36
PROJECT TIME MANAGEMENT Time is the essence of all construction projects and contracts often have clauses outlining awards (bonus payment) of penalties (as liquidity damages) for completing a work ahead or latter than a scheduled date. There effort is made in every project to ensure timely completion of works and several reasonable well-established techniques are available and commonly used for time planning/management /scheduling activities. e.g., CPM, (critical path method), PERT (Program evaluation and review technique), PNA, LOB, LPC etc Project time management includes the processes required to accomplish the timely completion of the project Time Management processes, are as follows: 1 Plan Schedule Management—the process of establishing the policies, procedures, and documentation for planning, developing, managing, executing, and controlling the project schedule. 2 Define Activities—The process of identifying and documenting the specific actions to be performed to produce the project deliverables. 3 Sequence Activities—The process of identifying and documenting relationships among the project activities. 4 Estimate Activity Resources—The process of estimating the type and quantities of material, human resources, equipment, or supplies required to perform each activity. 5 Estimate Activity Durations—The process of estimating the number of work periods needed to complete individual activities with estimated resources. 6 Develop Schedule—The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model. 7 Control Schedule—The process of monitoring the status of project activities to update project progress and manage changes to the schedule baseline to achieve the plan PROJECT PLANNING AND PROJECT SCHEDULING

Time Management construction and enginnering management

Embed Size (px)

Citation preview

Page 1: Time Management  construction and enginnering management

PROJECT TIME MANAGEMENT Time is the essence of all construction projects and contracts often have clauses outlining awards (bonus payment) of penalties (as liquidity damages) for completing a work ahead or latter than a scheduled date. There effort is made in every project to ensure timely completion of works and several reasonable well-established techniques are available and commonly used for time planning/management /scheduling activities.e.g., CPM, (critical path method), PERT (Program evaluation and review technique), PNA, LOB, LPC etcProject time management includes the processes required to accomplish the timely completion of the project Time Management processes, are as follows:1 Plan Schedule Management—the process of establishing the policies, procedures, and documentation for planning, developing, managing, executing, and controlling the project schedule.2 Define Activities—The process of identifying and documenting the specific actions to be performed to produce the project deliverables.3 Sequence Activities—The process of identifying and documenting relationships among the project activities.4 Estimate Activity Resources—The process of estimating the type and quantities of material, human resources, equipment, or supplies required to perform each activity.5 Estimate Activity Durations—The process of estimating the number of work periods needed to complete individual activities with estimated resources.6 Develop Schedule—The process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model.7 Control Schedule—The process of monitoring the status of project activities to update project progress and manage changes to the schedule baseline to achieve the plan

PROJECT PLANNING AND PROJECT SCHEDULINGProject planning is the process of identifying all the activities necessary to successfully complete the project. Project scheduling is the process of determining the sequential order of the planned activities, assigning realistic durations to each activity, and determining the start and finish dates for each activity. Thus, project planning is a prerequisite to project scheduling because there is no way to determine the sequence or start and finish dates of activities until they are identified.

Plan Schedule Management

Page 2: Time Management  construction and enginnering management

Plan Schedule Management is the process of establishing the policies, procedures, and documentation for planning, developing, managing, executing, and controlling the project schedule. The schedule management plan is a subsidiary plan of, and integrated with, the project management plan. identifies a scheduling method and scheduling tool and sets the format and establishes criteria for developing and controlling the project schedule. The schedule management plan is a component of the project management plan. The schedule management plan may be formal or informal, highly detailed or broadly framed, based upon the needs of the project. Inputs:

1. The project management plan contains information used to develop the schedule management plan which includes project scope statement and the work breakdown structure (WBS) details used for defining activities, duration estimation, and schedule management.

2. The project charter defines the summary milestone schedule and project approval requirements that will influence the management of the project schedule.

3. Enterprise Environmental Factors i.e., Organizational culture and structure, Resource availability and skills, Project management software, published commercial information, such as resource productivity information and Organizational work authorization systems all these influence project schedule.

