Introducere in PM

Project Management
Introduction
Agenda
Definitions
Project scope management
Time, quality, cost
Human resources management
Information management
Risk management
Project Management Institute
Michel Tollenaere (INPG)

http://www.g-scop.fr/~tollenam/best
Project Management Presentation 2008
Definitions
A project is a temporary endeavour undertaken to
create a unique product or service.
It is
performed by people
constrained by limited resources
planned, executed and controlled
Examples
developing a new product or service
effecting change in a structure, staffing or style of an organisation
designing a new transportation vehicle
developing or acquiring a new or modified information system
constructing a building or facility
building a water system for a community in a developing country
running at campaign for political office
implementing a new business procedure or process
budget from 10k to many M
METEOR an automatic underground railway in Paris
implementing SAP in multi-sites company
the football world cup in Paris in 98
from 8 to 10 digits numbering in a phone system
implementing A380 in a company ..\..\
Project features (1)

Temporary
A project has a definite beginning and definite end
The duration of a project is finite
The opportunity or market window is usually temporary, most projects
have a limited time frame in which to produce the product or service
The project team - as a team - seldom outlives the project. Most projects
are performed by a team created for the sole purpose of performing the
project
Unique result
Projects involve doing something that has not been done before in the
same environment
The project may require some innovation to be completed

Progressive elaboration
A project occurs step by step to define the product or service, in a so
called progressive elaboration process.
for instance, the development of a chemical processing plant begins with
the process engineering to define the characteristics of the process, and
ends with the final assembly.
Development of a chemical processing plant
Define the
chemical
characteristics
of the process
Mechanical
characteristics of the
process units
(pumps..etc)
Detailed
drawings
General plant
layout
Manufacturing
of the parts
Final
Assembly

Progressive elaboration
In aerospace industry, projects are divided in

milestones (M1, M3, M5, M7, M9, M11)
corresponding to a state of the aircraft.
Project Lifecycle
Cost and
Staffing
level
Initial
Phase
Intermediate
Phases (one
or more)
Final
Phase
Finish
Start
Time
Milestones :
defined state of the project
decision point
Project Lifecycle :
example US - DOD 5000.2
Construction Project Lifecycle
Pharmaceuticals Project Lifecycle
10
Project scope
management
(PMI chap 5)
Agenda
Definitions

Time, quality, cost
Risk management
11

(PMI chap 5)
Product Scope : the features and functions that characterise a
product or service
Project Scope : the work that must be done to deliver a product
with the specified features and functions
Both scopes are described and detailed with specific tools.
Project scope management consists to ensure that the
project includes all the work required, and only the work
required, to complete the product successfully.
12
Product scope management

PRODUCT STRUCTURE LEVELS
EXAMPLE OF STRUCTURE
PROGRAMME
PROGRAM
A380
SERIES OF
/DERIVES
AIRPLANE
COMPOSANTS
PRINCIPAUX
MAJOR COMPONENTS
ASSEMBLIES
ASSEMBLAGES
A380 800F
A380 700
...
AILE
WING
EMPENNAGE
TAILPLANE
...
LEADING EDGE
BORD DATTAQUE
FUSELAGE
CAISSON DE VOILURE
SOUS-ASSEMBLAGES
SUB -ASSEMBLIES
COMPOSANTS
ELEMENTARY
ELEMENTAIRES
COMPONENTS
STRUCTURE
ATTACHE
A380 800
SYSTEME
MECANIQUE
HYDRAULIC
SYSTEM
...
...
TRINGLERIE STRUCTURE
Part 10005
Part 10009
Bill of Materials
FAST Diagram
Structured tool that describes the product
Part 10002
13
Project scope management : WBS Work Breakdown Structure
14
Project scope management : WBS of a software release
15
Project scope definition : from BOM to WBS

Defining the right activities is essential for project scope definition
a WBS from a previous project is often used as a template for a new project.
any component in a BOM must be purchased or manufactured.
in all cases (purchasing or manufacturing), it must be tested.
any assembly should be assembled and tested (especially in software
engineering)
documentation activity is essential for robust project
Activity.
An element of work performed during the course of a
project. An activity normally has an expected duration, an expected cost,
and expected resource requirements. Activities can be subdivided into tasks.
Activity Definition.
Identifying the specific activities that must
be performed to produce the various project deliverables.
16
Project scope Change Management

