Project Planning Laying the Foundation Project Planning Laying

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Project Planning Laying the Foundation

Project Planning Laying the Foundation

Project Planning: Laying the Foundation Setting Expectations for the Planning Phase l Decomposing a

Project Planning: Laying the Foundation Setting Expectations for the Planning Phase l Decomposing a Work Breakdown Structure (WBS) l Creating a Network Diagram l Identify and Analyze the Critical Path l Creating Project Schedules l Creating Project Budgets l

Definition of the IT project plan: l Document constructed by the project Manager, sponsor,

Definition of the IT project plan: l Document constructed by the project Manager, sponsor, stakeholders and project team members. Purpose is to control the execution of the project l Like a “map” for a long road trip l l l Outline the route, the cost and the risks and detours along the way… At minimum it should include the following components: (next slide)

IT Project Plan - checklist • Project charter • Scope statement • Work breakdown

IT Project Plan - checklist • Project charter • Scope statement • Work breakdown structure • Responsibility matrix • Resource matrix • Cost and time estimates • Project schedule • Project budget • Risk management plan • Communication plan

Decomposing a Work Breakdown Structure (WBS) l Defines project scope by listing all of

Decomposing a Work Breakdown Structure (WBS) l Defines project scope by listing all of the major sub-projects or deliverables l l Decomposition - Act of breaking down into sub-projects into work packages that are unique and clearly defined and can be assigned a dollar amount and a person to accomplish the work 8/80 Rule – guideline that states no work package should be fewer than 8 labor hours or more than 80 labor hours l l Decomposition into Work Packages l l If over it should be broken down into smaller packages Review high level milestones and set entry/exit criteria Identify subject matter expertise to help with WBS decomposition Identify major deliverables and tasks Entry/Exit Criteria l Conditions that a PM defines to enter into or exit from a particular milestone l Entry criteria is a condition that has to exist for the work to begin and exit criteria is what must be done for it to be considered complete

The 8/80 Rule Example l l l Jim is the project manager for an

The 8/80 Rule Example l l l Jim is the project manager for an operating system migration from Windows NT to Windows 2003 for a company of 5, 000 employees. In reviewing the WBS, Jim noticed that there was a work package called Active Directory Design that had three people assigned to it for four weeks. l This assignment meant that the work package would consume about 480 hours of labor. Applying the 8/80 rule, Jim called a meeting with the design engineers and asked them for a specific breakdown of the 480 hours of labor. It quickly became apparent that there were actually eight steps to the design process, which could be broken down into smaller work packages. l These eight new work packages would take about 60 hours each. The team then re-examined and adjusted the responsibility matrix.

Entry / Exit Criteria l Conditions or circumstances that a project manager defines, in

Entry / Exit Criteria l Conditions or circumstances that a project manager defines, in order to enter into, or exit from a particular milestone. Entry criteria corresponds to a condition that has to exist for the work to begin l Exit criteria is what must be accomplished for the milestone to be considered complete l The exit criteria for one milestone is the entry criteria for the next one. l

Entry/Exit Criteria

Entry/Exit Criteria

Example A Desktop Support Group is scheduled to begin the construction of a production

Example A Desktop Support Group is scheduled to begin the construction of a production desktop image which will incorporate the new version of the accounting system client software. l In order to prevent DSG from wasting time with beta versions, an entry criteria was placed upon this task which stated that the Software Development Group must give the new application to the DSG in its final quality-tested format. l The entry criteria of the final tested format for the DSG is also the exit criteria for Software Dev Group to complete the software development milestone. l

Decomposing a Work Breakdown Structure (WBS) High-level milestones & entry/exit criteria l Identify needed

Decomposing a Work Breakdown Structure (WBS) High-level milestones & entry/exit criteria l Identify needed Subject Matter Experts l Identify major deliverables/tasks l Identify work package managers l Decompose deliverables into manageable work packages l Analyze work packages using the 8/80 rule l

Creating a Network Diagram l Network diagrams are tools that help the project team

Creating a Network Diagram l Network diagrams are tools that help the project team to represent the nature of the relationships l l l Program Evaluation and Review Technique (PERT) l Program evaluation review technique Critical Path Method (CPM) l Uses sequential logic with accurate activity duration estimates Hidden Dependencies l An upstream work package that contains unforeseen problems keeping the next sequence of work from being executed l I. e. Software that may require a service pack that does not install correctly, ,

Creating a Network Diagram l l l l Focus on sequencing constraints Use milestones

Creating a Network Diagram l l l l Focus on sequencing constraints Use milestones for high-level flow diagram Diagram all work packages Verify that the relationship links two work packages Sequencing and dependencies for work packages only Concurrency Look for hidden dependencies

Example l Suppose you are building a new house l l l your pavers

Example l Suppose you are building a new house l l l your pavers are scheduled to arrive before the yard is graded. You’ve finished all your walls before the electrician comes to wire! A network diagram will allow a project manager to see the relationships between tasks l Helps to let the project manager build meaningful work schedules that will be properly sequenced….