4. The organizational process assets i.e., Monitoring and reporting tools, Schedule control tools, Risk control procedures etc

Tools and Techniques:1. Expert Judgment guided by historical information, provides valuable

insight about the environment and information from prior similar projects.2. Analytical Techniques3. Meetings by Project teams to develop the schedule management plan.

Outputs:Schedule Management Plan. A component of the project management plan that establishes the criteria and the activities for developing, monitoring, and controlling the schedule.

Activity Definition IT is identifying and documenting the specific activities that must be performed to produce the various project derivable and subderivables identified in the WBS.Inputs: – Work Breakdown structure – Scope statement – Historical information – Constraints – Assumptions– Expert judgment Tools and Techniques: – Decomposition

Page 3: Time Management  construction and enginnering management

– Templates Outputs from Activity Definition

1. Activity list 2. Supporting detail 3. Work breakdown structure update

Activity SequencingSequence Activities is the process of identifying and documenting relationships among the project activities. The key benefit of this process is that it defines the logical sequence of work to obtain the greatest efficiency given all project constraints.

Inputs: Activity list ,Product description ,Mandatory dependencies Discretionary dependencies External dependencies Milestones Tools and Techniques:Precedence diagramming method (PDM) ,Arrow diagramming method (ADM)Conditional diagramming methods,Network templates. Outputs from Activity Sequencing

1. Project network diagrams 2. Activity list updates

Activity Resource EstimatingEstimate Activity Resources is the process of estimating the type and quantities of material, human resources, equipment, or supplies required to perform each activity.Inputs:Schedule management plan, Activity list, activity attributes, Resource calendars, Risk register, Activity cost estimates, Enterprise environment factorrs,organizatonal process assets.Outputs:

1. Activity resource requirements2. Resource breakdown structure3. Project documents update

Activity Duration EstimatingEstimate Activity Durations is the process of estimating the number of work periods needed to complete individual activities with estimated resources.Inputs to Activity Duration Estimating 1.Activity list 2. Constraints 3. Assumptions 4. Resource requirements 5. Resource capabilities 6. Historical information 7. Identified risks Tools and Techniques: 1.Expert judgment 2. Analogous estimating 3. Quantitatively based durations

4. Reserve time (contingency) Outputs from Activity Duration Estimating:

1. Activity duration estimates 2. Basis of estimates 3. Activity list updates

Page 4: Time Management  construction and enginnering management

Activity Durations Activity duration is forecasted by any of the several means, including:

(1) Check Past Records.(2) Check Standards and / or cost guides, if available.(3) Ask the workers, who will do it(4) Make an educated guess

Any time units may be allotted to activity durations like days, hours, weeks, months, shifts, etc.

In CPM, a single duration is forecasted for an activity. In PERT (Program Evaluation & Review Techniques), 3 durations are

forecasted for an activity and mean taken by weighted average method. Then, Project’s Duration or any Event Completion Time is calculated by probability distribution.

Develop ScheduleDevelop Schedule is the process of analyzing activity sequences, durations, resource requirements, and schedule constraints to create the project schedule model.Inputs: 1.Project network diagrams 2. Activity duration estimates 3. Resource requirements 4.Resource poll description 5. Calendars 6. Constraints 7. Assumptions8.Leads and lags 9. Risk management plan 10. Activity attribute

Tools and Techniques: 1.Mathematical analysis

Critical Path Method (CPM) Graphical Evaluation and Review Technique (GERT) Program Evaluation and Review Technique (PERT)

2.Duration compression 3. Simulation 4. Resource leveling heuristics5.Project management software 6. Coding structure

Outputs from Schedule Development:2. Project Schedule

Project network diagrams with date information added Bar Charts or Gantt chart Milestone charts

3. Supporting detail4. Schedule management plan5. Resource requirement updates

CPM Calculations Calculates the following for each activity

EST = Earliest Starting TimeEFT = Earliest Finishing Time

Page 5: Time Management  construction and enginnering management

LST = Latest Starting TimeLFT = Latest Finishing TimeTF = Total FloatFF = Free Float

Total Float is Maximum time for which an activity can be delayed without delaying the project.

