1. 1 Project Management Presentation 2008 Project Management Introduction Michel Tollenaere (INPG) http://www.g-scop.fr/~tollenam/best Agenda Agenda Definitions Project scope management Time, quality, cost Human resources management Information management Risk management Project Management Institute

2. 2 Project Management Presentation 2008 Definitions A project is a temporary endeavour undertaken to create a unique product or service. It is performed by people constrained by limited resources planned, executed and controlled

3. 3 Project Management Presentation 2008 Examples developing a new product or service effecting change in a structure, staffing or style of an organisation designing a new transportation vehicle developing or acquiring a new or modified information system constructing a building or facility building a water system for a community in a developing country running at campaign for political office implementing a new business procedure or process budget from 10k€ to many M€ METEOR an automatic underground railway in Paris implementing SAP in multi-sites company the football world cup in Paris in 98 from 8 to 10 digits numbering in a phone system implementing A380 in a company..\..\..\..\

4. 4 Project Management Presentation 2008 Project features (1) A project has a definite beginning and definite end The duration of a project is finite The opportunity or market window is usually temporary, most projects have a limited time frame in which to produce the product or service The project team - as a team - seldom outlives the project. Most projects are performed by a team created for the sole purpose of performing the project Temporary Projects involve doing something that has not been done before in the same environment The project may require some innovation to be completed Unique result

5. 5 Project Management Presentation 2008 Project features (2) Progressive elaboration A project occurs step by step to define the product or service, in a so called “progressive elaboration” process. for instance, the development of a chemical processing plant begins with the process engineering to define the characteristics of the process, and ends with the final assembly. Development of a chemical processing plant Define the chemical characteristics of the process General plant layout Mechanical characteristics of the process units (pumps..etc) Detailed drawings Manufacturing of the parts Final Assembly

6. 6 Project Management Presentation 2008 Project features (3) Progressive elaboration In aerospace industry, projects are divided in milestones (M1, M3, M5, M7, M9, M11) corresponding to a “state” of the aircraft.

7. 7 Project Management Presentation 2008 Project Lifecycle Time Start Finish Cost and Staffing level Initial Phase Intermediate Phases (one or more) Final Phase Milestones : defined state of the project decision point

8. 8 Project Management Presentation 2008 Project Lifecycle : example US - DOD 5000.2

9. 9 Project Management Presentation 2008 Construction Project Lifecycle

10. 10 Project Management Presentation 2008 Pharmaceuticals Project Lifecycle

11. 11 Project Management Presentation 2008 Project scope management (PMI chap 5) Agenda Agenda Definitions Project scope management Time, quality, cost Human resources management Information management Risk management

12. 12 Project Management Presentation 2008 Project scope management (PMI chap 5) Product Scope : the features and functions that characterise a product or service Project Scope : the work that must be done to deliver a product with the specified features and functions Both scopes are described and detailed with specific tools. Project scope management consists to ensure that the project includes all the work required, and only the work required, to complete the product successfully.

13. 13 Project Management Presentation 2008 Product scope management PROGRAMME SERIES /DERIVES COMPOSANTS PRINCIPAUX ASSEMBLAGES SOUS-ASSEMBLAGES COMPOSANTS ELEMENTAIRES A380 A380 800FA380 800A380 700... FUSELAGEAILEEMPENNAGE... CAISSON DE VOILURE LEADING EDGEBORD D’ATTAQUE... STRUCTURE SYSTEME... Part 10005 Part 10009 Part 10002 ATTACHETRINGLERIE MECANIQUE STRUCTURE PROGRAM SERIES OF AIRPLANE MAJOR COMPONENTS ASSEMBLIES SUB-ASSEMBLIES COMPONENTS ELEMENTARY A380 A380 800FA380 800A380 700... FUSELAGEWINGTAILPLANE... CAISSON DE VOILURE LEADING EDGEBORD D’ATTAQUE... STRUCTURE SYSTEME... Part 10005 Part 10009 Part 10002 ATTACHETRINGLERIE PRODUCT STRUCTURE LEVELS EXAMPLE OF STRUCTURE MECANIQUE SYSTEM HYDRAULIC STRUCTURE Bill of Materials FAST Diagram Structured tool that describes the product

