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Projects V BAU – Feedback Required

Paul Naybour Paul Naybour

Published: 5th February 2016

List 5
characteristics of project and describe how each is different from BAU ?
  1. Projects have finite timescales whereas BAU continues termination.
  2. Projects have a finite budget whereas BAU continues through to termination
  3. Projects introduce step change whereas BAU changes are minor incremental changes
  4. Projects produce new products whereas BAU produce the same product repeatedly.
  5. Projects work from unique bespoke plans and risks wheras BAU work from highly proceduralised documentation
Projects have finite timescales.
This is defined during the definition stage and have a planned implementation
schedule which is part of the PMP and is baselined. BAU continues for the
length of the life of the project until termination. An example is a power
station for which the project is to build the power station and BAU is the
operation of it until the end of its useful life until termination and
Projects have a finite budget
which is defined during the definition stage, baselined and monitored. This is
usually funded through capital expenditure. This is different to BAU which is
usually funded through operational expenditure and continues for the life of
the product.
Projects introduce step change.
They are usually significant pieces of work which introduce step changes. This
is different to BAU in which very small changes are implemented incrementally
to avoid disruption to operational delivery. For example a manufacturing
company introducing new machinery would need to be designed developed and
testing before being introduced and integrated into the live operations to
avoid impacting on live environment.
Projects produce unique products
(e.g. prototype for a new washing machine) whereas BAU would be the production
of the same washing machine repeatedly for the mass market.
Projects work from unique plans
which have been developed specifically for the implementation of the deliverables
defined in the PMP. The risks associated with developing something new can be
considerable and must be managed. BAU however work from highly proceduralised
documentation which only minor changes are implemented to ensure consistency
and reliability of delivery.