1. |
Definition |
A project is an endeavor that is temporary in nature, that is undertaken to produce a unique product. |
Operations are ongoing execution of activities which occur after product is made to produce same result or a repetitive service.
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2. |
Duration |
It is temporary as it does not exist after product is made. This is because phase before a product is made includes a project. |
It is permanent as it only exists after product is made and can go on forever. The same product is manufactured as long as it has a demand or as long as it generates profit. |
3. |
Budget |
The budget is Defined for Projects. The stake holders and management, who wish to get a product made, specify a budget for it. |
The budget is not defined for Operations as the earning needs to be done to keep operations alive. This is because if there is a great response for or enough revenue and profit from product, more such products can be made. |
4. |
Newness |
It is new (new product). A project is undertaken to create a new kind of product. |
It is has nothing new. This is because it is just process of making product in more numbers so as to be distributed among users. |
5. |
Product |
Unique product is created. The project is undertaken for creation of a unique product. |
Same product is produced to keep system running. More numbers of the existing product are made for end-users. |
6. |
Risk |
It has more risk as it is done for first time. There is a risk of failure attached because specified thing has never been made before. |
It has less risk as such products have already been made before and it is only process of creating them in greater numbers. |
7. |
Focus |
Performance is primary focus of projects. The project must be of optimal performance and meeting requirements specified by clients. |
Efficiency is primary focus. The entire operation must be carried out in an efficient manner so as to reduce manufacturing time and optimizing processes for better revenue. |
8. |
Type of Management |
Management of project is called Project Management |
Management of operation is called Business Process Management. |
9. |
Reasons for Undertaking |
It can be undertaken due to an opportunity or business need, Social need, Technological enhancement, Customer private need, Market demand, Legal requirements etc. |
It is done to run business and sustain system. |
10. |
Basis |
Projects are based on achieving objectives that are specified in requirement specification phase. |
Operations are based on metrics according to which entire product is measured. |
11. |
Organisation |
The organization that deals with projects is called a Projectized organization. |
The organization that deals with operations is called a Functional organization. |
12. |
Existence |
Projects exist before product is made. This is because once project is completed and is out in market,
it is called a product. |
Operations exist only after product is made. This is so, as only after one product is made, can more such products be developed. |
13. |
Nature |
It is Innovative in nature. The project is undertaken for creation of a new product. |
It is Repetitive in nature. The process of making product once is again repeated for several other products manufacture. |