Management projet international

2012-2013 - JF. Marconnet EAC3 Filière DI/Mngt Prj Int. 1

Management de projeten contexte international

Jean-François MARCONNET

[email protected]


International Project Management

� What do we talk about? Project Management in International context

� We’ll place ourselves in the shoes of the Project Manager


Objectives

� Learn the fundamentals of the methodology and tools of Project Management

� Learn the main characteristics that a successful PM must have

� Understand the main problems that Project Management in International context generates

� Learn the fundamental attitudes to have when being a PM in International context


Agenda

Project Management methodology� 1 – Introduction

� 2 – The environment of the project� 2.1 Customer – Supplier relationships

� 2.2 Organizational structures

� 3 – Project Life Cycle� 3.1 Phases of a project

� 3.2 Economic life cycle of products

� 4 – The “gold triangle” : Quality (technical), Time, Costs� 4.1 Work Breakdown Structure (WBS)

� 4.2 Schedule

� 4.3 Costs

� 5 – Risk Management

� 6 – Team building, communication & meetings

� References


Agenda







� 4.2 Schedule

� 4.3 Costs




Project Management methodology1 - Introduction

� What is a project?“ A temporary endeavor undertaken to create a unique product or

service”(from Guide to Project Management Body Of Knowledge, Edition 2000, Project

Management Institute)(endeavor = effort; to undertake = to carry out, to search)NF EN ISO 9000 norm : “ A unique process, which contents a set of coordinated and

controlled activities, including begin and end dates undertaken with the goal of reaching an objective conform to specific requirements, including time, cost and resources constraints”

� Main characteristics :� Temporary� Unique� Domain : product as well as service / specific requirements� Coordinated and controlled activities� Time, Cost, Quality (technical) constraints

� A Project is different from Production :� The deliverable of a project is information (eg how to produce for a

product)� The deliverable of a production is a physical output (eg a product)


� Different notions� A Program = a set of Projects, eg : nuclear program, space

program

A Program Manager manages several Project Managers

� Affair = project or program very economically oriented : it associates to the project the contractual relationships between the company and its customer(s)

� Project domains : various and infinite� Engineering structure : bridge, tunnel, highway, specific building

=> unique customer

� Organizational project : Y2000 switch, organization of Olympic Games, change of accounting rules

� Product development: the goal is to produce several copies for several customers, often the case in industry



� What is Project Management?Reaching objectives (fixed at the beginning) in terms of :

� Quality (technical performances)

� Cost

� Time

These variables are NOT independent, this is a “gold” triangle

To reach these objectives, the Project Manager uses a systematicmethodology and tools. The goal of the PM is to have always a knowledge on :

� The progress of the project (technical, cost, schedule) and forecast of the end of the project

� The risks on the project that can prevent its success : Project Management can also be defined as the actions to prevent risks to occur in project execution.


Quality

Time Cost


� What is Project Management?Management dimension : the PM role is to make work together people

that :

� belong to different departments

� have different jobs and objectives

� may have different cultural approach

toward a common goal : project success.

It is achieved through a Project team of whom the PM is the leader. The PM is also the leader of the Core team, composed of representatives of different areas.



It means the PM is at the interface of numerous people and functions and thus must have :

� Communication skills

� Negotiation skills

� Team management capability and leadership

� Writing capability : every important decision must be written!

� Always be open-minded : always ask questions for clarification/confirmation

� Be systematic and organized



Agenda







� 4.2 Schedule

� 4.3 Costs




Customer – Supplier relationship is THE fundamental notion that defines the relations between parties at several levels :

� NF EN ISO 9000 defines a Customer as “A structure who receives a product”

� NF EN ISO 9000 defines a Supplier as “A structure who provides a product”

Such relations occur at different levels :

� Industrial organization :� The structure that is the owner of the project and buys it is called the Contracting

Authority (in French MOA or Maître d’ouvrage). It is represented by a Project Director, whose role is :

