Pm fundamentals
Transcript of Pm fundamentals
PROJECT MANAGEMENT
Fundamental Elements
Fundamental QuestionsWHATWHYWHENHOWWHEREWHO
I keep six wise serving men.
(They taught me all I knew).
There names are What & Why & When, and How & Where & Who
(Rudyard Kipling 1902)
Project Management, Business and CustomersBusiness today demands faster projects, decreased
delivery times.Customers want to know what is happening and are more
demanding as they too are under pressure to deliver faster.
This leads to an environment of increased competition. In competitive environments the rewards will go to those
organizations which are more flexible, more in tune with their customers' wants and focused on their main product or service,.
In order to do this all aspects of business (product delivery, profit, growth & market share) need to be optimised.
Why do we need Project Management?
Project management enables organisations to Identifying problems with the project and
enable issues to be escalated which allowsTasks to be done more efficiently by
identifying issues earlier which results in Getting things done more cost-effectively andDelivering projects on time, in budget and to
the right quality.
Which means thatProblems may be managed in a timely manner
so products are delivered to deadlines.Organisations have an opportunity to mitigate
possible cost overrunsCustomers expectations and requirements are
metOrganisations & individuals gain a reputation
for successful delivery which often equates to PROFITS & BONUSESGreater Market Share, less competition,
increased customer confidence etc
What is a Project?An activity of limited durationThe purpose of which is to create some
sort of outcome / deliverableThat has generally not been done before
in terms of client / team/ contract / environment, and
The achievement of which signals completion of the activity.
Typical Project
What is Project ManagementPM is a technique for ensuring that we do the following
systematically…
- scheduling tasks (time management)- defining the work and risks (scope & risk management)- budget specification (cost management) - assigning responsibility for tasks (quality and
organisation)
Plus recognising, analysing and implementing changes in a controlled manner
Project vs Technical ManagementManaging the project is similar for all types
of project,ButManaging the technical aspects can be
different for each project
Systematic Approach
PM Standards & PracticesInternational Bodies (Association of Project
Managers (UK); Project Management Institute (USA)
National / Statutory BodiesSocietiesCompanies
Project PhasesInitiatingPlanningExecutionMonitoring & ControlClose Out
PM Processes & AreasKNOWLEDGE AREAS INITIATING PLANNING EXECUTION
MONITORING & CONTROL
CLOSE OUT
INTEGRATION 1 1 2 2 1SCOPE 4 2TIME 6 1COST 3 1
QUALITY 1 1 1HUMAN RESOURCES 1 3
COMMUNICATION 1 1 1RISK 5 1
PROCUREMENT 1 1 1STAKEHOLDERS 1 1 1 1
2 24 9 11 1
PROCESS GROUP
Project Components – Triple ConstraintTo meet the scope of the project we work
within:Time – schedule, delivery datesC0st – cost of material, resource, servicesQuality – standard to be achieved
You can have it cheap, fast or good – choose any two
Change - Trade Off
Why Project Management
Fundamental PM ElementsRequirements Scope – Work / Product Breakdown StructureOrganisation / Individual Responsible for each
elementPrice / Cost per elementSchedule – Durations & DependenciesChange ControlReporting / CommunicatingDocumentation
Requirements (FACTS)FEASIBLE – able to be satisfied
AMBIGUITY FREE - not vague
COMPLETE – all information available
TESTABLE – able to be verified
SIMPLE – short, concise
If requirements are not defined the project plan is compromised, work can be abortive, work may need to be repeated, price/cost increases, resources are tied up, delivery is late, expectations not met.
Scopethe work that must be done in order to deliver a
product with the specified features and functions A work breakdown structure is a grouping of project
delivery elements that organizes and defines the total scope of the project: work not in the WBS is outside the scope of the project.
It essential that the scope is defined rigorously or the project will have gaps from the outset. Scope is categorised into component parts which can be assessed for their risk, logical sequence, and who is responsible.
WBS – Marine Fire Systems
Requirements 3rd Party Materials Mechanical System Transport Clash Resolution Component TestsSpecifications Documents COTS Electrical System Insurance Site Attendence FATInterfacing Needs Approval Specialists Control System Storage SATConfiguration System Integration Spares Integrated T& CSystem Level Assembly AcceptanceDetailed Design Packaging ManualsDesign Review ManualsDesign CompleteDesign Verification
PLUS - Project Reports - Invoicing - Mandatory Meetings / Reviews - Other requirements
- Defects Liability
Fabrication Delivery Testing &
Commissioniong
Marine Fire Systems
Installation SupportDesign Approval Procurement
WBSProvides the basis for planning, scheduling, cost
estimating, configuring, monitoring, reporting, directing and controlling the project.
