Key Takeaways
- ✓ The project lifecycle has four stages: initiation (defining the objective and business case), planning (developing the PMP, schedule and risk plan), execution (delivering the work and managing issues) and closure (reviewing outcomes and releasing resources).
- ✓ Projects differ from routine operations in four ways: they have a defined unique objective, a temporary duration with a clear end point, dedicated resources assembled for the project, and outputs that do not exist before the project begins.
- ✓ PRINCE2 is a structured process-based methodology widely used in UK public sector; Agile is an iterative, flexible approach better suited to projects where requirements are likely to evolve; hybrid approaches combine elements of both, depending on the nature of the deliverable and the operating environment.
Full Transcript
What is the project lifecycle and what are its five stages?
Alex: Welcome to the Leadership and Management podcast. I'm Alex, and today Sam and I are moving into a completely new territory for this series: project management. This is one of the most in-demand skill sets in the UK job market right now.
Sam: The Association for Project Management estimates that the project profession contributes over £156 billion to the UK economy annually. And yet projects fail at an alarming rate. The reasons are usually not technical; they're about process, leadership, and communication.
What is a project and how is it different from ongoing operations?
Alex: Before we get into how to manage projects, let's make sure we're clear on what a project actually is. Because there's an important distinction between a project and routine operations.
Sam: A project is a temporary endeavour with a defined beginning and end, undertaken to create a specific, unique outcome. Building a new warehouse is a project. Running the warehouse once it's built is not. Rolling out a new customer relationship management system across an organisation is a project. Using that system day to day is operations. The defining features are that a project is temporary, it has a specific objective, and it produces something that hasn't existed before in exactly that form.
Alex: And project management is the structured approach to making that happen reliably. Which brings us to the project lifecycle. Most frameworks describe five stages.
What is the difference between waterfall and agile project management?
Sam: Five stages, yes. Conception is where the idea originates: you've identified a business need or opportunity and you're exploring whether a project is the right response. A business case gets produced. Initiation formalises it: the project is officially authorised, the scope and objectives are defined, the project manager is appointed, and key stakeholders are identified. Planning is often the most intensive stage: you build the Project Management Plan, create the Work Breakdown Structure, build a Gantt chart, develop the risk register, and plan your resources and communications. Execution is where you do the actual work, deliver the outputs, and manage any issues that arise. And Closure formally ends the project: deliverables are signed off, resources are released, and crucially, lessons learned are documented.
Alex: And increasingly organisations are using hybrid approaches.
Sam: Hybrid is now the most common approach in large UK organisations. You might use a waterfall structure for the overall timeline and governance, while using agile sprints for the development work within each phase. PRINCE2 Agile, developed by Axelos and widely used in the UK public sector, is a good example of a formal hybrid framework. The critical path method, which identifies the sequence of tasks that determines your project end date, is another tool that's valuable regardless of which methodology you're using.
How do organisations choose between traditional and hybrid project approaches?
Alex: The core message is that the methodology should fit the project, not the other way round.
Sam: Precisely. There's no universally superior approach. A project manager who only knows one methodology is like a carpenter who only owns a hammer. The skill is in selecting the right tool for the work in front of you.
What core skills does a project manager need?
Alex: A question to consider: think about a project you've been involved in, as a team member, a manager, or even a beneficiary. Which stage of the lifecycle do you think was handled least well, and what effect did that have on the final outcome?