Any change to product and/or project scope must follow a formal process
This process must finish with the formal acceptance of the change by the
different stakeholders.
A change request may be the result of :
An external event (eg. Change in a government regulation)
an error or omission in defining the scope of the product (adding a failure
system regulation).
an error in defining the scope of the project (a missing inspection)
a value adding change (positive opportunity)
a response to an identified risk (see section about risk management)
17
Possible evolutions in Product scope
Customer needs :
What is finally developed
Customer needs
description :
simple,
red,
robust,
with
wheels
What is the
manufacturer
expected to do
What the architect

understands
What the architect

finally described
18
Monitoring Project scope during the project

Overquality
Specifications
What has been

realised
Errors in
specifications
Waste
Adequate
Quality
Happy
hazard
Court circuit
Unsatisfaction
Customers Needs
19
Monitoring Project scope during the project
??
A universal tool
??
might be so heavy and expensive
20

(PMI chap 5)
Project Scope Management.
A subset of project management
that includes the processes required to ensure that the project includes
all of the work required, and only the work required, to complete the
project successfully. It consists of initiation, scope planning, scope
definition, scope verification, and scope change control.
Scope Definition. Subdividing the major deliverables into smaller, more manageable
components to provide better control.
Scope Planning. The process of progressively elaborating the work of the project,
which includes developing a written scope statement that includes the project
justification, the major deliverables, and the project objectives.
Scope Statement. The scope statement provides a documented basis for making future
project decisions and for confirming or developing common understanding of project
scope among the stakeholders. As the project progresses, the scope statement may need to
be revised or refined to reflect approved changes to the scope of the project.
Scope Verification.
Formalizing acceptance of the project scope.
21
Project triangle
Time, Cost, Quality
Agenda
Definitions
Time, quality, cost

Risk management
22
Project time management

requires activity definition
includes activity sequencing
estimates activity duration
elaborates schedule of activities
Activity
duration model
23

estimates activity duration
Resource requirements : which resources are required for such
activity ?
Activity duration # activity work effort
Some activities (eg. getting authorisation, transportation time) can
require a long time without any work-effort.
elaborates schedule of activities
Many software tools (MSProject) do the job quite well (in a
deterministic manner)
They offer many outputs (GANTT Chart, PERT etc)
24

relationships between activities : Logical Relationship
Activity A
Activity B
Finish-to-start-the initiation of work of the successor depends upon the

completion of work of the predecessor.
Finish-to-finish-the completion of the work of the successor cannot finish
until the completion of work of the predecessor.
Start-to-start-the initiation of work of the successor depends upon the
initiation of the work of the predecessor.
Start-to-finish-the completion of the successor is dependent upon the
initiation of the predecessor.
25

Network Logic Diagram
A
Start
C
Finish
Precedence diagram method ; A, B, C, D, E, F are activities

B
A
Start
E
F
Finish
Arrow diagramming method ; activities are shown as arrows
26

Provides start and finish dates for all activities
Float.
The amount of time that an activity may be delayed from its
early start without delaying the project finish date. Float is a mathematical
calculation, and can change as the project progresses and changes are made to the
project plan. Also called slack, total float, and path float.
Free Float (FF).
The amount of time that an activity can be delayed without
delaying the early start of any immediately following activities. See also float.
A
Start
C
A
Start
Finish
E
F
Finish
Critical Path.
The series of activities that
determines the duration of the project. In a
deterministic model, the critical path is usually
defined as those activities with float less than or
equal to a specified value, often zero. It is the
longest path through the project. See critical path
method.
27
Project Cost management

cost management includes the following processes
Resource planning - Cost estimating - Cost budgeting - Cost control
Cumulative
values M
Total budget
of the project
Final
Phase
Initial
Phase
Intermediate Phases
(one or more)
Start
Finish
Time
The S Curve of cost baseline