� To follow the progress of the work

� To achieve financial control of the project

� To check the conformity of the works to the needs expressed

� To inform the final customer if any

Project Management methodology2.1 - Customer – Supplier relationships


� The structure chosen by the Contracting Authority to make the works is called the Prime Contractor (in French MOE maître d’oeuvre) and is represented by a Project Manager, whose role is :

� To conduct the project through its different phases (see below)

� To inform its Management and its Customer through the organization of status reviews

� To manage the project team

� To be accountable of quality (technical performance), cost and time

� To analyze risks

� To arbitrate

� To choose external sub-contractors and follow technical as well as contractual aspects of sub-contractors

Note that the Contracting Authority and the Prime Contractor may belong to the same company

� Contractual relationships : 2 types of markets exist, e.g. :

Control of cost along the works

MeansUniqueEng. StructureMeans oriented

Fixed at the beginning

ResultsRecurrentProductFixed rate

CostObligationTypeProjectMarket



� Intra-Project relationships : the PM assigns owners of some parts of the work to be done (Work Package Leaders), people in charge must be accountable of delivering what has been promised : there’s a contract between :

� The Project Manager who’s customer of the work

� The Work Package Leader who’s its supplier



Organizational structure is of high importance for project working. It has evolved in time and reflects the importance granted to project work in companies.

� Functional organization : the oldest organization scheme, dated from the beginning of the XXth century.

From PMBOK, Edition 2000 p. 20

Project Management methodology2.2 – Organizational structures


� Projectized organization : invented to strengthen project work :




� Matrix organization : most used organization today in companies which need to work in project very often




Agenda

� Part 1 : Project Management methodology� 1 – Introduction






� 4.2 Schedule

� 4.3 Costs




Project Management methodology3.1 – Phases of a project

� The Project Life Cycle goes from the initial idea of the product/service up to its end of use.

� It is composed of Phases. At the end of each Phase, a Review is organized. If it is passed, the next Phase can be started and the milestone (transition phase) is successful.

� => a project can be summarized as a succession of phases and milestones which are passed with the execution of specific reviews :

WithdrawedWithdrawalDismantlingPhase 6

AliveAfter-Sale careOperationsPhase 5

AchievedAchievementQualificationPhase 4

DefinedDetailed studyDevelopmentPhase 3

SpecifiedPM selects and estimates more precisely THE solution selected

DefinitionPhase 2

FunctionalPM estimates several solutions

Initial business casePhase 1

BeginConcept proposal, initial idea from the customer

OpportunityPhase 0

Status of project at phase end (after phase

review)

ObjectiveDescriptionPhases

T i m

e


� Each phase is dedicated to a specific type of work, and a Phase action list is pre-defined (Quality procedures)

� Each phase requires specific deliverables to be generated. The deliverables are the output of the work. The PM is responsible for the deliverables to be generated.

� Each Phase is completed by a Phase Review either with the Project Team or with Management (or both). This Review enables to validate the Phase.

� Phase 0 Opportunity : the customer of the project exposes his initial idea of product/service as a Concept Proposal. Main deliverable : Concept Proposal

� Phase 1 Initial business case : this phase is iterative and several potential solutions are examined and estimated (time to develop, cost, quality obtained). Main deliverable : Customer Specifications

� Phase 2 Definition : one solution is selected from all the solutions proposed in Phase 1. For this one, one will estimate in detail :� the technical flowchart� the logical chain of tasks� the schedule� the technical specificationsOne will consult suppliersMain deliverables : Technical Specifications, Product Development Plan



� Phase 3 Development : it’s the detailed definition of the solution, industrial development phase. One will :� Choose the suppliers� Launch the supply of all necessary components� Build prototypes� Realize elementary, then functional trials� Finalize technical specifications� Build and finalize the production files

Main deliverables : Technical Specifications (finalized), Introduction in Production Specifications

� Phase 4 Qualification : realizing, integrating and accepting serial products. In this phase one will :� Initiate the procedures for managing technical evolutions, derogations,

anomalies� Initiate the training of Customer Support teams and users

Main deliverables : Technical evolutions & derogations specifications



� Phase 5 Operations : cruise speed of the product life. One will manage :

� Transfer of responsibility (at the beginning of the phase)

� Traceability of sold products/services

� After-sales operations

� Maintenance (including feedback from “field” and analysis of break-downs, incidents, anomalies…)

Main deliverables : Maintenance Specifications

� Phase 6 Mature life/Dismantling : one will organize the dismantling phase (if needed).

