Basic ConceptsBasic Terminologies

Concept of Project Management Introduction to Primavera 3.0 & Maintenance

An IntroductoryPresentation

OnProject Management

& Primavera (Version 3.0)

Basic Concepts

Basic Concepts

What is a Project ???

• Unique, one-time event• Specific start and end dates• Work scope with definable tasks• Allocated resources• Projected budget or cost• Tangible set of deliverables

Challenges in Project Management

Challenges to project management in executing “one offone off” multi-disciplinary projects are different from those encountered in production planning.

Regular Production line

Same environmentSame peopleSame productSame technique

Projects

Different environmentDifferent peopleDifferent productDifferent technique

Basic Terminologies

Basic Terminologies

Activity:Activities represent work to be done in order to complete a project.

OD (Original Duration) and RD (Remaining Duration):The estimated time required to complete an activity iscalled OD. The amount of time left to complete anactivity after it has started is known as RD (RemainingDuration).

Predecessor:The activity that effects start or finish dates ofother activities (successor activities).

Predecessor

Successor

Basic Terminologies

Successor:The activity for which start or finish dates are

dependent on other activities (predecessor activities).

Predecessor

Successor

Basic Terminologies

Relationship: Any sort of connection between two activities is known as relationship. Generally there are four types of relationships:

SS (Start to Start) FS (Finish to Start) FF (Finish to Finish) SF (Start to Finish)

Basic Terminologies

Lag : Lag staggers or delays the relationship of one activity

(predecessor) to another (successor).

Basic Terminologies

SS – Relationship between activities in which the start of a successor activity depends on the start of its predecessor.

Start-to-start

Start-to-start with lag

Predecessor

Successor

Predecessor

SuccessorB

A

B

A

Lag

Basic Terminologies

FS – Relationship in which the start of successor activity depends on the completion of its predecessor activity.

Predecessor

Successor

Predecessor

SuccessorB

A

B

A

Finish-to-start with lag

Finish-to-start

Basic Terminologies

FF – Relationship in which the finish of successor activity depends on the finish of its predecessor activity.

Predecessor

Successor

Predecessor

SuccessorB

A

B

A

Finish-to-Finish with lag

Finish-to-Finish

Lag

Basic Terminologies

SF – Relationship in which the finish of successor activity depends on the start of its predecessor activity.

Predecessor

SuccessorB

A

Start-to-Finish with lag

Start-to-Finish

Predecessor

SuccessorB

A

Lag

Basic Terminologies

ES (Early Start) and EF (Early Finish) dates:

Earliest possible date by which an activity can be started / finished.

LS (Late Start) and LF (Late Finish) dates: Latest possible date by which an activity can be started /

finished.

Basic Terminologies

AS (Actual Start) and AF (Actual Finish) dates:

Actual Start and Actual Finish dates are the dates on which an activity has actually started and finished.

Basic Terminologies

TF (Total Float):Duration, measured in planning units, the activity can be delayed without affecting the project finish date.

Negative or zero Total Float indicates that timely completion of the activity is critical to the completion of the project. Such activities are called Critical Activities.

FF (Free Float):The amount of time, measured in planning units, the early start of an activity can be delayed without delaying early start of a successor activity. Such activities are called Non-critical Activities.

Basic Terminologies

Constraints:Constraints are ground realities that over-rule the logical start and finish time of the activity.

For example: A certain piece of equipment will be received on, say, 25th of March. That equipment’s erection activity cannot be started before 26th of March irrespective of the fact that the foundation will be ready by 15th of March.

So we will simply put a constraint to this activity that it cannot start before 26th of March. Similarly concreting work cannot be easily done in winter months in regions where temperature goes below freezing during winter.

Basic Terminologies

Various types of constraints can be used but most

commonly used are as follows:▫Start No Earlier Than - This type of constraint is applied to restrict that activity to start before a certain date▫Start No Later Than - This type of constraint is applied to restrict that activity from starting beyond a certain date▫Finish No Earlier Than - This type of constraint is applied to restrict

that activity to finish before a certain date.▫Finish No Later Than - This type of constraint is applied to restrict

that activity to finish beyond a certain date.▫Start On - To impose a compulsory start date to that activity.▫Finish On - To impose a compulsory finish to that activity.

Basic Terminologies

Critical Activity: An activity that has potential of delaying a project is called a critical

activity. Such activities possess total float equal to zero or even less.

Critical Path: Chain of critical activities that has potential of delaying a project is called Critical Path.

Critical Path Method (CPM): A network analysis technique used to predict project duration, by

analyzing which sequence of activities (which path) has the least amount of scheduling flexibility (the least amount of float).

Basic Terminologies

Critical Path

Predecessor

Successor

Predecessor

A

CES = 1 EF = 10

OD = 10

FS Lag = 0 ES=15 OD=6 EF=20

FS Lag=0

ES=1 OD=14 EF=14

B

Activity B and C are on critical path because :

1. These are forming the longest chain (14 days + 6 days = 20 days)

2. Any delay in any of the activity on critical path will cause a delay of the whole project

Basic Terminologies

Scheduling:The process of calculating start and end dates of the activities. This process is carried out in two passes i.e. Forward Pass & Backward Pass.

Forward Pass:The process of calculating start and finish dates of each activity starting from the project start date.This process generates early start and early finishdates for each activity.

Basic Terminologies

Backward Pass:The process of calculating finish and start dates of each activity starting from the project finish date.This process generates Late Start and Late Finishdates for each activity.

Data Date:The point in time that separates actual (Historical) data from future (Scheduled) data.

