project management_exam summary [compatibility mode]

7/26/2019 Project Management_exam Summary [Compatibility Mode]

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Production systems can beclassified into three broadcategories based on their main

method of production, asfollows:

MASS PRODUCTION;BATCH PRODUCTION;PROJECT (NON-REPETITIVE) PRODUCTION.

Project Definition: The process ofplanning and executing a piece ofwork from inception to completion toachieve safe achievement ofobjectives on time, within cost limits

and to the specified standards ofquality.And:The organizing, planning,directing, coordinating andcontrolling of all project resourcesfrom inception to completion to

achieve project objectives on time,within cost, and to required qualitystandards.

Project Management Exam Summary

Characteristics of projects:

A project can be defined by itscharacteristics where the following apply:1) It involves a single, definable purpose,product or result2) It usually has defined constraints ortargets3) It uses skills and talents from multiple

professions and organisations4) It is unique5) It is somewhat unfamiliar6) It is a temporary activity7) It is part of the process involved inreaching a goal8) It is part of an interlinked process9) It is generally of secondary

importance to the organisation10) It is relatively complex

Organizations/TeamsTime/Cost/Quality

Risk Management


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Teams & Organizations

The project manager must havereasonable command of:Project planning

AuthorisingTeam organisingControllingDirectingTeam buildingLeadershipLife-cycle leadership

The usual method ofdefining authority linkagesis through a taskresponsibility matrix (TRM).A TRM typically shows:- Key milestones- Individual importantactivities- General responsibilities- Specific responsibilities- Dates

Responsibilities wouldinclude such detail asresponsibility for:ApprovalPreparationCheckingMaking and input

Authorising

Phase Characteristic Task People Effect1 Inception High Low Telling2 Development High High Persuading3 Stabilisation Low High Participating4 Maturity Low Low Delegating

Project Life Cycle

Planning the project activities, schedules andbudgets

Organising and selecting the project teamInterfacing with the client, the organisation andall other interested partiesNegotiating with suppliers and clientsManaging project resourcesMonitoring and controlling the project statusIdentifying issues and problem areasFinding the solutions to problemsResolving conflicts

PARIS


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Time

Forward & Backward Pass


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BUDGETED COST FOR WORK SCHEDULED (BCWS) - THE PLANThe Sum Of The Budgets For All Work Packages, Planning Packages,Etc., Planned To Be Accomplished (Including In-process Work

Packages), Plus The Amount Of Level Of Effort And Apportioned EffortPlanned To Be Accomplished Within A Given Time Period.

Budgeted Cost For Work Performed (BCWP) - Earned ValueThe Sum Of The Budgets For Completed Work Packages AndCompleted Portions Of Open Work Packages. BCWP Is The Value Of

The Work Accomplished.

Actual Cost Of Work Performed (ACWP) - Actuals

The Actual Cost Of Work Accomplished.

Budget At Completion (BAC)

The Total Budget For All Work. Estimate To Complete (ETC) The Time-phased Estimate Of Work

Remaining.

Estimate At Completion (EAC) Or Latest Revised Estimate (LRE)

Actual Cost Of Work Performed To Date Plus Estimate To Complete.

Schedule Variance (SV)Budgeted Cost For Work Performed (BCWP) Minus Budgeted Cost For

Work Scheduled (BCWS).

Cost Variance (CV)

Budgeted Cost For Work Performed (BCWP) Minus Actual Cost OfWork Performed (ACWP).

Variance At Complete (VAC)

Budget At Completion (BAC) Minus Estimate At Completion (EAC).

Performance Measurement Baseline (PMB)

The Time-phased Work Plan (Scope, Schedule, Budget) Against

Which Progress Is Measured.

Management Reserve (MR)

An Amount Of The Total Budget Withheld For Management Control

Purposes.

Control Account

The Key Management Control Point At Which The ACWP, BCWP, &BCWS Are Managed.

Work Packages

Near Term Units Of Work Defined At Levels Where Work Is

Performed And Progress (BCWP) Is Measured.

Planning Packages

Far Term Broadly Defined Work Elements Not Yet Detailed Planned

Into Work Packages.

Cost

Cost Performance Index (CPI)

The Efficiency With Which Work Has Been Performed. How Much

Work Is Done For Each Dollar Spent. (BCWP/ACWP=CPI)

Schedule Performance Index (SPI)

A Schedule Efficiency Ratio. The Value Of Work Completed Compared

To The Value Of Work Scheduled. (BCWP/BCWS=SPI)

Measurable Or Discrete Effort

Contract Effort That Produces Definable End Products And IsMeasurable.

Level Of Effort (LOE)

Contract Effort That Does Not Produce Definable End Products. An

Example Would Be Program Management. LOE Should Be Kept At AMinimum.

Apportioned Work

Effort That Is Associated With An Historical Percentage Of Direct Labor

Or Material. An Example Would Be Quality Assurance.


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EVA

cost variance (CV)= BCWP ACWP

schedule variance (SV)= BCWP BCWS

>1 always better!


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Reverse arrow to find solution

ISO9000 defines quality as:

The totality of feature and characteristics of a product or

service that bears on its ability to satisfy stated or implied

goals.

Quality

Deming: (Appeals to democratic manager)Intrinsic link between quality management and

production. Better quality management -> equalquality/lower cost or better quality/same costQuality problems: 85% controlled by management

Demings 14 points:

1) Create a common sense of purpose2) Create a new mindset3) Build quality into the system: Difficult to produce a

defective item4) Review procurement strategy: Suppliers andsubcontractor quality requirements

5) Research and innovate: Constantly analyse andcontrol the quality system

6) Invest in staff development

7) Enhance supervision:8)Develop a system of open communication: Acrossoperational islands and authority boundaries9) Encourage enterprise-wide open communication

10) Avoid the use of output standards: Increaseddemands must be followed by equal increases in

resources or improved training.11) If output standards are used, use them carefully

12) Encourage pride

13) Invest in training14) Encourage commitment

Juran: (Appeals to boss-type managers)10 steps for quality improvement:

Develop an awareness that products must evolve and improvement isnecessary;

Establish a strategic plan for improvement and establish goals forimprovement at different positions within the strategy;Plan an operational system that allows the goals for improvement to be

achieved;Provide adequate staff training and development as required;

Where there are major problems, treat them as projects and set up aproject team to resolve them;

Establish a regular and detailed reporting system;Recognise good performance and reward it. Take appropriate correctiveaction in the case of poor performance;

Develop an open communication system and communicate results;Maintain performance records and publish results. Use league tables;

Drive the system maintaining momentum and constantly introducingimprovements and innovations.

Philosophy: Plan improvement, control implementation and thenimprove. Jurans approach is the most scientific and structured


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project management_exam summary [compatibility mode]

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