INTRODUCTION

Many organizations are aware of the interaction between their product life cycle and their project
life cycle. The relationship between them is rarely formally defined. When it comes to process
definition often the processes for a product life cycle and a project life cycle are defined
separately. This can lead to conflict on both product management and project management side
because of misperception of what is in place (or can be known) and what should be in place
(what is expected to be known). A well-defined relationship between product and project life
cycle would help to clarify the expectations of the different organizations involved in both
product and project management side. In this paper we focus on the definition of a product life
cycle, a project life cycle, establish a relationship between these two and identify questions to
obtain key information at each stage of the product development life cycle according to Inter
Globe Consulting (2013).

DEFINITIONS

Product Life Cycle

The product life cycle is the concept that a product goes through several stages in the course of
its life: market introduction, market growth, market maturity and sales reduction. At each stage,
a product's marketing mix might change, as will its revenue and profit profile
[Perrault-McCarthy, 1997]. Every product life cycle follows very similar phases. The product
lifecycle starts with the idea of a new product in an organization that gets evaluated during the
innovation phase. It is followed by the product development phase. After the initial market
introduction the product is adapted and then sustained and finally reaches its end of life.

Project Life Cycle

A project life cycle shows typically distinct phases a project passes through as it progresses.
Project managers or the organization can divide projects into phases to provide better
management control. Collectively these phases are known as the project life cycle [PMI 2004].
In this paper we apply a project life cycle that consists of the following phases: Initiation,
Planning, Executing and Closing [PMI, 2000]. Monitoring and controlling take place as part of
all phases to a different degree with expected importance during the executing phase.

Product

The end result of the manufacturing process, to be offered to the marketplace to satisfy a need or
want.

Anything that can be offered to a market for attention, acquisition, use, or consumption that
might satisfy a want or need according to Phillip Kotler( 2005)

Project

A project is a temporary endeavor undertaken to create a unique product, service, or result. The
temporary nature of projects indicates that a project has a definite beginning and end. The end is
reached when the projects objectives have been achieved or when the project is terminated
because its objectives will not or cannot be met, or when the need for the project no longer exists
according to PMBOK (2013)

Stages of the Product Life Cycle

The five stages in the life cycle are as follows.

Development

This can be a protracted stage and will involve activities such as design, planning, costing,
test marketing, etc. Costs are high, with no earned revenue. Promotion for awareness may
commence in advance of introduction of the product to the marketplace.
 Introduction

This is another heavily expensive stage with promotion being intensive even though it may
be selective initially. If the product is truly innovative there may be little or no
competition at this stage, but market education will be required so promotion costs may be
even higher. The distribution network will have to be established with dealer incentives
being offered to secure business.

Growth

If the product is taken up by the market, this stage will produce the greatest increase in
sales and profit. The competition will be catching up and promotion will be aimed at
creating favourable attitudes to the product as well as establishing buyer loyalty. The
growth stage gives opportunities to solve problems which may have been found in the
marketing effort (distribution, packaging, etc.) but pressure from the competition makes
this a tense stage and there are still relatively high costs to be incurred.

Maturity/Saturation

The market has matured and competition will be at the maximum. Profit levels may begin
to show falling trends as market share is lost to the competition or the market becomes
saturated. At this stage promotion will be aimed at reminding the target audience about
the product and at overcoming the competition. There may still be good revenue to be
earned from the product and managers may extend the life cycle by marketing effort new
packaging, increased promotion, new market sectors, regions, etc.

Decline

The market is falling and results in low profits. There is a possibility of high support
costs and considerable management time spent in considering the merits and demerits of
the product. The product may need to be withdrawn if new markets/uses cannot be found
or if adaptations to the mix are not effective in increasing sales.

At this stage organisations may be introducing new products to take the place of those
which are about to be deleted. The decisions on product deletions and introduction are
strategic decisions and will be dealt with at higher levels of management some
 companies make a practice of deleting products regularly and others stick to making
adaptations to extend the PLC; yet others will have an "open" policy of considering each
product on its own merit.

The Product Life Cycle (PLC) is based upon the biological life cycle. For example, a seed is
planted (introduction); it begins to sprout (growth); it shoots out leaves and puts down roots as it
becomes an adult (maturity); after a long period as an adult the plant begins to shrink and die out
(decline).