28
Project Cost management

different cost for an activity
Planned Value (PV).
The physical work scheduled, plus the
authorized budget to accomplish the scheduled work. Previously, this
was called the budgeted costs for work scheduled (BCWS).
Earned Value (EV).
The physical work accomplished plus the
authorized budget for this work. The sum of the approved cost estimates
(may include overhead allocation) for activities (or portions of activities)
completed during a given period (usually project-to-date). Previously called
the budgeted cost of work performed (BCWP) for an activity or group of
activities.
Actual Cost (AC). Total costs incurred that must relate to whatever cost
was budgeted within the planned value and earned value (which can
sometimes be direct labor hours alone, direct costs alone, or all costs
including indirect costs) in accomplishing work during a given time period.
29
Project Cost Management

different contracts
A contract is a mutually binding agreement that obligates the seller to provide the specified product
and obligates the buyer to pay for it. Contracts generally fall into one of three broad categories:
Fixed-price or lump-sum contracts - this category of contract involves a fixed total price for a welldefined product. Fixed-price contracts may also include incentives for meeting or exceeding selected
project objectives, such as schedule targets.
Cost-reimbursable contracts - this category of contract involves payment (reimbursement) to the
contractor for its actual costs. Costs are usually classified as direct costs (costs incurred directly by the
project, such as wages for members of the project team) and indirect costs (costs allocated to the
project by the performing organization as a cost of doing business, such as salaries for corporate
executives). Indirect costs are usually calculated as a percentage of direct costs. Cost-reimbursable
contracts often include incentives for meeting or exceeding selected project objectives, such as
schedule targets or total cost.
Time and material contracts-time and material contracts are a hybrid type of contractual
arrangement that contain aspects of both cost-reimbursable and fixed- price-type arrangements. Time
and material contracts resemble cost-type arrangements in that they are open ended, because the full
value of the arrangement is not defined at the time of the award. Thus, time and material contracts can
grow in contract value as if they were cost-reimbursable-type arrangements. Conversely, time and
material arrangements can also resemble fixed-unit arrangements when, for example, the unit rates are
preset by the buyer and seller, as when both parties agree on the rates for the category of "senior
engineers."
30
Project quality management

Lets start with a story :
La Route du Rhum 2002
Only 3 sailers (upon 15) arriving at Pointe--Pitre !!!

31

Quality management applies to :
- project activities
- and project results (deliverables, components)
to fulfil quality objectives.
The Deming Cycle
PLAN: Design or revise business process
components to improve results
DO: Implement the plan and measure its
performance
CHECK: Assess the measurements and
report the results to decision makers
ACT: Decide on changes needed to improve
the process
32

Quality Planning. Identifying which quality standards are relevant to the
project, and determining how to satisfy them.
Quality Assurance (QA).
1) The process of evaluating overall project
performance on a regular basis to provide confidence that the project will
satisfy the relevant quality standards. 2) The organizational unit that is
assigned responsibility for quality assurance.
Quality Control (QC). 1) The process of monitoring specific project
results to determine if they comply with relevant quality standards and
identifying ways to eliminate causes of unsatisfactory performance.
2) The organizational unit that is assigned responsibility for quality control.
33
Human resources
management
Agenda
Definitions
Time, quality, cost

Risk management
34

As project is performed by humans,
Project management is human and organisation management.
who decides ?
who is responsible on ?
who controls ?
who takes benefits of ?
Complex projects are based on
complex organisations
Best skills for all complex
tasks worldwide
35

Airbus Company has been created to provide airplanes
It has been created from Aerospatiale, British Aerospace,
CASA, DASA
36

Is formalised in a Organisation Breakdown Structure (OBS)
A depiction of the project organization arranged so as to relate
work packages to organizational units
It shows which work components have been assigned to which
organizational units or persons.
Responsibility assignment matrix
P = Participant
A = Accountable
R = Review required
I = Input required
S = Sign-off Required
37
Subcontracting management
Sub-contracting requires internal resources

for negociation and control.
Do not confuse : a subcontractor is not a partner
38
Information
management
39
Some tools (1)
Ensure message storage ?

Managing group lists ?
Impossible to share large files
40
Some tools (2)
annotation and correction of documents

41
Some tools (3)

Powerpoint
diapo
confrence
Chats
Microsoft
Netmeeting
Yahoo groups
Windows sharing,
shared blackboard
42
Extended entreprising information system
43
ENTREPRISES INFORMATION SYSTEMS
Commercial
Logistics
Production
Quality
Maintenance
E.R.P.
C.R.M.
S.R.M.
M.E.S.
A.P.S.
K. M.
K.B.E.
P.D.M./P.L.M.
Marketing
Design
Industrialisation
Quality assurance
44
Supplier
Sub-contractor A
Orderer
deiversified technical products

multi-sites, multi organisation
development and production
development under time constraints
Sub-contractor B
Partner
physical flows
information flows
financial flows
decision systems
45
Engineering et communication situations

