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C17 Project

Management
ISS Project:
Research on human life & production at
space
Complexity: 16 Countries, 34 space
deliveries
Problems: Over budget, Russian economic
Adeyl Khan, Faculty, BBA, NSU

Gantt Chart for Microsoft


Project

Planning and Scheduling


- Gantt Chart
Adeyl Khan, Faculty, BBA, NSU

Input Table for Microsoft Project

Adeyl Khan, Faculty, BBA, NSU

Project Network for Microsoft Project

Adeyl Khan, Faculty, BBA, NSU

Projects
Unique, one-time operations designed to

accomplish a specific set of objectives in a


limited time frame.
A group of milestones or phases, activities
or tasks that support an effort to
accomplish something
JAN

Unique Task
Specific Objective
Variety of Resources
Time bound
Less bureaucratic

FEB

MAR

APR

MAY

Build A
A Done
Build B
B Done
Build C
C Done
Build D
Ship

On time!

Management : Planning, Organizing, Controlling and Measuring


Adeyl Khan, Faculty, BBA, NSU

JUN

Project life cycle

Feasibility
Termination
Execution
Planning

Adeyl Khan, Faculty, BBA, NSU

Why Software Is Delivered Late?


An unrealistic deadline
Changing but unpredicted customer

requirements
Underestimation of efforts needed
Risks not considered at the project start
Unforeseen technical difficulties
Unforeseen human difficulties
Miscommunication among project staff
Failure to recognize that project is falling
behind schedule
Adeyl Khan, Faculty, BBA, NSU

Advantages
Enables us to map out a course of action or

work plan
Helps us to think systematically and
thoroughly
Supports special needs
installation of a new machine!

Pressures for new or improves products or

services

Adeyl Khan, Faculty, BBA, NSU

Project Performance/Success
Key Performance Metrics
Time
Cost
Other (quality, utilization )
Key Success Factors
Top-down commitment
A good project manager
Planning
Controlling- Careful tracking and control
Communications
Adeyl Khan, Faculty, BBA, NSU

Administrative Issues
Project selection
Project manager selection
Selecting a project team

Planning and designing the project


Organizing
Managing and controlling project Organizational

resources
Deciding if and when a project
should be terminated
Adeyl Khan, Faculty, BBA, NSU

alternatives

Manage within
functional unit
Assign a
coordinator
Use a matrix
organization with
a project leader

You are the Project Manager!


Manage
Work, Quality, Human Resources
Time, Communications, Costs
Skills required
Communication, Negotiation, Problem
solving,
Influencing, Leadership, Cultural awareness
Tools Available
Work breakdown structure
Network diagram
Gantt charts
Risk management

Adeyl Khan, Faculty, BBA, NSU

Ethical Issues
Temptation to understate costs
Withhold information
Misleading status reports
Falsifying records
Compromising workers safety
Approving substandard work

Adeyl Khan, Faculty, BBA, NSU

Work Breakdown Structure

Systematically identify all the work


(WBS)
required for the project

Allows responsibility for the work to be

assigned
owners can define criteria for completing
the specific task

WBS is a hierarchical
arrangement of the products
and services produced during
and by a project.
The project is the highest level
of the WBS while an individual
activity required to create a
product or service is the
lowest level.
Adeyl Khan, Faculty, BBA, NSU

Project
Project XX

Level 1
Level 2
Level 3
Level 4

WBS- Newsletter Project


Newsletter
Project Done

Masthead Design
Complete

Designer
Selected

Stories Photos
Complete

Articles Done

Assembly
Printing
Complete

Illustrations Done

Concept
Submitted

Ideas Assembled

Content
Approved

Ideas Approved

Newsletter
Mailed

Questionaire
Mailed

1st Draft
Stories Reviewed
Stories
Approved

Adeyl Khan, Faculty, BBA, NSU

14

PERT Chart/Network Diagram


and

PERT: Program
Evaluation
and Review
Critical
Path
Method
Technique
PERT and CPM

Graphically displays project activities


Establish the time estimates

Determine the critical path/critical activities


Show where delays will not affect project

Project Scheduling
Adeyl Khan, Faculty, BBA, NSU

15

Network Diagram

Install rough
electrical & plumbing

for a House
Construction Project

Pour
basement
floor

Install
drains

10
9

Erect
frame & roof

Excavate
& pour
footings

Pour
foundation

Lay
flooring

Outputs
project duration
critical activities
slack for each activity
Adeyl Khan, Faculty, BBA, NSU

