Responsiveness from governments, donors, etc.
Participation of stakeholders
Linking technology choice with O & M
Integrated planning
Planning with a gender perspective
Decentralisation of responsibilities
Capacity building
Public Private partnerships
Adapted from: Operation and Maintenance Systems, IRC & WHO (2002)
(2002)

Slide 29

Why chosen an integrated approach to project

management?

To achieve sustainable projects an integrated

approach of the following aspects is advocated.

Slide 30

Social
Health and Hygiene
Technical
Economical &
Financial
Institutional
Environmental

Slide 31

If service provision objectives are having sustainable

projects then...
we want it to be sustainable in all aspects otherwise
it will not work in the long term.

Slide 32

Projects vs. Services

One of the recurring reasons why sustainability is often

a problem is that it is not necessarily an objective!
One is an event whilst the other is an ongoing process
One provides a once
once--off product (pipes in the ground)
which is essentially technical in nature and requires little
human interaction, whilst the other is a complex process
requiring a great deal of interaction between
customers/consumers, providers, local authority etc.
The project is in fact just a phase in the process of
service provision.

Project Cycle

Slide 33

The Project Cycle

The Project Cycle

Policy

Goods &
Services

Idea

Identification
Formulation/preparation
Appraisal
Implementation & monitoring
Operation & monitoring
Evaluation

Evaluation

Identification

Operation,
Monitoring

Planning
and
Preparation

Implementation,
monitoring

Slide 35

Appraisal

Slide 36

Pre-investment phase (1)

Project Cycle Activities

Pre--investment phase
Pre

Project identification

Project formulation/preparation

Project appraisal
Project approval and financing

Project Identification
Examination of the development strategy and
potential of the society as a whole and of individual
priorities.
Study of the environment (internal and external)
The level of technology:
Identify problems in need of attention
Identify the factors causing the problems.
Examine possible solutions,
Identify possible project activities to solve the
problems.

Policy

Identification
Evaluation

Investment phase

Detailed engineering /design

Construction/installation

Monitoring

Operation,
Monitoring

Planning
and
Preparation

Post--investment phase
Post

Project operation

Project evaluation

Implementatio
n, monitoring

Appraisal

Slide 37

Slide 38

Investment/implementation phase

Pre-investment phase (2)

Project Preparation Preliminary, pre -feasibility, feasibility study
Investigation whether project is market, social,
technical, financial, economic and operational
viable
Appraisal and financing
Major aspects project social, technical,
institutional, economic, and financial
Negotiation

Slide 39

Acquiring materials
Starting construction/installation/rehabilitation etc.
Monitoring and supervising the way various activities are
being carried out.
Providing decision makers with up -to date information on
the process of work and on the quality of performance of
the project etc.

Slide 40

10

Post Investment Evaluation Phase

Alternative Project Cycle Phases

Appraisal and study of how activities have been carried

out
Lessons learned.

Concept and initiation

Design and development
Implementation
Commissioning and handover
Large projects, are frequently a series of separate projects, wi th
no commitment to proceed to subsequent phases; in which case
an early project is likely to be a feasibility study for an idea .

Slide 41

Slide 42

POTENTIAL TO ADD VALUE vs COST OF CHANGE

GENERIC PROJECT LIFE-CYCLE ()

Concept

Design

Implement

Comm

Operation

Accumulative Effort
Level of influence

Potential to add value

Plan
Phase 1
CONCEPT
Conceive

Total Project Life Cycle

Time

Phase 2
DEVELOPMENT
Develop

Cost of change

Accomplish

Phase 3
Phase 4
IMPLEMENTATION TERMINATION
Execute
Finish

Concept
Design
Implement
Commission
Cost of change one
Slide 43

$1

$10

$100

$1000
Operation Phase

Slide 44

11

Key components of any project cycle are (summary):

identification

defining the need / goals / purpose

planning and preparation

identifying the inputs, activities,

outputs and assumptions to
achieve the goal / purpose

appraisal

conducting appraisal and or

assessment of plans to check
implementation of them is
appropriate

Implementation

facilitating actual activities to

achieve the goal purpose

monitoring and evaluation

tracking progress and conducting

summative assessment of work in
progress and project impact

Source PMI 1996

Slide 45

Slide 46

Blueprint vs Process Approaches

Blueprint; outputs and activities are defined at very early

stage in project cycle and does not leave any room for
innovation, a 2 -way dialogue and improvement.
Process; wider objectives are defined from outset, project
inputs and outputs are not set in stone (allows for more
flexibility).

Operational mode
Point of departure/reference
Key words
Goal and objectives
Decision making
Analytical assumptions
Methods, rules
Technology
Interactions by professionals with
local people
Local people seen as being
Force flow
Outputs
Planning and action

Blueprint

Process

Things
Detailed plans and schedules
Pre-set, closed
centralised
red uctionist
Standardized, universal
Fixed package
Instructing motivating

People
Participation
Evolving open
Decentralised
Systems, holistic
Divers, local
Varied basket
Enabling, empowering

beneficiaries
Supply driven -push
Uniform, infrastructure
Top-down

Partners, actors
Demand responsiveness-pull
Diverse, capabilities
Bottom-up

Blueprint VS Process approaches

Source: Coates and Sansom 1999
cited Chambers 1997 adapted from Korten

Slide 47

Slide 48

12

How to be accountable, consistent and how to

ensure value for money when there is a focus on a
flexible learning process?

