iii pmf management solutions...feasibility criteria: • business – evaluation of the benefits...

PMF MANAGEMENT SOLUTIONS

III

Project Lifecycle, Development and Delivery

Project Management Framework | A Structure for All Organisations

Identify the lifecycles within a project:• Project.• Product:

Asset; or Event.

• Benefit.• Documentation.

Clarify what is project feasibility:• Which may include viability.

Product development and delivery.

Session Objectives

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Projects have a number of lifecycles including:• Project lifecycle.• Project document lifecycle.• Project product lifecycle: Asset. Event.

• Project benefits lifecycle.

Lifecycles

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Project Phases: • Starting the project.• Organising and preparing.• Carrying out the work.• Closing the project.

PMBOK Project Lifecycle Project Core Processes:

• Initiation.• Planning.• Implementation.• Monitoring & Controlling.• Finalisation.

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Project Management Institute (PMI), (2013), A guide to the project management body of knowledge (5th ed.), Newtown Square, Pennsylvania, PMI


Project Phase Purpose: • Confirm project as necessary.

• Plan and organisation project work.

• Undertake project work.• Formally close the project.

PMF Project Lifecycle Project Phases:

• Initiation.• Planning.• Execution.• Finalisation.

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Project Lifecycle

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Project Document Lifecycle

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Project Product (Asset) Lifecycle

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Project Product (Event) Lifecycle

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Project Benefit Lifecycle

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Project Management Lifecycle

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A feasibility study is the investigation and assessment of the practicality of the proposed project.

It will evaluate every aspect of the project to determine the likely success of the project and product.

Including:• Viability – risk verses financial reward;• Barriers to project delivery and product success; and• Identification and evaluation of alternate options.

Feasibility Criteria:• Business – evaluation of the benefits from undertaking the project. • Technical – determining the best technical solution to develop the product.• Function – determining the best option for client /end user functionality.

Feasibility Study

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To determined the feasibility it is essential to know what the client and/ or end user wants delivered by the project.

Project feasibility aims to evaluate the ability of the project to deliver its required benefits.

A project’s feasibility evaluation process should be standardised and clearly defined.

The results of any project feasibility study must be indicative of a project’s probability for success, although this is not always an accurate forecast that the project will succeed if the delivery process is poorly executed.

Feasibility

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Due diligence:• Project Organisation Protection.

Benefits identification. Market / trend analysis. Options analysis. Viability:

• Financial return on investment.Verses

• Project risk and organisational tolerance levels.

Feasibility Considerations

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Definition of due diligence: (Oxford Dictionary 2015 ‐ http://www.oxforddictionaries.com/definition/english)

• Reasonable steps taken by a person to avoid committing a tort or offence: Tort – a wrongful act or infringement of right leading to a legal liability. Offence – a breach of law or rule; and illegal act.

Due diligence is all about mitigating investment / involvement risk. It is a term used for a number of concepts involving either an

investigation of a business or person prior to signing a contract. Due diligence should be as comprehensive as possible. By the end of a due diligence process, the project organisation should:

• Have confidence in dealing with the client.• Know the client and project are real.• Be able to make a decision about their investment / involvement in the project.

Due Diligence

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Projects are undertaken to deliver a benefit to the organisation who requires the product of the project.

The benefit must be aligned with the organisations strategic direction as noted in their corporate plan.

Project execution must ensure delivery of a product capable of delivering the required benefits.

Project Benefit RealisationStrategic Direction

Corporate Plan

Organisational Benefits

Project Execution

Benefit Realisation

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Corporate Organisational Projects:• Undertaken by an organisation or commercial enterprises.• Identified and delivered through organisational planning.

Private Organisational Projects:• Personal desire or emotionally required project.• Undertaken by small entity, partnership or person based on a want to acquire the project deliverable.

• Generally motivationally driven, such as: A cause or crusade; or A personal desire to gain or acquire.

Drivers of Projects

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Corporate Organisational Driver

Strategic Direction

Corporate Plan

Department Business Plan

Project Portfolio

Plan

Project Program

Plan

Project Plan

Quality Work Plan

Organisational Planning Cycle

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Corporate organisational projects are undertaken in accordance with an organisation’s strategic direction.

This is often to increase an organisation’s wealth (though not always), this may be via:• A financial gain.• Brand identification.• Diversifying. • Researching new product lines.• Increased knowledge.• Improved business process.

