Jelena Fedurko - 12 TOCPA Conference - Eng - April 2014 - Russia

www.tocpractice.
com
12th International Conference of the

TOC Practitioners Alliance - TOCPA
www.tocpractice.com
April 26-27, 2014 Moscow
In which way CCPM

is different?
Jelena Fedurko
TOC Strategic Solutions, Estonia
27 April, 2014
Copyright 2014 by Oded Cohen & Jelena Fedurko
12th International Conference of the TOC Practitioners Alliance - TOCPA
www.tocpractice.com
Jelena Fedurko
Jelena has 14 years of TOC experience as a
trainer and consultant providing support in TOC
implementations in the areas of people
management, production, supply chain, project
management.
Jelena has worked in Japan, Poland, Turkey, Italy,
Russia, Ukraine, India, China, Chile, Colombia,
Mexico and other countries throughout the world.
Jelena is the author of the books Behind the
Cloud Enhancing logical thinking and Through
Clouds to Solutions. The books present new
developments in the area of working with
assumptions, UDEs and UDE Clouds.
Together with Oded Cohen Jelena has coauthored the book TOC Fundamentals, recently
published in Russian.
She has authored numerous articles on TOC
concepts
and
implementation,
and
has
contributed to and edited several TOC books.
jelenafedurko.gs@gmail.com
www.toc-strategicsolutions.com
www.tocpractice.com
In which way CCPM is different?
1. The realization that every systems performance

is governed by the constraint.
Main types of constraints of a commercial system:
Capacity Constraint a system has a resource which cannot provide capacity that
the systems demands within the required span of time.
Market Constraint the amount of customers orders is not sufficient to sustain the
required growth of the system.
Time Constraint the response time of the system to the requirement of the market
is too long to the extent that it jeopardizes the systems ability to meet its current
commitment to its customers as well as the ability of winning new business.
What is the constraint of the project management?

When does the system create value for the goal of making more money?
At the completion of the project benefits are generated and money invested is
starting to be returned! The shorter is the time to complete the project the better!
Conclusion: Projects have the TIME constraint.

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2. Following 5 Focusing Steps of TOC.

Step 1. Identify (choose) the systems constraint.
In projects it is TIME the longest chain of dependant tasks.
The dependency is not only logical but also resource dependency.
Step 2. Decide how to exploit the systems constraint.
In projects it done through planning of the acceptable and realistic
duration of the project to bring financial benefits.
Step 3. Subordinate everything else to the above decision.
Ensuring that the plan is
realistic
absorbs inevitable fluctuations in the execution phase, and
protected against disruptions.
WE DO NOT REPLAN!!
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2. Following 5 Focusing Steps of TOC.

Step 4. Elevate the systems constraint.
Making more projects with the same resources in the same
period of time.
Step 5. If the constraint is broken go back to step one but do
not allow Inertia to cause the systems constraint.

Ensuring that the system will NOT create
Capacity constraint
Market constraint
Cash constraint (a Capacity constraint type)
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3. The number of tasks in the project plan must

not exceed 300-400.
Current and harmful practice: to have project plans
that include thousand(s) tasks with durations from 2
hours to several weeks.
TOC Rule not more than 300-400 tasks even in a
very big project.
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4. The Project Manager is a MANAGER, NOT an Expert in

the subject matter of tasks, and not a Vice President.
TOC Recommendations:
1. Project Manager is responsible for maintaining and
speeding up the FLOW of tasks from resource to resource .
It is Resource Manager who is responsible for the quality of
work done in the task.
2. Highly positioned top managers could be Program
Directors but should NOT be given the role of Project
Managers.
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5. The project plan MUST have FIXED START DATE AND

FIXED COMPLETION DATE aggressive but realistic
The PRIME objective of CCPM and the Prime Measurement for
projects completing project ON TIME. Why?
The project brings benefits only AFTER completion.
FREQUENT QUESTION WHEN IS THE END OF MY PROJECT?
Purchasing new equipment (especially dedicated for a specific
type of product food industry) what is the project end?
When the equipment is installed and produced the first batch?
When the equipment moved to mass production?
When the product for which this equipment was bought has
finished its market life cycle?
Building a new commercial facility what is the project end?
When the construction is completed?
When all premises are sublet to tenants?
Another frequent question: Shouldnt the end of the project be
tied to the return on investment?
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5. The project plan MUST have FIXED START DATE AND

FIXED COMPLETION DATE aggressive but realistic
And there is also another frequent question:
WHAT IS THE START OF MY PROJECT?
Is the starting point a decision to investigate an idea?
Is the starting point planning?
Is the stating point the start of the first task (start of the
execution)?
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6. The project plan is built ONLY with the relationship

Finish to Start.
The end of each task has a tangible deliverable without which the
next task CANNOT START.
Why is there the requirement Finish to Start?
To allow for the mechanics of PROJECTING the behaviour of the
chain in the execution phase to work.
BUFFER 50% of the chain
T1-10d T2-10d T3-16d
T6-20d
28d
BUFFER IS NOT A
CUSHION
BUT MANAGEMENT
MECHANISM!
Task 1 started and in Day 3 the resource reports that the task faces a difficulty and it will
take not 7 days to complete, but 14.
T1-17d
T2-10d T3-16d
T6-20d
28d
The chain went into the buffer for 7 days

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6. The project plan is built ONLY with the relationship

