Managing System Projects - Chapter 3 Notes

 OVERVIEW OF PROJECT MANAGEMENT

Project management - involves planning, scheduling, monitoring and controlling, and reporting on IT projects.

• Successful projects must be completed on time, within budget, and deliver a quality product that satisfies users and meets requirements.

• Project management techniques can be used throughout the SDLC.

• System developers can initiate a formal project as early as the preliminary investigation stage, or later on, as analysis, design, and implementation activities occur.

PROJECT TRIANGLE

• A project must balance cost, scope, and time against constraints.

• Any change in one leg of the triangle will affect the other two legs.

• A project manager must find the optimal balance among these factors.

• If a project is at risk, managers should identify the fixed side of the triangle and adjust the other two sides accordingly.

ROLE OF A PROJECT MANAGER

• A project manager/leader

• is responsible for planning, leading, organizing, and controlling all project tasks.

• A project coordinator handles administrative responsibilities for the team and negotiates with users who might have conflicting requirements or want changes that would require additional time or expense

• Project Planning: Identifying project tasks and estimating completion time and cost.

• Project Scheduling: Creating a specific timetable and assigning tasks to team members.

• Project Monitoring: Supervising and coordinating workloads, evaluating progress, and taking corrective action.

• Project Reporting: Providing regular progress updates to management, users, and the team.

STEP 1: CREATE A WORK BREAKDOWN STRUCTURE

Definition

• A Work Breakdown Structure (WBS) involves breaking a project down into a series of smaller tasks.

• A WBS helps in organizing and managing a project by dividing it into manageable units.

• Before creating a WBS, it is important to understand the two primary chart types: Gantt Charts and PERT/CPM Charts.

Gantt Chart Overview

• Developed by Henry L. Gantt, a mechanical engineer and management consultant.

• A horizontal bar chart that represents a set of tasks.

• Shows planned and actual progress of a project.

• Time is represented on the horizontal axis, and tasks are represented on the vertical axis.

• The position of the bar shows the planned starting and ending time of each task.

• The length of the bar indicates the task duration.

• Gantt charts can simplify complex projects by grouping several activities into a task group.

• Some Gantt charts use contrasting colors to show the percentage of task completion.

PERT/CPM Chart Overview

• Program Evaluation Review Technique (PERT) was developed by the U.S. Navy for managing complex projects.

• Critical Path Method (CPM) was developed by private industry for similar project management needs.

• Over time, the distinction between PERT and CPM has disappeared, and they are now commonly referred to as PERT/CPM Charts.

• A PERT chart is a network diagram that displays task patterns and relationships.

• It identifies the critical path, which is the longest sequence of dependent tasks that determines the project's duration.

• PERT charts are more useful for scheduling, monitoring, and controlling actual work than Gantt charts.

Purpose

• PERT is a bottom-up technique that analyzes a large, complex project as a series of individual tasks.

• Used to determine the logical order of tasks and the time required to complete the project.

• Identifies specific tasks that are critical to on-time project completion.

PERT vs. Gantt Charts

• Gantt Chart: A horizontal bar chart that provides a simple overview of project timelines.

  • Provides a simple, visual timeline for tasks.

  • Best for tracking progress and monitoring task completion.

  • Easier to interpret at a glance.

• PERT Chart: A network diagram that displays complex task patterns and relationships, making it more useful for scheduling, monitoring, and controlling actual work.

  • Better for scheduling and controlling actual work.

  • Helps in analyzing task dependencies and project flow.

  • Used for critical path analysis and risk management.

• Project managers often use both Gantt and PERT charts together to get a comprehensive view of the project schedule.

Identifying Tasks in a Work Breakdown Structure

Listing the Tasks

• The first step in creating a WBS is to list all tasks.

• Tasks might be embedded in a document or project plan, requiring careful identification.

• Steps to identify tasks:

  1. Highlight the individual tasks in the project description.

  2. Use bullets to clearly separate and organize the tasks.

  3. Number the tasks and create a table with the following columns:

     • Task Number

     • Task Description

     • Duration

     • Predecessor Tasks (tasks that must be completed before another task can start)

ESTIMATING TASK DURATION

• Uses person-days as a unit of measurement.

• Some tasks can be divided evenly among multiple people, but others cannot.

