Project Management

How to Bring Projects in On-Time & Under-BudgetHow to Bring Projects in On-Time & Under-Budget

Presented by Lou Bergner

Today’s Agenda

Why Project Management? Excerpts from the ACEND Project

Management curriculum The advantages of Project

Management proficiency Summary

Additional Participant Expectations

“Project Management Test Drive” Tell me about______________”

Today’s Agenda

Why Project Management? Excerpts from the ACEND Project

Management curriculum The advantages of Project

Management proficiency Summary

Why Is Today’s Organization Different The end of hierarchy Hyper-competition and the

“Velocity of Technology” drive short-term focus and a chaotic environment

Let’s bet the organization on the project outcome

Let’s cut our resources to the bone

Project Management on the front line Increasing importance of projects

in driving organizational change and strategic positioning

Need to reduce project costs and increase project success

Need to do MORE with LESS … FASTER

The Importance of Project Management

• And yet ….

• Continued failure of projects to deliver – agreed upon SCOPE– on TIME– on BUDGET

Exercise

What are the top three factors that create a perception of success?

Successful vs.

Unsuccessful Projects

What are the top three factors that cause a perception of failure?

Successful v UnsuccessfulThe Statistics* • Standish Group’s Chaos Report• The Robbins-Gioia Survey• The Conference Board Survey• The KPMG Canada Survey• The OASIG Survey

* www.it-cortex.com/stat_failure_rate.htm

Successful v UnsuccessfulThe Statistics • Standish Chaos Report, 2003

– 66% of major information technology (IT) projects failed!

– Average cost overrun – 43%– 82% of projects experienced schedule overrun– Only 52% of required features and functions

made it into the released systemsFailed Project:

>20% over budget

>20% late

Failing to meet >20% of the business requirements

Standish Group Reports that …• Common obstacles to success

– Unclear objectives – Lack of senior management support – Lack of effective project integration – Inadequate funding or change in business

priorities – Original assumptions invalid – Ineffective team – Lack of communications

“When projects fail, it’s rarely technical.” - Jim Johnson, The Standish Group

Deficiencies of Normal Project Management Random activities Paralysis Establishment of

unrealistic expectations

Unclear or incomplete deliverables, requirements or scope

Inability to identify successes & failures

Ineffective implementation

Lack of coordination

Staff burnout and frustration

Project failure The blame game

There Is Hope!

94% of organizations that have embarked on a project management improvement initiative have reported positive results!

ACEND has a full suite of project management workshops designed to increase individual and organizational competency in project management.

Today’s Agenda

Why Project Management? Excerpts from the ACEND’s Project

Management curriculum The advantages of Project

Management proficiency Summary

ACEND’s Project Management Curriculum

• An opportunity to kick the tires

• The project life cycle

• Excerpts from the PM curriculum

How are Classes Conducted?• Student Books

– Theory content– Case study and exercises

• Slide presentations– Theory and practical “Street” tools

• Group Discussions• “Hands On” exercises

Adults learn

By DOING

Corporate

Government

Curriculum Excerpt: Concept and Practice of Project Mgmt. Unit-3

Corporate Project Environment

CorporateStrategy

TacticalImplementation

TacticalImplementation

TacticalImplementation

Program Portfolio

Project Project Project

Project WBS Project WBSSub Project Sub Project

Sub Project WBS Sub Project WBS

Operations

Project

A temporary endeavor undertaken to create a unique product, service, or result.

Guide to the Project Management Body of Knowledge, 4th Edition

Portfolio

A portfolio is a collection of projects or programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives.

Guide to the Project Management Body of Knowledge, 4th Edition

Program

A program is a group of projects managed in a coordinated way to obtain benefits not available from managing them individually.

Guide to the Project Management Body of Knowledge, 4th Edition

Operation

Operations are ongoing and produce repetitive products, services, or results.