Network Diagram Task 1 (2 days duration) must be completed before tasks 2 (1

Network Diagram Task 1 (2 days duration) must be completed before tasks 2 (1 day duration) and task 3 (2 days) can begin. Tasks 2 and 3 must be completed before task 4 can begin. Task 2 must be completed before task 6 can begin…

PERT Chart Program Evaluation and Review Technique (PERT) has four defining characteristics: 1. All

PERT Chart Program Evaluation and Review Technique (PERT) has four defining characteristics: 1. All of the work packages in the WBS must be in the diagram 2. Packages must be sequenced in a way that shows all of the dependencies and paths to completion. 3. 3 time estimates must be made for each package. 1. An optimistic, most likely and pessimistic (usually requires a SME) 2. Formula for this: (Optimistic + (4 x Most Likely) + Pessimistic)/ 6 = Duration 4. Slack or Float is included 1. The amount of time that an activity may be delayed without delaying the rest of the project

Critical Path Method (CPM) l Network technique using one accurate time estimate (unlike PERT

Critical Path Method (CPM) l Network technique using one accurate time estimate (unlike PERT with uses 3) for calc of duration, slack or float and critical path. l 4 defining characteristics (see next slide)

Sample Critical Path Method Diagram 1. All of the work packages in the WBS

Sample Critical Path Method Diagram 1. All of the work packages in the WBS must be placed in the network diagram 2. The packages in the diagram must be in sequenced in a way that shows all of the dependencies and paths to completion 3. Uses one accurate time measurement rather than three… 1. Is able to track percentage complete with a reasonable degree of accuracy. 2. Slack or float for each package must be calculated and the critical path determined Most useful for projects that have been done before. Need historical data to be accurate.

The Critical Path Elements of the Critical Path l Critical Path Risks l

The Critical Path Elements of the Critical Path l Critical Path Risks l

Identify and Analyze the Critical Path Determine which activities have scheduling flexibility and which

Identify and Analyze the Critical Path Determine which activities have scheduling flexibility and which don’t l Determine path with longest duration l Conduct forward pass l Conduct backward pass l Calculate float l Identify risks to the critical path l

Critical Path l Calculate the Critical Path for the Network Upgrade project

Critical Path l Calculate the Critical Path for the Network Upgrade project

Hidden dependencies l Upstream work package that has significance that has not been discovered

Hidden dependencies l Upstream work package that has significance that has not been discovered and can disrupt the process l l l WBS that is missing work packages or component tasks due to incomplete decomposition Undocumented technical link between two elements (application and operating system) New release or revision that was not known (service pack or security patch)

Example l Students install SQL Server 2005 on a machine that already has Visual

Example l Students install SQL Server 2005 on a machine that already has Visual Studio 2005. l l l The client tools for SQL Server do not install Student researches and finds that VS installed SQL Express which creates a directory that fools SQL 2005 into thinking the client tools are already installed Student researches and takes corrective action to fix problem and re-installs SQL Server to get the client tools.

Creating Project Schedules Present timeline information l Identify areas of potential organizational scheduling conflict

Creating Project Schedules Present timeline information l Identify areas of potential organizational scheduling conflict l Identify areas of resource competition and potential scheduling conflicts l Provide supporting detail l Develop a schedule management plan l

Project Budgets Importance of Budgetary Considerations l Management Reserve l Cash Flow Management l

Project Budgets Importance of Budgetary Considerations l Management Reserve l Cash Flow Management l

Creating Project Budgets l l l l Create cost estimates at work package level

Creating Project Budgets l l l l Create cost estimates at work package level Calculate the bottom-up budget Compare bottom-up budget to top-down budget from sponsor Reconcile Create cash flow report Establish a management reserve Define tracking metrics and accounting codes