Free Float is maximum time for which an activity can be delayed without delaying the start of proceeding activity.

Total Float = Free Float + Interfering FloatCritical Path:

The path (or paths) in the network diagram, from start to finish, on which all the activities have zero total and free floats, is called Critical Path.

It is the longest path (or paths) from start to finish in a net work diagram.

It gives minimum normal time to complete a project. It is usually marked by double lined arrows in a network diagram.

SINGLE SPAN BRIDGE PROJECT (ACTIVITY DESCRIPTION)

Activity Code

Operation Dependence

Est. Dur.(Days)

ENA Earthworks, north abutment

- 5

ESA Earthworks, south abutment

ENA 4

CONN Construction, north abutment

ENA 14

CONS Construction, south abutment

ESA, CONN 12

COMN Compaction, north abutment

CONN 2

Page 6: Time Management  construction and enginnering management

CIMS Compaction, south abutment

CONS,COMN 2

RNB Road, north of bridge COMN 2RSB Road, south of bridge RNB,COMS 2PB Prefabricate bridge deck - 18TD Transport deck to site PB 2EB Erect bridge deck TD,CONN,

CONS, COMN

3

LBS Lay bridge surface EB,RNB,RSB 2ICB Install crash barriers etc. EB 1L Landscape RNB, RSB 1

Page 7: Time Management  construction and enginnering management
Page 8: Time Management  construction and enginnering management

Control ScheduleControl Schedule is the process of monitoring the status of project activities to update project progress and manage changes to the schedule baseline to achieve the plan.

Inputs:1.Project schedule 2. Performance reports 3. Change requests 4.Schedule management

Tools and Techniques:1.Schedule change control system 2. Performance measurement 3. Additional planning 4.Project management software 5. Variance analysis Outputs:

1. Schedule updates 2. Corrective action 3. Lessons learned

QUALITY MANAGEMENTIMPORTANCE:

Page 9: Time Management  construction and enginnering management

Quality has widely been recognized as a distinctive competency than can be used by business to increase profitability and market share.

Definition:Quality is nothing but satisfaction with the

appearance ,performance, and reliability of the project for a given price range.

Construction Quality:

It is the quality of material being used in construction, the quality of workmanship with the fulfillment of the end user’s ultimate requirements. In construction industry quality is assumed to be “sticking to specification” which is a part of contract signed by a contractor and sticking to specification is the contractual obligation.In the context of quality ,specification and the contract drawing play the most important role and it would be virtually impossible to achieve the desired quality if the specifications and the drawings for a project are unclear and confusing. These documents should clarify:

1. The material to be used2. The manufacturers3. Guidelines for ensuring quality of materials at the time of purchase4. The work method 5. The tools and equipments to be used and6. The information on line an levels etc.

According to (ISO),quality is an inherent characteristic. Some of these characteristics are obtained from the stated,implied,or obligatory needs.e.g, The 28 days compressive strength of a concrete slab is 210 kg/m².In this case strength becomes one of the quality characteristics for concrete slab and is not restricted to products such as concrete slab, but can be extended to include the porcess of construciton, person,machinery,the company as a whole etc.Each of entity can have different quality characteristics

. Total Quality:

Total quality in construction industry is defined as measurable process of continuous improvement that is focused on the needs and expectations of the customer. PROJECT QUALITY MANAGEMENTProject Quality Management includes the processes and activities of the performing organization that determine quality policies, objectives, and responsibilities so that the project will satisfy the needs for which it was undertaken. Project Quality Management addresses the management of the project and the deliverables of the project. The project management team should determine the appropriate levels of accuracy and precision for use in the quality management plan. The basic approach to project quality management as described in this section is intended to be compatible with International Organization for Standardization (ISO) quality standards. Every project should have a quality management plan.