Space
Distant
Slides-conference
Visioconference
Internet, Intranet, PDM, PLM

Asynchronous
Same location
Synchronous
Time
Project location
46
Information System
Organisations
Task 3
Task 2
Task 1
Tasks, processus
Files and Documents
Systems ?
47
Donneur d ordres
Parameter :
Physical value
Unit
version
tolerance and gap
.
Partenaire rang 1
Partenaire rang 1
Equipementier
Organisations
Sous traitant
Liens explicites entre

paramtres, et objets
documentaires
Organisations, rles
au sein des projets
Value evolution
1
4
Who do what ?
Who has done what ?
10
14
12
15
Value Evolution
Task 3
Files and Documents
Task 1
Rseau de Paramtres
Links between documents and
assemblies and systems
Quels systmes ?
Task 2
Tches, processus
Link between
parameters,
functions,
items
Action
Excution
Dcision
Notification
Who is responsible on what?

Configuration managezment
48
Engineering change management

Stage 1: EC Proposal
Engineering
Change Request
(ECR)
initialisation
ECEngineering
Change management
ECR initialised
Notification
EC Pre-feasibility
Status
Automatisation
du traitement des "Change Process"
studies
evolution
Engineering
Change
Proposal
S'assurer
queECtoutes
les tapes approbation/qualit
ont
Impacts
Stage
2
:
EC
Investigation
(ECP)
and feasibility
Push
of ralises studies
t
documents
Selection &
Document ReviewSolution
Definition
Files and Documents
Potentialsolutions
defined
Solution to be implemented &

Router
automatiquement
versAssociated
les "reviewers" (requis
al
Potential
impacts
assessed
v
o
documentation
pr
ECO released
p
up-date
ou
optionnels)
A
Documentation up-dated
solutionrvision
Grer les approbations
ou re-routerNew
pour
notification
Efficiency et Traing
Stage 3 : EC Project
Embodiment
Management Presentation 2008
New solution
notified
New solution
embodiment
Solution
implemented &
notified
Documentation
up-dated
49
50
Risk Management
51
What is risk ?
Project risk is an uncertain event or condition, that,
if it occurs, has a positive or a negative effect on a
project objective (cost, time, quality).
A risk has a cause and, if it occurs, a consequence.
In risk management, probability and impact
(severity) of the risks are considered.
52
53
54
55
References
Project Management Institute http://www.pmi.org/

An example of students project http://192.168.41.10/~tollenaere/e-commerce/
2PLM lettre bimensuelle http://www.johnstark.com/xzxzx.html dernire
dition sur http://www.johnstark.com/xzxzx.html
PDM Information Center, http://www.pdmic.com/
CIMdata, http://www.cimdata.com/
PDM enablers de lOMG
http://www.omg.org/techprocess/meetings/schedule/PDM_RTF_1.5.html
56

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Project Management

Michel Tollenaere (INPG)

Project Management Presentation 2008

Project features (1)

Project features (2)

Project Management Presentation 2008

Project features (3)

Project Management Presentation 2008

In aerospace industry, projects are divided in

Project Management Presentation 2008

Construction Project Lifecycle

Project Management Presentation 2008

Pharmaceuticals Project Lifecycle

Project Management Presentation 2008

Project scope management

Project scope management

Product scope management

Project scope management : WBS Work Breakdown Structure

Project Management Presentation 2008

Project scope management : WBS of a software release

Project Management Presentation 2008

Project scope definition : from BOM to WBS

Project scope Change Management

Project Management Presentation 2008

Possible evolutions in Product scope

What is finally developed

Project Management Presentation 2008

What the architect

What the architect

Monitoring Project scope during the project

What has been

Project Management Presentation 2008

Monitoring Project scope during the project

might be so heavy and expensive

Project Management Presentation 2008

Project scope management

Time, quality, cost

Project time management

Project Management Presentation 2008

Project time management

Project Management Presentation 2008

Project time management

Finish-to-start-the initiation of work of the successor depends upon the

Project time management

Precedence diagram method ; A, B, C, D, E, F are activities

Arrow diagramming method ; activities are shown as arrows

Project Management Presentation 2008

Project time management

Project Management Presentation 2008

Project Cost management

The S Curve of cost baseline

Project Cost management

Project Cost Management

Project quality management

La Route du Rhum 2002

Only 3 sailers (upon 15) arriving at Pointe--Pitre !!!

Project quality management

Project Management Presentation 2008

Project quality management

Project Management Presentation 2008

Human resources management

Human resources management

Human resources management