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PROJECT
MANAGEMENT &
BUSINESS PLANNING
PROCESS

2. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Organisations under take
RISK when they need to
achieve their business
objectives more effectively.
Expand ONLY when the
potential benefits out weight
the risk involved.

3. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
 All projects should therefore
arise from a need to fulfil two
main factors such as:
1. Specific Strategic Objectives
2. Achieve competitive advantages

4. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
The business planning process has
four essential steps:
Remember ‘MOST’
Mission Statement
 States the reason for the
organisations existence;
 Initiates the business planning
process;

5. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Objectives are:
 The position;
 In quantities terms;
 In qualitative terms;
 that the organisation wishes to reach;
 Must be in a stated period of time.

6. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Strategies to consider:
 Design to achieve the objectives
such as:
 A set of budgets
 Clear goals
 Achievable targets
 Statement for needs.

7. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Covering all aspects of the business
such as:
 People
 Premises
 Organisations
 Capital
 Cash.

8. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Tactical plans
Individual plans to achieve items such as:
 Defined goal
 Operations and Projects
The plan describes how the organisation
will achieve each element of the strategic
plan.

9. Tactical plans
1
• Defined goal
2
• Operations and Projects
3
• Achieve each element of the
strategic plan

10. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS

11. PROJECT MANAGEMENT
BUSINESS PLANNING PROCESS
Another way to look at Business plan
 Remember ‘COST’
 C Commitment by all concerned to the project
 O Objectives being clear to all-Scope and
Mission
 S Strategy to meet the objectives-Milestone
Plan
 T Tactical-activities found necessary to
achieve to each milestone and solve Problems

14. P7

15. FUNCTION OF PROJECT MANAGEMENT
FUNCTION OF MANAGEMENT TEAM
 The basic Management Principles
described by Henri Fayol are:
 To plan
 To organise
 To co-ordinate
 To control
 To lead

16. FUNCTION OF PROJECT
MANAGEMENT
FUNCTION OF
PROJECT
MANAGEMENT
To leadTo controlTo co-
ordinate
To
organiseTo plan

17. FUNCTION OF PROJECT MANAGEMENT
The function of Management Team
in more detail are:
To establish the clients
objectives and priorities issues
such as:
 brief formulation;
 client organisation;
 approval powers.

18. FUNCTION OF PROJECT MANAGEMENT
Design Project Organisation
Such as:
 organisation chart;
 decision point;
 Relationships;
 feed back.

19. FUNCTION OF PROJECT MANAGEMENT
Integrate Client into the
project
client organisation
integrated into project
organisation;
people responsibilities;
decision processes.

20. FUNCTION OF PROJECT MANAGEMENT
Selection and appointment of
Contributors
 identify contributors;
 identify input required;
 identify when input required and
duration;
 record types of appointment.

21. FUNCTION OF PROJECT MANAGEMENT
Full brief formulation process
 Establish need, budget, cost
plan, cost limit, procurement
route.
 Start value engineering.
 Programme formulation.
 The overall project programme.

22. FUNCTION OF PROJECT MANAGEMENT
The phase or stage programme
The design programme.
The procurement programme.
The construction programme.
The commissioning
programme.

23. FUNCTION OF PROJECT MANAGEMENT
Activation of the relationships
between contributors
 Ensure contributors are brought
in and integrated into the project
organisation.
 Ensure contributors can perform
as required.

24. FUNCTION OF PROJECT MANAGEMENT
Establish appropriate information
and communication structure by:
 establishing a full project
procedures manual containing;
 description of formal
communication cannel;

25. FUNCTION OF PROJECT MANAGEMENT
change requests and instructions;
drawings framework;
co-ordination project information
system;
Address index of all contributors.

26. FUNCTION OF PROJECT MANAGEMENT
Convening and chairing meetings of
contributors at all stages such as:
 Judging the need and frequency;
 Who needs to attend;
 Agenda setting;
 Minutes and action.

27. FUNCTION OF PROJECT MANAGEMENT
Monitoring and controlling
 Pro-active role;
 Obtaining feedback and under taking
analysis;
 Testing outcomes to objectives and
taking corrective action;
 Forecasting;
 Integrating and controlling contributors.