Page 10: Time Management  construction and enginnering management

the Project Quality Management processes include:1 Plan Quality Management—The process of identifying quality requirements and/or standards for the project and its deliverables and documenting how the project will demonstrate compliance with quality requirements. The key benefit of this process is that it provides guidance and direction on how quality will be managed and validated throughout the project.2 Perform Quality Assurance—The process of auditing the quality requirements and the results from quality control measurements to ensure that appropriate quality standards and operational definitions are used. The key benefit of this process is that it facilitates the improvement of quality processes. Perform Quality Assurance also provides an umbrella for continuous process improvement, which is an iterative means for improving the quality of all processes. Continuous process improvement reduces waste and eliminates activities that do not add value. This allows processes to operate at increased levels of efficiency and effectiveness.3 Control Quality—The process of monitoring and recording results of executing the quality activities to assess performance and recommend necessary changes. The key benefits of this process include: (1) identifying the causes of poor process or product quality and recommending and/or taking action to eliminate them; and (2) validating that project deliverables and work meet the requirements specified by key stakeholders necessary for final acceptance.The inputs, tools and techniques, and outputs of theses processes are shown in the figure:

Page 11: Time Management  construction and enginnering management

Quality in construction project

Factors affecting Construction quality are:1. Non availability of clear set of design and drawing.2. When porject specifications are ambiguous and not clear.3. Non existance of clearly defined quality control methodology.

Page 12: Time Management  construction and enginnering management

4. Usage of unsuitable material,improper machinery,equipments,tools and poor workmanchip during project execution stage.

InspectionActivities such as measuring,examining,testing and guaging one or more characteristics of a product or service and comparing this with specified requirements.

Levels of inspection:1. At the time of receiving the raw materials,parts,assemblies and other

purchsed items2. At the time of processing and3. Final inspection prior to acceptance of product.

Tools and Techniques used:Depends upon nature of the project, for example in highway

construction the compaction of earth fill is checked by FDT tools, levels are checked by dumpy levels, electronic survey instruments and suitability of material is checked by various equipments for which a laboratory is established at the start of project. The process of inspection is undertaken in a structured way using checklists.

Quality controlAccording to ISO,quality control is defined as s set of activities

or techniques whose purpose is to ensure that all quality requirements are being met.Thus quality control describes those actions that provide the means to control and measure the characteristics of an item,process,or facility against the established requirements.Essentials of a quality control programme:

1. Defining quality standards Definitions and procedures for the measurement of attainment of the standards.

2. Execution of the procedures to determine probable attainment of non-attainment of the standards.

3. The power to enforce and maintain the defined standards as measured according to the defined procedure.

Quality control is administered by the contractors or by the specialist consultants such as consulting engineers or testing laboratoriesMethods:Three major quality control methods commonly used on construction projects are:1- Inspection 2-Testing 3-Sampling.

Quality AssuranceAccording to ISO, quality assurance is defined as a set of

activities whose purpose is to demonstrate that an entity (product, processes, person, department and organization) meets all quality requirements.In constrution, quality assurance activities include all those planned and systematic administrative and surveillance functions initiated by project owner or regulatory agents to enforce and certify, with adequate confidence, compliance with established project quality standards to ensure that the

