BUSINESS MODELS

Importance of Business Models to the Process of Project Management

Table of Contents

Importance Of Business Models To The Process Of Project Management1

Introduction3

Project Management Process3

Business model4

Importance of Business Model in the Process to Project Management4

The Connection between Business Models and Project Management5

Business Model Of Facebook Process9

Dell's Business Model10

Conclusion12

References13

Importance of Business Models to the Process of Project Management

Introduction

The focus of this assignment is on business models, and the importance these models have for process of project management. Initially this assignment will cover basic understanding of project management, phases involved in project management and different types of business models. Afterwards, critical analysis of importance of business models to project management process is carried out. Project management defined as an application which related to the logical tools of planning, directing, and controlling. Projects have limited completion time and, therefore, time management is very vital for achieving goals within given time constraints. Each project has unique goals and constraints; therefore, project is one time endeavor. All projects have some constraints which include defined start and end date, limited funds, human resource, multifunctional experts (Eriksson, 2008, p. 29-57).

Project Management Process

There are five phases in project management process which include; Concept (idea), Planning, Testing, Implementing and Closure. The first step consists of evaluating the idea and analyzing risk according to time, performance and cost targets. Planning is done in the second phase. It includes, identifying all resources that are necessary for completion of a project and to set appropriate time, cost and performance targets. The third phase involves testing and standardizing everything so that actual operation can be commenced. Implementation carried in the fourth phase. During this phase, product (of the project) integrated with an organization. Finally, project is closed-out in the final phase. This step provides very valuable data, which can be utilized in the conceptual phase for the next phase. It is very logical to state that every different organization which has a different set of functions, in different industries and different business models, will have different phases/process in project management (Giesen, 2007, p. 27-33).

Business Model

Business model is a demonstration of how an organization purchase and put up for sale such as goods and services and bring in money. It defined as the business that generates value and goodwill for its customers and shareholders. It explains the basic center functions of an organization that it will stand out in the infrastructures and proficiency that a business needs to implement on their term of office, also to maintain and retain the relationship among partners, suppliers, vendors, and customers (Magretta, 2002, p.86-92).

The facts that determines the factor of success is the notions that how well they serve customers with the product of their choice, and the second determinant is the efficiency and effective without minimum defects in the operation of a process of a particular company (Brink,2009,p. 109-120) .

Importance of Business Model in the Process to Project Management

Turning around, in the current point of time, the environment is tough and ...