Posts Tagged ‘Scope management’

Project Management: Cost ‘n’ Price Relationship

Friday, June 12th, 2009

One of the things that we believe to be important for project management is the proper understanding of the relationship between cost and price. In this post we will try to clarify the meanings for these two words.

Price is the amount of money or something valuable that a customer is ready to pay or give in order to receive something valuable from you. In terms of software project management, the thing that the stakeholder receives is the project being done, and the things that the customer and stakeholders receive are the results of the project – be it either goods or services. Money is what usually paid for doing the project. At the same time, Cost is the amount of resources (equipment, materials, money, people, etc) that are utilized in order to produce goods or services, the deliverables of the project.

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Defining Stakeholders for a Project

Friday, April 24th, 2009

Whether you are in outsourcing or any other kind of business, when doing a project, it is very important to understand who the main stakeholders for the project are. First of all, we need to clarify that the stakeholders are the people who are going to benefit from or lose something in the project. The project team, among others, should also be included in the list of stakeholders by this definition. However, if we take all of the extensive effects of doing nearly any project into account, we will understand that there actually may be a lot of stakeholders. Our main concern is connected with the “key” stakeholders and their identification. The most prevailing technique that can be used is to get seven to ten members of the project team together and then using one of the group dynamics techniques define the names of all the stakeholders for the project.

There is one more technique for stakeholders’ identification that recently gets more and more popularity. It is called the Crawford slip. Under this technique, each person in the group receives ten pieces of paper. Then the facilitator asks the question, “Who is the most important stakeholder in this project?” Each of the group participants must come up with the best response he or she can think of. After a one minute pause the facilitator asks the same question again and so on. Each time the question is asked, the participants must answer the question writing down more and more variants. Each participant cannot use the answer more than once.

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Project Scope Management: Softheme View

Wednesday, April 8th, 2009

In the next several posts we would like to discuss the basics of scope management since it is one of the most important parts of project management which we at Softheme pay special attention to. Due to proper application of scope management approaches to the projects of our clients, Softheme is so successful and productive in delivering projects of various complexity levels. So we believe it would be useful to share our experience regarding this matter.

Scope management is a starting point for any project

However, with web being a more dynamic sphere of development, we believe that scope management is better applicable to application development which usually requires a more thorough approach.

It is needless to say that the most common reason behind project failures is poor scope definition. This means that the expectations of the stakeholders, mainly of the client or sponsor, and the expectations of the project team are quite different. Being a most difficult problem, it is nevertheless critical to the success of the project. Projects fail due to many reasons, and understanding them does a good job in helping to avoid failures.

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