To determine:Meaning of the term project and its characteristics to differentiate the project from any other work.
Project management is defined as a practice in which projects are planned, controlled and executed in a well-defined manner over a stipulated timeperiod.
A project is a task that is to be completed in a stipulated time period under certain guidelines. It pertains to some ideas or themes which help in the completion of the task.
A project has five characteristics. These are:
Along with these characteristics the others are as follows:
Change: A project is a task that modifies the existing process. It is generally done to modify the on-going process. The project involves cost and time duration under which all activities are to be done.
For example, a project is undertaken to improve the automated-teller machine to withdraw cash. This can only be done when the machine working is modified.
Temporary: A project is temporary in nature. It implies it is done to achieve specific tasks or goals. It is to be completed in a certain time period.
For example, a project is to make changes in existing software. This project is completed in a time-period, thereby temporary in nature.
Cross-functional: A project involves various departments of the same company. It requires various inputs from different departments leading to the completion of a project.
For example, a project to make a website requires IT-department, research and development department, cost and accounting department, etc.
Unique: Every project is different from another. The name project itself leads to the uniqueness of achieving a specific goal. No two projects can be similar; else it could be under the same sub-head.
Uncertainty: Every project has an uncertainty associated with it. No project is guaranteed to achieve the objective for which it was formulated. Thus, uncertainty is the inherent characteristic of every project.