Project concept: examples

In any case the most important thing – the right way to start. This assertion is quite true for the currently popular project management. Where do you start? What is the concept of the project? Examples and the theoretical basis for answers to these questions are to be addressed in this article.

Project Life cycle and product

The Management of any project is tough depending on the stages of its life cycle.

Passing through certain phases of its development, the project evolves and requires new forms of control and management. It should be noted that the project life cycle does not coincide with the life cycle of the product, which is created in the process or the result of its implementation. The product begins its existence since the creation of all its parts and combining them into a single object that can be sold or used for the benefit of the owner. The product can be created:

• The result of the project (if it is one of his goals);
• In the process of its implementation (if the product is one step in achieving any of its objectives);
• To start (if its existence is a condition for the implementation of the project);
• After completion (if it is not the goal).

Thus, “lifeline” project and product can intersect or not intersect, but always independent of each other.

Phases of the life cycle of the project

The Basic stages of taken schitat:

1. Initialy.
2. Razrabotku.
3. Realizaciju.
4. Zavershenie.

But this is not the only division. In the framework of financial evaluation of projects is most often used three-stage life cycle of the project:

1. Pre-investment stage (justification of investments).
2. Investment stage (financing).
3. - post-investment (evaluation of economic efficiency of the project implementation).

There are more detailed and not as coherent structures of the life-cycle of projects used by managers depending on the scale of the ideas, organizational structure of management in the company, sector of economic activity. Anyway, the focus of our attention is the beginning – phase initiation or, in other words, the concept of the project.

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What is initiation?

Initiation or development of the project concept involves a complex of processes, which ultimately is determined by the Manager based on various external and internal factors. However, you should bring a list of questions that have to seek answers at this stage:

1. What are the preconditions for the realization of this project?
2. Confirm the need for its implementation?
3. What is the external environment of ideas?
4. What are the main goals?
5. What is the degree of technical feasibility of the idea?
6. What are the aggregated financial terms of the realization of the idea?
7. Is There a clear understanding of the starting time?

The Plan of the project concept also includes the following basic steps:

1. The definition of the main ways of implementing ideas.
2. Assigning responsibility for implementation.
3. Determination of the size and composition of the project team.
4. Fixation of expectations from stakeholders.
5. Formation of a consolidated list of processes.
6. High-level analysis of the resources needed to achieve its goals.
7. Risk Analysis and assumptions.
8. Establishment of General project management plan.
9. Authorization (launch).

The concept of the project ultimately comes down to the development of the Charter, including all of the above questions and issues. The accuracy of the figures referred to in this document, often does not exceed 25 %, however they are necessary for initial startup of project operations.

Development of the Charter

The Formation of the concept of the project is impossible without the process of drafting the document, declaring his existence and contains, in addition to the original claims and objectives, the powers of the Manager and the resources allocated.

The project Charter is clearly structured and should contain the following sections:

1. A list of the main changes.

2. Sheet approvals.

3. General narrative:

• Purpose;
• Justification;
• Deliverables;
• The final product or final target;
• Key stages of implementation;
• Project stakeholders and their expectations;
• Risks, assumptions, constraints;
• The scheme of the process control and command.

4. Basic principles of performance.

5. Related documents.

In the preparation of such a document, as a rule, use the method of expert evaluations, in which the main role is played by the qualification of the project Manager.

Stakeholders

The concept of significant influence of persons having a direct interest in the result. The scope of such persons is necessary to evaluate factors affecting the project. In this step, you align goals with key beneficiaries, the definition of the roles of direct and indirect stakeholders, assessment of risks and uncertainties associated with the inevitable conflictinterests, design a form to inform the people about the implementation of ideas.

All information about a particular thus the number of persons is stored in the registry stakeholders. This registry is available to the project Manager and used them to control areas and degree of impact on business processes and team.

The Approval of the concept

Before approving the concept passes careful inspection and adjustment on all elements of its branched structure: the amount of financing, methods of implementation, impact factors, risks, etc. Approved the concept of the project only after it is agreed by all stakeholders, including government bodies and municipal structures.

Introducing the concept

The concept of the development project is implemented through the implementation plan, it is fixed. In the course of implementing the ideas there are various changes that are recorded and approved by management that affect the final outcome. Monitoring these changes and quality control - perhaps the most important management processes on the implementation phase of the concept.

Example 1. The concept of construction project

The development of the concept of a construction project involves:

• Analysis of the land plot;
• Restrictions on development;
• The current state of the site;
• Evaluation of the potential of its development;
• Real estate market analysis (capacity, segmentation);
• Identifying potential competitors;
• Evaluation of dynamics, the volume of demand;
• Identification of potential buyers.

The Specifics of the construction project can be considered a variation of the use of available land. Development assessment here comes to the fore in the formation of the concept. For making the right choices apply SWAT analysis, multivariate modeling and other tools.

After addressing these priorities, prepared project Charter, which, in addition to the above sections, must contain:

• The concept of development (main features of the site, transport infrastructure, General plan, guidelines for architectural-planning solutions and construction materials and the fundamentals of landscaping);
• The marketing concept (pricing strategy, the approximate schedule of sales/rental, promotion strategy);
• Financial scheme (investment requirements, profit forecast, the approximate schedule of cash flow).

Example 2. The concept of introduction of automation systems

Development of the project concept introduction of the automated sales system for the bookstore must include the following specific sections:

• Evaluate the online market of books on the volume and cost of implementation.
• Definition of the cost of the contents of the online store.
• Identification of needs in additional markets at the existing books store.

The Concept of a state store will have several objectives: the creation of an online store, ensuring its efficiency and achieving a specific level of new orders through the online resource.

These goals can be achieved by sequential solution of the following tasks:

• Development of technical specifications;
• The execution of works on formation of an online store;
• Development of the scheme of deliveries of books from publishers to buyers;
• Advertising;
• Contracts with the systems of online payment.

Example 3. The concept of modernization of production

The concept of the introduction of new technology into the existing production cycle is always tailored to the specifics of the company and of its operating conditions. Special attention is paid to the following steps:

• Identify “vulnerable points” of the production chain (the introduction of new technology should either replace the problem areas, or do not provoke their failure because of the violation of the integrity of the operating cycle).
• Develop a system of phased introduction of new technology (include in the production process of the new managers – a key element of the implementation of the project of modernization, as the imbalance between the actions of the team and production workers can negate all the money spent on upgrading).
• Assessment of potential employees for management and maintenance of new equipment.

Among the goals of such a project, as a rule, are and features updated products in volume and speed of issue.

Given the above, it becomes clear that the concept of the project includes the main provisions of the scope, economic benefits, feasibility and consequences. In this regard, the conceptual provisions of the new ideas necessary for the development or launch of a new business, it is necessary to structure, appraise, negotiate before you go to the real changes and financial investments.