Page 13: Time Management  construction and enginnering management

completed structure and/or its components will fulfill the desired purposes efficiently, effectively and economically.QA is a construction management process where as QC is a sampling or inspection process. The focus on QA is on defect prevention, while the focus in quality control is on defect detection once the item is constructed .It can be said that QC is an element of QA program. Total quality managementTQM management philosophy focuses on continuously improving the process that makes the product, rather than attempting to inspect or test the product to achieve quality. Much of the TQM concept is attributed to the teachings of Drs. W. Edward Deming and Joseph M. Juran, who, with other experts from the United States, assisted the Japanese in improving the quality of their products beginning in the early 1950s. Dr. Deming published a book entitled Out of the Crisis, which defines 14 points or steps to achieve quality.DEMING'S 14 POINTSI. Create constancy of purpose for improvement of product and service. This includes both immediate solutions to today's problems and long-range planning for the future.2. Adopt the new philosophy. This charge is not only to the management and work force of the company, but encompasses the responsibilities of government as well.3. Cease dependence on mass inspection to achieve quality. The problem is not with the defective products found during inspection, but in the system that created them.4. End the practice of awarding business on the basis of price tag alone. Instead, minimize total cost by working with a single supplier.5. Improve constantly and forever the system of production and service. Quality must be built in at the design stage.6. Institute training on the job. Ensure everyone understands their job and has the training to do it.7. Adopt and institute leadership. The job of management is not supervision, but leadership.8. Drive out fear. People do their best work when they feel secure. Encourage contributions from everyone to improve the system.9. Break down barriers between staff areas. Instead of optimizing the efforts of individual departments, the effort should be made to develop a team approach for the good of the company.10. Eliminate slogans, exhortations, and targets for the work force. Such devices cultivate resentment when there are flaws in the system hampering optimum performance.

Page 14: Time Management  construction and enginnering management

11. Eliminate numerical quotas for the work force and numerical goals for the management. Quotas either breed a sense of failure when they are not met or stifle incentive if they are met too easily.12. Remove barriers that rob people of pride of workmanship. Eliminate the annual rating or merit system.13. Institute a vigorous program of education and self-improvement for everyone. Allow people to improve themselves and broaden their knowledge with continuing education14. Take action to accomplish the transformation. The best made plans for improving the systems are worthless unless they are put into action.Essential element of TQM:

Management commitment and leadership Training Teamwork Statistical methods Cost of quality Supplier involvement

Quality tools and techniques:

After World War II the Japanese adopted 'quality' as a philosophy for economic recovery and, in line with this traditional approach, sought seven tools to accomplish the economic rejuvenation. The seven tools chosen were:

Histograms Cause and Effect Diagrams Check Sheets Pareto Diagrams Graphs Control Charts Scatter Diagrams

The seven tools:

Page 15: Time Management  construction and enginnering management

RISK MANAGEMENT

“The process involved with identifying, analyzing, and responding to risk. It includes maximizing the results of positive risks and minimizing the consequences of negative events”

Why Risk management:Project problems can be reduced as much as 90% by using risk analysisPositives:

More info available during planning Improved probability of success/optimum project

Negatives: Belief that all risks are accounted for Project cut due to risk level

RISK o The possibility that an outcome is not achieved or is replaced by

another, or that an unforeseen event occurs.

Control Chart Pareto Chart

Data CollectingScatter Plot Ishikawa Chart

HistogramStratification

* *****

* * *

Page 16: Time Management  construction and enginnering management

o This broad view of risk includes both uncertainty due to future events and the consequences of limited knowledge, information or experience.

It, measures in terms of consequences and likelihoodsRisk Tolerance – The amount of acceptable riskRisk Adverse – Someone that does not want to take risksRisk Factors

• Probability of occurrence• Range of possible outcomes (impact or amount at stake• Expected Timing of event• Anticipated frequency of risk events from that source

Types of Risk:Acts of GOD: Flood, Earthquake, Landslide, Fire, Wind, damagePhysical: Damage to structure, Damage to equipment, Labor injuries, Fire, Theft Financial & Economic: Inflation, Availability of funds, Exchange rate fluctuations, financial default Political & Environmental: Changes in laws and regulations, Requirement for permits Law & order, Pollution and safety rulesDesign: Incomplete design scope, Defective design, Errors & omissions, inadequate specificationsConstruction Related: Labor disputes, Labor productivity, Different site conditions Design changes, Equipment failure

How Do We Manage Risk?

Plan Risk Management Identify Risks Perform Qualitative Risk Analysis

Physical

Risks

FinancialEcono

mic

&Actsof

God

PoliticalEnviron.