Corporate Organisational Projects

http://www.archh.com/m/anshulweb7/projects/1760/spire‐edge/

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• Project objective – implement a new payroll system (product).

• Project outcome – a new automated payroll system.

• Benefits realisation plan:• During project delivery – installation of an

automated payroll system and training of staff. • Post project delivery –

• 12% cost savings. • Reduction in all staff data input time.• Increase in staff morale.

Example – Organisational Project

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Stuart Miles, 08 October 2012


Private Organisational Driver

Emotional

Desire

Decision to ActAssistance to Achieve

Achievement

Satisfaction

Personal Emotional

Driver

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Generally based on motivation rather than good judgement.

Generally the project doesn’t go through a rigorous justification process.

Can blind the client with their idea of the project rather than its reality.

Can suffer from ongoing changes, lack of direction and limited or poor input to plans.

Private Organisational Projects

http://www.glogster.com/laggolf/myp‐personal‐project/g‐6l59ae00guqlfnhmlp9f7a0

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• Project objective – to a new build a family home (product).

• Project outcome ‐ a place to reside.• Benefits realisation plan:

• During project delivery – construction of a house according to the client’s personal specifications and requirements.

• Post project delivery – create a family home that provides a safe haven where the family will be able to live and share treasured memories for their family and friends.

Example Private Organisational Project

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Stuart Miles, 12 December 2011


What is happening in the marketplace? Investigate your industries:

• Market conditions: Competitors. Current trend. Expected future trend.

• Target market, what are their: Needs (must have). Expectations (prefer to have). Desires (I can afford to have).

Market / Trend Analysis

Market Analysis

Who?

What?

Where?When?

Why?

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Options are an alternative or choice that is available to deliver the required benefits of the project.

Options can also include opportunities to expand and increase the return of benefits to the organisation from undertaking the project.

Options may include:• Alternate ways of delivering the project product.• Alternate was to achieve the required benefits.• Alternatives that:

Decrease recourse investment; and/ or Decrease the level of risk involved.

Options Analysis

Based on Evidence...

Option C

Option B

Option A

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Definition of viable: (Oxford Dictionary 2015 ‐ http://www.oxforddictionaries.com/definition/english)

• An outcome that is capable of working.

• A proposed investment that is economically viable.

Project viability is the successful return on the investment.

A viability study is therefore an in depth investigation into the profitability of the project product when converted into business operations (business enterprise). It will evaluate:• The financial returns of the proposed project; and

• The associated risks involved in undertaking the project.

Viability Study

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What is the real objective? What return ratio: Return on assets (ROA). Return on net assets (RONA). Return on capital employed (ROCE). Return on invested capital (ROIC). Social return on investment (SROI). What are the opportunity costs? Are there alternatives?

Financial Returns

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How risky is the venture?• Is the project a high / low risk venture?• Is the risk level stable?• What factors impact the risks involved?

What is the client’s tolerance for risk? • Can the client respond to current risk levels?• Can the client respond to future risk levels.?

What is the project org’s tolerance for risk? • Do they want to be involved in high risk projects?• Is the organisation managing other high risk projects?

Risk and Tolerance Levels

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Clem7 Tunnel – Project Delivery Success• Delivered to approved scope!• Delivered on budget!• Delivered 7 months early!

Clem7 Tunnel – Project Benefit Failure• Over priced!• Under used!• North / South, unnecessary!

Opera House – Project Delivery Failure• Fallout with architect over design.• Delivered excessively over budget.• Delivered way over schedule (10Yrs).

Opera House – Project Benefit Success!• Iconic building.• Recognised worldwide.• UNESCO World Heritage Listed

Focus: Objectives or Benefits?

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for the Project Complexity Types

Development Delivery&


Managing Project ComplexityWhat & HOW (WHOW) Model


Dombkins’ WHOW MatrixDimensions of Uncertainty

Dombkins, D. H. (2007). Complex Project Management: Seminal Essays. North Charleston, South Carolina: BookSurge Publishing, p. 392.

UncertaintyHigh Low

HOW—Uncertainty in HOW to achieve the project objectives

HOW to Achieve Objectives


Dombkins’ WHOW MatrixDimensions of Uncertainty


WHAT—Uncertainty in WHAT the project objectives are?

UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es


Dombkin’s WHOW Matrix

Concept

Design

Implementation

Close

Low

Uncertainty

Type B Type A

Type CType D


Highly Complex

UncomplicatedSomewhat Complex

Extremely Complex

DesignDesign Implementation

ConceptConcept Design Implementation

UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es



Concept

Design

Implementation

Close

Low

Uncertainty

Type B Type A

Type CType D


Highly Complex


Extremely Complex



UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es

Identify one example of each project type!


Type A Project

Concept

Design

Implementation

Close

Low

Uncertainty

Type B Type A

Type CType D


Highly Complex


Extremely Complex



UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es


Type B Project

Concept

Design

Implementation

Close

Low

Type B Type A

Type CType D


Highly Complex


Extremely Complex



UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es

Uncertainty


Type C Project

Concept

Design

Implementation

Close

Low

Type B Type A

Type CType D

Highly Complex


Extremely Complex



UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es

Uncertainty




Concept

Design

Implementation

Close

Low

Type B Type A

Type CType D

Highly Complex


Extremely Complex



UncertaintyHigh Low

High

Low

Uncertainty


WHAT

are th

e Objectiv

es

Uncertainty



for the Project Complexity Types

Development Delivery&


Build and Fix Model“She’ll be Right Mate”

Build first version

Modify as required by customer

Maintenance

Retirement


Build and Fix Model“She’ll be Right Mate”

Build first version

Modify as required by customer

Maintenance

Retirement

Adhoc Project Management


WaterfallSystem

Requirements

Software Requirements

Preliminary Design

Detailed Design

Code and Debug

Test and Pre ‐Operations

Operations & Maintenance

Description• Two dimensional• Single entity• Requirements flow‐down• Sequential• Feedback loops between successive phase• Documentation drivenCzarneck, K. (u/d). Software Life‐Cycle and Process Models. Retrieved 25 May, 2008, from www.swen.uwaterloo.ca/~se2/lecture/02_life‐cycle‐models.pdf


Waterfall Advantages• Documented process • Clearly defined phases• Orderly development

Disadvantages• Customer involvement in first phase only• Completed and frozen specification document

up‐front often not possible• Sequential and complete execution of phases is

often not desirable• Product becomes available very late in the

process (significant risk of building the “wrong” system)—i.e. verification without validation

• System architecture and the issues of integration, verification, and validation are not represented.

Applicability• Only appropriate when the requirements are

well‐understoodCzarneck, K. (u/d). Software Life‐Cycle and Process Models. Retrieved 25 May, 2008, from www.swen.uwaterloo.ca/~se2/lecture/02_life‐cycle‐models.pdf


Prototyping

http://www.smashingmagazine.com/2010/06/16/design‐better‐faster‐with‐rapid‐prototyping/


Prototype



Prototype Rationale Users may not know what they want

until they have it!!! Traditional specifications often

obfuscate rather than clarify The more people involved the greater

the communication challenges Documentation associated with

traditional approaches is• time consuming to develop and maintain• quickly dates

Traditional approaches appear to deliver an unsuitable product late



Advantages / Disadvantages Advantages

• Fast development• Early and continuous customer

involvement & commitment• Enhances communication between

developers and customers• Development cost typically less• Increases user acceptance

Disadvantages• Unreasonable user expectations• Inconsistencies between prototype and final

system• Accumulated inefficiencies—lack of system

rationalisation (especially in large systems)• Development may meander• Failure to conduct proper analysis• May ignore critical human factors issues• Poor documentation & an unmaintainable system



Spiral Model – Dr. Barry Boehm, 1983

RAProto-

type 1

Prototype 2

Risk Analysis

Risk Analysis

Risk Analysis

Prototype 3

Operational

Prototype

Concept of Operation

Software Reqmts

.

SoftwareProductDesign

DetailedDesign

Unit Test

Code

Integration and Test Acceptan

ce Test Implem

en-tation

Requirements

ValidationDesign Validation and Verification

Integration and Test Plan

Develop-ment

Plan

Reqmts Plan

.Commitment Partition

Review

Progress Through Steps

Life Cycle Plan

Cumulative Cost

Plan Next Phases

From:B. W. Boehm, “Spiral Model of Software Development”, in Tutorial Software Project Management edited by R. H. Thayer and M. Dorfman, IEEE Press, 1988.