Identify risks associated with each element of the WBS so ‘uncertainties’ made visible.
Aids communication with vendors/team members / management
Essential to breaking down the project into manageable components and assigning risk, owner, duration, cost. Allows change and impact of change to be analysed.
Organisational AspectsOrganisational Breakdown Structure for
delivery/service– indicating responsible person / organisation (& point of contact)
SuppliersInternal Resource / DepartmentExternal Resources / SuppliersClient – yes the Client - as they need to make
decisions/pay and take time for meetings etc.If a delay/overrun/problem is occurring the responsible
party must be identifiable and made accountable to provide a workaround to resolve the problem…this includes the Client
CostEstimates for each element – Budgeted costActual Costs incurred – Payment ReceivedValue of Work DoneProportional costs aggregated for overall progressForecasting
Tracking of costs is essential in the performance of a project commercially. Deviation from forecast must be flagged/escalated so mitigation measures may be instigated in a timely manner.
PM Technique – Earned Value
ScheduleActivities required for project completionDurations of each taskDurations for Approvals / tests Lead timeRegular Milestones based on tangible and
objective events to demonstrate progress.
Essential to ensuring that all work is programmed and sequence is logical. Allows for dependencies to be shown and impacts of change/delays to be analysed.
Basic Project Plan
ChangeClient RequirementsCreeping ScopeCreeping eleganceLack of planningRisks realised
Change is inevitable be it from internal or external agencies. Change means that the original plan may not be valid and re-planning is required affecting cost/time/quality.
Scope CreepLack of clarity or detail in the original
description of scope, objectives, or workWillingness to modify a project without
formal review or approvalAllowing participants who do not do the work
associated with any change to decideFeeling that you should never say “NO” to a
ClientPersonal pride that makes you believe you
can accommodate anything
Reporting / CommunicatingProgress MeetingsRegular Project Reporting (Weekly)Meaningful Reports addressing:Schedule / TimeCostsResourcesChanges / Risks / IssuesProblems and Actions being taken/neededOverall Status
28% of projects fail due to poor communication– A recent research in 2012 conducted by PMI®
Reporting / CommunicatingUse predetermined metrics to measure work doneUse baselines to measure progressStatus reports identifying issues and actions to
resolve issuesEscalate issues when they occur rather than
‘ponder’ (“Contact-wait out” or interim SITREPs)‘No news’ does not mean ‘good news’ on a projectMeetings to ensure messages are communicated
and understood…“I sent an email” has never solved any project
problem
HidingYES YES
NO NO
YES
NO
NO
YES
A risk manifests itself
Problem Avoided
Conceal it before anybody finds out
Bury itGet in first with your
story
Sit tight and hope the risk goes away.
Will it show? Can you hide it?
Can you blame somebody else, circumstances,
client?
Could admission damage your career?
LearningNO YES
YES
NO
A risk manifests itself
Take ownership & assess possible consequences
Take corrective action & inform those affected
Tell somebody in authority
immediately
Cooperate fully to correct risk and
review procedures
Risk Managed
Investigate why mistake occurred
Try to learn from mistakes
Share discovery & improve process
Could admission damage your
career/company?
Is it a flaw in the process /
system?
Project DocumentationProject Plan stating the scope (WBS), how
work will be undertaken and by whom, programme and milestones, quality requirements, risks identified.
Baseline ProgrammeBaseline BudgetBaseline ResourcesProgress Reports measuring progress against
baselinesChange AuthorisationsContract Correspondence
SummaryProject management is a management technique
forGetting things done efficiently /fasterGetting things done right, more cost-effectively.Identifying problems with the project and
escalating issuesProject Management allows for the systematic
planning, organising and controlling of the Project Components of TIME, COST, QUALITY & SCOPE and communicating the status of a project to the participants.
SummaryScope is established from the Requirements and
developed into a WBSWork is allocated to resources and every element of work
has an owner which carries a cost/budgetWork is planned to be carried out in a logical sequence
and a schedule is developedChanges are inevitable and their impact on time, cost
and resources can be analysed against the baseline plan.Reporting against the original plan is essential to
ensuring that the right actions are taken in a timely manner.
Routine and escalation reporting gives visibility on a project
Documentation of the plan and changes ensures that there is visibility and accountability in the management of the project.
What, why, when, how and whereWHO?
Just because there is no ‘project’ in your title does not mean you are not part of a project.
Everybody contributes and plays a part
AfterwordsGood Project Management cannot guarantee
project success, but…Bad or Absent Project Management will
usually result in project failure.People make (or break) projects.
Questions