12

Install
kitchen
equipment

Paint

4
Lay
brickwork

Finish
carpeting

Inputs
list of activities
precedence relationships
activity durations

Install
finished
plumbing

Install
drywall

Install
cooling &
heating

11

16

Finish
electrical
work

Finish
roof
Lay
storm
drains

13

14

Finish
floors

Install
roof
drainage

15

Finish
grading

18

Pour
walks;
Landscape

17

Critical Path

How to create a Network


Identify tasks and estimate duration of times
Diagram
Identify a single start and end event
Arrange events in sequence (give events a

unique number)
Establish start and finish times of each task.
Keep in mind the estimates made
Time Estimates
for duration and effort.
Determine float/slack time Deterministic
Time estimates that are
Revise
fairly certain
Probabilistic
Estimates of times that
allow for variation

Adeyl Khan, Faculty, BBA, NSU

17

Components of a Network
Diagram
Path

Sequence of activities that leads from the starting node to the


finishing node
any route along the network from start to finish
Critical path
The longest path; determines expected project duration
Critical activities
Activities on the critical path
If a critical activity is delayed, the entire project will be delayed.
Slack/float
Allowable slippage for path; the difference the length of path and
the length of critical path

Adeyl Khan, Faculty, BBA, NSU

b
a

e
c

g
j

i
Critical Path?

Activity

Immediate
Predecessor
Activities

Activity

Immediate
Predecessor
Activities

c, e

b, d

b,d

f, g, h

Adeyl Khan, Faculty, BBA, NSU

Ex 1: Deterministic time
estimates are given- determine
6 weeks
the Critical
Path
4
2

re
n i tu
Fur p
u
set

8 weeks
ate s
c
Lo ilitie
fac

er e
d
r
r
O
u
t
i
n
fur
Rem
od e
l
11 weeks

3 weeks

In
te
rv
i
4 weeks ew

in
a
r
t

nd
a
re
Hi
9 weeks

3
Adeyl Khan, Faculty, BBA, NSU

Move
in
1 week

Path

6
Length Slack
(weeks)

1-2-4-5-6
1-2-5-6
1-3-5-6

18
20
14

Draw Network Diagram,


Determine times
Activity
A1
A2
A3
A4
A5
A6
A7

Start
1
2
1
3
2
4
5

A1, 6 days

End
2
4
3
5
5
5
6

Time
6
6
4
9
13
3
3

ES
0
6
0
4
6
12
19

EF
6
12
4
13
19
15
22

A2, 6 days

LF
6
16
10
19
19
19
22

LS
0
10
6
10
6
16
19

Slack
0
4
6
6
0
4
0

Network
activities

ES: early start


EF: early finish
LS: late start
LF: late finish

4
A6, 3 days

A5, 13 days

A3, 4 days

Adeyl Khan, Faculty, BBA, NSU

A4, 9 days

A7, 3 days

6
21

Network Diagram
Advantages

Limitations

Forces managers to

Important activities may

organize
Provides graphic display
of activities
Identifies
Critical activities
Slack activities

be omitted
Precedence relationships
may not be correct
Estimates may include a
fudge factor
May focus solely on
critical path

Adeyl Khan, Faculty, BBA, NSU

Computing Algorithm are Used to


determine
Expected project duration
Slack time
Critical path

Probabilistic Time Estimates


Optimistic time- under optimal conditions
Pessimistic time- under worst conditions
Most likely time- Most probable

to
Activity
start

Optimistic
time

Adeyl Khan, Faculty, BBA, NSU

tm

te

Most likely
time (mode)

tp
Pessimistic
time

Expected Time & Variance


te

t
+
4t
+t
o
m
p
=
6

te = expected time
to = optimistic time
tm = most likely time
tp = pessimistic time
Adeyl Khan, Faculty, BBA, NSU

2
(t

t
)
p o
36

= variance
to = optimistic time
tp = pessimistic time

Example 5
Optimistic
time

2-4-6
b
3-5-7
e

6
32- g

4-6-8
h
Adeyl Khan, Faculty, BBA, NSU

Pessimistic
time

5
32- c

4
3
1- a
3-4-5
d

Most likely
time

5-7-9
f
-6
4
3- i

Path Probabilities
Z =

Specified time Path mean


Path standard deviation

Z indicates how many standard deviations


of the path distribution the specified tine
is beyond the expected path duration.

Adeyl Khan, Faculty, BBA, NSU

E6: Path Probabilities

17
Weeks

1.00
a-b-c
Weeks

10.0

d-e-f
16.0

Weeks

1.00
g-h-i
13.5

Adeyl Khan, Faculty, BBA, NSU

Weeks

Crash shortening activity

Procedure for crashing


Problem: project needs
duration
to be completed earlier
than normal,
What should you do?