• Formula for expected task duration: (B+4P+W)/6(B + 4P + W) / 6

  • B: Best-case estimate

  • P: Probable-case estimate

  • W: Worst-case estimate

• Factors affecting task duration:

  • Project size

  • Human resources

  • Experience with similar projects

  • Constraints (budget, time, scope, or technical limitations)

Displaying the Work Breakdown Structure

• Once the task durations have been entered, the WBS will be structured.

• Complex projects with many tasks can use task groups to simplify the list.

• Microsoft Project or other project management software can be used to display the WBS in a structured format.

STEP 2: IDENTIFYING TASK PATTERNS

Definition

• Tasks in a work breakdown structure (WBS) must be arranged in a logical sequence, called a task pattern.

• Task patterns determine the order in which tasks must be performed.

• Understanding and creating graphical models of these patterns is crucial for effective project scheduling.

Task Box Format

• In a PERT/CPM chart, project tasks are shown as rectangular boxes, arranged in sequence.

• Each rectangular task box has five sections:

  • Task Name

  • Task ID

  • Task Duration

  • Start Day/Date

  • Finish Day/Date

Types of Task Patterns

1. Dependent Tasks

   • When tasks must be completed sequentially, they are called dependent tasks.

2. Multiple Successor Tasks

   • When several tasks can start at the same time after a predecessor task is completed, they are called successor tasks.

3. Multiple Predecessor Tasks

   • When a task depends on the completion of two or more previous tasks, it is called a multiple predecessor task.

STEP 3: CALCULATE THE CRITICAL PATH

Definition of Critical Path

• A critical path is a series of tasks that, if delayed, would impact the completion date of the overall project.

• If any task on the critical path falls behind schedule, the entire project will be delayed.

• Example: If you invite Joan and Jim for dinner and Jim arrives 30 minutes late, the meal will be delayed. Jim's arrival is part of the critical path since you cannot start without him.

Importance of Critical Path in Project Management

• Project managers must continuously monitor the critical path to respond quickly and keep the project on track.

• Project management software, such as Microsoft Project, highlights the tasks that form the critical path.

Steps to Calculate the Critical Path

1. Review Task Patterns

   • Identify the sequence of tasks and their dependencies.

2. Determine Start and Finish Dates

   • Assign start and finish dates based on task dependencies.

3. Identify the Controlling Tasks

   • Tasks that finish later determine when the dependent task can start.

4. Determine Slack Time

   • Slack time is the amount of time a task can be delayed without delaying the entire project.

   • Tasks on the critical path do not have slack time.

5. Identify the Final Critical Path

   • The tasks that must be completed on time to avoid project delays.

   • Any delay in these tasks will push back the completion date of the project.

Visual Representation

• Project managers use critical path analysis to adjust resources, reduce delays, and improve efficiency.

Managing System Projects - Chapter 3 Notes

PROJECT MONITORING AND CONTROL

Overview

• Regardless of whether the project was planned and scheduled with project management software or another method, the project manager must keep track of tasks and progress.

• The project manager must:

  • Compare actual progress with the project plan.

  • Verify the completion of project milestones.

  • Set standards and ensure they are followed.

Monitoring and Control Techniques

• Many project managers implement structured walk-throughs to ensure quality standards are met.

• A structured walk-through is a review of a project team member’s work by other members of the team.

• Typically, systems analysts review the work of other systems analysts, and programmers review the work of other programmers as a peer review.

• Structured walk-throughs occur throughout the System Development Life Cycle (SDLC) and are categorized as:

  • Design Reviews

  • Code Reviews

  • Testing Reviews

Maintaining a Schedule

• Maintaining a project schedule is challenging, as most projects experience problems or delays.

• The project manager must:

  • Anticipate problems

  • Avoid or minimize their impact

  • Identify potential solutions

  • Select the best solution to solve the problem

Reporting

• The better the original project plan, the easier it will be to control the project.

• Clear, verifiable milestones help determine when targets are achieved.

• Frequent checkpoints allow problems to be detected early.

• A project that is planned and scheduled using PERT/CPM can also be tracked and controlled using the same techniques.

• As the project progresses, the project manager:

  • Records actual times for completed tasks.

  • Revises times for tasks that are not yet finished.

  • Monitors tasks along the critical path, as delays in these tasks have the greatest impact on the project deadline.

  • Watches for tasks not originally on the critical path that might become critical if their slack time is exhausted.

