Project Management definition, project cycle, identification, formulation, appraisal,
implementation, monitoring, and evaluation
Project management is the process of planning, organizing, and managing resources to achieve specific goals and objectives for a project.
The project cycle is the overall process of developing and implementing a project. It includes several phases:
1. Identification: The first phase of the project cycle is where a problem or opportunity is identified and the project objectives are defined.
2. Formulation: In this phase, a project proposal is developed, including a detailed project plan, budget, and schedule.
3. Appraisal: The project proposal is evaluated and assessed for its feasibility, cost-effectiveness, and alignment with organizational goals.
4. Implementation: Once the project has been approved, it is implemented, including resource allocation and the execution of specific activities.
5. Monitoring and Evaluation: During the implementation phase, the project is monitored and evaluated to ensure it is on track and making progress toward its goals. This phase also helps the team to identify and address any issues that arise.
6. Closure: The final phase of the project cycle, where the project is completed and closed, this phase also includes a final evaluation of the project's outcomes and lessons learned.
Note that, the project cycle is not linear and it is not always clear-cut when one phase begins and another end. The phases can overlap and feedback loops can occur between phases, so the project management process is often iterative.
Project Appraisal and evaluation techniques
Project appraisal and evaluation techniques are used to determine the feasibility, cost-effectiveness, and alignment of a project with organizational goals. Some commonly used techniques include:
1. Cost-Benefit Analysis: This technique compares the costs of the project with the benefits it is expected to generate, and calculates the net present value (NPV) or internal rate of return (IRR) of the project.
2. Return on Investment (ROI): This technique calculates the return on investment for a project by comparing the benefits generated by the project to the costs incurred.
3. Break-Even Analysis: This technique determines the point at which the benefits of a project will equal the costs, helping to identify the minimum level of sales or output required for the project to be profitable.
4. SWOT Analysis: This technique is used to evaluate the internal and external factors that can impact a project. It analyses the project's strengths, weaknesses, opportunities, and threats.
5. Risk Analysis: This technique identifies potential risks and hazards that may impact a project and evaluates the likelihood and potential impact of each risk.
6. Sensitivity Analysis: This technique analyses how changes in key assumptions and variables will impact the results of a project, helping to identify the project's critical success factors.
7. Payback Period: This technique calculates the length of time it will take for the benefits of a project to pay back the costs.
8. Social Cost-Benefit Analysis: This technique evaluates the social and environmental impacts of a project, in addition to the economic benefits and costs.
The choice of the most appropriate technique will depend on the type of project, the objectives of the project, and the information available.