mis5102: process improvement and innovation project …
TRANSCRIPT
MIS5102: Process Improvement and Innovation
Project ManagementProject Planning
Steve [email protected]
http://community.mis.temple.edu/ssclarow
Why is the distinction between what a project is and what it is not important?
What is a project?
The Triple Constraint
Scope
Describe a scenario where changing one affects the others.
Role of the project manager?
In writing the spec?
In managing the triple constraint?
In navigating the organization?
What is Project Portfolio Management (PPM)?
Five Questions(Pennypacker and Retna)
• Are we investing in the right things?
• Are we optimizing our capacity?• How well are we executing?• Can we absorb all the changes?• Are we realizing the promised
benefits?
Are we talking about “singular” or “comparative” evaluations?
What’s the difference?
Two broad approaches
Quantitative Qualitative
There are pros and cons of each approach…
Quantifying Options Using a Decision Tree
http://en.wikipedia.org/wiki/Project_portfolio_management
Each project has an associated
• Cost• Revenue• Risk
Project Investment #1
-$3,500,000
Project Revenues$4,275,000
Opt. 50%$4,750,000
50%$1,250,000
Pess. 50%$3,800,000
50%$300,000
Project Investment #2
-$2,800,000
Project Revenues$3,250,000
Opt. 50%$3,900,000
0%$1,100,000
Pess. 50%$2,600,000
0%-$200,000
A Closer Look
TRUE
FALSE
= $4,750,000 * .5 + $3,800,000 * .5
= -$3,500,000 + $4,750,000
= -$3,500,000 + $3,800,000
= -$2,800,000+ $3,900,000
= -$2,800,000+ $2,600,000
Expected value of this part of the project portfolio:
$1,250,000 * .5 + $300,000 * .5 + $1,100,000 * .0 + -$200,000 * .0 = $775,000
What are the pitfalls of this approach?
= $3,900,000 * .5 + $2,600,000 * .5
A more qualitative approach
Decision Points for PPM(Wikipedia)
• The criteria for filtering and ranking
• Which criteria are most important
• Which project ideas are worth developing
• Which projects should be considered as part of the portfolio
• Which projects to fundhttp://en.wikipedia.org/wiki/Project_portfolio_management
But how do you prioritize?
Some of the Big Questions
How can you blend quantitative and qualitative approaches? Should you?
How can a “do nothing” option help?
When doesn’t any of this matter?
Project Planning
Recall our party planning exercise from the beginning of
the semester…
What do you do?
When do you do it?
Who does what?
Elements of a Project Plan
What do you do?
When do you do it?
Who does what?
• Process decomposition• Swim lane diagrams• RACI charts
We already have some tools we can use
You may not use these specific tools, but many of the
concepts are the same!
Work Breakdown Structure (WBS)
Aircraft System
Air Vehicle
Receiver Fire Control Communication
Training
Equipment Services
Peculiar Support Equipment
Depot
How is this like process
decomposition?
How is it different?
What do you learn from this?
http://en.wikipedia.org/wiki/Work_breakdown_structure
WBS Design principles• 100% rule
• Mutual exclusivity
• Outcomes, not actions
• Level of detail
http://workbreakdownstructure.com/
Why is each principle important in building a useful WBS?
How far should you break down a project?
What is the “problem” with estimation?
Understanding Dependencies
What are task dependencies?
Why is it important to understand them?
How are they usedto turn a WBS into
a project plan?
Critical Path Analysisusing PERT (Program Evaluation and Review Technique)
Design
Create module 1
Createmodule 2
Buy hardware
SoftwareUnit Testing
Software Unit Testing
Hardware Config.
SystemTest
WriteManual
15 days
10 days
15 days
7 days
36 days
15 days
5 days
30 days
15 days
Hardware Testing
3 days
The work units on the longest path through the
diagram are on the critical path.
What does it mean for the task to be on the
critical path?
Allocating Work
Assigning people to tasks
Build off of the work breakdown structure
What can a RACI chart tell you about allocation?
What can a Swim Lane Diagram tell you about allocation?
Communications
Hardware Team
Allocating Work and the Critical Path
Design
Create module 1
Createmodule 2
Buy hardware
SoftwareUnit Testing
Software Unit Testing
Hardware Config.
SystemTest
WriteManual
15 days
10 days
15 days
7 days
36 days
15 days
5 days
30 days
15 days
Hardware Testing
3 days
How does adding this information help the
planning process?
Software Team 2
Software Team 1
Entire Team
Some moreabout estimating
“Few people enjoy estimating complex things that they will be accountable for.” (Berkun, Chapter 2.4.3.1)
What can go wrong with estimation?
• For the triple constraint?• For allocating resources?
What are the implications for project planning?