Guide to the Project Management Body of Knowledge, 4th Edition

Project Management and Project Manager

StakeholderExpectations

SCOPE

TIM

E

COST

KNOWLEDGE SKILLS

TOOLS TECHNIQUES

The Project Triple Constraints

Cost

Scope

TimeProject

Deliverable

Work Breakdown Structure

Schedule Resources

Curriculum Exert: Concepts and Practice of Project Mgmt. Unit-4

Framework

• PMI – Prince2 – CS/CSC - Others• The basic model of project

management includes:– Project life cycles comprised of Project Phases– Project Phases comprised of groups of

management tasks– Management Tasks in several different skill

areas

PMI Project Management Model• Two key architectural components• Process Groups – groups of logically

related project management processes (activities)

• There are 5 Process Groups

• Skill Sets – project processes segregated by skill set

• There are 9 Skill Sets called Knowledge Areas• There are 42 Processes (management tasks) within the 9

Knowledge Areas

Process Groups

Initiation

Closure

Planning

Execution

Monitoring and Control

Knowledge Areas

Project Integration ManagementProject Scope ManagementProject Time ManagementProject Cost ManagementProject Quality ManagementProject Human Resource ManagementProject Communication ManagementProject Risk ManagementProject Procurement management

Curriculum Excerpts: Scope (Unit-5) and Time Management (Unit-7 and 8)

Sample Project

Use Project Management Tools & Techniques to:

Define the deliverables Plan the project activities Plan for issues and uncertainties

Plan the “World’s Best Superbowl Party”

Decomposition Example

GuestsEntertainment Food

Super Bowl Party

Main TV

Backup Antenna

Kitchen TV

Cable Service

Invitations

Responses

Guest List

Envelopes

Beverages

Snacks

Hot Food

Desserts

Decomposition Example

Food

Super Bowl Party

Beverages

Snacks

Hot Food

Desserts

Ice Cream

Pie

Whipped Cream

Mints

The First Variable … Scope

Scope

ProjectDeliverable

Activity Lists

• Schedule Activity– A discrete scheduled component of work

performed during the course of a project. A schedule activity normally has an estimated duration, an estimated cost, and estimated resource requirements.

• The Activity List:– Contains all activities that will be performed on

the project – Concerns only those activities required as part

of the project scope

VERBSNOUNS

Decomposition Example - Activities

Food

Super Bowl Party

Beverages

Snacks

Hot Food

Desserts

Ice Cream

Pie

Whipped Cream

Mints

Decide on Flavors

Travel to Grocery

Purchase Ice Cream

Store Ice Cream

Implement Ice Cream

Network Example

Super BowlParty

Network Example

Super BowlParty

Network Example

Super BowlParty

2.0Food

1.0The Game

3.0Guests

Network Example

Super BowlParty

2.0Food

1.0The Game

3.0Guests

1.1Cable Service

1.2Big Screen TV

2.1Food

2.2Drinks

3.1Friends

3.2Neighbors

Network Example

Super BowlParty

2.0Food

1.0The Game

3.0Guests

1.1Cable Service

1.2Big Screen TV

2.1Food

2.2Drinks

3.1Friends

3.2Neighbors

1.2Install Service

1.2Test Service

Network Example

Super BowlParty

2.0Food

1.0The Game

3.0Guests

1.1Cable Service

1.2Big Screen TV

2.1Food

2.2Drinks

3.1Friends

3.2Neighbors

1.2Install Service

1.2Test Service

Network Example

Super BowlParty

2.0Food

1.0The Game

3.0Guests

1.1Cable Service

1.2Big Screen TV

2.1Food

2.2Drinks

3.1Friends

3.2Neighbors

1.2Install Service

1.2Test Service

1.2Buy TV

1.2Install TV

1.2Decide on food

1.2Buy food

1.2Decide on drinks

1.2Buy drinks

1.2Invite friends

1.2RSVP’s

1.2Invite neighbors

1.2RSVP’s

1.2Hookup cable

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

WP 3.2.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

S F

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

Network Example

PROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2 activity 3.1.1

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2 activity 3.1.1

Network ExamplePROJECT 1

DELIVERABLE 1.0 DELIVERABLE 2.0 DELIVERABLE 3.0

WP 1.1 WP 1.2 WP 2.1 WP 2.2 WP 3.1 WP 3.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 1.2.2

