Post on 16-Dec-2015
1Opermgt 345 Shannon January, 2001
Project ManagementBasic Concepts
Opermgt 345
January, 2001
2Opermgt 345 Shannon January, 2001
What is a Project?
A Project is a series of activities and tasks that:
Have a specific objective to be completed with certain objectives
Have a defined start and end dates
Have funding limits (if applicable)
Consume Resources
3Opermgt 345 Shannon January, 2001
Typical Project Structure
ProjectDefinition
ProjectDefinition
ProjectPlanning
ProjectPlanning
ProjectImplementation
ProjectImplementation
ProjectMonitoring
ProjectMonitoring
ProjectAdjustment
ProjectAdjustment
ProjectEvaluation
ProjectEvaluation
4Opermgt 345 Shannon January, 2001
Project Life CycleR
esou
rces
and
Eff
ort
Phase 1
•Goals•Scope•Baseline•Requirements•Feasibility•Desirability
ConceptualDesign
Phase 2
AdvancedDevelopment
•Plan•Budget•Schedule•Management Commitment
Phase 3
DetailedDesign
•Define Responsibility•Team•Organization Structure•Detailed Plan•Kickoff
Phase 4
ProjectImplementation
•Manage•Measure•Control•Update and Modify Plan•Problem Solve
ProjectTermination
Phase 5
•Closeout•Document•Suggest Improvements•Reassign•Dissolve Project Team
5Opermgt 345 Shannon January, 2001
Successful Projects
A successful project is one which achieves the following objectives:
– Completed On Time– Completed Within Cost– Meets Performance Criteria– Minimum Disruption of the Main Work of the
Organization– Effective Utilization of Resources
6Opermgt 345 Shannon January, 2001
The Triple Play ofProject Management
Constraints
Time Cost
Performance
7Opermgt 345 Shannon January, 2001
Triple Constraint Trade-offs
Budget
ScheduleEarly Late TIME
$
Performance Specifications
Better
Worse
8Opermgt 345 Shannon January, 2001
Major causes of failure
Selection of a unsound projectSelecting the wrong person as a project
managerLack of support from upper managementMisused management techniquesProject termination not planned
9Opermgt 345 Shannon January, 2001
Project Definition
Build Canoe Rental Building onCoeur d A’lene Lake
10Opermgt 345 Shannon January, 2001
Form Project Team
•Select Project Leader
•Identify Key People
•Gain Management Commitment
•Define Project Team Operating Rules
11Opermgt 345 Shannon January, 2001
The Top Level Project Tasks
Brainstormthe
Major Tasks
Brainstormthe
Major Tasks
EstablishWork Flow
EstablishWork Flow
AB
C
D E F
G
12Opermgt 345 Shannon January, 2001
Define Top Level TasksCanoe Example
Site Preparation
Build Dock
Build Building
Finish and Ready for Business
13Opermgt 345 Shannon January, 2001
Sequence Top Level Tasks
Site Preparation
Build Dock
Build Building
Finish
14Opermgt 345 Shannon January, 2001
Sub-Tasks
A
B
C
D E F
G
Detailed Tasks
Detailed Tasks
Develop Work Sequence
15Opermgt 345 Shannon January, 2001
Brainstorm Sub-Tasks
Site Preparation Build Dock Build Building Finish
Dock Site
Building Site
Install Pilings
Build Dock
Foundation
Frame
Roof
Power
Siding
Paint
Order Canoes
Landscape
AssembleCanoes
Open forBusiness
16Opermgt 345 Shannon January, 2001
Work Breakdown Structure
Top Level Task
2nd LevelTask
2nd LevelTask
2nd LevelTask
2nd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
3rd LevelTask
Lower Level Tasks
17Opermgt 345 Shannon January, 2001
Sequence Sub-TasksTask Description Immediate Predecessor
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canoes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
18Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
(Activities on Arrows)
1
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
19Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
20Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
J
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
21Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
22Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings9
E
Build Dock
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
23Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings9
E
Build Dock
G
Power To H
ut A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
24Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings9
E
Build Dock
G
Power To H
ut
LAssemble Canoes
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
25Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings9
E
Build Dock
G
Power To H
ut
LAssemble Canoes
7F
Frame Hut
Roof
I
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
26Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings
7F
Frame Hut8
H
Side Hut
9E
Build Dock
G
Power To H
ut
I Roof
K Paint Hut
LAssemble Canoes
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
27Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings
7F
Frame Hut8
H
Side Hut
9E
Build Dock
G
Power To H
ut
I Roof
K Paint Hut
LAssemble Canoes
10M
FinishLandscape
11N
Open forBusiness
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
28Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart) Canoe ExampleAdd Times
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
A Prepare Dock Site 3 d B Prepare Hut Site 4 d C Install Dock Pilings 6 d D Foundation for Hut 3 d E Build Dock 4 d F Frame Hut 3 d G Power to Hut 2 d H Side the Hut 2 d I Roof the Hut 3 d J Order Canoes 2 d K Paint Hut 4 d L Assemble Canoes 10 d M Finish Landscaping 4 d NOpen for Business 2 d
Task Description Time
29Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart)
1 3A
Prep Dock Site
2
Order
Canoes
4
J
B
Prepare
Hut S
ite
6
D
HutFoundation
5C
Install Pilings
7F
Frame Hut8
H
Side Hut
9E
Build Dock
G
Power To H
ut
I Roof
K Paint Hut
LAssemble Canoes
10M
FinishLandscape
11N
Open forBusiness
A Prepare Dock Site - B Prepare Hut Site - C Install Dock Pilings A D Foundation for Hut B E Build Dock C F Frame Hut D G Power to Hut D H Side the Hut F I Roof the Hut F J Order Canoes and Receive Canes - K Paint Hut H L Assemble Canoes J M Finish Landscaping L,I,K,E,G N Open for Business M
Task Predecessor
30Opermgt 345 Shannon January, 2001
Build Network Diagram(PERT Chart) Canoe ExampleAdd Times
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
A Prepare Dock Site 3 d B Prepare Hut Site 4 d C Install Dock Pilings 6 d D Foundation for Hut 3 d E Build Dock 4 d F Frame Hut 3 d G Power to Hut 2 d H Side the Hut 2 d I Roof the Hut 3 d J Order Canoes 2 d K Paint Hut 4 d L Assemble Canoes 10 d M Finish Landscaping 4 d NOpen for Business 2 d
Task Description Time
31Opermgt 345 Shannon January, 2001
Determining Project Length
Option 1: Sum all the task durations: A Prepare Dock Site - 3 d B Prepare Hut Site - 4 d C Install Dock Pilings A 6 d D Foundation for Hut B 3 d E Build Dock C 4 d F Frame Hut D 3 d G Power to Hut D 2 d H Side the Hut F 2 d I Roof the Hut F 3 d J Order Canoes and Receive Canoes - 2 d K Paint Hut H 4 d L Assemble Canoes J 10 d M Finish Landscaping L,I,K,E,G 4 d N Open for Business M 2 d
Sum = 52 daysAnything wrong with this approach?
32Opermgt 345 Shannon January, 2001
Determining Project Length
Option 2: Determine duration of each network path
33Opermgt 345 Shannon January, 2001
Network DiagramProject Paths
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Paths:
A-C-E-M-N = 19 days
34Opermgt 345 Shannon January, 2001
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Paths:
A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 days
Network DiagramProject Paths
35Opermgt 345 Shannon January, 2001
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Paths:
A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-I-M-N = 18 days
Network DiagramProject Paths
36Opermgt 345 Shannon January, 2001
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Paths:
A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 days
Network DiagramProject Paths
37Opermgt 345 Shannon January, 2001
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
J (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Paths:
A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 daysJ-L-M-N = 18 days
Network DiagramProject Paths
38Opermgt 345 Shannon January, 2001
Critical Path
The Critical Path is the Longest PathThrough the Network.