&

Design

Const.Relate

d

Page 17: Time Management  construction and enginnering management

Perform Quantitative Risk Analysis Plan Risk Responses Monitor and Control Risks

Risk Management Life Cycle

Identify Risks

Inputs:

Plan Risk Management

Identify Risks

Perform Qualitative Risk Analysis

Perform Quantitative Risk Analysis

Plan Risk Responses

Monitor and Control Risk s

Risk IdentificationRisk Identification

Risk EstimationRisk Estimation

Risk EvaluationRisk EvaluationRisk ResponseRisk Response

Risk MonitoringRisk Monitoring

ControlledRisk

Environment

Risk IdentificationRisk Identification

Risk EstimationRisk Estimation

Risk EvaluationRisk EvaluationRisk ResponseRisk Response

Risk MonitoringRisk Monitoring

ControlledRisk

Environment

Ranking options

Comparing options

Descriptive analysis

Qualitative

Risk AnalysisTechniques

Probability analysis

Sensitivity analysis

Simulation techniques

Quantitative

Page 18: Time Management  construction and enginnering management

Risk Management Plan Activity Cost Estimates Activity Duration Estimates Scope Baseline Stakeholder Register Cost Management Plan Schedule Management Plan Quality Management Plan Project Documents Enterprise Environmental Factors Organizational Process Assets

Tools and Techniques: Documentation Reviews Information Gathering Techniques Checklist Analysis Assumption Analysis Diagramming Techniques SWOT Analysis Expert Judgment

Outputs: Risk Register

IDENTIFY RISK The analysis begins with listing the risks that might affect each key

element of the project. The aim is to generate a comprehensive list of the relevant risks

and document what each one involves. The analysis should include a description of the risk and how it

might arise, possible initiating factors, the main assumptions and a list of the principal sources of information.

There are several ways to identify risks: Risk checklists provide a useful starting point for some projects. Agencies carrying out many similar projects can construct their

own checklists based on their experience or project databases, or Draw on information from specialist industry, research, insurance,

or management expertise.

Examining similar current or previous projects, risk analyses or project evaluations.

Brainstorming or work shopping may be valuable for projects involving new or unusual risks, innovative management arrangements or to develop initial checklists.

Risk Management teams comprising multi-disciplinary backgrounds are well suited to this phase.

They can be supported by the many specialist techniques applicable to particular kinds of projects or risks.

Page 19: Time Management  construction and enginnering management

For example, hazard analysis may be directed to specific safety issues or complex environmental applications, while failure modes analysis can be used for examining risks in technical systems

Qualitative Risk AnalysisInputs: Risk Register Risk Management Plan Project Scope Statement Organizational Process AssetsTools and Techniques: Risk probability and impact statement Probability and impact matrix Risk data quality assessment Risk categorization Risk urgency assessment Expert Judgment Output: Risk Register Updates

Probability and Impact Matrix

Probability Scale & Impact Scale

Impact Scale

Consequence Health and Safety Extreme Fatality or multiple fatalities expected

High Severe injury or disability likely; or some potential for fatality

Moderate Lost time or injury likely; or some potential for serious injuries; or small risk of fatality

Low First aid required; or small risk of serious injury Negligible No concern

Page 20: Time Management  construction and enginnering management

Probability Scale

Likelihood Class

Likelihood of Occurrence (events/year)

Not Likely (NL) Fatality or multiple fatalities expected

Low (L) <0.01% chance of occurrence

Moderate (M) 0.01 - 0.1% chance of occurrence

High (H) 1 - 10% chance of occurrence

Expected (E) >10% chance of occurrence

Risk Register Update: Probability and Impact Matrix results Perform quality check on results Categorize the risks to make them easier to handle Perform urgency assessment to determine which risk need

immediate attention

Perform Quantitative Risk

Inputs: Risk Register Risk Management Plan Cost Management Plan

Page 21: Time Management  construction and enginnering management

Schedule Management Plan Organizational Process Assets

Tools & Techniques: Data gathering and representation techniques Quantitative risk analysis and modeling Expert Judgment