activity 2.1.1

activity 2.1.2

activity 2.2.1

activity 2.2.2

activity 3.1.1

activity 3.1.2

activity 3.2.1

activity 3.2.2

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2 activity 3.1.1

The Second Variable … Time

Scope

TimeProject

Deliverable

The Link to “COST”$$

$ or

Wor

k

Time

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2 activity 3.1.1

•Activities involve WORK•Work requires RESOURCES•Resources cost MONEY

•The cost of your resources on any activity define the activity’s cost

Network Example$$

$ or

Wor

k

Time

SFactivity 1.2.2

activity 2.1.1

activity 2.1.2

activity 3.1.2

activity 3.2.1

WP 3.2.2

activity 1.1.1

activity 1.1.2

activity 1.2.1

activity 2.2.1

activity 2.2.2 activity 3.1.1

The Third Variable … Cost

Cost

Scope

TimeProject

Deliverable

Variance Analysis

0

25

50

75

EV =actual workaccomplished

126

Time Now

Time

Do

llars

18

AC - what the workactually cost

planned orscheduled work

PV -

Curriculum Exert: Risk Management. Unit-5

Project Risk

An uncertain event or condition that, if it occurs, has a positive or negative effect on a project’s objectives.

Exercise

Identify four risks associated with producing the Super Bowl party

Risk Identification & Analysis

Curriculum Exert: Communications Management … Unit-6

Communications Planning

Determining the information and communications needs of the project stakeholders: who they are, what is their level of interest and influence on the project, who needs what information, when they will need it, and how it will be given to them.

Exercise

Identify three stakeholders for the superbowl party. Fill out the grid using the identified stakeholders.

Stakeholder Roles & Responsibilities

Initial Stakeholder Analysis

STAKEHOLDERINTERNALEXTERNAL

PROCON

INTEREST1-2-3

INFLUENCE1-2-3

ROLE ISSUE

SCOPE – TIME - COST

Today’s Agenda

Why Project Management? Excerpts from the ACEND Project

Management curriculum The advantages of Project

Management proficiency Summary

The Importance of Good Project Management in Tough Times Helps effectively leverage sparse

resources Facilitates coordination of

organizational efforts Increases the probability of project

success Limits staff burnout Serve more clients better and faster Helps build and maintain a

Competitive edge

Goals of Project Management• All projects should support the

overall strategy of the organization• All projects should be initiated for

business reasons• Manage the value of project activities

against strategic and tactical objectives

• Prioritize schedule, cost, scope and quality

• Proactively manage risks

The Role of the Project Manager Proactive problem solver Negotiator Conflict manager Facilitator Salesperson/marketer (for the

project and its vision) Supervisor and Planner Definer of project requirements?

Project Manager Skills

General management Estimating and planning Facilitation and the ability to

“influence” Resolving conflict and negotiating Communicating effectively Gathering and analyzing

information Leading and motivating teams Making and facilitating decisions

The Project Manager

• Effective Project Managers don’t just “HAPPEN”

• Effective Project Managers are “TRAINED”• An effective Project Manager uses both

art and science to achieve successful results:– Art

Creativity and flexibility to balance the requirements of scope, quality, time, and budget

– Science Applying proven, repeatable tools, techniques, and processes to a project

What to do next?• Grow your Project Management skill

set• ACEND can help.

– Curriculum– Instructors– Facilities

• Consider Project Management Institute’s “Project Management Professional” certification. – Not just a credential

– VERIFICATION OF A VALUE BASED SKILL SET

Benefits of PMP® Certification• The PMP is an extremely valuable

and marketable credential:– Independent valuable certification,

demonstrating a standard of knowledge, experience, and education in project management - a core competency

– Recognized and highly regarded throughout the world by employers and peers

PMP® Value

• Check classifieds for project managers– Note requirement for PMP®

• Go to a career center website – i.e., Monster, CareerBuilder, etc.– Do a job search on “Project

Manager PMP®”

Page 82

Project Management Professional (PMP)

• Industry Standard PM Certification• Based upon PMBOK standards• Continuing Certification Requirement

PMP Pre-requisitesCategory Category 1 Category 2

General Education Bachelor's degreeHigh School Diploma

PM Education 35 Contact hrs 35 Contact hrsPM Experience 4,500 hrs and 36

mos. exp within the last 8 years

7,500 hrs and 60 mos exp within the last 8 years

Code of Professional Conduct

Yes Yes

Today’s Agenda

Why Project Management? Excerpts from the ACEND Project

Management curriculum The advantages of Project

Management proficiency Summary

Summary

• Project management is a subset of general management and is both an art and a science

• Project managers represent all the stakeholders within their project

• Project managers are proactive in that they plan for quality deliverables as well as for risks

• The road to PMP® requires training, experience and exam preparation

Summary

• ACEND has the curriculum and the instructors– Skill set

– Certification

• Talk with your ACEND Point of Contact

• Questions and answers