Basic Terminologies

Man-Hours: It is yardstick for measurement of effort. For example, 4

Man-Hour will mean any of the following:▫1 man working for 4 hours▫2 men working for 2 hours▫4 men working for 1 hour

Standard Man-Hours: Estimated effort per unit required to perform a job in

terms of man-hours.

Basic Terminologies

Earned / Achieved Man-Hours: It is amount of work executed in terms of standard man-

hours.

Project / Budgeted Man-Hours: Total number of man-hours required to execute a project.

Actual Man-Hours: It is the man-hours actually utilized to execute work.

Basic Terminologies

Original (Target / Base Line) Plan: A plan showing all activities as foreseen at start of the project.

Latest Forecast Plan: Revised / Updated Plan showing expected dates for balance

activities at certain point in time during project life span.

Efficiency: It is the ratio of earned man-hours to actual man-hours.

Productivity: It is number of work units produced per man-hour spent.

Basic Terminologies

Budgeted Cost: Total estimated cost approved for execution of a project.

Cost at Completion: The expected total cost at completion of an activity or a

project. Cost at completion is estimated periodically during course

of project execution.

Basic Terminologies

Program Evaluation and Review Technique (PERT):

An event oriented network analysis technique used to estimate project duration when there is a higher degree of uncertainty with the individual activity duration estimates. PERT applies the Critical Path Method (CPM) to a weighted average duration estimates.

Gantt Chart: A graphic display of schedule-related information listing project

elements on left side of the chart, dates across the top and activity durations are shown as date-placed horizontal bars. It is also known as Bar Chart.

Basic Terminologies

PERT

GANTT

Cost Center: Cost Center is the lowest identifiable/measurable activity against

which costs incurred can be booked.

Direct Cost: Cost which can be clearly attributed to the activity performed is

know as Direct Cost. That cost is also called Variable Cost because it is dependent on quantity of work performed.

Indirect Cost: Cost which cannot be clearly attributed to specific activity is know as indirect cost . It is also known as Fixed Cost because these are incurred irrespective of the quantity of the work performed.

Basic Terminologies

Resource:

▫Anything that is required to perform an activity is called a resource

▫Resources can be Manpower, Equipment and Materials

Basic Terminologies

Project Management

Objectives of Project Management

•Timely completion of the Project •Budgetary Control so as to complete the Project within the

budgetary provisions established by the Company. •Ensure quality of works as required under the Contract. •Maintain established standards of Health, Safety and

Environment at the work places.

Dependency Cycle

Engineering Procurement Construction

Excellent communication between each phase is extremely important

Project Management Cycle

Plan Organize

DirectControl

Project Management Phases

Two Phases of Project Management:

•Planning•Control

Planning• Identify activities to be done• Identify milestones•Define WBS and OBS•Decide/calculate duration of activities•Decide sequence of activities•Decide resources•Prepare cost budget

Work Breakdown Structure

•Breaking down a long and complex project into work packages of smaller duration and complexity.

•A properly planned WBS delivers the following benefits:▫The project can be planned systematically▫Resources can be effectively scheduled ▫Work teams can be assigned responsibilities▫Costs and budget elements can be compared

Work Breakdown Structure

1. Project

1.1 Construction

1.1.1 Discipline

1.1.1.1 Zone/Area

1.1.1.1.1  Cost Center/Activity

Organization Breakdown Structure

•Represents a project organization structure that matches with WBS.

•Facilitates better control through mini projects within large and complicated projects.

•Defines responsibility for each level of WBS.

Organization Breakdown Structure

PROJECT/SITE MANAGER

AREA I/C

Engr. Civil

Engr. Piping (

Engr. Equip.

AREA I/C #1

Engr. Civil (area #1)

Engr. Piping

Engr. Equip.

Engr. Piping

Engr. Equip.

AREA I/C #2

Engr. Civil Const. Mngr. - Civil

Const. Mngr.- Mech.

Const. Mngr.- Elec.

LEVELS OF PLAN

LEVEL - LEVEL - 11 PLAN: PLAN: Sequence of major phases e.g., E, P & C inter-phase, or Civil, Mechanical & Electrical sequences.

LEVEL-1 PLAN

LEVELS OF PLAN

LEVEL – LEVEL – 22 PLAN: PLAN:Breaks major phases into geographic distribution (Zone/Area)and/or disciplines e.g., Piping, Structure, Foundation, etc.

LEVEL-2 PLAN

LEVELS OF PLAN

LEVEL - LEVEL - 33 PLAN: PLAN: Breaks all discipline activities into Cost Centers

LEVEL-3 PLAN

LEVELS OF PLAN

LEVEL - 4 PLAN: Further breaks down work into smaller activities e.g., material withdrawals from stores, layout, tacking, welding, Q.C checks, etc.

LEVEL-4 PLAN

Resource Allocation & Leveling

Resources required may include:

•Manpower•Tools & Plants•Direct materials•Consumables•Special jigs & fixtures

•Resource requirement should be a smooth curve i.e. ; gradual increase till it reaches its peak, maintains peak for required period and then gradually decrease till project is completed.

•Resource Leveling is done in P3.

Resource Allocation & Leveling

Definition of Maintenance: All actions which have the objective of retaining or

restoring an item in or to a state in which it can perform its required function. These actions include combination of all technical and corresponding administrative, managerial & supervision activities

Types of Maintenance: i. Corrective Maintenance ii. Preventive Maintenance

Corrective Maintenance: Type of maintenance where equipment is maintained after break

down. This maintenance is often expensive because worn equipment can damage other parts & cause multi damages

Preventive Maintenance: Where equipment is maintained before breakdown occurs. This type has many variations & is subject of various researches to

determine best & most efficient way to maintain equipment.

Recent studies have shown that preventive maintenance is effective in preventing age related failures of equipment

Thank You Very Much…..