Project Management: Planning, Scheduling, and

Controlling

Project Management: Planning, Scheduling, and

Controlling

OVERVIEW OF PROJECT MANAGEMENT

TIM

ECOST

PERFORMANCE/TECHNOLOGY

RESOURCES

Project CharacteristicsProject CharacteristicsHave a specific objective (which may be unique or one-of-a-kind) to be completed within certain specificationsHave defined start and end datesHave funding limits (if applicable)Consume human and nonhuman resources (i.e., money, people, equipment)

Be multifunctional (cut across several functional lines)

Have a specific objective (which may be unique or one-of-a-kind) to be completed within certain specificationsHave defined start and end datesHave funding limits (if applicable)Consume human and nonhuman resources (i.e., money, people, equipment)

Be multifunctional (cut across several functional lines)

Project ManagementProject Management

Project PlanningDefinition of work requirementsDefinition of quantity and quality of workDefinition of resources needed

Project monitoring– Tracking progress– Comparing actual outcome to predicted

outcome– Analyzing impact– Making adjustments

Project PlanningDefinition of work requirementsDefinition of quantity and quality of workDefinition of resources needed

Project monitoring– Tracking progress– Comparing actual outcome to predicted

outcome– Analyzing impact– Making adjustments

PROJECT MANAGEMENT IS THE ART OF CREATING THE

ILLUSION THAT ANY OUTCOME IS THE RESULT OF A SERIES OF PREDETERMINED, DELIBERATE

ACTS WHEN IN FACT IT WAS DUMB LUCK !

PM LM LM LM

PM = Project ManagerAPM = Assistant Project ManagerLM = Line or Functional Manager

APM

APM

SPONSOR GM

Multiple Boss ReportingMultiple Boss Reporting

Management Functions

Management Functions

DefinitionsDefinitions

Measuring: determining through formal and informal reports the degree to which progress toward objectives is being made.Evaluating: determining cause of and possible ways to act on significant deviations from planned performance.Correcting: taking control action to correct an unfavorable trend or to take advantage of an unusually favorable trend.

Measuring: determining through formal and informal reports the degree to which progress toward objectives is being made.Evaluating: determining cause of and possible ways to act on significant deviations from planned performance.Correcting: taking control action to correct an unfavorable trend or to take advantage of an unusually favorable trend.

DirectingDirecting

Staffing: seeing that a qualified person is selected for each position.Training: teaching individuals and groups how to fulfill their duties and responsibilities.Supervising: giving others day-to-day instruction, guidance, and discipline as required so that they can fulfill their duties and responsibilities.Delegating: assigning work, responsibility, and authority so others can make maximum utilization of their abilities.

Staffing: seeing that a qualified person is selected for each position.Training: teaching individuals and groups how to fulfill their duties and responsibilities.Supervising: giving others day-to-day instruction, guidance, and discipline as required so that they can fulfill their duties and responsibilities.Delegating: assigning work, responsibility, and authority so others can make maximum utilization of their abilities.

Directing (Continued)Directing (Continued)

Motivating: encouraging others to perform by fulfilling or appealing to their needs.Counseling: holding private discussion with another about how he might do better work, solve a personal problem, or realize his ambitions.Coordinating: seeing that activities are carried out in relation to their importance and with a minimum of conflict.

Motivating: encouraging others to perform by fulfilling or appealing to their needs.Counseling: holding private discussion with another about how he might do better work, solve a personal problem, or realize his ambitions.Coordinating: seeing that activities are carried out in relation to their importance and with a minimum of conflict.

