International Project Management Day

7 November 2013

Chivonne Algeo

Chair, AIPM Council of Fellows

Agenda Welcome

International PM Day

Looking Back

Project Management History

Australian Context

Moving Forward

AIPM History eBook

Discussion

© Chivonne Algeo

Welcome Thank you: NSW Chapter, Sydney Mechanics’ School

of Arts, AIPM members and guests

Acknowledge: the traditional custodians of the land we are meeting on today, the Gadigal people of the Eora nation and their elders past and present

Recognize last year’s presenter, Brian Kooyman

© Chivonne Algeo

International Project Management Day Encourage organizations to acknowledge

achievements of project managers and their teams

Recognition of the time, energy, creativity, innovation, and countless hours required to deliver products, services, and facilities around the world

Started 4 November 2004 by Frank Saladis

This is the 10th year project manager’s can say “Happy IPM” Day

© Chivonne Algeo

Looking Back History is “…the branch of knowledge dealing with

past events…especially in connection with human kind” (Macquarie Dictionary (2009) p.795).

“History begins with the handing down of tradition; and tradition means the carrying of the habits and lessons of the past into the future. Records of the past begin to be kept for the benefit of future generations” (Carr, Edward H. (1961) What is History? p.108).

© Chivonne Algeo

Manhattan Project Organization Chart, 1946

First Powered Flight, 1903, Orville piloting, Wilbur

running at wingtip

Hoover Dam By-Pass Bridge, 2010 (1931-1936)

Pyramids at Giza, 2560 BCE

Generators inside Hoover Dam, 2011 © Chivonne Algeo

Project Management History Year Global Local

1950’s • Built on large-scale military projects, such as Manhattan Project

• Critical Path Method (CPM) and Project Evaluation and Review Technique (PERT)

• USAF used widespread joint project offices

• Early PM concepts introduced from the US and UK, internally and externally

1960’s • CPM and PERT in construction and defence

• Project cost management added • Utilised resource scheduling and levelling • IPMA (1965) and PMI (1969) formed

• Adoption of overseas PM techniques, such as CPM to control value and time

1970’s • WBS, OBS, responsibility assignment matrices, and earned value spreading

• Organisational structure to support project management (PMO’s?)

• Management of conflict on projects • APM (1972) formed

• PM in mining sector and economy shifted from agricultural to resources

• Project Managers Forum (PMF) formed (1976)

© Chivonne Algeo

Project Management History Year Global Local

1980’s • Ist edition PMBOK (PMI – 1987) • Life Cycle “costing” • Front end management, needs analysis,

feasibility studies, value analysis and risk management to realise benefits

• Stakeholder mgt and environmental constraints • PM certification/registration programs

• Awareness of international PM development

• Formation of the Australian Institute of Project Management (1989)

1990’s • Implement corporate strategies and financial, IT and telecommunications sector

• Project-Based Management • Widespread PM computer-based tools • Multi PM techniques, leading to Program and

Portfolio Management

• Management by Projects, partnering alliances, competency standards, ethics and RegPM certification

2000’s • Large and complex projects • Communication and computer literacy • Economic structure shift (GFC) • Environmental sensitivity (global warming)

• GFC, split economy based on mining and resources, focus on sustainability

• IPMA (2009), APFPM (2010) © Chivonne Algeo

Australian Context Approach to PM is driven by our unique context:

An island continent the size of USA, with 80% of the 23 million people concentrated between Sydney and Melbourne.

Economy largely based on resource industries that are located in remote areas on the north, north east and north west of the country.

Local focused manufacturing or service industries and largely a marketing branch office for major companies.

Strong knowledge economy sector, as exemplified in world leading bio-medical, productivity, and resources research.

© Chivonne Algeo

Australian Context Raises issues around:

PM maturity and capability to undertake major projects that are characteristic of the resource sector and national infrastructure projects.

Distributed work through local and global activity across a range of industry sectors

Associated cultural and communications issues that arise from an export-oriented economy

© Chivonne Algeo

Moving Forward $AUS 921 billion pipeline of existing and potential

major capital projects (Business Council of Australia, 2012), across resources, manufacturing, retail, financial services, professional services and construction sectors

Investment pipeline built on:

Australia’s position in the Asia Pacific region, and the pace and scale of development

Infrastructure and resources boom in the region

Expected population growth to 36 million by 2050

© Chivonne Algeo

Moving Forward Need to prepare for pipeline of growth as:

Resources projects are 40 % more expensive to deliver in Australia than in the United States Gulf Coast (Business Council of Australia, 2012)

Australian project workforce productivity is estimated to be 30% - 35% lower than for comparable projects in the United States

73,000 additional employees will be needed by 2014 to deliver Australia’s resources investments alone (Skills Australia, 2011)

PM and executive leadership skills shortages in remote and regional environments (Skills Australia, 2011)

© Chivonne Algeo

AIPM History eBook Collect and display the early history of the AIPM

Provide a portal for future collection and reflection

Started with a conversation 36 years ago…..

Continues around Australian tables today with our 10,483 members, including 30% RegPM certified project managers, 190 corporate members, our friends and partners.

© Chivonne Algeo

Peter Dechaineux Ted Tooher Alan Stretton Brian Kooyman Bruce Hovey

AIPM History eBook

Help us move forward by supporting the

AIPM History eBook Project

http://www.aipm.com.au/AIPM/About_Section/History_E-Book_Project.aspx

© Chivonne Algeo

Reflect on…

“Those who cannot remember the past

are condemned to repeat it.”

Santayana, George (1905),The Life of Reason.

© Chivonne Algeo

References Business Council of Australia., 2012. Pipeline or

Pipedream? Securing Australia’s Investment Future. http://www.bca.com.au

Skills Australia., 2011. Major Projects Schedule of Resource Projects: Construction Workforce Estimates. http://www.awpa.gov.au/our-work/sector-specific-skill-needs/documents/Major_Projects_Projections.pdf

International Project Management Day. http://internationalpmday.org/

© Chivonne Algeo