Develop, Verify, Next Level

Product

Determine Objectives,

Alternatives, Constraints

Evaluate Alternatives,

Identify, Resolve Risks

Waterfall

BenchmarksSimulations, Models,

Forsberg, K., Mooz, H., & Cotterman, H. (2005). Visualizing Project Management (3rd ed.). Hoboken, New Jersey: John Wiley & Sons, p.245


Spiral Description• Risk investigation + prototyping phases spiral around a center point, and then transition towaterfall

• However risk management does not stop after transition

• Radial dimension: cumulative cost to date

• Angular dimension: progress through spiral

• Terminate if all risks cannot be resolved



Spiral


Advantages• Combines strengths of prototyping

and waterfall• Addresses known risks first:

- Requirements understanding- Technical feasibility- System operations

- Continuous customer involvement- Progressively definition of customer

requirements- Prototype acts as a dynamic

specification Disadvantages

• System architecture and the issues of integration, verification, and validation are not represented

• Management overheads.


Validation vs Verification Integration

• The successive combining and testing of the system components (e.g. hardware, software, operator tasks etc.) to progressively prove the performance and compatibility of all entities of the system

Verification• Proof of compliance with specifications

Validation• Proof of user satisfaction

Forsberg, K., Mooz, H., & Cotterman, H. (2005). Visualizing Project Management (3rd ed.). Hoboken, New Jersey: John Wiley & Sons, p. 110


Vee Model—Integration, Verification, Validation

SystemDevelopment

LCILowest

Configuration Item Development

SubsystemDevelopment

SubsystemRealization

SystemRealization

LCILowest

Configuration Item Realization

Integration, Verification, and Validation Planning

Integration, Verification, and Validation Planning

I, V, and V Planning


Rolling Wave Planning

Design

GatherInformation

ImplementationActivity

Activity

Flow Path

Dombkins, D. H. (2007). Complex Project Management: Seminal Essays. North Charleston, South Carolina: BookSurge Publishing, p. 409


Multiple Delivery—Incremental

Czarneck, K. (u/d). Software Life‐Cycle and Process Models. Retrieved 25 May, 2008, from www.swen.uwaterloo.ca/~se2/lecture/02_life‐cycle‐models.pdf

Requirements

Preliminary DesignPreliminary Design Detailed DesignDetailed Design DevelopmentDevelopment DeploymentDeployment



Release 1

Release 2

Release 3

Time


Incremental Delivery Description

• User requirements established up‐front• Each release increases or enhances

functionality incrementally• Highest priority user requirements in

earlier releases or increments Advantages

• Early delivery of initial operating capability

Disadvantages• May not be possible to fully establish

requirements if scope is ambiguous


Multiple Delivery—Iterative

RequirementsRequirements Preliminary DesignPreliminary Design Detailed DesignDetailed Design DevelopmentDevelopment DeploymentDeployment



Time

Release 1

FeedbackRelease 3

Release 2


Iterative Delivery Description

• Each build evolves functional capability and refines requirements

Advantages• Early increments act as a prototype to

elicit requirements for later increments• Constant customer involvement and

validation• Good risk management—lower overall

risk• Used in agile methodologies

Disadvantages• May degenerate into build‐and‐fix


Bringing It Together


A General Approach


Step 1: Map the Project Objective Uncertainty and Process Uncertainty Using the WHOW Matrix


A General ApproachStep 2: Use the project type to define the broad project life‐cycle approach


A General ApproachStep 3: Translate the project life cycle approach into one or a mix of development approaches

DevelopmentModels

Waterfall Spiral Vee


A General Approach

MultipleSingle MultipleSingleSingle Multiple SingleDeliveryMethod

Linear SpiralDevelopment Method 2 Linear Spiral

DevelopmentModels

DevelopmentMethod 1 ModularLump

Waterfall Spiral Vee


Step 3.1: Translate the project life cycle approach into one or a mix of development & delivery approaches


Identified and discussed the variety of lifecycles within a project, depending on the project itself.

Detailed the phases of a project. Outlined the purpose of a feasibility study:

• Which may include a viability study.

Identified the considerations of product development and delivery.

In Summary

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iii pmf management solutions...feasibility criteria: • business – evaluation of the benefits...

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