39Opermgt 345 Shannon January, 2001
1 3A (3)
Prep Dock Site
2
Order
Canoes
4
J (2)
B (4)
Prepare
Hut S
ite
6
D (3)
HutFoundation
5C (6)
Install Pilings
7F (3)
Frame Hut8
H (2)
Side Hut
9E (4)
Build Dock
G (2)
Power To H
ut
I (2) Roof
K (4)Paint Hut
L (10)Assemble Canoes
10M (4)
FinishLandscape
11N (2)
Open forBusiness
Network Diagram Canoe ExampleCritical Path
Paths:
A-C-E-M-N = 19 daysB-D-F-H-K-M-N = 22 daysB-D-F-J-M-N = 18 daysB-D-G-M-N = 15 daysJ-L-M-N = 18 days
40Opermgt 345 Shannon January, 2001
Completed Task Timetable
Task Description Immediate Predecessor Time ES LS EF LF
A Prepare Dock Site - 3 d 0 3 3 6 B Prepare Hut Site - 4 d 0 0 4 4 C Install Dock Pilings A 6 d 3 6 9 12 D Foundation for Hut B 3 d 4 4 7 7 E Build Dock C 4 d 9 12 13 16 F Frame Hut D 3 d 7 7 10 10 G Power to Hut D 2 d 7 14 9 16 H Side the Hut F 2 d 10 10 12 12 I Roof the Hut F 3 d 10 13 13 16 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 K Paint Hut H 4 d 12 12 16 16 L Assemble Canoes J 10 d 2 6 12 16 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 N Open for Business M 2 d 20 20 22 22
41Opermgt 345 Shannon January, 2001
Slack Time
Total Slack = The length of time an activity can bedelayed without affecting the projectcompletion time.
Total Slack = Late Start - Early Start
Total Slack = Late Finish - Early FinishFor Critical Activities
Free Slack = The time a task can be delayed without delaying another task.
42Opermgt 345 Shannon January, 2001
Slack Time
Task Description Immediate Predecessor Time ES LS EF LF Slack
A Prepare Dock Site - 3 d 0 3 3 6 3 B Prepare Hut Site - 4 d 0 0 4 4 0 C Install Dock Pilings A 6 d 3 6 9 12 3 D Foundation for Hut B 3 d 4 4 7 7 0 E Build Dock C 4 d 9 12 13 16 3 F Frame Hut D 3 d 7 7 10 10 0 G Power to Hut D 2 d 7 14 9 16 7 H Side the Hut F 2 d 10 10 12 12 0 I Roof the Hut F 3 d 10 13 13 16 3 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 4 K Paint Hut H 4 d 12 12 16 16 0 L Assemble Canoes J 10 d 2 6 12 16 4 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 0 N Open for Business M 2 d 20 20 22 22 0
43Opermgt 345 Shannon January, 2001
Critical Path Tasks
Critical Path = All tasks with slack = zero
44Opermgt 345 Shannon January, 2001
Critical Path Tasks
Task Description Immediate Predecessor Time ES LS EF LF Slack
A Prepare Dock Site - 3 d 0 3 3 6 3 B Prepare Hut Site - 4 d 0 0 4 4 0 *** C Install Dock Pilings A 6 d 3 6 9 12 3 D Foundation for Hut B 3 d 4 4 7 7 0 *** E Build Dock C 4 d 9 12 13 16 3 F Frame Hut D 3 d 7 7 10 10 0 *** G Power to Hut D 2 d 7 14 9 16 7 H Side the Hut F 2 d 10 10 12 12 0 *** I Roof the Hut F 3 d 10 13 13 16 3 J Order Canoes and Receive Canoes - 2 d 0 4 2 6 4 K Paint Hut H 4 d 12 12 16 16 0 *** L Assemble Canoes J 10 d 2 6 12 16 4 M Finish Landscaping L,I,K,E,G 4 d 16 16 20 20 0 *** N Open for Business M 2 d 20 20 22 22 0 ***
Critical Path = B - D - F - H - K - M - N