Chapter 5 Planning 1 1 1 1 1 1 1 1 1

Learning Objectives Clearly define the project objective Develop a work breakdown structure Develop a network diagram Utilize a project management methodology called the systems development life cycle for information systems development projects 2 2 2 2 2 2 2 2 2 2 2 2

Real World Example Vignette: Norfolk County, U.K., Launches a Massive Project Norfolk County, U.K., was suffering from a lack of broadband services, making it less attractive to new residents and businesses. The deployment contract was awarded to Synetrix, a systems integrator located in Staffordshire, UK. The project team was initially assigned the responsibility of creating a communications plan to: define the project’s brand and message; create a website; and manage the media and relationships with the stakeholders. The entire project timeline spanned from Dec 04 to Apr 08. Clear milestones were defined. Currently, the network is still in the pilot phase but small businesses have already reported an increase in efficiency and reduced costs. 3 3 3 3 3 3 3 3 3 3 3 3

Real World Example Vignette: Johns Hopkins Hospital’s $252m Cost Overrun Johns Hopkins Hospital faces the challenge of bringing its projects in on time and on budget. The hospital filed an application with the Maryland Health Care Commission seeking the state’s approval for the new proposed schedule and budget. This is the second time on this project that Johns Hopkins had to notify the state of cost overruns and schedule delays. Additionally, more than a dozen other hospital construction projects are planned or under way in the Greater Baltimore area, causing materials and laborers to be in high demand and more expensive. To help pay for the cost overrun, the hospital plans to seek support to increase the rates its patients pay in order to generate more revenue, and also appeal to its donors. 4

Project Objective Planning is an essential part of project management. In essence, the plan is a roadmap. The first step is to define the project objective. The objective must be clear, attainable, specific, and measurable. The objective is usually defined in terms of scope, schedule and cost. 5 5 5 4 5 4 5 4 4 4

Example Objective “Complete the house” vs “Complete the house by May 31 in accordance with the floor plans and specifications dated October 15 and within a budget of $150,000” 6

Work Breakdown Structure (WBS) The second step is to determine what activities need to be performed. A list of all the activities must be developed. The WBS is a hierarchical tree of end items to be accomplished. A work item is one small piece of the project. A work package is the lowest-level item. 7 7 7 5 7 5 6 5 5 5

Work Breakdown Structure (contd) Criteria for deciding how much detail or how many levels to put in the WBS: Level at which a single individual or organization can be assigned responsibility and accountability for accomplishing the work package, and Level at which you want to control the budget and monitor and collect cost data during the project.

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Responsibility Matrix Displays in tabular format the individuals responsible for the work items. “X” can be used to indicate who is responsible. “P” indicates who has primary responsibility. “S” indicates support responsibility. OR 10

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Activities, Defined For projects using a WBS, individual activities can be defined by the person or team responsible for each work package. An activity is a piece of work that consumes time. 12 8 8 6 8 6 8 6 6 6

Developing the Network Plan After all activities have been defined, they are graphically portrayed in a network diagram. Two network planning techniques were developed in the 1950’s: Program evaluation and review technique (PERT) Critical path method (CPM) 13 10 10 7 10 7 9 7 7 7

Gantt Charts Gantt charts, or bar charts, are popular due to their simplicity. Combines the two functions of planning and scheduling. Activities are listed down the left-hand side. A time scale is shown along the bottom. Estimated duration is indicated by a line or bar. Columns indicating person responsible for each task can be added. 14 11 11 8 11 8 10 8 8 8

Gantt Charts (Cont.) Do not display the interrelationships of activities. If one activity is delayed, it is not obvious how that will affect other activities. Cumbersome to make changes to the plan manually. Most project management software can show interdependencies with arrows. 15 14 14 9 14 9 11 9 9 9

Network Principals Different formats can be used to draw the diagram: Activity in the box (AIB) a.k.a. activity on the node (AON) Activity on the arrow (AOA) 17 16 16 10 16 10 12 10 10 10

Activity in the Box (AIB) Each activity is represented by a box. The activity description is written in the box. Each box is assigned a unique activity number. Activities have a precedential relationship. Some activities may be done concurrently. 18 17 17 11 17 11 13 11 11 11

Activity on the Arrow (AOA) Each activity is represented by an arrow. The activity description is written above the arrow. The tail of the arrow designates the start of the activity. The head of the arrow designates the completion of the activity. 19 18 18 12 18 12 14 12 12 12

Activity on the Arrow (AOA) (Cont.) Activities are linked by circles called events. An event represents the finish of activities entering it and the start of activities leaving it. Predecessor event: event at the beginning of the activity. Successor event: event at the end (head of the arrow) of the activity. 20 19 19 13 19 13 15 13 13 13

Activity on the Arrow (AOA) (Cont.) Two basic rules in drawing an activity-on-the-arrow network diagram with regard to the unique identification of activities: Each event (circle) must have a unique event number. Each activity must have a unique combination of predecessor and successor event numbers. 20 19 19 13 19 13 15 13 13 13

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Dummy Activities Used in the AOA format. Consumes zero time. Represented by a dashed arrow. Needed for: Helping in the unique identification of activities. Showing certain precendential relationships. 22 20 20 14 20 14 16 14 14 14

Loops Not allowed because it portrays a path of activities that perpetually repeats itself. 23 21 21 15 21 15 17 15 15 15

Laddering Used for projects that have a set of activities that are repeated several times. 24 22 22 16 22 16 18 16 16 16

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Preparing the Network Diagram Ask the following questions regarding each activity: Which activities must be finished immediately before this activity can be started? Which activities can be done concurrently with this activity? Which activities cannot be started until this activity is finished? 26

Preparing the Network Diagram (Cont.) Should flow from left to right. Not drawn to a time scale. Can vary in how detailed the diagram should be. AIB vs. AOA is a matter of personal preference. AIB is the most common in project management software packages. 27 24 24 17 24 17 20 17 17 17

Information System, Defined An information system (IS) is: a computer-based system that accepts data as input, processes the data, and produces useful information for users. 28

Planning for Information Systems Development The systems development life cycle (SDLC) is used to help plan, execute and control IS development projects. Consists of a set of phases or steps that need to be completed over the course of a development project. Many people view the SDLC as a classic problem-solving approach. 29 25 25 18 25 18 22 18 18 18

Steps of the SDLC Problem definition System analysis System design System development System testing System implementation 30 28 28 19 28 19 23 19 19 19

Project Management Software Allow the project manager and the project team to plan and control projects interactively. Contain many common features: Create list of tasks Track resources Track budgets Generate a variety of reports 31