14. 14 Project Management Presentation 2008 Project scope management : WBS Work Breakdown Structure

15. 15 Project Management Presentation 2008 Project scope management : WBS of a software release

16. 16 Project Management Presentation 2008 Project scope definition : from BOM to WBS Defining the right activities is essential for « project scope definition » a WBS from a previous project is often used as a template for a new project. any component in a BOM must be purchased or manufactured. in all cases (purchasing or manufacturing), it must be tested. any assembly should be assembled and tested (especially in software engineering) documentation activity is essential for robust project Activity. An element of work performed during the course of a project. An activity normally has an expected duration, an expected cost, and expected resource requirements. Activities can be subdivided into tasks. Activity Definition. Identifying the specific activities that must be performed to produce the various project deliverables.

17. 17 Project Management Presentation 2008 Project scope Change Management Any change to product and/or project scope must follow a formal process This process must finish with the formal acceptance of the change by the different stakeholders. A change request may be the result of : An external event (eg. Change in a government regulation) an error or omission in defining the scope of the product (adding a failure system regulation). an error in defining the scope of the project (a missing inspection) a value adding change (positive opportunity) a response to an identified risk (see section about risk management)

18. 18 Project Management Presentation 2008 Customer needs : Customer needs description : simple, red, robust, with wheels What is finally developed What is the manufacturer expected to do What the architect finally described What the architect understands Possible evolutions in Product scope

19. 19 Project Management Presentation 2008 Customer’s Needs SpecificationsWhat has been realised Errors in specifications Waste Unsatisfaction Adequate Quality Happy hazard Overquality Court circuit Monitoring Project scope during the project

20. 20 Project Management Presentation 2008 Monitoring Project scope during the project A universal tool …… might be so heavy and expensive ??

21. 21 Project Management Presentation 2008 Project scope management (PMI chap 5) Project Scope Management. A subset of project management that includes the processes required to ensure that the project includes all of the work required, and only the work required, to complete the project successfully. It consists of initiation, scope planning, scope definition, scope verification, and scope change control. Scope Definition. Subdividing the major deliverables into smaller, more manageable components to provide better control. Scope Planning. The process of progressively elaborating the work of the project, which includes developing a written scope statement that includes the project justification, the major deliverables, and the project objectives. Scope Statement. The scope statement provides a documented basis for making future project decisions and for confirming or developing common understanding of project scope among the stakeholders. As the project progresses, the scope statement may need to be revised or refined to reflect approved changes to the scope of the project. Scope Verification. Formalizing acceptance of the project scope.

22. 22 Project Management Presentation 2008 Project triangle Time, Cost, Quality Agenda Agenda Definitions Project scope management Time, quality, cost Human resources management Information management Risk management

23. 23 Project Management Presentation 2008 Project time management requires activity definition includes activity sequencing estimates activity duration elaborates schedule of activities Activity duration model

24. 24 Project Management Presentation 2008 Project time management estimates activity duration Resource requirements : which resources are required for such activity ? Activity duration # activity work effort Some activities (eg. getting authorisation, transportation time) can require a long time without any work-effort. elaborates schedule of activities Many software tools (MSProject) do the job quite well (in a deterministic manner) They offer many outputs (GANTT Chart, PERT … etc)

25. 25 Project Management Presentation 2008 Project time management relationships between activities : Logical Relationship Finish-to-start-the initiation of work of the successor depends upon the completion of work of the predecessor. Finish-to-finish-the completion of the work of the successor cannot finish until the completion of work of the predecessor. Start-to-start-the initiation of work of the successor depends upon the initiation of the work of the predecessor. Start-to-finish-the completion of the successor is dependent upon the initiation of the predecessor. Activity AActivity B

26. 26 Project Management Presentation 2008 Project time management Network Logic Diagram Precedence diagram method ; A, B, C, D, E, F are activities AB C D E Finish F Start Arrow diagramming method ; activities are shown as arrows A B C D E Finish F Start

27. 27 Project Management Presentation 2008 Project time management Provides start and finish dates for all activities AB C D E Finish F Start A B C D E Finish F Start Float. The amount of time that an activity may be delayed from its early start without delaying the project finish date. Float is a mathematical calculation, and can change as the project progresses and changes are made to the project plan. Also called slack, total float, and path float. Free Float (FF). The amount of time that an activity can be delayed without delaying the early start of any immediately following activities. See also float. Critical Path. The series of activities that determines the duration of the project. In a deterministic model, the critical path is usually defined as those activities with float less than or equal to a specified value, often zero. It is the longest path through the project. See critical path method.

