At three levels of management,
three management modes are practices. Brudney et al. (2008) conducted a study
for distinguishing among three directions of management: downward, upward, and
outward management.
Domains of space and autonomy
are defined by outward management where a company can function in the political
environment. Both outward management and downward management are connected by
upward management by preparing and networking data like indicators of
performance and some other variables. Meanwhile, a collaboration of employees
is represented by downward management with management function who seem to plan
the organizational work. It includes the culture within an organization and
institutional environment. Higher management, with respect to the importance of
decisions, portrays the strategic management while management at middle-level
indicates tactical management or short-term management, and operative
management is portrayed by management at the very first level. Management
levels, in large firms, can be a complicated future with the addition of staff
units.
Overall, since the start of
the 20th century, styles of management have drastically changed but the base of
management is still one approved skills or attributes and if influenced by its
culture or environment. An increment in complications is led by a changing
environment in terms of projects. Methods of management which are described
above are not eligible for dealing with the complicated projects. Multi-project
management is required by complicated projects and this study's main objective
is to highlight the management of all complications prevalent in a project. The
next step is all about defining
management of a multi-project
in a more precise manner beginning with the management of portfolio project at
the management at first level.
MULTI-PROJECT
MANAGEMENT (MPM)
The term is made up of:
“multi” which refers to many; “project” – has a definite end and beginning;
“management” refers to guiding. That iswhy this approach can be simplified as
the process of guiding different enterprises with a specific end and beginning.
In accordance with Anderson Consulting’s Hugh Ryan, controlling and guiding all
projects have obtained a rising significance recently. In the present economy,
MPM is believed to be a crucial problem (Dinsmore&Cabanis-Brewin, 2011;
Pennypacker& Dye, 2002). MPM is generally carried out by the PMO or office
of project management (T. Mayer et al., 2008; Pennypacker& Dye, 2002).
Surprisingly, effective management is guaranteed by MPM by offering indirect or
direct support for different projects. The former one includes
professionalization of management of a project by developing a project
landscape different success elements including incentive systems, communication
systems, and models, methods, processes, structures, and roles are defined
clearly (T. Mayer et al., 2008). In the following terms, PMO was defined by
PMI: "Various responsibilities were assigned by an organizational entity
or body associated with the coordinated or centralized management of projects
under its influence or domain". Centralized coordination is actually an
important benefit of PMO which seems to nurture the increased capability from
projects since not only the PMO and line manager but also project leader is
communicating and collaborating on the same level or standard (T. Mayer et al.,
2008). Generally, expert engineers mustn't belong to the office of project
management because their concentration is on the internal structure of certain
details of the project. Project overview must be considered for performing the
process of decision making in an effective manner in regions including resource
prioritization.
In a hierarchical manner, MPM
is separated or divided into the management of the project, management of the
program, and management of project portfolio. MPM seems to function between the
portfolio management or strategic level, which is accountable for an effective
project portfolio; and project management or operative level is accountable for
a project's economic realization. There is a similarity between PGM or program
management and PPM with an exception that projects in portfolios are not
interlinked necessarily (Lester, 2007). PPM, in major firms, is accountable for
different programs, while in smaller firms, different projects can be directly
controlled by a PPM (Lester, 2007). Operating tasks were described by Dinsmore
(2011) in a different manner, explaining that PMO/MPM functions on 3 different
stages: that is why it has different kinds of PMOs. In fact, the highest level
is adjusted next to the management at the top-level, which is indicated as
portfolio management by Mayer. In an organization, the middle level is
implemented as a project office of the Business Unit to help the projects of
the Business Unit corresponding to the program management. In the perspective
of Dinsmore (2011), PMO/MPM's lowest level is the office of project control. In
the project business, the office is involved directly. This level is further
mentioned by Mayer on a subprojects' further lower standard
(Dinsmore&Cabanis-Brewin, 2011; T. Mayer et al., 2008).
Fields of MPM have their own
governances (Müller, Martinsuo, &Blomquist, 2008). In PPM, the strategic
level has involvement in the strategic objectives of the firm and sharing
resources. And the management of the program is further associated with
individual projects' common and defined aims (Müller et al., 2008). However,
MPM’s each standard, the process kit and method along with tool remain almost
the same like a consulting tool and a service for not only top and line but
also project managers as discussed by Mayer that if the PMO or MPM is to
conduct its service and consulting role in an effective manner then following
must be included in its functions (T. Mayer et al., 2008):
Managerial operation (support, documentation, and
handbooks about project planning)
Control operation (quick alert system, risk management,
and milestone control)
Coordinating function (scheduling management, coordinating
resource, and portfolio with the use of synergic influences)
Optimizing function (conducting PM methods
coaching/training, knowledge management, and standardization)
Furthermore, core competencies
in the enhancement of definition of standards, methods, and processes, resource
planning, development of leadership capabilities and professional competence,
and project portfolio. Methods, processes, and methodology of PMO/MPM are
similar to project management (Pennypacker& Dye, 2002); a number of
projects supporting different projects are managed by MPM (T. Mayer et al.,
2008).
