Project Types, Structure & Cycle-2

 Commercial / For Profit Projects
 Profit –oriented criteria

 Project manager guides the project through its entire
life cycle
 Government / Non-Profit Projects
 No profit incentive
 Project manager role is largely administrative
Types of Projects
Project Classification based on application area
 Construction Projects
 Procurement Projects
 Business Implementation Projects
 Research Projects
 Reengineering Projects
Construction Projects
The Construction type of projects produce ‘artefacts’
which means useful or decorative man-made items.
Ex: Automobile Industry, IT Park, Laying express way..

Procurement Projects
A procurement project produces a contractual based
business relationship with selected suppliers for a
defined product or service on a fixed specifications.
Ex: Outsourcing a project, outsourcing a business

functions like processing, recruitment...
Business Implementation Projects
This type of projects produce an operationally effective
process. The value generated by the project is
embedded in the process.
Ex: ERP software in automobile company, e-commerce

in chain stores.
Research Projects
The research projects produce knowledge based objects.
Knowledge may be represented as models, patterns,
patents, equations...
Ex: Economic Models, Hybrid variety of paddy, Complex

algorithm.
Reengineering Projects
Reengineering projects will bring a change in an
existing system or process.
Ex: Issuing Aadhar cards to the citizens, Computerised

land records, improves production processes.
Project Classification based on Product
 Tangible Product Project
 Intangible Product Project

Tangible Products
A tangible project is one in which the primary value is in
the physical artefact(entity).
Ex. New Express Highway
Intangible Products
A tangible project is one in which the primary value is in
its intellectual property(content)
Ex. Software, new process

Project Classification based on Nature of
work
 Craft work Project
 Intellect work Project

Craft work Project
Craft work is an activity that fundamentally repeats the
previous activity with minor changes or improved
versions.
Ex. Assembling a four-wheeler
Intellect Work Projects

It is the work that requires substantial creative effort/
education. Not repetitive and requires new ideas and
imaginations.
Ex. Developing new theories, New products, New
process.
Classification of projects based on the characteristics
Class – I
Class – II
Class – III
Class - IV
Class – I Class – II Class – III Class - IV
More than 18 Between 9 to 18 Between 3 to 9 3 Months or
Time Span
Months Months Months less
Level of Risk High Medium Low Very Low
Level of High Medium Low Very low

Complexity
Technology Breakthrough Contemporary Best Practical
Probability of 100% certain 50% Likely 10% low No Risk

Problem
Types of projects
• Originally project management techniques
tended to be applied to large construction or
defence projects
• Many new style projects exist which vary in
size, length and complexity. They can include
installing ICT systems, office moves, testing a
new product, acquiring or merging with
another organisation, an internal change
programme and a host of other areas of work
 Constructing highways,
bridges, tunnels and dams
 Erecting skyscrapers, steel
mills, and homes
 Organizing conferences and
conventions
 Managing R&D projects
 Running political campaigns,
war operations, and
advertising campaigns
Control Flow
Information Flow Chief Executive
First Level Manager

(“Front-Line Manager”)
A B
Project Members
A wants to talk to B: Complicated Information Flow

A wants to make sure B does a certain change: Complicated Controlflow
Basis of organization:
Complicated information and control flow
across hierarchical boundaries
Chief Programmer
Assistant
Chief Programmer
Senior Programmer Librarian Administration Tester
Junior Programmer
Analyst
Tester Programmer
Designer Librarian
Project
Leader
Coaches
Subsystem Team Subsystem Team Subsystem Team
A B Team
Members
A wants to talk to B: Communication Flow

A wants to make sure B does a certain change: Decision Flow
Basis of organization:
Nonlinear information flow across dynamically formed units
 Reporting association:
 Used for reporting status information
 Decision association
 Used for propagating decisions
 Communication association
 Used for exchanging information needed for decisions
(e.g., requirements, design models, issues).
Hierarchical structures
 “Reports”,“Decides” and “Communicates-With” all
mapped on the same association
 Do not work well with iterative and incremental software
development process
 Manager is not necessarily always right
Project-based structures
 “Reports”, “Decides” and “Communicates-With”are
different associations
 Cut down on bureaucracy reduces development time
 Decisions are expected to be made at each level
 Hard to manage
 Projects with high degree of certainty, stability,
uniformity and repetition.
 Requires little communication
 Role definitions are clear
 When?
 The more people on the project, the more need for a
formal structure
 Customer might insist that the test team be independent
from the design team
 Project manager insists on a previously successful
structure
 Project with degree of uncertainty
 Open communication needed among members
 Roles are defined on project basis
 When?
 Requirements change during development
 New technology develops during project
 Initiate the project
 Identify the Project Manager
 Develop the Project Charter
 Conduct a Feasibility Study
 Define Planning Phase
 Sign off on the Project Charter
 Organize and staff the project
 Develop a Project Plan
 Sign off on the Project Plan
 Execute the Project Plan
 Manage the Project Plan
 Implement the project’s results
 Sign off on project’s completion
 Document the lessons learned during the
project
 After-implementation review
 Provide performance feedback
 Close-out contracts
 Complete administrative close-out
 Deliver project completion report

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 Commercial / For Profit Projects

 Profit –oriented criteria

Ex: Automobile Industry, IT Park, Laying express way..

Ex: Outsourcing a project, outsourcing a business

Ex: ERP software in automobile company, e-commerce

Ex: Economic Models, Hybrid variety of paddy, Complex

Ex: Issuing Aadhar cards to the citizens, Computerised

 Tangible Product Project

 Intangible Product Project

Ex. New Express Highway

Ex. Software, new process

 Craft work Project

 Intellect work Project

Intellect Work Projects

Level of High Medium Low Very low

Technology Breakthrough Contemporary Best Practical

Probability of 100% certain 50% Likely 10% low No Risk

First Level Manager

A wants to talk to B: Complicated Information Flow

Senior Programmer Librarian Administration Tester

Subsystem Team Subsystem Team Subsystem Team

A wants to talk to B: Communication Flow

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