Effective Project Management Essay Example | Topics and Well Written Essays - 1000 words

Effective Project Management - Essay causeEffective projects are based on time management which ensures that certain activities are undertaken and cigaret be altered to reduce the overload on critical resources. This approach is called resource leveling and, whilst it enables resources to be utilise more effectively, it may result in the project taking longer to complete if it is necessary to schedule activities that are on the critical path. Ford and General Motors follow this approach in production and running(a) management in order to ensure high level of productivity. Resource leveling directs to schedule flows by means of batch working and demand dependent oriented systems in order to maximize the output. This approach emphasizes the pizzaz of ensuring a steady flow through the system like balanced flow, rather than seeking to sustentation all resources busy. Samsung follows time -boxed scheduling method (Spinner, 1998). The returns of this approach is that its producti on activities are rescheduled to take report card of float within non-critical activities, the overall completion date would non be affected. Thus, Samsungs executives admit that this technique is hygienic because it requires project workers to understand thoroughly the steps that inviteed to be taken to implement their projects. Shiseido, the forth human beings leader in cosmetics industry, uses critical chain scheduling in order to produce their deliverables faster than ever. The advantage of the approaches mentioned above is that they allow the companies to meet customer expectations and ensure on time delivery. While users insist that a deliverable be produced in an impossibly short time frame, they are reluctant to drop all desired features in order to make the time frame realistic (Bateman and Snell 2004).MoneyMany companies with smooth products have gone out of business simply because they ran out of cash and financial resources. Cash shortages can result if accounts r eceivable are not collected promptly, if a key customer disappears, if money is fasten up in equipment, or if financial reserves are limited. Similarly, a company will not stay in business long unless it strikes profits. There are countless ways for companies to fail to achieve their profit objectives. For instance, Shiseido, running in-house projects, does not estimate the cost of its internal staff working on the project, that does estimate the cost of contractors and suppliers. The problem is that the company does not have systems in place to allow it to accurately track and record the time people spend on individual projects. Samsung calculates the actual cost per whole of time. This approach allows company to ensure normal modes of working and availability. Ford calculates the efficiency levels for each resource. It pays a spare attention to capital and revenue expenditure budgets (Fleetham, 1989).. Plans reduced to specific figures show where money is going or where physic al input and output have taken place. General Motors widely uses MRP II which generates a annunciate of demand and a manufacturing plan is developed to meet those demands. This plan drives the issue of works orders (www.gm.com). Effective projects need effective management of financial resources to make plans effective, within the budget limits. The budgets are also used as checks on the actual results of a business (Burkun 2005).