Project Planning Part 1

8/6/2019 Project Planning Part 1

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Project Planning & Control

part 1

MBA(Tech) XIth trimester

Prof.V.Seshadri


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Project Management System

A system around which the managerial functions ofplanning, organising, communicating and control arestructured and consolidated is called PMS. It has

following elements and activities: WBS, Org. structure, Schedules, Cost accounts,

Budgets

PMS has a means for collecting and storing

information, evaluating, reporting and directingcorrective actions based on these.

Ref 1 pg 197


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PM SYSTEM

Integrative planning & control

IPC refers to the pulling together of all imp.elements of

information related to Time, Cost & Performance. This

information must be pulled together for all phases of the

project.

IPC involves continuous review and revision of future plans

comparison of actuals vs. planned results and projection of

total time & cost at completion through interrelated evaluation

of all elements of information. Ref .1


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PM SYSTEM

Integrative planning & control contd.

As projects move from one phase to the

next, resource requirements, organizationalresponsibilities shift.


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Project Planning - fundamentals

Planning involves deciding & specifying what todo, how to go about it and how to make sure it isdone right ( thru controls)

1) During conception phase a plan is preparedspecifying requirements, work tasks,responsibilities, schedules and budgets

2) During execution phase, this plan is compared to

actual project performance,time and cost3) Based on 2, corrective actions are taken and 1 is

suitably updatedRef 1 Pg 181


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Project Planning fundamentals contd.

The Project Manager is appointed, if not

already in place. PM forms a project team.

The Project Proposal and/or Contractstatement of work (CSOW) and/or Work

Requisition or Work Order forms the basis for

the planning phase

Ref 1 pg 179


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Project Planning

Project Master Plan

Planning process addresses the following steps:

1. Set/Review Objectives, requirements, scope make a project charter

2. Specific work activities, tasks or jobs toachieve objectives are broken down,defined& listed (What)

3. A project organisation is created (Who)Ref 1 pg 180


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Project Planning

Project Master Plan - contd.

4. A schedule is prepared of work activities,

deadlines and milestones (When)

5. A budget and resource plan is prepared (howmuch)

6. A forecast is prepared of time, cost &

performance projections

Ref 1 pg 180


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Project Planning


Contents of Master Plans

Management Summary

Management & Organisation Strategy, keypersonnel, authority/ responsibility,

Manpower: Operational staff, schedule of

induction, Training & development

Ref 1 pg 181


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Project Planning


3. Technical : Overview of major activites, timing, cost

a) Statement & Scope of Work

b) Work breakdown

c) Responsibility assignments

d) Project Schedules (Gantt Charts, PERT, CPM,Project

Networks etc.)

e) Budget & Financial Support

Ref 1 pg 181


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Project Planning


f) Testing

g) Procedure for changes to Project Plan

h) Quality plan & reviews of work

i) Review of environmental & regulatory issues

j) Documentation

k) Implementation by user

l) Economic justificationm) Areas of uncertainty & Risks

Ref 1 pg 182


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Project Planning Tools

Work Breakdown Structure (WBS)

Responsibility Matrix

Events & Milestones Networks

Bar Charts/Gantt Charts

PERT/CPM

Activity node diagrams

Ref 1 pg 183


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Project Planning Tool:

Work Breakdown Structure

The procedure for dividing the overall project

into sub elements is called WBS.

The total Project is divided into smallerelements called work packages.

Work packages can be used for scheduling and

cost estimates and to assign management &

task responsibility

Ref 1 pg 185


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Work Breakdown Structure contd.

Typical WBS consists of five levels:

1. Project

2. Category3. Sub category

4. Sub- subcategory

5. Work Package


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Work Breakdown Structure contd

Some elements of WBS:

Define work as precisely as possible

Ask Whats next? What else is needed

Elements of WBS should correspond to sub-

systems or components of end item system

and not to functional areas Follow a Coding and numbering system


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Work Breakdown Structure contd

Elements of a Work Package/Task:

1. Statement of work clear

2. Resources

3. Time4. Cost

5. Responsibility

6. Outcomes

7. Inputs8. QA

Ref 1 pg 189


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WBS : Factors to Note

Every activity in the WBS should produce a single tangibledeliverable.

Every activity at any level of the WBS is an aggregation of allits subordinate activities listed immediately below it.

Each activity should be unique and distinct from otheractivities of the project.

There should be some level of flexibility in the WBSdevelopment process to accommodate project scope changes.

Each activity should be assigned to only one individual.


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WBS : Factors to Note (contd.)

The activity sub-division ends at the level when the timetaken to complete is activity becomes measurable in terms ofduration and can be scheduled.

The WBS should be consistent with the way in which work is

actually going to be performed. i.e. it should act as areference for the entire project team.

Project team members should be involved in developing theWBS to ensure consistency and buy-in from them.

Each activity in WBS should be documented to ensureaccurate understanding of the scope of work included andalso what is not included.


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WBS : Approaches

There are 2 approaches which can be following whilepreparing the WBS : Top-Down Approach

Bottom-Up Approach

Top-Down Approach : This is the traditional or conventionalapproach by starting with the project goal and thensubdividing it into further sub-divisions.

Questions which need to be answer while following a Top-Down Approach while preparing a WBS : What will have to be done in order to accomplish X?

Continue this approach until your answer has been broken down intocomponents or activities till they reach the last level.


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WBS : Approaches (contd.)

Bottom-Up Approach : This begins with identifying as manytasks related to the project as possible. Then aggregating thespecific tasks and organizing them into summary activities orhigher-level activities.

Work elements can be identified using the followingmethodologies : Noun Type Identification

Verb Type Identification

Organizational-Level Identification

Noun Type Identification : This would involve identifying the

various physical or functional components of the project.


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WBS : Work Element Identification

e.g. In manufacturing a lathe machine you could the varioussub-systems such as gear system, conveyor system, motorsystem etc. and also drill down to individual components suchas gears, gear belts, motor, machine base, fixtures, supportingblocks, etc.

Verb Type Identification : This is based on activities whichneed to be performed to complete the project.

Organizational Level Identification : This is based on dividingproject work based on geographical region, department,business function, etc.

The challenge in this kind of WBS is integrating the workelements across the various units.


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Case Study : WBS Illustration using T-D

Approach and VT Identificatn Project Objective : To migrate 3 Web servers and 2 databases

to a new physical data center.

Overall Project Description : The project requires 5 new servers to be provisioned in the new data

center; there servers will mirror will mirror the production serversexisting in the old data center.

The new servers will be built to the same specification as the old ones,they will run the same application and have the same content.

Once implemented, the new equipment will be tested to confirmfunctionality. The servers would contain go-live data.

Finally, the old equipment will be decommissioned and reabsorbedinto inventory.


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WBS : Level 0 Major Tasks

1. Obtain Equipment

2. Provision and implement equipment

3. Test equipment4. GoLive with new equipment

5. Re-Test in Live environment

6. Decommission Old Equipment.


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WBS :Major Task 1 - Obtain Equipment Level 1 : Sub-Task

Purchase 3 Web Servers and 2 databases.

Ship equipment to new data center.

Level 2: Sub-Sub Task

Prepare Purchase Order and place order for servers.

Alert data center that equipment is expected to be

received

Project Planning Part 1

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