1. Project Management Concepts

2. Topics What is a Project? Common Project Terms
What does a Project Manager do?
What’s in a Project?
Project Management Processes
Getting Started
Planning a Project
Executing the Plan
Finishing the Project

3. What is a project? A project is an activity that :
is temporary having a start and end date
is unique
brings about change
has unknown elements, which therefore create risk

4. What is a project?
Generally projects are formed to solve a problem or take advantage of an opportunity.
Business as usual activities can often be mistaken for projects.
Generally it is the uniqueness of the activity that is the deciding factor – do we do this every year? If so, then it is not truly a project – although you can use project methods to get it done.

5. Quiz- Are these projects?
Building a deck
Implementing a new system
Mowing the lawn
Planning a wedding
Setting up a business
Planning a student graduation
Yes No

6. Common project terms
Deliverables: Tangible ‘things’ that the project produces
Milestones: Dates by which major activities are performed.
Tasks: Also called Actions. Activities undertaken during the project
Risks: Potential problems that may arise
Issues: Risks that have happened
Gantt Chart: A specific type of chart showing time and tasks. Usually created by a Project Management program like MS Project.
Stakeholder: Any person or group of people who may be affected by your project

7. Example – Building a deck
Deliverables: A plan, a consent form, the deck
Milestones:
Tasks:
Plan drafted
Plan approved
1 Dec
15 Dec
Plan submitted
16 Dec
15 Jan
Materials purchased
Resources booked
Equipment identified
Deck constructed
Deck tested
Deck quality approved
“Deck warming” completed
16 Jan
19 Jan
23 Jan
24 Jan
28 Jan
tasks
Subtasks
Plan drafted
Requirement gathered
Best practice researched
Draft 1 prepared
Distributed to stakeholders
Plan approved
Feedback gathered
Amendments made
Final plan prepared
Sign-off obtained

8. Example Continued Risks: Issues: Gantt Chart: Stakeholder:
Plan is not approved after first round of feedback
Resources are not available at the required time
Plan is not given consent
For each of the above, you should have a contingency plan, or do some activity that may prevent it happening in the first place.
Issues:
If any of the above actually happens, then it becomes an issue to solve.
Gantt Chart:
Stakeholder:
House owner, Builder, Council, ???

9. Project Manager
A person with a diverse set of skills – management, leadership, technical, conflict management, and customer relationship – who is responsible for:
initiating,
planning,
executing,
controlling,
monitoring,
and closing down a project.

10. What does a PM do?
Project Managers are essentially jugglers. They must make sure that everything keeps to task, that potential issues are quickly eliminated and the project is delivered on time, all the while making sure everyone knows what is happening and the project quality and budget are acceptable. Specifically they:
direct all activities required to successfully meet the project objectives
manage risk – scanning ahead for potential issues and resolving them before they become a problem
solve problems - recommending alternative approaches to problems that arise and providing guidance to the Project Sponsor
track and report project progress
communicate to all stakeholders in the project

11. Characteristics of Projects
A project contains a well defined objective. The project objective is defined in terms of scope ( or requirements), schedule, and cost.
A project is carried out via a set of interdependent tasks.
A project uses various resources to carry out these tasks.

12. Characteristics of Projects
Three critical drivers
Scope (or requirement), cost, and time
Trade-offs exist in any project against time and costs
Time can only be reduced to a point
Adding more people can create diseconomies of scale
Increasing time may reduce or increase costs

13. Characteristics of Projects
A project has a definite start date and an expected completion date. The actual completion date may not always be the same as the expected date.
A project is a one time or unique endeavor.
A project has a customer.
So why do projects fail? See later material!

14. Characteristics of Projects
A project has a degree of UNCERTAINTY. In project planning many assumptions are made regarding:
access to resources.
resource capability.
impact of environmental factors.
These assumptions are not always accurate.

15. Measuring Project Success
We measure the success of a project using 4 major project constraints, specifically:
Scope.
Cost.
Schedule (Time).
Customer satisfaction (quality and performance).

16. Project Constraints
Project scope – Have all the project requirements (i.e., deliverables) been completed?
Project cost – Is the cost of the project close to the amount the customer has agreed to pay?
Schedule – Was the project completed on time?
Customer satisfaction – Is the customer happy with the quality of the project?

17. Project Goal The goal of a project is therefore:
Complete the project scope within budget, time, and to the customer’s satisfaction.
Examples of sources of project failure:
The project manager underestimated the costs or resources required to complete the project.
Uncertainties (e.g., weather, strikes, fire) may cause delays in the project.
Customers may change requirements during the project. This is very common in software and new product development projects.

