Discuss About The Six Sigma And Improvement Cengage Learning.
Innovation and creativity is a key success factor of any business as it helps a particular business in gaining a competitive advantage. Every organisation is bound to face some risks and challenges in their business and the success of the business depends on techniques and methodologies an organisation uses to address those challenges. Proper project management helps in addressing the challenges faced in the project. Project management methodologies can be defined as the process of implementing a system of methods that can be used in managing a particular area or the study. Methodology is a theoretical analysis of the different methods that can be applied is a particular field or study, especially in project management (Harrison and Lock 2017). Use of proper project management methodology helps in implementing the project in a planned and strategic manner. Since the survivability of a project largely depends on the process of risk management. Selection of a proper project methodology helps in proper risk management as well (Kerzner and Kerzner 2017). Since the projects and the problems differ from organisation to organisation, the selection of a proper project methodology varies in different organisation. Therefore, the choice of project management methodology largely depends on the problem or the issues that is needed to be addressed. The aim of this essay is to recommend proper project management methodology to the three organisations, in accordance to the problems faced by the organisations (Lianying, Jing and Xinxing 2012). The type, goal and issues of each organisation are different and therefore, the choice of the project management methodology will be different as well (Parker et al. 2013). The following paragraphs discuss the suitable project management methodology for each of the three organisations.
Organisation A is a manufacturing company that manufactures high end and high volume memory chips. It is a big organisation with 2100 employees. The organisation aims to develop market in the North and South America and in order to do so, the company needs to expand its manufacturing operations in Brazil. The organisation is looking to set up sales and marketing division at first, which will be followed by the establishment of a low cost and a high tech manufacturing plant. The staffs of the organisation will be on a secondment for 6 to 12 months, for setting up the new operation. Therefore, it is essential for the organisation to have a speedy project implementation process. The organisation has decided to establish a local project team, which will help in setting up the manufacturing plant.
On evaluation of the current situation of the organisation, it is found out that the major constraints associated with the project is that of time and budget as the organisations needs a speedy implementation of a low cost manufacturing plant.
The available options of the appropriate project management methodology are Project Management Body of Knowledge (PMBOK) and Project In a Controlled Environment (PRINCE2). The PMBOK was developed by the project management institute and is used across the globe. The PRINCE2 methodology is mainly used in construction projects and is developed by the Office of Government Commerce in UK. The PRINCE2 project methodology implements a project in a controlled environment and as a result of that, the phases can be long resulting in project delays (Remington and Pollack 2016). This project aims at developing a low cost project and within a set schedule and therefore, PRINCE2 methodology cannot be used.
The choice of PMBOK project management methodology is appropriate for this project as it is expected that the local project team will have a proper knowledge about the methodology (Obrutsky 2015). The PMBOK is a project guide that will help in implementation of a project according to the project plan. The choice of a particular project management methodology is definitely a management level activity as it is the organisational goal to expand the business in North and South America and this project will mark the beginning of the same (Rose, 2013). However, in the decision of making a choice of the proper project management methodology, the project manager should be involved. This is because the project manager has a proper knowledge about the different project processes and the different project works that are needed to be completed. Along with the project manager, a program manager can be involved in case of a larger project size.
The project management body of knowledge is chosen to be the appropriate project methodology on evaluation of the current situation of the organisation and to fulfil the needs of the current project. Therefore, it is recommended that the chosen methodology will be implemented in its entirely. The project manager is responsible for the indentifying the different project stages that the project will cover. The PMBOK project methodology divides the project in fives phases which are project initiation, project planning, execution of the project, project control and project closure (refer to appendix 1). The division of the project in separate project stages helps in easier implementation of the same. The implementation plan for the project that is undertaken by the organisation A are as follows-
In the initiation phase of the project, the project requirements are gathered and the feasibility analysis is done. Followed by that, the project plan for setting up of sales and marketing division along with the implementation of the manufacturing plant is prepared.
The planning phase of the project is very crucial as it plans the implementation of the project largely depends on the plan of the project. This phase is further important for resource allocation and development of the final project team.
In the execution phase, the actual project is implemented, which includes the development of a low cost manufacturing plant. This is associated with proper project monitoring and control.
In the closing phase, the successfully completed project is delivered which is followed by the maintenance phase that deals with error rectification.
Project governance is an important aspect of PMBOK project methodology that ensures that the project will be delivered according to the plan (Deshpande, Beecham and Richardson 2013). This eliminates the risk of delay in project implementation process. Furthermore, the use of PMBOK project management methodology does not allow change is scope while the project is implemented and therefore the choice of this methodology for organisation A is justified as the scope is clear in this project.