Time-cost Trade-offs
which activity durations

should be decreased so
as to minimize additional
costs

Adeyl Khan, Faculty, BBA, NSU

1. Crash the project one

period at a time
2. Only an activity on the
critical path
3. Crash the least
expensive activity
4. Multiple critical paths:
find the sum of crashing
the least expensive
activity on each critical
path

Activity Crashing Example


a

d=5

c=8

Activity

Duration

Crashed
Duration

Activity
Cost

Crashed
Cost

40

45

50

54

50

68

30

33

Crashing
Cost/day

Minimum duration = 9 days; Total additional cost = $30


Adeyl Khan, Faculty, BBA, NSU

Time-Cost Trade-Offs:
Crashing
Total !!!
cost
Expected indirect costs

Shorten

CRASH

Cumulative
cost of
crashing

Shorten
Optimum

Adeyl Khan, Faculty, BBA, NSU

Example 7
6

2
f
9

4
d

Adeyl Khan, Faculty, BBA, NSU

10

User Technology for Managing

Computer aided design (CAD)


Projects
Groupware (Lotus Notes)
Project management software
MS Project
Primavera (Oracle)
SAP ..
CA Super Project
Harvard Total Manager
Time Line

Adeyl Khan, Faculty, BBA, NSU

Advantages of PM Software
Imposes a methodology
Provides logical planning structure
Enhances team communication
Flag constraint violations
Automatic report formats
Multiple levels of reports
Enables what-if scenarios
Generates various chart types

Adeyl Khan, Faculty, BBA, NSU

Project Risk Management


Risk: occurrence of events that have

undesirable consequences. Common project


risks
Delays
Increased costs
Inability to meet specifications
Project termination
Ris k
identification

Ris k analys is

Ris k planning

Lis t of potential
ris ks

Prioritis ed ris k
lis t

Ris k avoidance
and contingency
plans

Adeyl Khan, Faculty, BBA, NSU

Ris k
monitoring

Ris k
as s es s ment

Why projects fail?


The goal of the project

The project is not led

is not defined properly


Lack of change
management

properly
The project reporting is
inadequate or does not
exist
Quality criteria is not
defined or measured
Lack of ownership - It is
not clear who is
responsible for the
project outcome
The progress is not
monitored and
controlled properly.

The moving goalposts

syndrome.

Poor or non-existent

planning
The project is not
resourced as planned
Lack of coordination of
activities
Adeyl Khan, Faculty, BBA, NSU

Success steps
1 - You need to define the

6 You need to make it

project clearly
2 - You need to plan the
project
(not to be mixed with
project schedule) A good
plan should include
scheduling as well as many
other points
3 - You need to provide a
way of including
contingency plan
4 - You need a
communication plan
5 - You need a quality plan

clear project managers are


responsible for projects
7 - You need the manage
the project plan
8 - You need to manage
risks and issues

Getting a clear and reliable

what constitutes
Adeyl Khan, definition
Faculty, BBA,ofNSU

A good project manager revisits

risks and issue management


throughout the project lifecycle

9 - You need to monitor

quality
10 - You need to be
prepared that no matter
how well a project is
planned something may go
wrong at some point

Question 1
The project is going according to the plan

and it is nearly completed. Client calls and


says their marketing department had to
make a very small change in the source
file.
It is a corporate brochure translated and

typeset into 10 languages.


And you are new to the company.
Say yes in order to
keep the client happy

Work out the extra cost


& time and try to meet
the deadline. And
inform the client
accordingly

Adeyl Khan, Faculty, BBA, NSU

Refuse to undertake the


change as this is not
your fault and your
team is scheduled to
start another project
right after this one

Check your
contingency plan to see
if you can absorb the
request

Question 2
You are a project manager assigned to run a

localisation project. You have never run a


localisation project before. The engineers
tell you that there is no way that they can
estimate how long it will take them. Do you

Accept this

Adeyl Khan, Faculty, BBA, NSU

Enrol a night
course in
localisation

Insist that the


project need to be
estimated, making
assumptions
where necessary

Ask to be assigned
to another project

Question 3
You are a running a project for a corporate

client. Jobs that need to be done by the


clients people are always late or not done
as previously agreed. Whose responsibility
is this?