Outputs: Risk Register Updates

Quantitative Risk Analysis: Analyze numerically the probability and consequence of

each risk Monte Carlo analysis popular Decision Tree analysis on test Diagram that describes a decision and probabilities

associated with the choices Expected Monetary Value Analysis (EMV)

Plan Risk Responses

Inputs Risk Register Risk Management Plan

Tools & Techniques: Strategies for negative risks or threats Strategies for positive risks or opportunities Contingent response strategy Expert Judgment

Outputs: Risk Register Updates Risk-related Contract Decisions Project Management Plan Updates

There are four broad strategies for dealing with risks and their consequences:

1. Risk prevention 2. Impact mitigation 3. Risk transfer 4. Risk acceptance

RISK PREVENTION

Risk prevention is directed to eliminating sources of risk or substantially reducing the likelihood of loss from their occurrence.

Page 22: Time Management  construction and enginnering management

Examples include the selection of alternative proposals, design and engineering changes,

quality assurance procedures, asset utilization studies, operations reviews, Regular audits and checks and preventive maintenance.

IMPACT MITIGATION

Impact mitigation is directed to minimizing the consequences of risks.

Some risks, such as those associated with market variations or weather, cannot be avoided.

Risk Management must then be directed to coping with their impacts.

Impact mitigation measures include contingency planning, contract terms and conditions, Inspections and checks to detect technical compliance or

security breaches, And recovery programs

RISK TRANSFER

Risk transfer shifts responsibility for a risk from the agency to another party, who ultimately bears the consequences if the risk arises.

The agency will normally incur a cost for the other party assuming the risk.

Insurance is a well-known risk transfer strategy for physical and other assets and activities and for a limited range of commercial risks.

In procurement, contracts and agreed procedures entered into between an agency and its contractors or suppliers are the primary means of allocating risk between the parties involved

The specific terms of a contract also provide a means of transferring risk.

The aim is to place or neutralize significant sources of risk via contractual measures between the agency, the prime contractor and insurance providers.

. The specific terms of a contract also provide a means of transferring risk.

The aim is to place or neutralize significant sources of risk via contractual measures between the agency, the prime contractor and insurance providers.

Page 23: Time Management  construction and enginnering management

RISK ACCEPTANCE

Risk acceptance occurs when risks cannot be avoided or transferred, or the costs of doing so would not be worthwhile.

Risks must then be accepted. Impact mitigation measures and monitoring may be

appropriate and should be recommended in these circumstances.

Monitor and Control Risks

Inputs Risk Register Project Management Plan Work Performance Information Performance Reports

Tools & Techniques Risk reassessment Risk audits Variance and trend analysis Technical performance measurement Reserve analysis Status meetings

Outputs Risk Register Updates Organizational Process Assets Change Requests Project Management Plan Updates Project Document Updates

Page 24: Time Management  construction and enginnering management

HUMAN RESOURCE MANAGEMENT

Definition:Project Human Resource Management includes the processes

that organize, manage, and lead the project team. The project team is comprised of the people with assigned roles and responsibilities for completing the project

The Importance of Human Resource Management: Many corporate executives have said, “People are our most

important asset” People determine the success and failure of organizations and

projects

What is Project Human Resource Management?

Making the most effective use of the people involved with a project Processes include:

1. Human resource planning: identifying and documenting project roles, responsibilities, and reporting relationships

2. Acquiring the project team: getting the needed personnel assigned to and working on the project

3. Developing the project team: building individual and group skills to enhance project performance

4. Managing the project team: tracking team member performance, motivating team members, providing timely feedback, resolving issues and conflicts, and coordinating changes to help enhance project performance

Managing and leading the project team includes:Influencing the project team:

The project manager needs to be aware of and influence, when possible, human resource factors that may impact the project. These factors includes team environment, geographical locations of team members, communications among stakeholders, internal and external

Page 25: Time Management  construction and enginnering management

politics, cultural issues, organizational uniqueness, and others factors that may alter project performance

Professional and ethical behavior. The project management team should be

aware of, subscribe to, and ensure that all team members follow professional and ethical behavior.