Project Status Meetings

• Project managers schedule regular meetings to update the team and discuss:

  • Project status

  • Issues and problems

  • Opportunities

• Although meetings can be time-consuming, most project managers believe they are worth the effort because:

  • Team members can share information.

  • Common problems can be discussed.

  • New techniques and solutions can be explained.

  • The project manager can seek input and conduct brainstorming sessions.

Project Status Reports

• Members of the project team regularly report their progress to the project manager.

• The project manager then collects, verifies, organizes, and evaluates information received from the team.

• The manager determines what information needs to be shared and prepares a summary with comments and explanations before submitting it to:

  • Management

  • Users

  • Stakeholders

PROJECT MANAGEMENT SOFTWARE

Overview

• Project managers use powerful software to help plan, schedule, monitor, and report on a project.

• Most project management software offers features such as:

  • PERT/CPM charts

  • Gantt charts

  • Resource scheduling

  • Project calendars

  • Cost tracking

• Microsoft Project is a full-featured program that holds the dominant market share.

• Microsoft provides online demos, trial versions, training, and tips for its project management software.

Using Project Management Software

• When using project management software, a project manager follows a step-by-step process to:

  1. Develop a Work Breakdown Structure (WBS)

  2. Work with task patterns

  3. Analyze the critical path

• The software automates many of the calculations, allowing project managers to manage projects more effectively.

Work Breakdown Structure in Microsoft Project

• The process of creating a WBS manually is the same as using Microsoft Project.

• The project manager must identify the tasks, durations, and task patterns.

• Some tasks may be listed in a task summary, which the project manager can enter directly into Microsoft Project.

Gantt Chart View

• As tasks are entered, the software automatically performs calculations and detects task patterns.

• A Gantt chart is created, showing horizontal bars connected by arrows that indicate task dependencies.

• The project manager can specify a workweek schedule, excluding weekends if necessary.

• For mission-critical projects, a 24/7 calendar can be created to schedule tasks accordingly.

• Microsoft Project offers various display settings, formats, and calculation methods.

Network Diagram View

• A network diagram is similar to a PERT chart.

• When selecting the Network Diagram option, the project manager sees:

  • Project tasks

  • Task dependencies

  • Start and finish dates

• A network diagram displays the same information as a Gantt chart but includes more task details.

• Using Microsoft Project, the project manager can:

  • Assign each task to one or more people

  • Assign budget targets

  • Generate progress reports

  • Adjust schedules and deadlines as necessary

Calendar View

• The Calendar View is useful for managing day-to-day project activities.

• This view overlays tasks onto an actual calendar, similar to a PERT chart.

• The critical path is highlighted in red, making it easier for the project manager to determine priorities at any given time.

Alternative Project Management Software

• While Microsoft Project is the industry leader, other vendors provide alternative project management tools.

• GanttProject is a free, open-source program supported by a community of users and developers.

  • GanttProject is less powerful than Microsoft Project.

  • However, it has a similar interface and can open Microsoft Project files.

• Apptivo is another alternative that offers several levels of business applications, including project management.

  • Apptivo’s Standard Plan is free with unlimited duration.

  • It takes a different approach than Microsoft Project by simplifying task creation and management.

Advantages of Project Management Software

• .Automates calculations and reduces human error.

• Provides multiple views (Gantt charts, PERT charts, network diagrams, and calendars) for better visualization.

• Helps identify the critical path and manage task dependencies.

• Enables rapid adjustments to schedules, estimates, and resources in response to real-world events.

Managing System Projects - Chapter 3 Notes

RISK MANAGEMENT

Definition

• Every IT project involves risks that systems analysts and project managers must address.

• A risk is an event that could affect the project negatively.

• Risk management is the process of identifying, analyzing, anticipating, and monitoring risks to minimize their impact on the project.

Steps in Risk Management

1. Develop a Risk Management Plan

   • A risk management plan includes a review of:

     • The project’s scope

     • Stakeholders

     • Budget

     • Schedule

     • Any internal or external factors that might affect the project

   • The plan should define:

     • Project roles and responsibilities

     • Risk management methods and procedures

     • Categories of risks

     • Contingency plans

2. Identify the Risks

   • Risk identification lists each risk and assesses the likelihood that it could affect the project.