Main deliverable : Dismantling Procedures



� Economic Life Cycle of a single Product :

� Phase 1 : investments paid (high average street price ASP)

� Phase 2 : the competition arrives in the game (ASP decrease)

� Phase 3 : maximum profitability (product in promotion)

� Phase 4 : the competition is very strong (ASP sacrified)

Project Management methodology3.2 – Economic Life Cycle of Products

Modified from Aïm, 2007


� Economic Life Cycle of several Products :

Project Management methodology3.2 – Economic Life Cycle of Products



Agenda







� 4.2 Schedule

� 4.3 Costs




� Why? Breaking down a project allows to break down its complexity, so :

� The identification of difficulties is easier

� The identification of the risks on the project is easier

� What is it?The WBS (= technical flowchart) is the tool of reference for the project. It is a

tree that enables to analytically break down the project into more simple set of tasks called Work Packages (WP). For big projects, each WP can be a project.

Each WP must answer the questions :

� What is to be studied (technical content)?

� What is to be realized once the WP is over (deliverables)?

� With which means?

� What are the tasks to be done?

� Who will do the job (WP Leader)?

� Who is responsible for the completion of the WP?

� What is the time constraint?

� What is the budget allowed?

Project Management methodology4.1 – Work Breakdown Structure (WBS)

Quality

Time Cost

Quality

Time Cost


� When does the PM need to build the WBS?The WBS reflects what and how the product/service will be done.

Therefore, it can be built only after the need analysis has beencompleted and the product/service definition is stabilized (technically, timely, costly). Thus, it must be done at the end of Phase 1 (slide 19).

� As the WBS identifies the sets of tasks, eg : tasks of management, quality, engineering, certification, supply… the WPsneed to take into account :

� The technical structure of the product/service to be built

� The organizational structure of the enterprise.

� The vision of the project through the organization is called the Organization Breakdown Structure (OBS)


Quality

Time Cost


� How does the PM build the WBS?The PM is not alone, and he/she must discuss and negotiate with

experts. Each WP has to be a contract between the Project Manager and the WP Leader accountable for the WP.

� Synthesis : the WBS must give for each WP :� Description of the tasks and identification of the deliverables;

� The name of the person accountable for the WP (WP Leader) : this person is supplier of the PM and will need to provide the PM regular status reports;

� Define time constraints;

� Define a budget.

This is a contract between the Project Manager and the WP Leader, all these information need to be written!


Quality

Time Cost


� What is a time schedule? This is a calendar graphical representation that shows :

� The logical links between tasks to be realized

� The major key dates called milestones (dates of reviews, of deliveries…) A milestone needs a management action to be passed (acceptation) and is a transition.

� Types of schedules :� The Master Schedule : eg GANTT chart is the most used today

� Goal : obtain a synthetic vision of the progress of the project (=> notion of “super-tasks”)

� Advantages : easy reading, unambiguous

� Drawbacks : limited number of tasks, simplified logical links between tasks

� The Detailed Schedule : (eg GANTT, PERT, CPM, PDM charts)� Goal : enable to manage all the tasks, at a detailed level. For example, it

can be used by WP Leaders to manage their WP and a summary will be put in the Master Schedule of the project.

Project Management methodology4.2 – Schedule of the project

Quality

Time Cost


� Advantages : can manage a huge number of tasks and can give information on Critical Path, margins on tasks.

