1. BSBPMG503A Manage Project Time Manage Project Time Project Time Processes Part 2 Diploma of Project Management 17872 Qualification Code BSB51507 Unit Code BSBPMG503A

2. BSBPMG503A Manage Project Time Project Time Processes – Part 2 PMBOK Project Time Management Processes - 6.1 Define Activities 6.2 Sequence Activities 6.3 Estimate Activity Resources 6.4 Estimate Activity Duration 6.5 Develop Schedule 6.6 Control Schedule Related processes from Project Integration Management – 4.1 Develop Project Charter 4.2 Develop Project Management Plan

3. BSBPMG503A Manage Project Time Learning Objectives – Part 2 1.Understand how to estimate the duration of activities and how to develop the project schedule 2.Understand the importance of defining the Critical Path for a project and the importance of delays to critical path activities 3.Understand how to control the project schedule to ensure projects can stay on track

4. BSBPMG503A Manage Project Time 6.3 Estimate Activity Resources The process of estimating the type and quantities of material, people, equipment or supplied required to perform each activity Closely related to the Estimate Costs process (7.1) and normally done simultaneously Sometimes the resources are captured in project management software, most particularly human resources Supplementary registers are often maintained for non human resources Occurs during the Planning Phase Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

5. BSBPMG503A Manage Project Time 6.3 Estimate Activity Resources Inputs to Estimate Activity Resources Activity list and attributes Resource Calendars Resource availability and skills Staffing policies and procedures Procurement policies and procedures Tools and techniques to Estimate Activity Resources Adapted from PMBOK 4 th Edition Bottom-Up Estimating Expert Judgement Alternatives Analysis Published Estimating Data Project Management Software

6. BSBPMG503A Manage Project Time 6.3 Estimate Activity Resources Published Estimating Data Many industries (eg Construction) have standard production rates and unit costs for common activities Bottom-Up Estimating Decomposing activities into more detail to assist with estimation Project Management Software Can assist with planning, organising and managing resources Different levels of sophistication InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

7. BSBPMG503A Manage Project Time Practical Tips to Estimate Duration Experience has taught me that often the best way to estimate the duration of an activity is to ask the person who will be performing the activity to make an estimate I have also learnt that most people are – –Optimistic so that they underestimate the work effort required; –Assume they are productive for more hour per day than they really are; and –Fail to include rework and sign off activities as part of their estimate In practice I will double, or sometimes triple, these estimates before putting them in the project schedule

8. BSBPMG503A Manage Project Time 6.3 Estimate Activity Resources Outputs of this process include – Activity Resource Requirements –Captured in project management software or supplementary registers Resource Breakdown Structure –Hierarchical chart of resources required –Commonly depicted as the project organisation structure for human resources Revised Activity List and Attributes Revised Resource Calendar –Resources marked as unavailable Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

9. BSBPMG503A Manage Project Time 6.4 Estimate Activity Duration The process of approximating the number of work periods needed to complete individual activities with the assigned or estimated resources Previous experience in the type of project and activities being estimated greatly helps with the accuracy of duration estimates Duration is a function of work effort and resources Most project management software can perform this function Occurs during the Planning Phase Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

10. BSBPMG503A Manage Project Time 6.4 Estimate Activity Duration Inputs to Estimate Activity Duration Activity list and attributes Activity Resource requirements and estimates Resource Calendars Project Scope Statement Productivity metrics and estimating data Tools and techniques to Estimate Activity Duration Adapted from PMBOK 4 th Edition Three-Point Estimating Expert Judgement Analogous Estimating Parametric Estimating Reserve Analysis

11. BSBPMG503A Manage Project Time 6.4 Estimate Activity Duration Analogous Estimating Develops duration estimates based on previous projects with similar size, risk and complexity Relies heavily of expert judgement and previous experience Less costly and less time consuming than other methods Least accurate Most common form of duration estimating Parametric Estimating Duration is quantified by multiplying the quantity of work by the labour hours required Relies on published estimating data Common in Construction InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

12. BSBPMG503A Manage Project Time 6.4 Estimate Activity Duration Three-Point Estimates - PERT Calculates the Expected activity duration based on the weighted average of the Most Likely, Optimistic and Pessimistic estimates Often more accurate than other methods and quantified range of uncertainty Reserve Analysis Inclusion of contingency Can be calculated for each activity Can be calculated for entire project Often a percentage based on risk or complexity InitiationPlanning ExecutionClose Monitor Control Adapted from PMBOK 4 th Edition

13. BSBPMG503A Manage Project Time 6.4 Estimate Activity Duration The major output of this process Activity Duration Estimates Draft or High Level Project Duration Estimate Often include some form of range of possible results Most common form of range is plus or minus - eg 2 weeks +/- 2 days – the activity could take between 8 and 12 days 3 weeks +/- 30% - the activity could take between 2 weeks and 4 weeks Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