However, the suggestion of the PMBOK project management approach in organisation A is based on certain assumptions which are as follows (Bentley 2012)-
Although the use of POMBOK project management methodology is appropriate for this project, there are certain issues associated with the use of PMBOK. This is because the PMBOK is more of a guide than a methodology. It provides the needed guidance to the project team members in implementation of a project. Furthermore, there are no chances of change in scope of the project after the project has started its implementation. Apart from this, the inexperienced team members (if any), might face difficulties in understanding the PMBOK project implementation process.
In order to address the issues associated with the use of PMBOK in project implementation phase, proper project governance is to be maintained in the project initiation phase. The requirements gathering is to be done accurately so that there is no chance of scope creep while implementing the project. Furthermore, before the implementation of the project, it is recommended to train the project team members about the different processes and the knowledge areas of PMBOK.
Apart from certain implementation issues, there are a number of benefits of implementation of a project by making use of the PMBOK project methodology. With the help of PMBOK, it is easier to implement a project within a set schedule. Furthermore, with the use of the PMBOK, there is no chance of scope creep and delay in the schedule or budget revision of the project. Therefore, for organisation A, the PMBOK approach is recommended.
The organisation B is a construction organisation that mainly undertakes European Government infrastructure projects. It is a small sized organisation with 300 employees and it mainly operates in Paris and France. The aim of the organisation is to increase the number of projects undertaken. However, the director of the company is concerned that with the increase in projects, the financial risks associated with the organisation will increase as well. Therefore, this company is in need of a project management methodology that will have staged risk assessment process.
The choice of the project management methodology is mainly based on the criteria that the methodology should involve a staged risk management process. Therefore, the PRINCE2 project management methodology is suggested for this project. Since the company director is involved in making this decision of the choosing a particular project methodology, it is definitely a management level activity. PRINCE2 project methodology is recommended for the project as it is one of the most comprehensive methodologies for risk management. This project methodology will be implemented in all the projects undertaken by the organisation in order to manage the risks (Saad et al. 2013). Since this organisation is a construction project organisation, the use of PRINCE2 project methodology is justified. The PRINCE2 project methodology ensures proper risk assessment where the risks are accessed by their likely hood of occurrence. In PRINCE, the project is divided into seven process groups that help in implementation of the project in a controlled environment. The implementation plan of risk monitoring in PRINCE2 is discussed below-
Proper project governance is necessary for identification and the mitigation of the risks associated with a project. The risks management in PRINCE 2 is procedure that accesses and mitigates a risk in five phases (refer to appendix 2). These steps are project implementation, identification, assessment and planning of risk mitigation.
In the risk mitigation process of PRINCE2, proper communication is very important to identify the mitigation approach of the identified risk (Tomanek and Juricek 2015). With the regular meetings and proper communication, it becomes easier to manage the risks associated with the project.
The choice of PRINCE2 project management methodology for organisation B is based on certain assumptions which are as follows-
The use of PRINCE2 project methodology is subjected to certain issues that the project team might face in implementation of the project. The problems in PRINCE2 approach mainly arise because the project phases are quite long and time consuming. This often results in increase in the cost of project. The time required for implementation of a project using PRINCE2 approach is quite long as well.
However, there are a number of benefits of using a PRINCE2 project management approach apart from easier risk management. PRINCE2 is a process based approach that ensures proper project governance and therefore, the project is implemented according to the project plan. Therefore the choice of PRINCE2 project methodology for organisation B is accurate.
The organisation C provides financial services in the areas of taxation, financial planning, fund management and retirement planning. The organisation is always looking for new ideas in order to improve their business process (Kaushik et al. 2012). The senior management team is energetic and enthusiastic and they are confident that their business processes is achieving a good result. The organisation is looking for a project management methodology that improves the project performance. Therefore, for this organisation, the six sigma project methodology is suggested (Pyzdek and Keller 2014).
The choice of project management methodology is definitely a management level activity as the management of the organisation is looking for a methodology that will possibly improve the performance of the projects that will be undertaken by the Organisation C. The six sigma project management methodology is suggested as it is based on continuous improvements.
The six sigma project methodology was originally developed by the Motorola Company and it is a quality control project methodology (Antony, Gijo and Childe 2012). It is a statistical based and data driven approach that helps in continuous improvements in product delivery by eliminating the defects associated with the products. The Motorola Company wanted that their product should match the original specifications throughout the design and the delivery stages of the project (Hilton and Sohal 2012). This methodology will therefore be useful for Organisation C as well, since the organisations aims at improving the performance of their project. Organisation C is a medium sized organisation with 800 employees and is a well established and mature organisation.