� Drawbacks : complex to read and interpret, it is not a communication tool for the PM to other parties : management, project team, sub-contractors…

� Examples of MS Project Master Schedules

Project Management methodology4.2 – Schedule of the project

Quality

Time Cost


� Cost control : it is a process that can guarantee during the whole project life cycle to forecast, follow and optimize all project costs with the goal to reach a final forecasted cost for the project.

� Cost reports : to be produced by the PM, they content :

� The initial budget

� The cost commitments

� The estimate of future costs up to project completion

� The estimate of the total cost at project end, deviation wrtbudget

� How to estimate the budget needed for a project?By estimating the budget needed by each WP and making the sum of

all WP budgets

Project Management methodology4.3 – Costs of a project

Quality

Time Cost


� Spending curve : the “S curve”� Phase 1 : starting phase, the project team starts to work

� Phase 2 : growth

� Phase 3 : decrease of resources, the people are stopping progressively working for the project


Quality

Time Cost



� Commitments vs spendings


Quality

Time Cost



� Follow-up of spendings :

� ACWP : Actual Cost of Work Performed

� BCWS : Budgeted Cost of Work Scheduled

� BCWP : Budgeted Cost of Work Performed


Quality

Time Cost




Quality

Time Cost

(Cazaubon et al., 1997)


Agenda

� Project Management methodology� 1 – Introduction






� 4.2 Schedule

� 4.3 Costs




� What is a risk?A random event that :

� can be predicted (future) only with a probability of occurrence (no certainty)

� can have a negative impact : notion of severity

� Risks can be of different types on a project :� Technical : related to the maturity of a technology, of difficulties of

implementing a technology

� Time

� Costs

Remember these parameters are NOT independent!

� Analyzing the risks : the key point is the earlier a risk is known in the project, the greater will be the possibility to prevent its occurrence (see definition of Project Management)

Project Management methodology5 – Risk Management

Quality

Time Cost


� Risks analysis :� Risks need to be identified and for each of them, the Severity as

well as the Probability of occurrence need to be estimated.

� They are graphically represented in a matrix of risks evaluation :


Actions needed

Moderate(1)

Important(2)

Major(3)

Severity

Pro

ba

bil

ity

Weak

(1)

Ave

rage

(2)

Str

ong

(3)


� Interpretation :� Risks of low probability of occurrence and of low severity are

considered acceptable for the project. Knowing and monitoring them is enough.

� Risks of high probability and high severity are not acceptable for the project => immediate actions need to be started to reduce the probability of occurrence or/and the severity of such risks.

� Risks of intermediate probability and severity cannot be accepted and actions need to be started to reduce these risks.



� An action plan needs to be defined, meaning for each action one must define :

� Description of the action

� Owner of the action

� Due date

� Date of next review

The action plan needs to be reviewed regularly with the team.



� Analyzing the risks : method : the most robust method is called FMECA Failure Mode Effects and Criticity Analysis (in French AMDEC Analyse des Modes de Défaillances, de leurs Effets et de leur Criticité)

� Principle : the risks are identified in the conception phase (=> early)

� The identification is done thanks to the feedback of experience on prior similar products/services (=> it needs information from other departments like After-Sales or Tech Support for example)

� The risks are quantified :� Probability of occurrence (P)

� Level of severity (S)

� Ease of detection (D)

The Criticity is derived : C = PxSxD

� The risks are sorted by C descending

� The risks are plotted on a Pareto diagram which enables to identify the most important ones : rule of “80%-20%” : 80% of the consequences are due to 20% of the causes.



Example of Pareto diagram :


From PMBOK, Edition 2000, p. 105

80

In this example, 80%of the defective cases can be explainedby 50% of the problems


� The most important risks (those who generate most cases) will be processed.

� For each risk, the root cause(s) has to be determined. For that, investigations need to be done on the conception : an action plan is defined. The PM is responsible for the follow-up of the action plan.

* RPN = Risk Parameter Number (Criticité)



� Corrective actions are implemented with the goal of reducing either the probability or/and the severity of the risks.