14. BSBPMG503A Manage Project Time 6.5 Develop Schedule The process of analysing activity sequences, durations, resource requirements and schedule constraints to create the project schedule All this data is entered into a project scheduling tool which generates a schedule with planned dates for completing project activities An iterative process with several cycles of refinement Baseline Schedule developed in Planning Phase Simultaneous with 6.1, 6.2, 6.3 & 6.4 Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

15. BSBPMG503A Manage Project Time 6.5 Develop Schedule Inputs to Develop Schedule Activity list and attributes Project Schedule Network Diagrams – relationships and dependencies Activity Resource Requirements Resource Calendars Activity Duration Estimates Project Scope Statement Project Scheduling Tool Scheduling Methodology and Standards Overall Project Calendar and Priorities Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

16. BSBPMG503A Manage Project Time 6.5 Develop Schedule Tools and techniques to Develop Schedule Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control Critical Chain Method Scheduling Tool Schedule Network Analysis Critical Path Method Resource Levelling Schedule Compression Applying Leads & Lags What-if Scenario Analysis

17. BSBPMG503A Manage Project Time Critical Path Method Was developed in the 1950s by the Dupont Corporation The Critical Path Method, abbreviated CPM, or Critical Path Analysis, is a mathematically based algorithm for scheduling a set of project activities. It takes the activities in the Work Breakdown Structure, the durations and the interdependencies, and calculates the longest path through the project. It is the longest total duration of all the activities required to complete a project Advanced techniques and calculations (such as early start and early finish dates, and late start and late finish dates) are now carried out using project scheduling tools Does a forward and backward pass through the schedule with no regard for resource limitations Critical Path & Critical Chain Adapted from PMBOK 4 th Edition

18. BSBPMG503A Manage Project Time Critical Chain Method Undertakes the same form of analysis and calculations, but takes into consideration the resource availability and constraints Takes the Critical Path and resource availability to produce a resource constrained critical path OR Critical Chain It is the longest total duration of all the activities required to complete a project, considering resource availability and limitations Often done simultaneously with Critical Path Critical Path and Critical Chain Adapted from PMBOK 4 th Edition Critical Chain = Resource Constrained Critical Path

19. BSBPMG503A Manage Project Time Schedule Compression Shortens the project schedule without changing project scope 1. Crashing Only works for activities where additional resources will shorten duration Does not always produce a viable schedule Always results in increased cost Sometimes results in increase risk Cost Risk Crashing leads to increased

20. BSBPMG503A Manage Project Time Schedule Compression Shortens the project schedule without changing project scope 2. Fast Tracking Phases or activities normally performed sequentially are performed in parallel Only works if activities can be overlapped to shorten duration May result in rework and increased risk Can result in decreased cost Cost Risk Fast Tracking leads to decreased increased Rework increased

21. BSBPMG503A Manage Project Time 6.5 Develop Schedule The major outputs of this process Project Schedule –Milestone charts –Bar chart – GANTT charts –Project Schedule Network Diagrams – PERT Charts Schedule Baseline Revised Activity Resource Requirements Revised Activity Attributes Project Calendar Revised Risk register Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

22. BSBPMG503A Manage Project Time 6.6 Control Schedule The process of monitoring the status of the project in order to update progress and manage any changes to the baseline project schedule Includes – Determining the current status of the project schedule Influencing the factors that create the schedule changes Determining that the project schedule has changed Managing changes as they occur Occurs during Monitoring & Controlling Is part of Perform Integrated Change Control (4.5) Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

23. BSBPMG503A Manage Project Time 6.6 Control Schedule Inputs to Control Schedule Project Management Plan Project Schedule Performance data Project Reporting standards Tools and techniques to Control Schedule Adapted from PMBOK 4 th Edition Variance Analysis Status Reports Performance Reviews Project Management Software Scheduling Tool Resource Levelling Schedule Compression Applying Leads & Lags What-if Scenario Analysis

24. BSBPMG503A Manage Project Time 6.6 Control Schedule The major outputs of this process Work Performance measurement Costs and impacts of variance and corrective actions Lesson learned Change Requests Project Management Plan updates –Schedule baseline –Schedule management plan –Cost baseline Project Schedule updates Status Reports Adapted from PMBOK 4 th Edition InitiationPlanning ExecutionClose Monitor Control

25. BSBPMG503A Manage Project Time Project Scheduling Take some time to reflect on the different tools and techniques that can be used to develop the project schedule. Consider how you develop schedules for your projects. 1.Are there any policies, standards or templates used within your organisation to assist with project scheduling? 2.Do you have access to estimating and actual time data from previous projects? 3.How do you record progress against the activities in the project schedule? Research PracticeComment

26. BSBPMG503A Manage Project Time Next Steps Please proceed to Tests & Tasks and take the Project Time Quiz and the Project Time Knowledge Test Be sure that you have participated in the Forums. Best of Luck! These are all due during Weeks 7 and 8 in the Course Delivery Schedule