Finish to Start.
Why is the TOC projection mechanism not going to be helpful for managing the
project if the connection is anything different from Finish to Start?
Supply 4 months
Construction 6 months
Increase in Task Supply is 2 weeks. So
what? How does this increase in
duration reflect on the START of Task
Construction?
Supply 4.5 months
And how often is it discovered that there is delay in supply only WHEN Construction
actually cannot start because the materials are LATE?
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6. The project plan is built ONLY with the relationship Finish to Start.
Why is there the requirement Finish to Start?
Supply 4 months
We may hear an argument: it is enough if the supplier ships us of the materials
that we may start the Task Construction. Then the relationship is like that:
Supply
first 1/4 mater.
- 1 month
Supply
the rest - 3 months
If the 1/4 of
materials come
with the 2 week
delay:
Supply
first 1/4 mater.
- 1 month+2 weeks
Supply
the rest - 3 months
Or supply can still finish

within the initial
estimation
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7. For every task in the project plan we put the estimation

of task duration that has ONLY 50% probability to be
completed within the estimated time or earlier.
Why?
Because of the natural behaviour of people to protect themselves
by putting safety into the estimation.
What impacts conventional estimations of task duration?
Bad multitasking
Students syndrome
Parkinsons Law
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8. The project plan is built based on understanding that the

Constraint in Projects is the Duration of the longest chain.
1- Build the project network
Now the projected completion date of the longest chain is 20.08.2013

BUT we have resource contention
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2- Level the resources remove resource contention
The projected completion date of the longest chain moved to 17.09.2013 REALISTIC!
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3 Identify Critical Chain and build resource dependencies
The projected completion date of the longest chain did not change 17.09.2013
New dependencies RESOURCE dependencies are inserted.
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9. The individual safety is removed from each task (due to

putting in the plan 50% probability estimations) and
accumulated in buffers for common CONTROLLED use.
BUFFERS A frequent reservation that we hear: But Buffers make the
duration of the project 50% longer!! VERY WRONG! Compare:
With 80% durations the projected completion date for the project is 05.02.2014.
With 50% durations and buffers the projected completion date for the project is 02.12.2013.
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10. CCPM does NOT work on the principle of

TASK DUE DATE!
CCPM works on the principle of Roadrunner- every resource
finishes the task as soon as possible and passes it to the next
resource that will be informed in time and will be waiting.
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11. Tasks performers report NOT How Much They Have

Completed (this is looking backwards) but HOW MANY
MORE DAYS IS LEFT FOR THEM TO COMPLETE THE TASK
according to their fresh estimation. This is looking
forward!
TOC
THE PAST
TODAY
THE FUTURE
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12. DAILY projection of the penetration into the buffers

gives early warning that allows to take corrective actions
that are not overly expensive and return the project back
on its track.
The projection works on the principle of a train on the rail
moving forward and backward in time.
Forward consuming the days from the buffer, Backward
returning the days in the buffer.
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12. DAILY projection of the penetration into the buffers gives early
warning that allows to take corrective actions that are not overly
expensive and return the project back on its track.
Today is 20 May, Task C1 (supposed to be finished 06 May) reports that he needs 15 days to complete.
Today is 21 May, during the day corrective actions were taken (e.g. expert assistance or adding resources
), and by the end of the day he reports that now he needs 2 days to complete.
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12. DAILY projection of the penetration into the buffers

gives early warning that allows to take corrective actions
that are not overly expensive and return the project back
on its track.
Buffer penetration Report
% Buffer Consumed
100%
% Longest Chain Complete

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13. Gives the top management quick, comprehensive and

clearly visualized way of the project portfolio status.
Each dot is
a project.

Jelena Fedurko - 12 TOCPA Conference - Eng - April 2014 - Russia

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www.tocpractice.

12th International Conference of the

April 26-27, 2014 Moscow

In which way CCPM

12th International Conference of the TOC Practitioners Alliance - TOCPA

Copyright 2014 by Oded Cohen & Jelena Fedurko

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

1. The realization that every systems performance

What is the constraint of the project management?

Conclusion: Projects have the TIME constraint.

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

2. Following 5 Focusing Steps of TOC.

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

2. Following 5 Focusing Steps of TOC.

Step 5. If the constraint is broken go back to step one but do

not allow Inertia to cause the systems constraint.

Copyright 2014 by Oded Cohen & Jelena Fedurko

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

3. The number of tasks in the project plan must

Copyright 2014 by Oded Cohen & Jelena Fedurko

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

4. The Project Manager is a MANAGER, NOT an Expert in

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

5. The project plan MUST have FIXED START DATE AND

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

5. The project plan MUST have FIXED START DATE AND

Copyright 2014 by Oded Cohen & Jelena Fedurko

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

6. The project plan is built ONLY with the relationship

The chain went into the buffer for 7 days

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

6. The project plan is built ONLY with the relationship

Supply 4.5 months

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

Or supply can still finish

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

7. For every task in the project plan we put the estimation

Copyright 2014 by Oded Cohen & Jelena Fedurko

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

8. The project plan is built based on understanding that the

Now the projected completion date of the longest chain is 20.08.2013

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

8. The project plan is built based on understanding that the

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

8. The project plan is built based on understanding that the

12th International Conference of the TOC Practitioners Alliance - TOCPA

In which way CCPM is different?

9. The individual safety is removed from each task (due to

Copyright 2014 by Oded Cohen & Jelena Fedurko