   • The details would depend on the specific project, but most lists would include:

     • Means of identification

     • Brief description of the risk

     • What might cause the risk to occur

     • Who would be responsible for responding

     • Potential impact of the risk

3. Analyze the Risks

   • This process typically involves two steps:

     • Qualitative Risk Analysis

       • Evaluates each risk by estimating:

         • The probability that it will occur

         • The degree of impact

       • A formula can be used to weigh risk and impact values.

       • Results can be displayed in a two-axis grid, such as a risk matrix (Microsoft Excel XY charts can be used for this visualization).

     • Quantitative Risk Analysis

       • Determines the actual impact in terms of:

         • Dollars

         • Time

         • Project scope

         • Quality

       • Uses a modeling process called what-if analysis to measure how changes in elements affect others.

4. Create a Risk Response Plan

   • A risk response plan is a proactive effort to anticipate a risk and describe an action plan to deal with it.

   • An effective risk response plan can reduce the overall impact by triggering timely and appropriate action.

5. Monitor Risks

   • Ongoing activity throughout the risk management process.

   • Conduct a continuous tracking process to:

     • Identify new risks

     • Notice changes in existing risks

     • Update any other areas of the risk management plan

Risk Management Software

• Most project management software includes powerful risk management features.

• Software capabilities include:

  • Assigning specific dates as constraints

  • Aligning task dependencies

  • Noting external factors that might affect a task

  • Tracking progress

  • Displaying tasks that are behind schedule

• Microsoft Project Server has a built-in risk management capability for large, corporate-wide projects.

• Microsoft’s risk management model includes:

  • Probability – Likelihood that the risk will happen (expressed as a percentage).

  • Impact – The degree of adverse effect should the risk occur (on a scale of 1 to 10).

  • Cost – The potential financial impact of the risk.

  • Category – Specifies the risk type.

  • Description – Specifies the nature of the risk.

  • Mitigation Plan – Identifies plans to control or limit the risk.

  • Contingency Plan – Specifies actions to be taken if the risk occurs.

  • Trigger – Identifies a condition that would initiate the contingency plan.

• Other Risk Management Software:

  • Intaver Institute offers an add-on risk management package that integrates with Microsoft Project.

  • Color-coded matrices are used to reflect risk probability and impact.

MANAGING FOR SUCCESS

Overview

• To be successful, an information system must:

  • Satisfy business requirements.

  • Stay within budget.

  • Be completed on time.

  • Be managed effectively.

• When a project develops problems, the reasons typically involve business, budget, or schedule issues.

• In addition to planning and managing the project, a project manager must recognize problems and deal with them effectively.

Business Issues

• The major objective of every system is to provide a solution to a business problem or opportunity.

• If the system fails to meet business requirements, it is considered a failure, regardless of:

  • Positive user reactions.

  • Acceptable budget performance.

  • On-time delivery.

• Causes of failure to meet business requirements include:

  • Unidentified or unclear requirements.

  • Inadequately defined scope.

  • Imprecise targets.

  • Shortcuts or sloppy work during systems analysis.

  • Poor design choices.

  • Insufficient or inadequate testing procedures.

  • Lack of change control procedures.

  • Organizational culture, funding, or objective changes.

• A system that falls short of business needs:

  • Produces problems for users.

  • Reduces employee morale and productivity.

Budget Issues

• Cost overruns typically result from:

  • Unrealistic estimates that are too optimistic or based on incomplete information.

  • Failure to develop an accurate forecast that considers all costs over the project lifecycle.

  • Poor monitoring of progress and slow response to early warning signs of problems.

  • Schedule delays due to unforeseen factors.

  • Human resource issues, including turnover, inadequate training, and lack of motivation.

Schedule Issues

• Problems with timetables and project milestones can indicate:

  • Failure to recognize task dependencies.

  • Confusion between effort and progress.

  • Poor monitoring and control methods.

  • Personality conflicts among team members.

  • Turnover of project personnel.

• The failure of an IT project can also be caused by poor project management techniques.

Role of the Project Manager

• If the project manager fails to plan, staff, organize, supervise, communicate, motivate, evaluate, direct, and control properly, then the project is certain to fail.

• Even when factors outside their control contribute to failure, the project manager is responsible for recognizing early warning signs and handling them effectively.

• When a project is successful, the project management team has a right to be proud.

This section provides a detailed and complete explanation of Managing for Success, maintaining the original terminology and definitions as presented in the source document.