12-1 ELC 347 project management Day 24

Agenda Integrative Project –Part 6 (page 378) Due –Completed project plan and presentation due December 1 PM –Any of the first five sections can be resubmitted for rescoring Today. The recorded score will the average of the original score and the score on the resubmitted section. Please notify me via which sections you will be resubmitting. Assignment 8 (Last One) not graded yet Peer Evaluations Discussion on Project Management and Control and project close out 6-2

Schedule for rest of semester Today –Chap 13 & 14 –IP Part 6 due –Last day to resubmit prior sections Dec 1 PM –Quiz 3 Chaps –IP Project’s due Dec 15 –IP project teams Peer evaluations due 6-3© 2007 Prentice-Hall, Inc

9-4 Put your team members’ names in the spaces provided, one name at the top of each column. Names: Ratings: On time for all group meetings: Helped keep the group cohesive: Number of useful ideas contributed: Quantity of work done: Quality of work done: ++++ Add Total Scores Here:

12-5 Project Evaluation and Control Chapter 13 © 2007 Pearson Education

12-6 The Project Control Cycle 1.Setting a Goal 4.Taking Action and Recycling the Process 2.Measuring Progress 3.Comparing Actual with Planned

12-7 The Project S-Curve

12-8 The Project S-Curve Elapsed Time (in weeks) Cumulative Cost ($ in thousands) Cumulative Budgeted Cost Cumulative Actual Cost $10,000 Negative Var

12-9 Milestone Analysis

12-10 Milestone Analysis Milestones are events or stages of the project that represent a significant accomplishment. Milestones …signal the team and suppliers …can motivate the team …offer reevaluation points …help coordinate schedules …identify key review gates …delineate work packages

12-11 Tracking Gantt Chart Project status is updated by linking task completion to the schedule baseline

12-12 Tracking Gantt Chart Gantt tracking.mpp

12-13 Earned Value Management Schedule Cost Performance Tracking Control Charts Project S-Curves Cost PerformanceSchedule Cost PerformanceSchedule Earned Value

12-14 Earned Value Terms  Planned value  Cost estimate  Earned value  Real cost to date based on activity performance <> value  Actual cost of work performed  Cumulative total cost  Schedule performance index  EV/PV  Cost performance index  EV/AC  Budgeted cost at completion

12-15 Steps in Earned Value Management 1.Clearly define each activity including its resource needs and budget 2.Create usage schedules for activities and resources 3.Develop a time-phased budget (PV) 4.Total the actual costs of doing each task (AC) 5.Calculate both the budget variance (CV) and schedule variance (SV) 1.CV = EV-PV SV=EV-AC

12-16 Earned Value Milestones PV EV AC Slip Overspend Scheduled Performed Actual Budget Schedule Cost

12-17 Earned Value Example ActivityJanFebMarAprilPlan%CValue Staffing Blueprint Prototype Design33331 Mon Plan ∑30 Cmltv Mon Act Cmltv Act Planned Value 38= Earned Value 30= Value 8=80%(10) Cumulative 40=

12-18 Earned Value Example Schedule Variances Planned Value (PV) = 38 = Earned Value (EV) = 30 = Schedule Performance Index =.79 = 30/38 = EV/PV Estimated Time to Completion = (1/.79)x4=5 Cost Variances Actual Cost of Work Performed (AC) = 40 = Cost Performance Index =.75 = 30/40 = EV/AC Estimated Cost to Completion = 50.7 = (1/.75)x38 EVM.xlsEVM.mpp

13-19 Completion Values in EVM Accurate and up-to-date information is critical in the use of EVM  0/100 Rule  50/50 Rule  Percentage Complete Rule

12-20 Human Factors in Project Evaluation & Control  Optimistic progress reports  Level of detail  Process evaluation  Non-technical performance measurement

12-21 Critical Success Factors in the Project Implementation Profile 1.Project mission 2.Top management support 3.Project plans & schedules 4.Client consultation 5.Personnel 6.Technical tasks 7.Client acceptance 8.Monitoring & feedback 9.Communication channels 10.Troubleshooting

Project Close-Out and Termination Chapter 14 © 2007 Pearson Education

Project Termination All activities consistent with closing out the project  Extinction  Addition  Integration  Starvation

Elements of Project Closeout Management Putting it All to Bed Disbanding the Team Finishing Handing Gaining Acceptance for the Product Harvesting the Benefits Reviewing How The Work Product Over the It All Went

Lessons Learned Meetings Meeting Guidelines Establish clear rules of behavior Describe objectively what occurred Fix the problem, not the blame Common Errors  Misidentifying systematic errors  Misinterpreting lessons based on events  Failure to pass along conclusions

Closeout Paperwork Documentation Legal Cost Personnel

Why are Closeouts Difficult? Project sign off can be a de-motivator Constraints cause shortcuts on back-end Low priority activities Lessons learned analysis seen as bookkeeping Unique view of projects

Dynamic Project Factors 1.Static 2.Task-team 3.Sponsorship 4.Economics 5.Environment 6.User

Early Warning Signs of Project Failure Lack of viable commercial objectives Lack of sufficient authority to make decisions New product developed for stable market Low priority assigned to the project by management

Early Termination Decision Rules  Costs exceed business benefits  Failure to meet strategic fit criteria  Deadlines are continually missed  Technology evolves beyond the project’s scope

The Top 10 Signs of IT Project Failure 10. Best practices and lessons learned are ignored 9. Project lacks people with appropriate skills 8. Sponsorship is lost 7. Users are resistant 6. Deadlines are unrealistic 5. Business needs change 4. Chosen technology changes 3. Project changes are poorly managed 2. Scope is ill-defined 1. Project managers don’t understand users’ needs

Project Termination Issues EmotionalIntellectual ClientStaff ExternalInternal

Claims & Disputes Two types of claims Ex-gratia claims Default by the project company Resolved by Arbitration –Binding –Non-binding Standard litigation

Protecting Against Claims oConsider claims as part of the project plan oVerify stakeholders know their risks oKeep good records throughout the life cycle oKeep clear details of change orders oArchive all correspondence

Final Report Elements  Project performance  Administrative performance  Organizational structure  Team performance  Project management techniques  Benefits to the organization and customer