Life cycle of an innovative project

The development of an innovative project is a long, expensive and very risky process.

Any project from the emergence of an idea to its full completion passes through a certain series of successive stages of its development. The complete set of stages of development forms the life cycle of the project. 

 

The life cycle of the project is usually divided into phases, phases - at the stage, stages - into stages. The stages of the project life cycle may vary depending on the field of activity and the adopted system of work organization. 

 

However, for each project, it is possible to distinguish the initial (pre-investment) stage, the stage of project implementation and the stage of completion of project work (investment). This may seem obvious, but the concept of the project life cycle is one of the most important for the manager, since it is the current stage that determines the tasks and activities of the manager, the methods and tools used.

Table 1.

Content of project life cycle phases

Pre-investment phase of the project			Investment phase of the project
Pre-investment research and project planning	Documentation development and preparation for implementation	Bidding and contracting		Implementation of the project	Completion of the project
1. Study of forecasts	1. Development of a plan for design and survey works	1. Conclusion of contracts		1. Development of a project implementation plan	1.Commissioning works
2. Analysis of the conditions for the implementation of the initial idea, development of the project concept.	2. Task for the development of a feasibility study and the development of a feasibility study.	2. Contract for the supply of equipment.		2. Development of graphs.	2. Start of the object.
3. Pre-project justification of investments.	3. Coordination, examination and approval of the feasibility study.	3.Contract for contract works.		3. Execution of works.	3. Demobilization of resources, analysis of results.
4. Selection and coordination of the placement.	4. Issuance of the design task.	4. Development of plans.		4. Monitoring and control.	4. Operation.
5. Ecological substantiation.	5. Development, coordination and approval.			5. Adjustment of the project plan.	5. Repair and development of production.
6. Expertise.	6. Making the final investment decision.			6. Payment for the work performed.	6. Project closure, dismantling of equipment.
7. Preliminary investment decision.

The life cycle of an innovative project begins with fundamental research, provides for applied and experimental design developments. Then the development of industrial production of new products (testing and preparation of production) begins. 

 

Then the process of industrial production, where knowledge materializes, and this stage provides for 2 stages: industrial production and sale of products. The production of innovations is followed by their use by the end user with the provision of services for adjustment, maintenance, training of personnel. Each phase of the development and implementation of an innovative project has its own goals and objectives



Innovative projects are characterized by high uncertainty at all stages of the innovation cycle. Moreover, innovations that have successfully passed the stage of testing and introduction into production may not be accepted by the market, and their production should be discontinued. Many projects give encouraging results in the first stage of development, but then with an unclear or technical and technological perspective should be closed. 

 

Even the most successful projects are not guaranteed against failure: at any point in their life cycle, they are not immune from the appearance of a more promising novelty from a competitor.