28. FUNCTION OF PROJECT MANAGEMENT
Managing completion
 Commissioning programme;
 Training of user;
 As built drawings-user maintenance
manuals;
 Strategy for occupation or disposal.
Evaluation of outcomes
 Success in achieving objectives;
 The final feedback loop;

29. FUNCTION OF PROJECT MANAGEMENT
SYSTEMATIC APPROACH TO ANY
PROJECT
 Royal Institute of British Architects
(RIBA PLAN OF WORK)

30. TACTICAL PLANS
M is s io n 5
y e a r s
o b je c tiv e s
S tr a te g ie s
T a c tic a l
p la n s
T a c tic a l
le v e l(a c tiv itie s )
S tr a te g ic le v e l
( m ile s to n e s )
I n te g r a tiv e
le v e l
( p u r p o s e a n d
o b je c tiv e s
R E L A T I O N S H I P B E T W E E N C O R P O R A T E P L A N A N D P R O J E C T P L A N
P r o je c t M is s io n , S c o p e , O r g a n iz a tio n
M ile s to n e s
E v e n t o rie n ta te d
A c tiv it y o rie n t a te d

31. RIBA PLAN OF WORK
Appraisal
1 Carry out studies to determine the
feasibility of the Client's requirement.
2 2A Review with client alternative design
and construction approaches and the
cost Implications.
3 2B Provide information for report on cost
implications.

32. RIBA PLAN OF WORK
B Strategic Brief
1 Receive strategic brief prepared by the client.
C Outline Proposals
1 Commence development of Strategic Brief into
Project Brief
2 Prepare Outline Proposal
3A Provide an approximation of construction
costs. OR
3B Provide information for cost planning.

33. RIBA PLAN OF WORK
 4 Obtain Client approval to Outline
Proposals and approximate construction
cost.
 5 Co-operate with Planning Supervisor
where applicable.

34. RIBA PLAN OF WORK
D Detailed Proposals
1 Complete developments of Project Brief.
2 Develop the Detailed Proposal from
approved Outline Proposals.
3A Prepare a cost estimate. OR
3B Provide information for preparation of
cost estimate.
4 Consult statutory authorities.

35. RIBA PLAN OF WORK
 5 Obtain Client approval to the Detailed
Proposal showing spatial arrangements,
material and appearance, and a cost
estimate.
 6 Prepare and submit application for full
planning permission.

36. RIBA PLAN OF WORK
E Final Proposals
 1 Design Final Proposals from approved
Detailed Proposals.
 2A Revise cost estimate.
 2B Provide information for revision of cost
estimate.
 3 Consult statutory authorities on
developed design proposals.

37. RIBA PLAN OF WORK
 4 Obtain Client approval to type of
construction, quality of materials, standard
of workmanship and revised cost
estimate.
 5 Advise on consequences of any
subsequent changes on cost and
programme.

38. RIBA PLAN OF WORK
F Production Information
1 Prepare production information for tender
purposes.
2A Prepare schedules of rates and/or
quantities and/or schedules of works for
tendering purposes and revise cost
estimate. OR

39. RIBA PLAN OF WORK
 2B Provide information for preparation of
tender pricing documents and revision of
cost estimate.
 3A Prepare and make submissions under
building acts and/or regulations for other
statutory requirements. OR
 3B Prepare and give building notice under
building acts and/or regulations (not
applicable in Scotland).

40. RIBA PLAN OF WORK
 4 Prepare further production information
for construction purposes.
G Tender documents
1 Prepare and collate tender documents in
sufficient detail to enable a tender or
tenders to be obtained.
2 Where applicable pass final information
to Planning Supervisor for pre-tender
Health and Safety Plan.

41. RIBA PLAN OF WORK
 3A Prepare pre-tender costs. OR
 3B Provide information for preparation of
pre-tender cost estimate
H Tender Action
1 Contribute to appraisal and report on
tenders negotiations.
2 If instructed revise production information
to meet adjustments in the tender sum.

42. RIBA PLAN OF WORK
J Mobilisation
1 Provide production information as
requested for the building contract and for
construction.
K Construction to Practical Completion
1 Make visits to the works in connection
with the Architect's design.

43. RIBA PLAN OF WORK
 2 Provide further information reasonable
required for construction.
 3 Review design information from
contractors or specialists.
 4 Provide drawings showing the building
and main lines of drainage and other I
information for the Health and Safety File.

44. RIBA PLAN OF WORK
 5 Give general advice on operation and
maintenance of the building.
L After Practical Completion.
1 Identify defects and make final
inspections.
2A Settle Final Account. OR
2B Provide information required by others
for settling final account.