Today Project management plays a vital role in the execution of professional knowledge and research and debate. All the aspects regarding project management starts and finishes have been examined through various methods and it available in many books and magazines, and professional organizations (Huchzermeier and Luo, 2001). However project management is very tough and various projects are running behind their schedule, budget and performance level.
Project value is calculated on the basis of its timely completion and return on that time. High-tech products lost its benefits by thirty three percent in next five years on market value. But it is beneficial in the early stage due to competition in consumer goods. Subsequently project selection model in the literature does not comprise planning of the project as a rule for the selection criteria as stated by Coffin and Taylor (1996). All these models normally focus on the budget and return on the project objectives. These models also consider various factors like allotment of the resources and risks for the selection process according to Gabriel et al. (2006). Apart from these some models are considered return on the project is not a valid cause for the project planning as stated by Kolisch and Meyer (2006).
Projects planning completion within the time period, under given resources is known as limited resources project planning problem (RCPSP). In which each and every case of standard RCPSP finished within the given time period with limited resources. Project process and its planning rule needed broad study to know the perfect planning process and it is found in Brucker et al. (1999) and Kolisch and Hartmann (2006).
We must differentiate the chronological selection and scheduling of projects does not have any rigid relation on the order and tasks. Hence we understood that project transfer is not an easy job when any project selection done with its time schedule. Chen (2005) contains many factors and situations for the best project, but here only two projects are taken which is a resource when problems of one mode of operation based on no optimality of the priority projects. Availability of quality iron ore, cheap skilled labor not only improve the production of ferrous metallurgy but also improve base for the metalworking industries. Companies attract towards utilization of ample natural resources and minerals and development of manufacturing operations for the other development in country like India (Gupta et al, 2008).
According to the Indian economy and consumers, various steel plants and development works are in progress in India presently due to global industrial growth and these plants and works become the key sector. Globalization and governmental policies of country like India not only ease the exit and entry rule but also provoke private sectors to participate for the steel industry development. Apart from this, in this time companies working on expansion and innovation, for this they established large number of manufacturing operations and adopting different tools and technologies for natural resource conservation. In India on time project completion is very difficult task according to Gupta et al (2008).
Hence, this study examines the problems regarding a project selection, task scheduling, resource allocation and return on project completion in India based steel companies. This research examines the various aspects of Indian steel companies’ managers who work on different projects at a time for the product innovation, human resource development and product manufacturing tools. Return on the project completion is implicit function for this research. The objective of this project is to utilize maximum of the available resources which are limited and renewable, for the benefit of Indian steel companies.
1.2 AIMS AND OBJECTIVES
This research is all about to examine project selection, scheduling, and resource allocation with time dependent returns of companies in Indian steel industry. The research covered following objectives:
• To study the effectiveness and benefits of time bound project completion.
• To review and evaluate the role of project selection, scheduling and resource allocation in time dependent returns of companies in Indian steel industry
1.3 RESEARCH QUESTIONS
• How important is time dependent returns in project management of companies in Indian steel industry?
• What is the function of project selection, scheduling and resource allocation in time dependent returns of companies in Indian steel industry?
Chapter 2 LITERATURE REVIEW
2.1 INTRODUCTION
This literature review deals with the important factors of a successful project management. Firstly this explain the project selection under which it focuses on company profile, corporate strategy, cultural values, decision making abilities etc. Secondly it explains the project scheduling under which it deals with the time bound, timely execution and present and future effects of scheduling process. Thirdly it emphasizes on project resource allocation and its limitation and benefits. Finally this literature review focuses on project management with time dependent return with the analysis of cost overrun risk and benefits and its mathematical analysis.
2.2 PROJECT SELECTION
In last ten years project selection becomes very popular. Many current literatures have been dedicated to this subject. Main priority of organization in project selection is strategic relationship between project selection and maximizing project return it is shown by scholars as well as practitioners (see literature review). This thesis is dedicated to the project selection process as the management’s projects or half done control of projects according to earlier explanation. A number of scholars and practitioners like Dye and Pennypacker (1999), Sommer, (1999) and Cooper et al. ( 2001) having different views on decision making, priorities of different stages, strategic alliance, allocation of resources and present project management process. Scholars and practitioners explain the importance of selecting projects and priorities regarding management of projects as stated by Cooper et al. (1998), Archer and Ghasemzhadeh (1999), Sommer (1999), Artto et al. (2004), Morris and Jamieson (2004) and PMI (2006). According to them choosing right set of any project elements needed internal as well as external opportunities as stated by Mintzberg et al. (1998) and utilization of strategic resources as stated by Kendall and Rollins (2003) for the profit of individual projects and overall projects. Corporate strategy is full fill by the right selection of the project element which is discussed in literature on project management. According to Levin (2005) project selection must consider cultural value of organization, money involvement, maximum utilization of resources and contribution in short term and long term business for profit.
According to Englund and Graham (1999) organizational development depends on various successful projects, new product development and services. As Cleland (1999) claim in the projects that corporate strategies depend on the project selection process. In support of this view Wheelwright and Clark (1992) emphasizes the right set of project elements are important for the company future growth and market share enhancement. Beside this we cannot evaluate the project success on the basis of corporate strategy due to its variable nature. Strategy concept is vague and abstract. According to Kendall and Rollins (2003) strategic business objective includes market share, profit margin, new market trends and quality service to satisfy consumers. In other hand Dietrich and Lehtonen (2005) judge the project on the basis of attaining a distinct and top position in the market. However achieving the right project and its goal is not an easy work. In the literature some points are mentioned for the selection of a project: first one is goal contradiction because it changes according to time perspective as stated by Archer and Ghasemzhadeh (1996) and Ghasem