17 Project Management Homework; 1b, 4b, 5b, Sup1, Sup2

17-2 Sup1 Homework Problem For the project depicted below: a.How long is the project expected to take? b.What is the probability that the project will complete within 14 weeks? c.Determine the critical path and slack for all activities.

17-3 Sup2 Homework Problem For the project depicted below: a.Draw the AON diagram. What is the expected completion time? b.What is the probability of completing the project within 21 days? c.What is the probability of completing the project within 17 days? d.What is the probability the project will take more than 17 days?

17-4 Unique, one-time operations designed to accomplish a specific set of objectives in a limited time frame. Projects An interrelated set of activities that has a defined starting and ending points and that results in unique outcomes. Involves resources and allocation of resources.

17-5 Project Management  What are the Key Metrics  Time  Cost  Performance objectives  What are the Key Success Factors?  Top-down commitment  Having a capable project manager  Having time to plan  Careful tracking and control  Good communications

17-6 Project Management  What are the Major Administrative Issues?  Executive responsibilities  Project selection  Project manager selection  Organizational structure  Organizational alternatives  Manage within functional unit  Assign a coordinator  Use a matrix organization with a project leader

17-7 Project Management  What are the tools?  Work breakdown structure  Network diagram  Gantt charts  Risk management

17-8 Planning and Scheduling MARAPRMAYJUNJULAUGSEPOCTNOVDEC Locate new facilities Interview staff Hire and train staff Select and order furniture Remodel and install phones Move in/startup Gantt Chart

17-9  Deciding which projects to implement  Selecting a project manager  Selecting a project team  Planning and designing the project  Managing and controlling project resources  Deciding if and when a project should be terminated Key Decisions

17-10 Project Manager Responsible for: WorkQuality Human ResourcesTime CommunicationsCosts

17-11 Project Life Cycle Definition and organization PlanningExecutionClose out StartFinish Resource requirements Time

17-12 Work Breakdown Structure Project X Level 1 Level 2 Level 3 Level 4 Figure 17.2

17-13 The Network Diagram  Network (precedence) diagram – diagram of project activities that shows sequential relationships by the use of arrows and nodes.  Activity-on-arrow (AOA) – a network diagram convention in which arrows designate activities.  Activity-on-node (AON) – a network diagram convention in which nodes designate activities.  Activities – steps in the project that consume resources and/or time.  Events – the starting and finishing of activities, designated by nodes in the AOA convention.

17-14 The Network Diagram (cont’d)  Path  Sequence of activities that leads from the starting node to the finishing node  Critical path  The longest path; determines expected project duration  Critical activities  Activities on the critical path  Slack  Allowable slippage for path; the difference the length of path and the length of critical path

17-15 Time Estimates  Deterministic  Time estimates that are fairly certain  Probabilistic  Estimates of times that allow for variation

17-16 Probabilistic Time Estimates  Optimistic time  Time required under optimal conditions  Pessimistic time  Time required under worst conditions  Most likely time  Most probable length of time that will be required

17-17 Expected Time tete = t o + 4t m +t p 6 t e = expected time t o = optimistic time t m = most likely time t p = pessimistic time

17-18 Variance    (t p – t o ) 2 36    = variance t o = optimistic time t p = pessimistic time

17-19 Path Probabilities Z = Specified time – Path mean Path standard deviation Z indicates how many standard deviations of the path distribution the specified tine is beyond the expected path duration.

17-20  Computer aided design (CAD)  Groupware (Lotus Notes)  CA Super Project  Harvard Total Manager  MS Project  Sure Track Project Manager  Time Line Project Management Software

17-21  Imposes a methodology  Provides logical planning structure  Enhances team communication  Flag constraint violations  Automatic report formats  Multiple levels of reports  Enables what-if scenarios  Generates various chart types Advantages of PM Software

17-22 Determine all paths and their estimated times Determine the critical path Determine ES and EF times (forward pass) Determine LS and LF times (backward pass) Late Finish (LF) The latest start time of the activity immediately following it The earliest of the following activities LS times Developing the schedule

17-23 Probabilistic AON Example For the project depicted below: a.How long is the project expected to take? b.What is the probability that the project will complete within 23 weeks? c.Determine the critical path and slack for all activities.

17-24 Finish Start A D E G C F B Example