Project Human Resource Management Summary

Human Resource Planning

Involves identifying and documenting project roles, responsibilities, and reporting relationships Outputs include:

Project organizational charts Staffing management plan Responsibility assignment matrixes Resource histograms

Sample Organizational Chart for a Large IT Project

Page 26: Time Management  construction and enginnering management

Responsibility Assignment Matrices

A responsibility assignment matrix (RAM) is a matrix that maps the work of the project as described in the WBS to the people responsible for performing the work as described in the OBS

Can be created in different ways to meet unique project needs

Sample Responsibility Assignment Matrix (RAM)

Page 27: Time Management  construction and enginnering management

RAM Showing Stakeholder Roles

Staffing Management Plans and Resource Histograms:

A staffing management plan describes when and how people will be added to and taken off the project team

A resource histogram is a column chart that shows the number of resources assigned to a project over time

: Sample Resource Histogram

Acquiring the Project Team: Acquiring qualified people for teams is crucial

Page 28: Time Management  construction and enginnering management

The project manager who is the smartest person on the team has done a poor job of recruiting!

It’s important to assign the appropriate type and number of people to work on projects at the appropriate times

Factors considered during the process of acquiring the project team

The project manager or project management team should effectively negotiate and influence others who are in a position to provide the required human resources for the project.

Failure to acquire the necessary human resources for the project may affect project schedules, budgets, customer satisfaction, quality, and risks. Insufficient human resources or capabilities decrease the probability of success and, in a worst case scenario, could result in project cancellation.

If the human resources are not available due to constraints, such as economic factors or previous assignments to other projects, the project manager or project team may be required to assign alternative resources, perhaps with lower competencies, provided there is no violation of legal, regulatory, mandatory, or other specific criteria.

Developing the Project Team:

The main goal of team development is to help people work together more effectively to improve project performance

It takes teamwork to successfully complete most projects

Tuck man Model of Team Development:

Forming Storming Norming Performing Adjourning

Training Training can help people understand themselves, each

other, and how to work better in teams Team building activities include:

Physical challenges Psychological preference indicator tools

Page 29: Time Management  construction and enginnering management

Meyers-Briggs Type Indicator (MBTI)

MBTI is a popular tool for determining personality preferences and helping teammates understand each other

Four dimensions include: Extrovert/Introvert (E/I) Sensation/Intuition (S/N) Thinking/Feeling (T/F) Judgment/Perception (J/P)

Social Styles Profile People are perceived as behaving primarily in one of four zones, based on their assertiveness and responsiveness: Drivers Expressives Analyticals Amiables

DISC Profiles:Also uses a four-dimensional model of normal behavior

Dominance Influence Steadiness Compliance

People in opposite quadrants can have problems understanding each other

Reward and Recognition Systems Team-based reward and recognition systems can promote

teamwork Focus on rewarding teams for achieving specific goals Allow time for team members to mentor and help each

other to meet project goals and develop human resources

Managing the Project Team:

Project managers must lead their teams in performing various project activities. After assessing team performance and related information, the project manager must decide:

If changes should be requested to the project If corrective or preventive actions should be

recommended If updates are needed to the project management plan

or organizational process assets

Page 30: Time Management  construction and enginnering management

Tools and Techniques for Managing Project Teams:

Observation and conversation Project performance appraisals Conflict management Issue logs

Five Dysfunctions of a Team:

The five dysfunctions of teams are:

1. Absence of trust2. Fear of conflict3. Lack of commitment4. Avoidance of accountability5. Inattention to results

General Advice on Teams:

1. Be patient and kind with your team2. Fix the problem instead of blaming people 3. Establish regular, effective meetings4. Allow time for teams to go through the basic team-

building stages 5. Limit the size of work teams to three to seven members

Using Software to Assist in Human Resource Management

Software can help in producing RAMS and resource histograms

Project management software includes several features related to human resource management such as:

Assigning resources Identifying potential resource shortages or

underutilization Leveling resources