1. INDE 6332 ENGINEERING PROJECT MANAGEMENT CHAPTER 3 Part 2 University of Houston Dept. of Industrial Engineering Houston, TX 77204-4812 (713) 743-4195

2. AGENDA l Homework/Project l Critical Chain l Continue with chapter 3 l Sections 3.4, 5, 6 n INDE 7397 International Project Management

3. HOMEWORK/PROJECT l European Union (EU) Recreational Craft Directive n A, B, C, D… n Stability, buoyancy, handling n http://www.imci.org/downloads/CCpaperEN.pdf l Classification systems n Construction assurance n Insurance purposes n Special plaque n Lloyds and ABS…

4. EU CATEGORIES l Category A – Ocean n Extended voyages, winds over force 8 (34-40 knots), wave heights of 4 m and above, largely self sufficient l Category B – Offshore n Offshore voyages, up to winds of force 8, waves up to 4 m l Category C – Inshore n Coastal waters, large bays, etc., winds up to force 6 (22-27 knots), waves up to 2 m. l Category D – Sheltered n Winds up to force 4, waves up to 0.5 m.

5. CLASSIFICATION SYSTEMS l Lloyds n Lloyd's Register of Shipping n Oldest classification system, 18 th century n +100A1 classification l ABS n American Bureau of Shipping n 1862 n +A1 classification l What is examined…

6. WHAT IS EXAMINED FOR LLOYDS +A100 AND ABS +A1 l A full set of plans be submitted for review and approval l A surveyor is present during most of the construction process as well as for the sea trials. l All material used in the boat is tested l In the case of aluminum or steel yachts, each plate must have a society approval stamp and each welder must pass rigorous tests, samples of random welds will be X-rayed and corrected if necessary l For fiberglass yachts, the surveyor takes careful note of material storage methods, lay-up procedures, curing times, and then performs hardness tests on sample sections.

7. CRITICAL CHAIN l Chapter 4 l Main characters l Plot line

8. PROJECT MANAGER l Functional versus project managers l Project manager responsibilities l Special demands on project managers… l Selecting the project manager…

9. SPECIAL DEMANDS ON PROJECT MANAGERS l Acquiring adequate resources… l Acquiring and motivating personnel… l Dealing with obstacles… l Making project goal trade-offs… l Failure and the risk and fear of failure… l Breadth of communications… l Negotiation…

10. ACQUIRING ADEQUATE RESOURCES l Project have initial budgets and schedules n Initial budgets and schedules are almost always optimistic n Many details cannot be determined in advance n May need special resources outside of organization l PM must do what is reasonably necessary to keep on track n Mentorship n Politics l Anecdotes n Reader n $10 cable

11. ACQUIRING AND MOTIVATING PERSONNEL l Unless the entire organization is project based, the PM must “borrow” personnel l May need to negotiate with: n Functional manager n Individual themselves l Can be difficult to obtain correct people n Functional manager may control evaluation, salary, and promotion l Project team member characteristics…

12. PROJECT TEAM MEMBER CHARACTERISTICS l High quality technical skills n Can solve problems n Can adapt solutions l Political sensitivity n Can support delicate project / functional balance l Strong problem orientation n Problem orientation versus discipline orientation l Strong goal orientation n Results versus activity n No clock watchers l High self-esteem n Can acknowledge errors n Can share both credit and blame

13. DEALING WITH OBSTACLES l Projects can become a series of crises l PM learns by experience l Wise PMs learn from the experience of others l Major obstacles near the end of the project n Last minute schedule and technical changes n Reassignment of team members

14. MAKING PROJECT GOAL TRADE-OFFS l Tradeoffs between cost, schedule, and performance l Specific parameters may become more important at different life cycle stage on Table 3-1. l Managing multiple projects simultaneously involves different types of tradeoffs

15. FAILURE AND THE RISK AND FEAR OF FAILURE l Every project is likely to have some setback l Murphy’s law l Must be able to maintain a balanced positive outlook despite setbacks

16. BREADTH OF COMMUNICATIONS l PM must deal with a variety of stakeholders l Must be able to communicate n Why the project exists n Have support of top management n Be able to build and maintain an information system

17. NEGOTIATION l Weak authoritative position of PM requires skill in negotiation throughout PM process n Acquiring and maintaining resources n Project trade-offs n Handling failure

18. PROJECT MANAGER l Functional versus project managers l Project manager responsibilities l Special demands on project managers l Selecting the project manager…

19. SELECTING THE PROJECT MANAGER l Credibility… l Sensitivity… l Leadership and management style… l Ability to handle stress…

20. CREDIBILITY l Technical credibility n Sufficient technical knowledge to direct the project n Need not know more or as much as technical experts n Can translate problems to upper management l Administrative credibility n Clients & Upper management – Time and Cost n Project team - Resources

21. SENSITIVITY l Sense politically situations l Sense interpersonal conflict l Sense technical problems

22. LEADERSHIP AND MANAGEMENT STYLE l Strong sense of ethics l PMI Code of Ethics, p. 143.

23. ABILITY TO HANDLE STRESS l Four causes of stress associated with PM n Poorly developed set of PM procedures and techniques n Attempting to do to much n Constantly frustrated need for high achievement n Parent organization undergoing major change l Therapy n What do you do?