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Software Engineering creating a project

Suppose that one of the customers wants your company to develop an LMS ( Learning Management System) software like Moodle.

If your company delegates you as a project manager.

1. What should you do for the initial phase?

2. Prepare Project Charter Document not more than one page.

018 Cengage®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website or school-approved learning management system for

classroom use.

PROJECT
INITIATION PHASE

Dr. Abdulkerim Oncu

Advanced Software Project Management

© 2018 Cengage®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website or school-approved learning management system for

classroom use.

Discussions ?

• What are the main project phases?

• What should we do during initiation phase?

• What are the outputs of initiation phase?

• What are the main differences between
initiation phase and planning phase?

1. Project Initiation Phase
2. Project Identification

Project Selection

4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal

TOPICS

1. Project Initiation Phase
4

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal

TOPICS

Phases : Project Life Cycles

Initiate Phase => Needed activities before project starting

In this phase, the idea for the project is explored and elaborated.

The goal of this phase is to examine the feasibility of the project.

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Purpose of Initiation Process

1. To commit the organization to a project or phase

2. To set the overall solution direction

3. To define top-level project objectives

4. Validate alignment with strategic objectives

5. To assign a project manager

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Sample Initiating Activities

• Negotiate, write, and refine the project charter

• Confirm how the project links to the business need

• Identify management responsibilities

• Make strategic procurement decisions, e.g., make,
buy, or identify qualified vendors

https://www.projectmanagementdocs.com
/

Project Initiation: How to Start Your Project Off Right

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Key Outputs of Initiation Process

• Project charter

• Project manager identified/assigned

• Other key positions identified/assigned

• Constraints identified

• Assumptions identified

2. Project Identification
12

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal
TOPICS

Identifying and Selecting Projects

Project Identification
• Start of Initiating phase

• Recognize need, problem, or
opportunity

• Various ways for identification

• Organizations strategic planning

• Response to unexpected events

• Address a need

• Important to clearly identify need
to determine if worth pursuing

• Use decision making process to
prioritize and select project with
greatest need

The initiating phase starts with recognizing a need, problem, or opportunity

for which a project or projects are identified to address the need.

PROJECT TITLE ….. Example: Build an E-commerce Website

Goals … example: to create an E-commerce website

Outputs … example : Application, reports..etc..

Techniques
… example: java, phyton, data analysis techniques..etc..

Description

… example: Nowadays, there are a lot of e-commerce website in the Internet. Almost
every company need to create website for e-commerce. Although e-commerce website
must be very easy to use and fast, some of them are very useless. In this project, I will try
to create website for e-commerce. I will use Java programming language, Jenkins, AWS.. I
plan to create effective e-commerce website.

TASKS or PHASES * Output Due Date

1. … example: Plan (Literature Reviewing..) & Analysis &
Design

…. ex: Report-1 .. ex: 02 October,2020

2. … example : Implementation & Testing (1. Version) … ex:Application (Ver.1) …

3. … example : Implementation & Testing (Last Version) … ex:Application …

4. … example: Finalize the project: Deployment, reports … ex:Product &Report-2 ex:11 December,2020

Student Name: …. (write your name)

Advisor Name: … (write your advisor name)

09/11/2020

CAPSTONE PROJECT

PROPOSAL
(2020 FALL Semester)

3. Project Selection
16

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal
TOPICS

• Project Selection is a process to assess each project idea and select the project

with the highest priority.

• Sometimes organizations identify several or many needs but have limited funds

and people available to pursue potential projects to address all of those needs.

• In such cases, the company must go through a decision-making process to

prioritize and select those projects that will result in the greatest overall benefit.

• Projects are still just suggestions at this stage, so the selection is often made

based on only brief descriptions of the project.

• Project selection involves evaluating potential projects and then deciding which

should move forward to be implemented.

• Once a project is selected, it is formally authorized using a document referred to

as a project charter, sometimes called a project authorization or project

initiation document.

• Evaluate needs, costs,
benefits

• Determine which are
projects

• Select project

• Develop criteria

• List assumptions

• Gather data

• Evaluate each
opportunity

• When selecting a project from several needs or opportunities, the

decision should be based on which project will provide the greatest

overall benefits compared to its costs and possible consequences.

• Having a well-understood evaluation and selection process and a

well-rounded committee will increase the chances of making the

best project selection decision.

• Establish quantitative project success criteria, or expected benefits.