The organisation is looking for enhancement in the project delivery capabilities and therefore the methodology will be implemented in its entirely. Implementation of a project methodology in this organisation will definitely be a management level activity and the officials of the higher management will be responsible taking all the decisions regarding the choice and use of a proper project management approach. The future projects of the organisation will be implementing the six sigma project management approach and the implementation of the same are as follows (Drohomeretski et al. 2014)-
The Six Sigma project methodology consists of 5 steps or processes which help in improving the project processes (refer to appendix 3).
In this approach the needs of the customers are analysed and the improvement plan is executed by creating appropriate project metrics (Evans and Lindsay 2014). Furthermore, the needs of the customers and the problems associated with the project are needed to be analysed in order to improve it (Manville et al. 2012).
The suggestion of Sig Sigma project methodology is mainly based on certain assumptions (Akpolat 2017). It is assumed that the team members will have a proper knowledge about the methodology.
One of the major issues associated with the project is that there is no proper leadership in the project and implementation of projects in this approach is time consuming (Pamfilie, Petcu and Draghici 2012). The employees are to be properly trained in order to mitigate this risk.
The benefit of using this methodology is that, it helps in better customer management along with improvement of quality of the projects.
Conclusion
The essay suggests three project management approaches for three different organisations. The suggestion of the project management methodologies is based on the organisational requirements and the needs of the organisation. The use of a proper project methodology ensures that the project is implemented seamlessly and for that proper choice of the project management methodology is necessary. Based on their needs, the PMBOK project management approach is recommended for organisation A, PRINCE2 project management approach is recommended for organisation B and Six Sigma project management methodology is recommended for organisation C.
References
Akpolat, H., 2017. Six sigma in transactional and service environments. Routledge.
Antony, J., Gijo, E.V. and Childe, S.J., 2012. Case study in Six Sigma methodology: manufacturing quality improvement and guidance for managers. Production Planning & Control, 23(8), pp.624-640.
Bentley, C., 2012. Prince2: a practical handbook. Routledge.
Deshpande, S., Beecham, S. and Richardson, I., 2013, August. Using the pmbok guide to frame gsd coordination strategies. In Global Software Engineering (ICGSE), 2013 IEEE 8th International Conference on (pp. 188-196). IEEE.
Drohomeretski, E., Gouvea da Costa, S.E., Pinheiro de Lima, E. and Garbuio, P.A.D.R., 2014. Lean, Six Sigma and Lean Six Sigma: an analysis based on operations strategy. International Journal of Production Research, 52(3), pp.804-824.
Evans, J.R. and Lindsay, W.M., 2014. An introduction to Six Sigma and process improvement. Cengage Learning.
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach. Routledge.
Hilton, R.J. and Sohal, A., 2012. A conceptual model for the successful deployment of Lean Six Sigma. International Journal of Quality & Reliability Management, 29(1), pp.54-70.
Kaushik, P., Khanduja, D., Mittal, K. and Jaglan, P., 2012. A case study: Application of Six Sigma methodology in a small and medium-sized manufacturing enterprise. The TQM Journal, 24(1), pp.4-16.
Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.
Lianying, Z., Jing, H. and Xinxing, Z., 2012. The project management maturity model and application based on PRINCE2. Procedia Engineering, 29, pp.3691-3697.
Manville, G., Greatbanks, R., Krishnasamy, R. and Parker, D.W., 2012. Critical success factors for Lean Six Sigma programmes: a view from middle management. International Journal of Quality & Reliability Management, 29(1), pp.7-20.
Obrutsky, S., 2015. Comparison and contrast of project management methodologies PMBOK and SCRUM.
Pamfilie, R., Petcu, A.J. and Draghici, M., 2012. The importance of leadership in driving a strategic Lean Six Sigma management. Procedia-Social and Behavioral Sciences, 58, pp.187-196.
Parker, D., Charlton, J., Ribeiro, A. and D. Pathak, R., 2013. Integration of project-based management and change management: Intervention methodology. International Journal of Productivity and Performance Management, 62(5), pp.534-544.
Pyzdek, T. and Keller, P.A., 2014. The six sigma handbook(Vol. 4). New York: McGraw-Hill Education.
Remington, K. and Pollack, J., 2016. Tools for complex projects. Routledge.
Rose, K.H., 2013. A Guide to the Project Management Body of Knowledge (PMBOK® Guide)—Fifth Edition. Project management journal, 44(3).
Saad, S., Ibrahim, A., Asma, O., Khan, M.S. and Abdul, A., 2013. PRINCE2 Methodology: An Innovative Technique of Project Management growing progressively across the globe. URL: https://cgr. umt. edu. pk/icobm2013/papers/Papers/IC3-Jan-2013-049. pdf (18.09. 2015).
Tomanek, M. and Juricek, J., 2015. Project risk management model based on PRINCE2 and SCRUM frameworks. arXiv preprint arXiv:1502.03595.
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