� Some time after, the list of risks is reviewed and for all the risks, the Criticity is re-computed, the Pareto diagram is plotted etc…normally, the most important risks have declined and the global quality has increased.

The method is iterative, the major drawback is it is long and heavyto perform. That’s why it is mostly used in industries where safety (thus total quality) is mandatory. But the method gives excellent results.



Agenda







� 4.2 Schedule

� 4.3 Costs




� The Project Manager is the Leader of a group :Being a PM means being the leader of a workgroup : the Project

Team. The PM is at the interface of numerous functions and people. The major difficulties he/she faces are :

� often has no hierarchical power on team members => his/her management cannot play with this register;

� he’s not a specialist but a generalist who has organizational skills, meaning :

� he/she needs to ask questions again and again, to consult specialists

� but he/she needs to know where he/she wants to conduct the group!

� he/she must make very different people work together toward a common objective : project success

=> His/her Leadership capability is key

Project Management methodology6 – Team building, communication, meetings


� Project meetings management : a successful meeting depends on :

� technical preparation of the content by the PM : a meeting must have :

� Clear objectives;

� Clear agenda;

� Pre-defined dedicated time (and means).

� choice of attendees (each of them must have an added value)

� the PM behavior as a coordinator of the group dynamic.

The PM must play with different registers :

� Questioning :� Open question : “Can you explain your point of view?”

� Closed question : “When did it happen?”

� Echo question : reply by asking back the question

� Relay question : transmit the question to another person

� Mirror question : transmit the question to the whole group



� Reformulate : the intervention of an attendee is reformulated bythe PM to clarify it for everybody (incl. himself).

� Revive : the PM must listen carefully and revive the questions not answered or elapsed.

� Silence : all the non-verbal communication is of high importance.

� Synthesis : the PM, periodically and at the end of the meeting, will synthesize the content of the meeting and recapitulate the action plan if any.

� After each meeting he conducted, the PM must write synthetic minutes and distribute them (in a few days max. after the meeting) to all people who attended the meeting. These minutes must :

� Be conform to the discussion which took place;

� State clearly and faithfully the decisions of the meeting;

� Indicate what will happen next.




� Communication : nowadays, a good communication is key and is part of the project success

� The PM MUST communicate, even when not explicitly required, to report project progress :

� To the Management

� To other people in the company

� By which means? Classical means :� E-mail;

� Insert an article in internal magazine if any

� …

� To say what?� Inform on progress;

� Inform on milestone passed and on all successes.

Don’t forget : influence and image are important for project success.



� Team building : 3 major rules

� Encourage TEAM work and RESPONSIBILITY

� Always put focus on final unique responsibility

� Break functional barriers using a multi-functional team

� Two different managements :

� Functional management (hierarchical management) : aims at keeping existing processes. Doesn’t like change, because it can affect efficiency

� Project management : manages change, because of limited temporality, and work toward unknown.

=> Style of project management : always be positive and look forsolutions to problems rather than criticize and note errors !


Project Management methodologySynthesis

Buttrick, 2005


� A Guide to the Project Management Body Of Knowledge, Project Management Institute, Edition 2000, Newton Square Pennsylvania USA

� French Edition : Guide du Corpus des connaissances en management de projet (2004), Project Management Institute, 3ème édition, Newton Square Pennsylvania USA

� AIM R. (2007), “L’essentiel de la Gestion de projet”, Editions Gualino, Paris

� BUTTRICK R. (2005), “Gestion de projets”, 2ème édition, Pearson Education France

� CAZAUBON C., GRAMACCIA G., MASSARD G. (1997), “Management de projet technique”, Editions Ellipses

� DESTORS M., LE BISSONNAIS J. (2003), “Le Chef de projetparesseux… mais gagnant!”, 2ème édition, Microsoft Press, Paris

Project Management methodologyReferences

Management projet international

Business

Transcript of Management projet international