PMO/MPM tasks and competencies
are on management's higher level than different tasks and competencies of PM.
PMO/MPM is associated with a number of competencies and tasks in a wide sector
in the matrix firms. Interwoven responsibilities and duties further complicate
it. In the environment of a PMO/MPM, interests of not every stakeholder will be
achieved. Customer projects, for instance, may not begin quickly if assets
aren't present or cannot be connected or exchanged with projects. There is a
possibility that other projects may deserve more focus along with management in
terms of focus (Dinsmore&Cabanis-Brewin, 2011). Typically, PMO/MPM function
in a relationship that appears to lie between enmity and friendship. For the
top management’s governance, PMO/MPM has to focus on bringing transparency into
the landscape of a project, (for instance, by creating decision papers). In
accordance with the project management, this can be evaluated by the data
quantity along with their representation. Meanwhile, for managers of projects,
PMO/MPM provides support, instruments, and methods for developing a culture of
project management. It is carried out at only the level of consulting.
Satisfaction in terms of the project can measure work effectiveness (T. Mayer
et al., 2008).
Actually, authority
maintenance of PMO/MPM is necessary as it seems to function in a large area. In
the AMA or Handbook of American Management Association, it was specified by
Dinsmore and Cabanis- Brewin (2011) that PMO/MPM must be supported by the
executive board and for understanding, direct involvement is very important. It
was asserted by T. Mayer et al. (2008) that support is important for CPO or
Chief Officer of Project, who is PMO's director and imposes a very high
standard of the capability of PMO. Although executive board won't be associated
directly with PMO/MPM, it can positively help PMO in different ways.
Other than the executive board's
direct cooperation, it is important to distinguish between PMO/MPM and PM. The
team of PMO/MPM must have authentic and relevant qualification. Projects must
be defined by them which PMO/MPM supports and whether to involve them all or
only some specific ones. It is significant to realize the launch of the project
successfully and approach from the start for guaranteeing daily use stability.
Actually, it has been
indicated that the entirety of projects, programs, and portfolio management is encompassed
by MPM. For this study, the specific competencies and tasks of PM will be
described.
PROJECT
MANAGEMENT (PM)
The term ‘PM' consists of the
words "project" and "management." Different authors have
defined the denotation and connotation of these terms (Brandon, 2006; Cleland
&Gareis, 2006; Hedeman&Seegers, 2009; Jankulik et al., 2005; Kerzner,
2009; Lester, 2007; Litke, 2007; Pfetzing& Rohde, 2009; Sanghera, 2007;
Stackpole et al., 2008; Verzuh, 2008; Weatherly, 2009). Every definition of PM
has been summarized and it includes steering, controlling, planning, and
organization of the given time, creating a completely unique product.
At present, several global
organizations need authentic standards for completing projects just as
published by communities and associations including P2M or Programme Management
for Enterprise Innovation, PMI, IMPA or International Project Management
Association, etc. (Ireland & Cleland, 2006). Several factors can trigger
the motivation of implementing project management including surviving in the
economy, changed services, products, or processes, application of changed or
new processes, efficiency, uniting stakeholder, evading risks and problems, and
complication.
Moreover, complication can
motivate the implementation of PM, specifically with a project that involves
changing requirements, or seem to operate with organization-wide groups and
teams. The complication can also be raised by project innovation (Wendler,
2009). Project management is important for complicated tasks since multi-disciplinary
efforts, risks, and uncertainty are raised by complication (Hamilton, 2004).
A specific objective for
projects have to be defined for avoiding risks and problems; PM achieves this
the best (Hamilton, 2004). In projects, issues occur due to substandard control
of quality, lack of progress, insufficient planning, ineffective communication,
poor coordination, and lack of involvement of consumers. In PM, those issues
can result in poor quality, budget overruns, unavailable resources, project delay,
and unclear direction (Bentley, 2010).
The above issues are capable
of leading to project collapse (Weatherly, 2009), that can be decreased or
avoided by the PM implementation (Bentley, 2010).
Actually, another reason for
implementing project management is caused by the necessity of increasing
efficiency. The economic utilization of resources and providing predetermined
products and benefits; it obtains greater effectiveness with less uncertainty
and fewer risks (Ireland & Cleland, 2006).
For economic survival, project
management is important. A quick modification occurring under different
controlled situations seems to create a future demand, which PM can easily
handle. Furthermore, a requirement of better methods for executing work is
sensed by competent management. That is why, project management is synonymous
for a driving force that allows a cheaper, quicker, and faster method of
achieving objectives and surviving in the international network and economy.
Firms are capable of remaining competitive and improving continuously with the
use of modern methods of PM (Ireland & Cleland, 2006).
The manufacture of all new
products and modifications in products along with changes in organizational
services and processes offer further motivation and justification for project
management. There is no rule for judging when to apply project management.
Execution and planning have to be adapted for changing a situation (Ireland
& Cleland, 2006).
Lastly, stakeholder unity must
be guaranteed by project management. Each and every project stakeholder should
have the same purpose and individual empires must not be established by them.
This is prevented by PM and alliance is compelled by it (Hedeman&Seegers,
2009).