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Project Management for Your Local Section / Chapter Lee Stogner, PMP

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Presentation on theme: "Project Management for Your Local Section / Chapter Lee Stogner, PMP"— Presentation transcript:

1 Project Management for Your Local Section / Chapter Lee Stogner, PMP
2005 Leadership Workshop Tucson, Arizona March 12, 2005

2 Seminar Objectives

3 Benefits of Sound Project Management
Less overall project cost Less strain on working capital Effective use of resources More timely project completion Higher quality of the final product

4 Project Management Overview
What is a project? What is project management? What is project success? What factors determine project success?

5 A Project When a task... Has a defined objective Has a deadline
Requires integration of knowledge and experience from various organizations

6 Project Management is:
PM PM PM PM Project Management is: PM PM PM PM PM PM PM PM PM PM PM PM PM

7 Project Management is: Causing a Planned Undertaking to Happen
PM PM PM PM Project Management is: Causing a Planned Undertaking to Happen PM PM PM PM PM PM PM PM PM PM PM PM PM

8 Project Management Complex and numerous activities
Unique - a one time set of events Finite - a begin and end date Limited resources and budget Many people involved Sequenced activities End product or service must result

9 Program Management Larger in scope than a project
Made up of several projects Made up of a number of similar products Programs tend to be more permanent

10 Peanuts

11 What is Project Success?

12 Factors in Project Success
Project Management Philosophy Project Management Role and Responsibility Project Management Principles and Practices

13 Project Management Philosophy
The “Golden Rule” of Project Management is three words: Plan Organize Control

14 Project Management Roles and Responsibilities
Project Execution Maintain Customer Relations Create a Positive Environment

15 Project Execution Plan
Project Execution Strategy Project Management Quality Safety Risk Management Design/Develop/Program Implementation Documentation Training Project Execution Plan

16 Customer Relations Develop Communication Ensure Timely Participation
Include the Customer on the Project Team Develop Trust and Confidence

17 Create a Positive Environment
__________ Effectively __________ Member of the Team Utilize _______ _______ Activities __________ Success

18 Maintain a safe working environment

19 Project Management Principles and Practices
Define Project Objectives Develop Project Execution Plan Define Baselines for Control Manage Risk Close out Effectively

20 Define Project Objectives
Expected deliverables Required resources (total installed cost) Required timing (opening date) Safety and Environmental Total Quality

21 Define S.M.A.R.T. Project Objectives
S pecific M easurable A ssignable R ealistic T ime related

22 Alignment Process

23 Team Requirements Skills needed ? Individuals identified ?
When are they needed ? Where are they ? Training needed ? Interpersonal compatibility ?

24 The Four Cornerstones of Project Management
Cost Schedule Quality Scope

25 Cornerstones of Project Management
Cost Schedule Scope Quality

26 Scope Poor scope definition is the major contributing factor to cost overruns in the engineering and construction industry. CAUTION

27 Cost Influence Relative Time

28 Initial Scoping Effort
Sets the baseline for cost and schedule Must involve the right people Must include implementation Identifies items not included Maximum influence on project cost Breaks project into manageable pieces

29 The WBS $ WBS Element/ Work Package Drawings Estimate • Facility Bill
of Materials • Services WBS Element/ Work Package Schedule Cost Reports Contracts

30 Successful Work Breakdown
Status and completion is easily measured Definite beginning and end It is familiar with prior experience Manageable work assignments One continuous stream of work from start to finish

31 Steps for constructing a WBS
Divide the project into major objectives Partition objectives into activities Divide activities with missing characteristics into subactivities Repeat #3 until all subactivities have desired characteristics Lowest subactivities are the basis of work packages

32 The effect of “creeping scope” is a major cause of cost overruns

33 To manage creeping scope
Keep scope documents current Freeze design after the estimate has been approved Allow only those changes that are justified by benefit Use an effective change management procedure

34 The Four Commandments of Good Project Scope
Written Well defined Clearly understood Achievable

35 Cornerstones of Project Management
Cost Schedule Quality Scope

36 Aspects of Cost Estimate Basis for Control
Cost Control Application of control procedures to follow financial progress

37 Estimate Requirements
Define project cost integrate scope, schedule, and resources Define estimate basis Identify potential risks Identify contingency/escalation Identify items not included

