Customer value - measure for project management value, Project Management

Customer value

There is a considerable debate within the business world on whether the companies will have to deliver value for the shareholders or the customers. There are many techniques that give value to the customer. One such method used is the 'lean production'. The project duration and the cost are considered in the 'project-as-production system' terms, that is, the total project cost and the duration of the project are more important than the cost or the duration of any specific activity. The co-ordination is accomplished generally by the central schedule, while the details of the work-flow are managed through the organisation by the people who are aware of the project goals performance. The value to the customer and the throughput, the movement of the information or the materials to completion are the primary objectives. The improvements will result when wastes are reduced, where the difference between the present situation and the ideal situation which is defined as meeting the customer's distinctive needs in the least time.

The lean thinking focuses attention on how the value is generated by reducing the waste rather than how any one of the activity is managed.

Whereas, the traditional project management views the whole project as the combination of different activities, lean thinking views the entire project in a different way. It is considered as one large operation (the entire project).

For the organisations which sell products and provide services, metrics for estimating the impacts of the projects on the customers are required. The field of economics gives many different metrics for measuring the customer value which includes the concept of consumer surplus. The field of the market analysis has developed many customer satisfaction metrics. Another common approach is to adopt the metrics which will describe the particular product  or  service  characteristics  which  the  customer  will  care  about. Looking at the customer's point of view, the attributes of the product and the service quality and the price may be the chosen factors. While adopting such models, it should include the customer choice and also the market penetration models for predicting the dynamics of the new sales.

Posted Date: 9/29/2012 1:00:43 AM | Location : United States







Related Discussions:- Customer value - measure for project management value, Assignment Help, Ask Question on Customer value - measure for project management value, Get Answer, Expert's Help, Customer value - measure for project management value Discussions

Write discussion on Customer value - measure for project management value
Your posts are moderated
Related Questions
What types of problems solved by Break even Analysis Helps? Break even Analysis helps to solving the given types of problems as given below: 1. What volume of sales will be

Question 1: (a) What is project management methodology ? (b) Why do you say that project management is the best method of implementing change ? Question 2: (a)

The researcher should see that the project is executed in a systematic manner and in time. If the survey is to be conducted by means of structured questionnaires data can be rea

I need a decision matrix- a Grid Analysis (Weighted Scoring Model) to Help Make the North American Plant Location Decision for the RX 330 I need the acual model calculated based

Usage of RBS  Once an organisation defines a Risk Breakdown Structure (RBS), then it can be used in a number of ways. These RBS is relevant across the project and helps in the

A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper

1. Briefly trace the development and growth of Walmart from 1969 to the present through the application of corporate strategies - what types of strategies have these been? 2. Th

Develop a work breakdown structure (WBS) for the project based on the Summary of Project Deliverables in the scope statement. Recall that a WBS is a set of deliverable-oriented gro

Illustrate the examples of Work and Cost breakdown structure, which can aid budgeting planning? Illustrations of how WBS or CBS can aid budgeting planning: • Staff hours for

Benefits of Group Technology 1.Reduced Flow Times: Compared to the earlier process layout, there are very few halts. Hence flow times are reduced considerably. 2.Process Tim