Critical Success Factors

204. Project Authorization

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal
TOPICS

Project Charter (Project Initiation Document)- Project Initiation
Document – State of Work (SOW)

Purpose

• Provides sponsor approval

• Commits funding for the project

• Summarizes key conditions and
parameters

• Establishes framework to develop
baseline plan

Possible Elements

• Project title

• Purpose

• Description

• Objective

• Success criteria or
expected benefits

• Funding

• Major deliverables

• Acceptance
criteria

• Milestone schedule

• Key assumptions

• Constraints

• Major risks

• Approval
requirements

• Project manager

• Reporting
requirements

• Sponsor designee

• Approval signature

• “A project charter is a formal, typically short document that describes
project content”

• “A project charter is the statement of scope, objectives and people who
are participating in a project”

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Project Charter Content

• Business need

• Project objectives

• Project deliverables

• Assumptions

• Constraints

• Key staff

• Written authorization

Stakeholders

• Sponsor

• Funding Body

• Customer

• Suppliers

• End User

• Environmental Agency

• Maintenance Team

• Neighbours/Community/Shareholders

• Interfaces

5. Request for Proposal (RFP)
27

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal
TOPICS

• In some cases, an organization does not have the expertise or staff

capacity to plan and perform the project or major portions of the

project, and therefore decides to have the project completed by an

external resource (contractor) and prepares and RFP.

• Once the RFP has been prepared, the customer solicits proposals by

notifying potential contractors that the RFP is available.

• Not all project life cycles include the preparation of a written

request for proposal by a customer and subsequent submittal of

proposals from contractors. Some endeavors move from the

initiating phase, where a project is identified and selected, into the

planning and performing phases of the life cycle.

Preparing a Request for Proposal

• Decision made to outsource to
external resource

• Comprehensively describe project
requirements

• Includes need, problem, or
opportunity description

• Allows contractors to develop
a thorough proposal

• Facilitates the development
of evaluation criteria

• May be communicated informally
or formally, in writing or verbally

Guidelines for Developing an RFP

• State project objective or
purpose

• Provide a statement of work

• Include customer
requirements

• State deliverables the
customer expects

• State acceptance criteria

• List customer supplied items

• State approvals required

• State type of contract

• State payment terms

• State schedule and key
milestones

• List format and content
instructions

• Indicate due date

• Include evaluation criteria

• Include level of effort or funds
available

Soliciting Proposals

Solicitation

• Notify potential contractors

• Identify selected group in advance to
send copy

• Advertise in selected journals,
newspapers, or websites

• Maintain competitive situation

• Provide equal information to all
bidders

• Hold bidders’ meeting to answer
questions

Conditions

• Requirements are sometimes
communicated verbally instead of
via a formal RFP

• All RFPs start with identification
of a need, problem, or
opportunity

Proposal Solicitation means the process of requesting and receiving vendors proposals

submitted in response to an RFP.

Critical Success Factors

• The need must be clearly defined before preparing a request for proposal (RFP).

• A good RFP allows contractors to understand what the customer expects so that they

can prepare a thorough proposal that addresses the customer’s needs and

requirements.

• A request for proposal should include a statement of work, customer requirements,

expected deliverables, and the criteria by which the customer will evaluate proposals.

• An RFP should provide instructions for the format and content of contractor

proposals so that the customer will be able to make a consistent and fair comparison

and evaluation of all the proposals.

• Customers must be careful not to provide information to only some of the contractors

because it would give these contractors an unfair competitive advantage in preparing

their proposals.

6. Project Proposal
34

1. Project Initiation Phase
2. Project Identification
3. Project Selection
4. Project Authorization
5. Request For Proposal (for outsourcing)
6. Project Proposal
TOPICS

Developing Project Proposals

A project proposal is the document that facilitates a professional relationship

between an organization and outside contributors.

Proposals are generally drafted during one of the early phases of your project

(before detailed plans are made and resources are allocated).

Interested contractors develop proposals in response to a customer’s RFP.

Steps

Develop relationships with customers and partners

Decide whether to prepare a proposal in response to a customer’s RFP

Create a credible proposal

Determine a fair and reasonable price for a proposal

Discuss how customers evaluate proposals

Explain types of contracts and various terms and conditions

Measure the success of proposal efforts

Building Relationships
with Customers and Partners

• Relationships establish the

foundation for successful funding

and contract opportunities.

Relationship building requires

being proactive and engaged.

• Contractors should develop

relationships with potential

customers long before customers

prepare an RFP.

• Customers and partner organizations

prefer to work with people they know

and trust. Relationships establish the

foundation for successful funding and

contract opportunities.

• Establishing and building trust is key to

developing effective and successful

relationships with clients and partners.

• First impression is important

• Requires good listening and constant learning

• Frequent and regular contact; express appreciation for
the client’s time

• Problem solving and credibility grows with good
performance

• Pre-RFP/proposal efforts are crucial to establishing the foundation

for eventually winning a contract from the customer.

• Do not wait until formal RFP solicitations are announced by

customers before starting to develop proposals. Rather, develop

relationships with potential customers long before they prepare

their RFPs.