The Project Life Cycle refers to a logical sequence of activities to accomplish the projects
goals or objectives. According to Harvey Maylor, the project life cycle is viewed as four
interrelated phases (Project Management, fourth edition). Regardless of scope or complexity,
any project goes through a series of stages during its life. FLOWWING IS THE LIFE CYCLE
OF THE PRODUCT AND PROJECT LIFE CYCLE:

Relationship between the product life cycle and the project life cycle
FIRST STAGE:

The Project Initiation Phase is the first Project Phase and is usually represented by the
conceptualization of the project. The purpose of this phase is to specify what the project should
accomplish. One can start a new project by defining its objectives, scope, purpose and
deliverables to be produced. One can also hire your project team, setup the Project Office and
review the project, to gain approval to begin the next phase. During this phase, Project Team is
responsible for the following activities:

Conducting Interviews and yellow pad sessions with customers and stakeholders.

Conduct research and brainstorming sessions for generating more necessary information.

Preparation of Project Feasibility Document, Project Concept Statement and Project

Charter.

Introduction phase of The Product Life Cycle: The introduction phase of a product includes the
product launch with its requirements to getting it launch in such a way so that it will have
maximum impact at the moment of sale. A good example of such a launch is the launch of
Windows XP by Microsoft Corporation. This period can be described as a money sinkhole
compared to the maturity phase of a product. Large expenditure on promotion and advertising is
common, and quick but costly service requirements are introduced. In this phase distribution
arrangements are introduced. Having the product in every counter is very important and is
regarded as an impossible challenge.

SECOND PHASE:

The Project Planning Phase follows the Project Initiation Phase and is the most important
phase in project management. The effort spent in planning can save countless hours of confusion
and rework in the subsequent phases. The purpose of the Project Planning Phase is Establish
Business Requirements, Establish Cost, Schedule, List of Deliverables and Delivery Dates,
Establish Resource Plan, Get Management Approval and proceed to next phases. It includes
resource planning, quality assurance plan, work breakdown structure and project schedule
development.
The growth phase is the second phase in a product life cycle. The growth phase offers the
satisfaction of seeing the product take-off in the marketplace. This is the appropriate timing to
focus on increasing the market share. The company must show all the products offerings and try
to differentiate them from the competitors ones. This period is the time to develop efficiencies
and improve product availability and service. Managing the growth stage is essential.

THIRD PHASE:

Project Execution and Control Phase follows the Project Planning Phase and ideally starts
once the Project Plan has been approved and baselined. Project Execution is characterized by the
actual work on the tasks planned and project Control involves the comparison of the actual
performance with the planned performance and taking appropriate corrective action to get the
desired output. The Project Execution Phase is usually the longest phase in the project life cycle
and it typically consumes the most energy and the most resources. It includes

Execute project plan and accomplish project goals

Quality assurance

Training plan

System build

The maturity stage is the third stage of the product life cycle. In this phase market share growth
is at the expense of someone elses business, rather than the growth of the market itself. This
period is the period of the highest returns from the product. A company that has achieved its
market share goal enjoys the most profitable period, while a company that falls behind its market
share goal, must reconsider its marketing positioning into the marketplace

FOURTH PHASE:

Project Closure Phase is the last phase of the Project Life Cycle. The commencement of the
Project Closure Phase is determined by the completion of all Project Objectives and acceptance
of the end product by the customer. In this phase, you will formally close your project and then
report its overall level of success to your sponsor. It includes:

Perform Project Closure report

Review Project Completion

The decline stage is the fourth stage of the product life cycle. The decision for withdrawing a
product seems to be a complex task and there a lot of issues to be resolved before with decide to
move it out of the market. This is the time to start withdrawing variations of the product from
the market that are weak in their market position. This must be done carefully since it is not often
apparent which product variation brings in the revenues.

Conclusion

The project life cycle is the link between product life cycle and methodology
used for creating the product. Further review milestones for the product
development and adaptation phase can be identified based on the activities that take place
during each step of the methodology applied to create or adapt the product. Mapping the
product life cycle with the project life cycle helps to set the expectation of
management and performing organizations what information can be available at each key
point of the product life cycle and the project life cycle. It clarifies what is in place (or can be
known) and what should be in place (what is expected to be known). In addition
process errors are likely be detected during the developing of the process map.

REFERENCES

Project Management Institute (2000), A guide to the project management body

of knowledge (PMBOK Guide) ,Newtown Square, PA
 Project Management Institute (2004), A guide to the project management body
of knowledge (PMBOK Guide) ,Newtown Square, PA.

Phillip Kotler (2005), Principles of Marketing 5th Edition Prentice Hall

Association of Business Executives (2011), Marketing Policy, Planning and communications

Charted Management Institute (2013), Corporate Strategy

Harvey Maylor (2006), Project Management, fourth edition