28. 28 Project Management Presentation 2008 Project Cost management cost management includes the following processes Resource planning - Cost estimating - Cost budgeting - Cost control Time StartFinish Cumulative values Initial Phase Intermediate Phases (one or more) Final Phase Total budget of the project The S – Curve of cost baseline M€

29. 29 Project Management Presentation 2008 Project Cost management different cost for an activity Planned Value (PV). The physical work scheduled, plus the authorized budget to accomplish the scheduled work. Previously, this was called the budgeted costs for work scheduled (BCWS). Earned Value (EV). The physical work accomplished plus the authorized budget for this work. The sum of the approved cost estimates (may include overhead allocation) for activities (or portions of activities) completed during a given period (usually project-to-date). Previously called the budgeted cost of work performed (BCWP) for an activity or group of activities. Actual Cost (AC). Total costs incurred that must relate to whatever cost was budgeted within the planned value and earned value (which can sometimes be direct labor hours alone, direct costs alone, or all costs including indirect costs) in accomplishing work during a given time period.

30. 30 Project Management Presentation 2008 Project Cost Management different contracts A contract is a mutually binding agreement that obligates the seller to provide the specified product and obligates the buyer to pay for it. Contracts generally fall into one of three broad categories: Fixed-price or lump-sum contracts - this category of contract involves a fixed total price for a well- defined product. Fixed-price contracts may also include incentives for meeting or exceeding selected project objectives, such as schedule targets. Cost-reimbursable contracts - this category of contract involves payment (reimbursement) to the contractor for its actual costs. Costs are usually classified as direct costs (costs incurred directly by the project, such as wages for members of the project team) and indirect costs (costs allocated to the project by the performing organization as a cost of doing business, such as salaries for corporate executives). Indirect costs are usually calculated as a percentage of direct costs. Cost-reimbursable contracts often include incentives for meeting or exceeding selected project objectives, such as schedule targets or total cost. Time and material contracts-time and material contracts are a hybrid type of contractual arrangement that contain aspects of both cost-reimbursable and fixed- price-type arrangements. Time and material contracts resemble cost-type arrangements in that they are open ended, because the full value of the arrangement is not defined at the time of the award. Thus, time and material contracts can grow in contract value as if they were cost-reimbursable-type arrangements. Conversely, time and material arrangements can also resemble fixed-unit arrangements when, for example, the unit rates are preset by the buyer and seller, as when both parties agree on the rates for the category of "senior engineers."

31. 31 Project Management Presentation 2008 Project quality management Let’s start with a story : La Route du Rhum 2002 Only 3 sailers (upon 15) arriving at Pointe-à-Pitre !!!

32. 32 Project Management Presentation 2008 Project quality management Quality management applies to : - project activities - and project results (deliverables, components) to fulfil quality objectives. PLAN: Design or revise business process components to improve results DO: Implement the plan and measure its performance CHECK: Assess the measurements and report the results to decision makers ACT: Decide on changes needed to improve the process The Deming Cycle

33. 33 Project Management Presentation 2008 Project quality management Quality Planning. Identifying which quality standards are relevant to the project, and determining how to satisfy them. Quality Assurance (QA). 1) The process of evaluating overall project performance on a regular basis to provide confidence that the project will satisfy the relevant quality standards. 2) The organizational unit that is assigned responsibility for quality assurance. Quality Control (QC). 1) The process of monitoring specific project results to determine if they comply with relevant quality standards and identifying ways to eliminate causes of unsatisfactory performance. 2) The organizational unit that is assigned responsibility for quality control.