Yours
personally

Adeyl Khan, Faculty, BBA, NSU

Your
companys

The
clients
people

The
clients
manageme
nt

How much time does Project


Management take?
Not much. Probably more time is wasted as

a consequence of lack of Project


Management tool than is spent to Plan
adequately, Organize, Control effectively
and Measure appropriately
How long: As long as there are things to do

Adeyl Khan, Faculty, BBA, NSU

Statistical Analysis
of PERT/CPM
Method

Adeyl Khan, Faculty, BBA, NSU

41

PERT Equations
3 duration time estimates
optimistic (to), most likely (tm), pessimistic (tp)
Activity duration:
mean
te = (to + 4tm + tp) / 6
variance

Vt = [(tp to) / 6]2

Path duration:
mean of path duration = T = te
variance of path duration = 2 = Vt

Project duration, X = T Zpath


Z is number of standard deviations that X is

from the mean.


Adeyl Khan, Faculty, BBA, NSU

Example: If the mean duration


of the critical path is 55 days
and the variance of this path is
16, what is the longest the
project should take using a 95%
confidence level?
probability
of being late
.05

Zcp
T
55

Adeyl Khan, Faculty, BBA, NSU

X
actual
Project duration

Adeyl Khan, Faculty, BBA, NSU

If the expected duration of a project is 40


days and the variance of the critical path is 9
days, what is the probability that the project
will complete
in
in
in
in

less than 45 days?


more than 35 days?
less than 35 days?
between 35 and 45 days?
probability
of being late
Zcp
T
40

Adeyl Khan, Faculty, BBA, NSU

45

actual
project
duration

The expected duration of a project is 200

days, and the standard deviation of the


critical path is 10 days. Predict a
completion time that you are 90% sure you
can meet.
Draw a network diagram of your project

(AOA)
Identify the critical path
List the critical activities

Adeyl Khan, Faculty, BBA, NSU

46

Summary- A project
will deliver a unique set of Business
and/or technical objectives
Is made up of defined processes & tasks
Will run for set period of time (life cycles)
Has a budget for resources and $s
PERT/Network diagrams tools makes it
easy to manage projects
Project management software available
Work Smart Not Hard !!!
Adeyl Khan, Faculty, BBA, NSU

Project scheduling
Split project into tasks and estimate time

and resources required to complete each


task.
Organize tasks concurrently to make optimal
use of workforce.
Minimize task dependencies to avoid delays
caused by one task waiting for another to
complete.
Dependent on project managers intuition
and experience.
Adeyl Khan, Faculty, BBA, NSU

Scheduling and Planning


The majority of projects

are 'completed' late, if


at all.
A project schedule is
required to ensure that
required project
commitments are met.
A schedule is required
to track progress
toward achieving these
commitments.

Adeyl Khan, Faculty, BBA, NSU

Project manager
must:
define all project tasks
build a network that
depicts their
interdependence
identify the critical
tasks
track the progress of
these tasks
recognize the delay
one day at a time

Perspectives to view Scheduling


End date for completion has been finalized
Only Rough time-frame is given

The relationship between the number

of people working in software project


and overall productivity is not linear

Adeyl Khan, Faculty, BBA, NSU

50

Tracking the Project Schedule


It is a road map for the Project
It defines the tasks and milestones
Tracking can be done by:
Conducting periodic project status meetings
Evaluating the results of all reviews
Determining whether milestones were
reached by the scheduled date
Compare actual start date to planned start
date
Meeting informally with professionals to get
their subjective opinion
Using earned value analysis
Adeyl Khan, Faculty, BBA, NSU

Scheduling problems
Estimating the difficulty of problems and

hence the cost of developing a solution is


hard.
Productivity is not proportional to the
number of people working on a task.
Adding people to a late project makes it
later because of communication overheads.
The unexpected always happens. Always
allow contingency in planning.

Adeyl Khan, Faculty, BBA, NSU

How to Manage Stakeholders


A stakeholder is any person or group who, if

their support were to be withdrawn, could


cause the project to fail.
Get them involved
Keep them informed
Gain their endorsement
Manage

Adeyl Khan, Faculty, BBA, NSU

Stakeholde
rs
Risks
Issues
Change

Identify stakeholders
Involve in planning
Establish expectations/accountabili
Formal communication
Gain sign-off
Change and issues resolution
Project reviews
Define project completion

Risk Management
Any factor capable of causing the project to go
off track.
Develop and monitor a Risk Plan
Issues Management
Unresolved issues will drive a project towards
failure and consume a significant part of a
project managers time.
Stakeholders play key role in issues
management and resolution
- Establish Issues log, review, escalation
process
Adeyl Khan, Faculty, BBA, NSU

Change Management
Uncontrolled changes to a project will

probably account for up to 30% of a


projects total effort.
If these changes are not managed, the
project will be viewed to be over time and
over budget.
- Establish a Change management process

Adeyl Khan, Faculty, BBA, NSU