Project ManagementProject Management

Time

Time

ResourcesResourcesCostCost

Quality/TechnologyQuality/Technology

Benefits Benefits

Identification of functional responsibilities to ensure that all activities are accounted for, regardless of personnel turnover.Minimizing the need for continuous improvementIdentification of time limits for schedulingIdentification of a methodology for trade-off analysisMeasurement of accomplishment against plans

Identification of functional responsibilities to ensure that all activities are accounted for, regardless of personnel turnover.Minimizing the need for continuous improvementIdentification of time limits for schedulingIdentification of a methodology for trade-off analysisMeasurement of accomplishment against plans

Benefits (continued)Benefits (continued)

Early identification of problems so that corrective action may followImproved estimating capability for future planningKnowing when objectives cannot be met or will be exceeded

Early identification of problems so that corrective action may followImproved estimating capability for future planningKnowing when objectives cannot be met or will be exceeded

ObstaclesObstacles

Project complexityCustomer’s special requirements and scope changesOrganizational restructuringProject risksChanges in technologyForward planning and pricing

Project complexityCustomer’s special requirements and scope changesOrganizational restructuringProject risksChanges in technologyForward planning and pricing

Classical ManagementClassical Management

PlanningOrganizingStaffingControllingDirecting

PlanningOrganizingStaffingControllingDirecting

Which of the above is Usually NOT

performed by the project manager?

Interface ManagementInterface ManagementManaging human interrelationships within the project teamManaging human interrelationships between the project team and the functional organizationManaging human interrelationships between the project team and senior managementManaging human interrelationships between the project team and the customer’s organization, whether an internal or external organization

Managing human interrelationships within the project teamManaging human interrelationships between the project team and the functional organizationManaging human interrelationships between the project team and senior managementManaging human interrelationships between the project team and the customer’s organization, whether an internal or external organization

As part of interface management, the project

manager’s role also includes integration management.

As part of interface management, the project

manager’s role also includes integration management.

IntegratedProcessesIntegratedProcesses

Integration ManagementIntegration Management

• Capital• Materials• Equipment• Facilities• Information• Personnel

• Capital• Materials• Equipment• Facilities• Information• Personnel

ResourcesResources

InputsInputs

IntegrationManagementIntegration

Management

ProductsServicesProfits

ProductsServicesProfits

OutputsOutputs

OrganizationalStructures

OrganizationalStructures

Pure Project Structure

General Manager

Project AManager

Project BManager

Project CManager

ENG. MFG.ENG. MFG. ENG. MFG.

The Matrix Management Structure

Engineering Operations Finance Others

Project Mgr.X

Project Mgr.Y

Project Mgr.Z

GeneralManager

Project ResponsibilityFu

nctio

nal R

espo

nsib

ility

The Matrix Management Structure (With a Director of Project Management)

Director:Project Mgmt.

Director:Engineering

Director:Manufacturing

Director:Finance/Admin.

Project Mgr. X

Project Mgr. Y

Project Mgr. Z

General Manager

Network SchedulingTechniques

Network SchedulingTechniques

The Planning & Scheduling ProcessDefine Project Activities

Estimate Activity Duration

Develop activities sequencing

Develop Schedule

Review and analyze the Schedule

OK? NO

Implement the Schedule

Yes

Scheduling TechniquesScheduling Techniques

Gantt or bar chartsMilestone chartsLine of balanceNetworks

Program Evaluation and Review Technique (PERT)Arrow Diagram Method (ADM) [Sometimes called the Critical Path Method (CPM)]Graphical Evaluation and Review Technique (GERT)Precedence Diagram Method (PDM)

Gantt or bar chartsMilestone chartsLine of balanceNetworks

Program Evaluation and Review Technique (PERT)Arrow Diagram Method (ADM) [Sometimes called the Critical Path Method (CPM)]Graphical Evaluation and Review Technique (GERT)Precedence Diagram Method (PDM)

Bar (Gantt) ChartBar (Gantt) Chart

TASKS 1 2 3 4 5

4

MONTHS AFTER GO-AHEAD

3

2

1

5

Milestone ChartMilestone Chart

ACTIVITYTESTINGANALYSISREPORTPRESENTATION

TIME

Standard PERT NomenclatureStandard PERT Nomenclature

6 3

COMPLETE TESTING COMPLETE FINAL REPORT

3 WEEKS

LEGENDLEGEND

EVENT

ACTIVITY

DependenciesDependencies

7

26 18

31

7

18

31

26

BURST POINT SINK

Conversion From Bar To PERTConversion From Bar To PERT

4

2

3

1

5

6 7

3

2 2221

11

4

1 2

3 4 5

6 7

TIME

BAR CHART

PERT CHART

Sample of Network ConstructionSample of Network Construction

AONAON AOAAOA

Simplified PERT NetworkSimplified PERT Network

1 9

3

42 8765

LEGEND: (TIME = WEEKS)EVENTACTIVITYCRITICAL PATH ACTIVITY

Network Elements and their features: Critical path

Critical pathIt is the longest route through the plan from start to finish through all the critical activities. The path through the plan includes all the activities that you should concentrate on. Delays to the critical path delay the plan end date. There can often be more than one critical path.