34. 34 Project Management Presentation 2008 Human resources management Agenda Agenda Definitions Project scope management Time, quality, cost Human resources management Information management Risk management

35. 35 Project Management Presentation 2008 Human resources management As project is performed by humans, Project management is human and organisation management. who decides ? who is responsible on ? who controls ? who takes benefits of ? Complex projects are based on complex organisations Best skills for all complex tasks worldwide

36. 36 Project Management Presentation 2008 Human resources management Airbus Company has been created to provide airplanes It has been created from Aerospatiale, British Aerospace, CASA, DASA

37. 37 Project Management Presentation 2008 Human resources management Is formalised in a Organisation Breakdown Structure (OBS) A depiction of the project organization arranged so as to relate work packages to organizational units It shows which work components have been assigned to which organizational units or persons. Responsibility assignment matrix P = Participant A = Accountable R = Review required I = Input required S = Sign-off Required

38. 38 Project Management Presentation 2008 Sub-contracting requires internal resources for negociation and control. Do not confuse : a subcontractor is not a partner Subcontracting management

39. 39 Project Management Presentation 2008 Information management

40. 40 Project Management Presentation 2008 Some tools (1) Ensure message storage ? Managing group lists ? Impossible to share large files

41. 41 Project Management Presentation 2008 Some tools (2) annotation and correction of documents

42. 42 Project Management Presentation 2008 Some tools (3) Powerpoint diapo conférence Chats Microsoft Netmeeting Yahoo groups Windows sharing, shared blackboard

43. 43 Project Management Presentation 2008 Extended entreprising information system

44. 44 Project Management Presentation 2008 ENTREPRISES INFORMATION SYSTEMS Maintenance MarketingDesign Industrialisation Quality assurance Commercial Production Logistics Quality E.R.P. P.D.M./P.L.M. K.B.E. K. M. C.R.M.S.R.M.A.P.S.M.E.S.

45. 45 Project Management Presentation 2008 Supplier Orderer Sub-contractor B Partner Sub-contractor A deiversified technical products multi-sites, multi organisation development and production development under time constraints physical flows information flows financial flows decision systems

46. 46 Project Management Presentation 2008 Space Time AsynchronousSynchronous Same location Distant Internet, Intranet, PDM, PLM Engineering et communication situations Project location Slides-conference Visioconference

47. 47 Project Management Presentation 2008 Organisations Task 1 Task 2 Task 3 Tasks, processus Files and Documents Systems ? Information System

48. 48 Project Management Presentation 2008 Réseau de Paramètres 1 24 5 10 1214 15 Organisations Task 1 Task 2 Task 3 Tâches, processus Files and Documents Quels systèmes ? Who is responsible on what? Configuration managezment Link between parameters, functions, items Links between documents and assemblies and systems Who do what ? Who has done what ? Parameter : Physical value Unit version tolerance and gap …. Donneur d ’ordres Partenaire rang 1 Equipementier Sous traitant Partenaire rang 1 Organisations, rôles au sein des projets Value evolution Value Evolution Liens explicites entre paramètres, et objets documentaires Action Exécution Décision Notification

49. 49 Project Management Presentation 2008 Engineering change management –Engineering Change management Automatisation du traitement des "Change Process" S'assurer que toutes les étapes approbation/qualité ont été réalisées –Document Review Router automatiquement vers les "reviewers" (requis ou optionnels) Gérer les approbations ou re-router pour révision Notification Files and Documents Approval Status evolution Push of documents Efficiency et Traçing

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51. 51 Project Management Presentation 2008 Risk Management

52. 52 Project Management Presentation 2008 Project risk is an uncertain event or condition, that, if it occurs, has a positive or a negative effect on a project objective (cost, time, quality). A risk has a cause and, if it occurs, a consequence. In risk management, probability and impact (severity) of the risks are considered. What is risk ?

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56. 56 Project Management Presentation 2008 References Project Management Institute http://www.pmi.org/ An example of students project http://192.168.41.10/~tollenaere/e-commerce/ 2PLM lettre bimensuelle http://www.johnstark.com/xzxzx.html dernière édition sur http://www.johnstark.com/xzxzx.html PDM Information Center, http://www.pdmic.com/ CIMdata, http://www.cimdata.com/ PDM enablers de l’OMG http://www.omg.org/techprocess/meetings/schedule/PDM_RTF_1.5.html