Project Management. Dr. Richard Jerz rjerz.com

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1 Project Management Dr. Richard Jerz rjerz.com

2 Learning Objectives Describe or Explain: What are projects The role of the project manager Work breakdown structure Project management tools (Gantt, PERT, & CPM) The use of software tools: MS Project rjerz.com

3 What are Projects? Unique, one time operations designed to accomplish a specific set of objectives in limited time frame. Often expensive and resource intensive. Build A A Done Build B B Done Build C JAN FEB MAR APR MAY JUN C Done Build D On time! Ship rjerz.com

4 Management Key Decisions 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 rjerz.com

5 Management of Projects Planning goal setting, defining the project, team organization Scheduling relates people, money, and supplies to specific activities and activities to each other Controlling monitors resources, costs, quality, and budgets; revises plans and shifts resources to meet time and cost demands rjerz.com

6 Project Goals On time On budget Accomplish tasks with expected quality rjerz.com

7 Project Organization Often temporary structure Uses specialists from entire company Headed by project manager Coordinates activities Monitors schedule and costs Project structure is called matrix organization rjerz.com

8 A Sample Project Organization President Human Resources Marketing Finance Design Quality Mgt Production Project 1 Project Manager Mechanical Engineer Test Engineer Technician Project 2 Project Manager Electrical Engineer Computer Engineer Technician rjerz.com

9 Steps of Project Planning Develop statement of work Define work breakdown structure List resources needed Estimate time required Estimate the cost rjerz.com

10 Project Risks Risk: occurrence of events that have undesirable consequences Delays Increased costs Inability to meet specifications Unexpected project termination rjerz.com

11 Risk Management Identify potential risks Analyze and assess risks Work to minimize occurrence of risk Establish contingency plans rjerz.com

12 Other Issues Temptation to understate costs Withhold information Misleading status reports Falsifying records Comprising workers safety Approving substandard work rjerz.com

13 Project Scheduling Identify activities and resources needed Identifying precedence relationships Sequencing activities Determining activity times & costs Estimating material and worker requirements Determining critical activities rjerz.com

14 Work Breakdown Structure Project X Level 1 Level 2 Level 3 Level rjerz.com

15 Project Management Tools Project task listing Gantt charts Critical Path Method (CPM) Program Evaluation and Review Technique (PERT) rjerz.com

16 Gantt Chart MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Locate new facilities Interview staff Hire and train staff Select and order furniture Remodel and install phones Move in/startup rjerz.com

17 Gantt Charts Advantages Visual presentation Simplicity Disadvantages Updating Doesn t reflect costs Doesn t show relationships between tasks rjerz.com

18 PERT and CPM PERT: Program Evaluation and Review Technique (1958) CPM: Critical Path Method (1957) Graphically displays project activities Estimates how long the project will take Indicates most critical activities Show where delays will not affect project Can calculate slack times Helps resource allocation rjerz.com

19 Precedence Diagram Order furniture Locate facilities 2 Furniture setup 1 Remodel 6 Move in S 5 7 Interview Hire and train rjerz.com

20 Example with Times (& AOL) 6 weeks 4 8 weeks 2 3 weeks 1 11 weeks Move in week 4 weeks 3 9 weeks rjerz.com

21 PERT/CPM Information Expected completion time Critical activities (path) Each network activities Earliest (ES) & latest (LS) start Earliest (EF) & latest (LF) finish Slack (S): Allowable delay, = LS ES, or LF EF What if? rjerz.com

22 Critical Path Analysis Identifies critical path Longest path in network Shortest time project can be completed Any delay on critical path activities delays project Critical path activities have 0 slack rjerz.com

23 Probabilistic Estimates o m t e p Activity start Optimistic time Most likely time (mode) Pessimistic time rjerz.com

24 Advantages of PERT Forces managers to organize Provides graphic display of activities Identifies Critical activities Slack activities rjerz.com

25 Limitations of PERT Important activities may be omitted Precedence relationships may not be correct Estimates may include a fudge factor 4 Not exact science 2 Iterative process weeks rjerz.com

26 Project Crashing It is not uncommon to face the following situations: The project is behind schedule The completion time has been moved forward Shortening the duration of the project is called project crashing rjerz.com

27 Project Management Software Computer aided design (CAD) Groupware (Lotus Notes) CA Super Project Harvard Total Manager MS Project Sure Track Project Manager Time Line rjerz.com

28 Software Demo: MS Project rjerz.com

29 Advantages of PM Software Imposes a methodology Provides a logical planning structure Enhances team communication Flag constraint violations Automatic report formats Multiple levels of reports Enables what if scenarios Generates various chart types rjerz.com

30 rjerz.com

31 Using Microsoft Project rjerz.com

32 Using Microsoft Project rjerz.com

33 Using Microsoft Project rjerz.com

34 Using Microsoft Project rjerz.com

35 Using Microsoft Project rjerz.com