18. Work-Breakdown Structure
WBS
Hierarchy of tasks required to complete project
Each task is broken into smaller tasks that can be managed and estimated
Define task dependencies
Some tasks must begin at the same time, some must end at the same time and some cannot start until the other tasks have finished.
Estimate task durations and cost
May be inputted into project management software
Final WBS plan is called baseline WBS

19. WBS

20. IT projects fail … a lot.
31.1% of projects will be cancelled before they ever get completed….
Over 50% of projects cost almost triple their original estimates.
1 million dollar project turns into a 3 million dollar project
Estimate:
in 1995 American companies and government agencies spent $81 billion for cancelled software projects.
On the success side, the average is only 16.2% for software projects that are completed on-time and on-budget.

21. Project Failure (French Study)

22. Baseline Plan Things don’t always go according to plan
critical people turnover, natural disasters, hiring freeze, technology change, new managements, competitors may make project more or less important
Requires project managers to re-assess and trade-offs between requirements, costs, and time

23. The Project Life Cycle 5 major phases of a project are:
Identifying a need.
Developing a proposed solution.
Performing the project.
Monitoring and control
Terminating the project.

24. Typical development phases of a project

25. Demos
Project Management Demo

26. Project Scheduling

27. Activity Duration Estimates
The first step in scheduling is to estimate how long each activity will take.
The duration estimate is the total elapsed time for the work to be done PLUS any associated waiting time.
The person responsible for performing the activity should help make the duration estimate. 6 7 7 5 7 5 6 5 5 5

28. Project Start and Finish Times
It is necessary to select an estimated start time and a required completion time for the overall project. 7 8 8 6 8 6 7 6 6 6

29. Schedule Calculations
A project schedule includes:
the earliest times (or dates) at which each activity can start and finish, based on the project's estimated start time (or date)
the latest times (or dates) by which each activity must start and finish in order to complete the project by its required completion time (or date) 8 10 10 7 10 7 8 7 7 7

30. Earliest Start and Finish Times
Earliest start time (ES) is the earliest time at which a particular activity can begin.
Earliest finish time (EF) is the earliest time by which a particular activity can be completed.
EF – ES = Activity Duration Estimate 9 11 11 8 11 8 9 8 8 8

31. Latest Start and Finish Times
Latest start time (LS) is the latest time an activity must be started in order for the entire project to be completed by its completion time.
Latest finish time (LF) is the latest time an activity must be finished in order for the entire project to be completed by its completion time.
LF – LS = Activity Duration Estimate 11

32. Slack time
Slack or float is the amount of time that a task in a project network can be delayed without causing a delay to:
subsequent tasks (free float)
project completion date (total float)
An activity that has a total float equal to zero is said to be a 'critical activity', which means that a delay in the finish time of this activity will cause the entire project to be delayed by the same amount of time.

33. Free vs Total slack
Free slack: The free slack of an activity is the time this activity can be delayed without impact on the following activity. Total slack: The total slack of an activity is the time this activity can be delayed without impact on the finish date of the project.

34. Total Slack (Cont.)
If total slack is positive, it is the maximum time the activities on the path can be delayed.
If total slack is negative, it is the amount of time the activities on the path must be accelerated. 14 17 17 11 17 11 14 11 11 11

35. Example

36. Critical Path The critical path is the longest path in the diagram.
The activities that make up the critical path have the least slack. 15 18 18 12 18 12 15 12 12 12

37. Types of Critical Paths
Noncritical paths have positive values of total slack.
Critical paths have zero or negative values of total slack. 16 19 19 13 19 13 16 13 13 13

38. Critical Path Analysis
Sequence of activities charted
Longest path through the network of activities
Task dependencies compressed as much as possible
Tasks may be moved to non-critical paths to shorten critical path
If tasks on critical path run late, the project will be late.

39. Determining the Critical Path for Project X

40. Various Project Management Tools/Techniques
Gantt Chart
a simple bar chart that depicts project tasks against a calendar
Program Evaluation and Review Technique (PERT)
is a graphical network model that depicts a project’s tasks and the relationships between those tasks (Dependencies and Critical paths are found in PERT charts)
Critical Path Method (CPM)
A method used for determining the sequence of task activities that directly affect the completion of a project
Microsoft Project
Most widely used project management software

41. Develop a schedule Gantt Chart

42. Gantt Chart of WBS created by MS Project
Figure CE 18-5

43. PERT Chart Example

44. Planning Large-Scale Systems Development Projects
Biggest challenge is scheduling
Errors accumulate
Difficult to do credible planning
Every task may be on critical path
MS Vista Operating system was delivered two years late. Was suppose to take 3 Y but took 5 Y ( 67% schedule overrun)
Office 2003 was late. MS SQL server 2005 barely made it into 2005.

45. Managing Large-Scale Systems Development Project
Challenges
Coordination
Projects often organized into independent groups
Diseconomies of scale
Adding people increases coordination requirements
Configuration control
Changes must be carefully manages and monitored
Unexpected events
Chance of disruption due to unanticipated events

46. Dealing with Uncertainty
Policies and procedures implemented to instill these principles:
Business users take responsibility for new systems’ success
Users work with IS throughout systems development
Users take active role in project planning, management, and reviews
Development phase not complete until work reviewed and approved
Users actively test system
Future systems developed in small increments