38 Elements of Cost Control
Establish the baseline (estimate) Measure variation from baseline Take corrective action

39 Cost Control System Detailed project scope/work package
Control estimate Chart of accounts Cost status report Forecasting process Change management procedure Cash flow forecast

40 Project Control Project Day 1 -------------- To do list:
Kick off meeting Project schedule

41 Integration of Cost and Time

42 Basic Elements of the Control System
A project plan: Scope, schedule, estimates A monitoring system which measures performance against plan A reporting system which identifies deviations from the plan A system which communicates deviations to the right people Corrective actions Forecasting the project outcome

43 Key Control Philosophies
Define the baseline for control _______ ________ 3. _______ 4. ________ Divide project into manageable pieces Remember: Ability to influence cost is maximum early in the project Project Success

44 Key Control Philosophies (con’t)
Project Success Define and manage risk/opportunity Integrate scope and estimated cost into schedule Make informed decisions Anticipate deviations/changes Adopt the “end product” approach Plan ahead from phase to phase

45 Basic Project Control Steps
Define the project scope Develop a project plan consistent with: project scope estimates (cost constraints) schedule (constraints resources available Report progress and compare with budget and forecast Control by taking corrective action

46 Contingency - Plan for Change

47 Cornerstones of Project Management
Schedule Cost Quality Scope

48 Schedule Planning - Identification of the sequence of events necessary to complete the project Scheduling - Determination of timing and assembly of project activities to give overall completion time

49 Front End Schedule A way to get the project started right Design
Program Install / Test System Turnover

50 Basis for Project Schedule
Project objectives Project scope Project milestones Project estimate (budget) Resource availability

51 The Critical Path Identifies project priorities
Shows activity relationships Enables schedule analysis Reflects project strategy Promotes teamwork

52 Basic Network Diagramming

53 Expanded Network Diagramming

54 The Bar Chart

55 The Gantt Chart

56 Project Schedule - Tools
Microsoft Project

57 Project Schedule - Tools

58 Five Phases of Project Management

59 Cornerstones of Project Management
Cost Schedule Quality Scope

60 Total Project Quality Management
Quality Assurance Total Project Quality Management Quality Control Design Basis Continuous Improvement

61 Project Quality Improvement
Develop a quality management plan early in the project Include representatives from all affected organizational units on the project team Initiate the project effectively through kick-off and alignment meetings Review performance and measure success

62 Project Quality Improvement (con’t)
Define scope and review periodically Limit scope changes formal change procedure require justification Complete more engineering up-front before defining cost and scheduling Obtain constructability, operability and maintainability input to design

63 Cost of Quality

64 Risk Management

65 Manage Risk What is risk? Sources of risk Kinds of risk
Risk Management Process Identify risks Define consequences Develop a mitigation plan Document

66 Sources of Risk Technical Financial Socio-Economic Contractual

67 Risk Management Process
Identify Risk Analyze Risk Respond to Risk Document Risk

68 Sources of Help to Identify Risk
Site investigations Contract documents Schedule Team brainstorming Body of experience

69 Risk Control Methods Avoid Reduce Share Insure Accept Contain
with contingency without contingency Contain

70 Risk Containment Clearly define insurance responsibilities in contracts Use qualified personnel Document and communicate project strategy Define roles and responsibilities Prepare contingency plans for critical activities Use up-front team building

71 Risk Containment (con’t)
Use qualifies contractors and vendors Preconstruction work briefings (especially safety) Rehearse critical activities or use mock-ups Use strong project control systems Manage contingency

72 Project Close-out

73 Project Closeout - Major Phases
Obtain client acceptance Document the project Conduct the post implementation audit Issue the final report

74 Pyramid Cartoon

75 Plan the Work… Work the Plan
Successful Project Management Plan the Work… Work the Plan Project Execution Plan

76 Successful Project Completion

77 Project Management - Learning More

78 Project Management - Learning More
Project Management Body of Knowledge

79 Project Management - Learning More

80 Project Management - Get Certified

81 Project Management - IEEE EMS

82 Class Exercise - Plan a Project

83 Lee Stogner - Contact Information Lee Stogner, PMP Rockwell Automation Mobile

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