2 4 5 21

4 128

64 3 1 4

24 4

37

44

7

18242729364848

Dummy ActivitiesDummy Activities

A

BC

D

DUMMYACTIVITY

PRECEDINGACTIVITY

A -B -C B D A,B

Networking Concurrent ActivitiesNetworking Concurrent Activities

Activity c Not Required for eActivity c Not Required for e

Showing PrecedentsShowing Precedents

a precedes d; a & b precede e; b & c precede f; a does not precede f

Slack IdentificationSlack Identification

C (8,10)2 (15,17)

EARLIEST START TIME

EARLIEST FINISH TIME

LATEST FINISH TIME

LATEST START TIME

ACTIVITY

TIME

Types Of SlackTypes Of Slack

[ 20, 26 ][ 24, 30 ]

[ 30, 36 ][ 24, 30 ]

POSITIVE SLACK NEGATIVE SLACK

Negative SlackNegative Slack

FORWARD PASS

BACKWARD PASS

CUSTOMER’S CUSTOMER’SSTART DATE FINISH DATE

3

2

4

1

Schedule CompressionSchedule Compression

Elimination of some parts of the project Addition of more resourcesSubstitution of less time-consuming components or activitiesParallelization of activitiesShortening critical path activitiesShortening early activitiesShortening longest activities

Elimination of some parts of the project Addition of more resourcesSubstitution of less time-consuming components or activitiesParallelization of activitiesShortening critical path activitiesShortening early activitiesShortening longest activities

Schedule Compression (Continued)Schedule Compression (Continued)

Shortening easiest activitiesShortening activities that are least costly to speed upShortening activities for which you have more resourcesIncreasing the number of work hours per day

Shortening easiest activitiesShortening activities that are least costly to speed upShortening activities for which you have more resourcesIncreasing the number of work hours per day

Planning Objectives (Primary)Planning Objectives (Primary)

Best timeLeast costLeast risk

Best timeLeast costLeast risk

Planning Objectives (Secondary)Planning Objectives (Secondary)

Studying alternativesOptimum schedulesEffective use of resourcesCommunicationsRefinement of the estimating processEase of project controlEase of time or cost revisions

Studying alternativesOptimum schedulesEffective use of resourcesCommunicationsRefinement of the estimating processEase of project controlEase of time or cost revisions

Planning Objectives (Limitations)Planning Objectives (Limitations)

Calendar completionCash or cash flow restrictionsLimited resourcesManagement approvals

Calendar completionCash or cash flow restrictionsLimited resourcesManagement approvals

Precedence NetworkPrecedence Network

TASKS 1 2 3 4 5

4

MONTHS AFTER GO-AHEAD

3

2

1

5

Types Of Precedence ChartsTypes Of Precedence Charts

ACTIVITY 1

ACTIVITY 1

ACTIVITY 2

ACTIVITY 2FINISH-TO-START

START-TO-START

FINISH START

START

START

Types Of Precedence ChartsTypes Of Precedence Charts

ACTIVITY 1

ACTIVITY 1

ACTIVITY 2

ACTIVITY 2

FINISH-TO-FINISH

PERCENT COMPLETE

FINISHFINISH

20 %

50 %

ACTIVITY INFORMATION

EARLY START01/06/97

TIME DURATION2 WORK-WEEKS

EARLY FINISH14/06/97

ACTIVITY 4

TOTALSLACK(TS)

$250,000

LATE START15/06/97

COST/PROFIT CENTER 2810

LATE FINISH28/06/97

FREE SLACK(FS)