• Working closely with a potential customer puts a contractor in a

better position to be selected as the winning contractor. Learn as

much as possible about the customer’s needs, problems, and

decision-making process during pre-RFP/proposal marketing.

2. Decision to Develop a Proposal

• Development is costly and time consuming

• Contractors must be realistic about their probability of winning
a contract

• Evaluate bid/no-bid decision

• Many non-winning proposals hurt reputation

• May be hard to decide to no-bid an RFP

• Factors to consider

• Competition

• Risk

• Mission

• Extension of capabilities

• Reputation

• Customer funds

• Proposal resources

• Project resources

A bid/no-bid decision process is a formal, rational process a contractor should undertake in order to

determine whether to submit a bid/proposal or a no-bid letter in response to a invitation for bids (IFB)

or a request for proposal ( RFP ) sent by a soliciting organization.

Bid / no-Bid decision

Creating a Winning Proposal

• Selling document

• The best idea to solve the
problem

• Highlight unique factors

• Emphasize benefits to the
customer

• Be simple and concise

• Addresses requirements from RFP

• Be realistic

It is important to remember that the proposal process is competitive and that the proposal is a

selling document that should be written in a simple, concise manner. In the proposal, the

contractor must highlight the unique factors that differentiate it from competing contractors.

3. Proposal Preparation

• Proposal team

• Can be one person or many

• Various skills and expertise

• Proposal manager for large proposals

• Proposal development

• Time for writing, review, and management approval

• Length dependent upon the RFP requirements

• Cost of proposal development is part of normal business
costs

4. Proposal Contents

• Three sections

• Technical

• Management

• Cost

• Detail level

• Depends on complexity of the project

• Requirements from the RFP

A. Technical Section

• Understand the need

• Proposed approach or
solution

• Benefits to the
customer

B. Management Section

• Description of major
tasks

• Deliverables

• Project schedule

• Project organization

• Related experience

• Equipment and facilities

C. Cost Section

• Include estimated costs
• Labor

• Materials

• Equipment

• Facilities

• Subcontractors and
consultants

• Travel

• Documentation

• Overhead

• Escalation

• Reserve

• Fee or profit

5. Pricing Considerations

• Competition

• Price

• Not overpriced or

underpriced

• Factors
• Reliability of cost estimates

• Risk

• Value of project to the
contractor

• Customer’s budget

• Competition level

6. Simplified Project Proposal

Complex

• Large number of pages

• Defined sections

• Charts and figures

• Tables of information

Simplified

• Statement of the customer’s
need

• Assumptions

• Project scope

• Deliverables

• Resources

• Schedule

• Price

• Risks

• Expected benefits

7. Proposal Submission and

Follow-up

Submission

• On time

• Formatted properly

• Sent in manner required
• Hard copies

• E-mail

• Electronic form

• Two sets by different
delivery methods

Follow-up

• Be proactive

• Professional manner

• Follow RFP guidelines

8. Customer Evaluation of Proposals

• Customer sets criteria

• Customer may request
a best and final offer
(BAFO)

• Helps to have common
comparison criteria

Customers evaluate contractors’ proposals in many
different ways.
Once the customer has selected the winning
contractor, the contractor is informed that it is the
winner.

9. Contracts

Agreement

• Contract must be signed
before starting work

• Establishes communication

• Agreement of deliverables
for a certain price

Types

• Fixed Price
• Price remains fixed

• Low risk for customer

• High risk for contractor

• For well-defined projects with
little risk

• Cost-Reimbursement
• Price for actual costs

• High risk for customer

• Low risk for contractor

• For higher risk projects

10. Measuring Proposal Success

Measures

• Win ratio
• Number won/number

submitted

• All proposals weighted
equally

• Total dollar value
• Value won/value submitted

• More weight to larger values

Strategies

• Submit many to win fair
share
• Increase chances of winning

• May be viewed negatively

• Bid on potential successes
• Respond where better than

average chance to win

• Must have bid/no-bid process

Contractors measure the success of their proposal efforts by the number of times their

proposals are selected by customers and/or by the total dollar value of their proposals

that are selected.

Critical Success Factors

• Becoming familiar with the customer’s needs, requirements, and expectations will help in

preparing a more clearly focused proposal.

• Be realistic : It is not enough just to prepare a proposal; rather, the proposal must be of

sufficient quality to have a chance of winning.

• A proposal is a selling document, not a technical report. It should be written in a simple,

concise manner and should use terminology with which the customer is familiar.

• In a proposal, it is important to highlight the unique factors that differentiate it from

competitors’ proposals.

• Proposals must be realistic. Proposals that promise too much or are overly optimistic may

be unbelievable to customers, and may raise doubt about whether the contractor

understands what needs to be done or how to do it.

Thank you

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