Thus a process approach is a

means to enable adequate
participation, learning and
contributions to decision making by the
key project stakeholders, so that there
is sufficient local motivation and
capacity for ongoing sustainable
management of the new project or
facilities.

agreement of objectives

progress monitoring against objectives

budgets should agree on participation and

learning aspects

agreement of project rules (placing upper limit on

community mobilisation/learning costs,
encouragement of equitable approach, demand
responsive approach)

Slide 49

Underlying principles to allow process approach

within project cycle.

the use of demand responsive approach

no activity occurs in social and/or environmental isolation
emphasis should be placed on dialogue and joint activities
with partners and other stakeholders.
empowering of communities through the promotion of
partnerships and ownership
water should be recognised as a scarce and valuable
resource which must be paid for, with the priority of the
poor for affordable services that meet their basic needs
a wide range of technical, institutional and financial option
should be considered
capacity building should be undertaken to enable
stakeholders to participate as equal partners in decision
making (DFID, 1998)
Slide 51

Slide 50

What is management?

Management is a process involving a mix of

rational, logical decision making and problemproblemsolving activities and intuitive, judgemental
activities
(principles of management)

Management is the cornerstone of project

effectiveness, being concerned with
arrangements for the carrying out of project
processes and the execution of work to achieve
project objectives
(Coates and Sansom )
Slide 52

13

What is the purpose of management?

Controls

Plans

Directs

Organises

Management &
Project Management

A manager decides what has to be done

and then gets other people to do it!
Slide 54

Planning

Assessing what must be done to achieve an aim.

Thinking ahead, setting goals and making decisions about how to achieve
them

Preparation of plans, annual budgets and work programmes

Organising

Grouping into a systemic whole, arranging, preparing, etc

Describing work, selecting people to do the work.

Providing the organisation with everything it needs to operate

Directing

In general:

Directing is how organising is achieved, through directing subordinates

subordinates and
harmonising activities for successful results. It includes coordination,
coordination,
motivation of staff, communications.

management is about the process of getting

work done, by other people to do theirs and
achieving goals and objectives

Controlling

Making sure things happen the way they were planned.

Measuring achievement against goals, resolving problems, reporting.
reporting.
Fayol & Taylor
Slide 55

Slide 56

14

Defining Project Management

Project Management

Management is an activity, and is about having effective

leadership, planning and control; so project management is

about having effective leadership, planning and control of a
project
... a dynamic process, conducted within a defined set of
constraints (plan, budget, time), that organises and utilises
appropriate resources in a controlled and structured manner in
order to achieve some clearly defined objectives.

Whats it for?
So that the predicted outcome is achieved, or
changed in an agreed, effective and controlled
manner.

How do we do it?
This course will give you an understanding of the
things that need to be managed and controlled,
and the methods and techniques for doing it.

an integrated activity dependent on the ability to ensure tha t

the efforts of projects staff are coco- ordinated and guided towards
the achievement of the projects objectives. (Coates & Sansom
Sansom,, 1999)
.

Slide 57

Project management incorporates:

Slide 58

Management in project cycle

the management of people,

the management of finance,
the management of operations,
the management of information,
but it also involves a sense of role for purpose (not
loosing the goal).

Slide 59

Planning
Set objectives, survey resources, formulate
strategy, formulate questions concerning project
relevance, feasibility & sustainability
Execution
Allocate resources, guide execution, coordinate
efforts, motivate staff, monitor
Monitoring and Evaluation
Measure achievement, compare with goal. Report
to resolve problems, feedback and lessons
learned
Slide 60

15

Project Cycle Management (PCM)

PCM provides a consistent approach at all stages of the
project cycle ensuring that the focus stays on the
beneficiary, that a comprehensive overview of the project
is available at all times and that monitoring and evaluation
takes place effectively. This approach enhances the
feasibility, relevance and sustainability of projects.

Project Management through

Project Cycle Management

Slide 62

Why IMPROVE the management of the project

cycle? (1)

Principles of PCM

Poor project planning and preparation

Many projects not relevant to beneficiaries
Risks were insufficiently taken into account
Factors affecting the longer - term sustainability of project benefits
were ignored
Lessons from past experience were rarely incorporated into new
policy and practice

Slide 63

Adherence to the phases of the project cycle

Client orientation
Incorporation of aspects of sustainability into project
design
Use of Logical Framework Approach
An integrated approach

Slide 64

16

As a project manager you need to:

The project manager

manage the team of people who will be part of the project

for its whole duration
identify and manage stakeholders of all descriptions
manage the risks involved in the project and plan the
project in an appropriate way
resolve problems as they occur
ensure an acceptable outcome of the project

Slide 66

This means you need a range of skills in:

project management tools and techniques

understanding of how to deal with different
stakeholders
This is a much wider set of actors than the
immediate beneficiaries of the project
appropriate personal and management skills such as
leadership, people management, communication,
negotiating, planning, contract management, problem
solving, creative thinking
Will be continued..
Slide 67

17