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Courseware from my course on Project Management that I taught in 2010 at St. Joseph\'s College of Business Administration
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Tathagat Varma
Tathagat Varma Session 1/12: 13-May-2010
There are no WRONG questions, no WRONG answers - I expect you to interact, question and disagree
Don’t assume anything blindly! Pedagogy:
25% teaching (slides and references will be shared) 25% classroom and online discussion (no slides for this !) 25% self-study (your individual effort !)
o Expect you to read 2-3 general books and articles 25% seminar / project / article (working as a team)
o Expect you to read 1-2 advanced books and relevant articles
I don’t know everything Let’s learn together !
Key Knowledge Areas Topics
Strategic Management Introduc1on, Linking Strategic Planning to new product development
New Product Development New Product Development / New Service Development, selec1ng the right project, Cost-‐Benefit Analysis, Financial Ra1os (CF, DCF, NAV, IRR), Project Lifecycle
Project Ini1a1on Charter, Contract, Preparing a Business Case
Project Planning Scoping, SoW, WBS, Es1ma1on, Iden1fy Stakeholders, Risk Management, Organiza1on Structure (including people issues, repor1ng rela1onships, etc.), Staffing, Budge1ng, Scheduling, PERT, CPM, GanT Chart, Quality Project Communica1ons (Mee1ng, Repor1ng), Sobcotractor Management
Project Execu1on Project Execu1on, Managing Stakeholders and influencing key stakeholders, Communica1on Strategies (including using modern tools like Social networking, Video conf, TwiTer, web based PM tools, Online query of project status etc), Overcoming Poli1cal Resistance
Project Control Project Control: EVM, Metrics, Project Reviews, Change Management, Project Survival Strategies
Project Closure Closure, Evalua1on, Post-‐closure
Misc. Topics Project Manager Competencies, Project Success Factors, Managing Troubled Projects
Introduc1on to addi1onal topics (1me & interest willing)
PMBOK, So]ware Development Lifecycles, Agile / Scrum, Megaprojects, TOC, PRINCE2
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Civil engineering problem? Poor execution? Wrong requirements? Inadequate validation? Just one worker’s mistake? Bad design? Late requirement changes? Very minor issue? Your judgment ____________________
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Name Year Probable cause of failure Hubble Space Telescope 1990 Lack of total system test Ariane 5 missile 1996 Incorrect reuse of software, Faulty scaling up SuperConducting SuperCollider 1995 Cost overruns, Failure to maintain public support
GE rotary compressor refrigerator 1986 Inadequate testing of new technology
Motorola, Iridium 1999 Misjudged competition and mispredicted technology
PCjr 1983 Failure to discover customer needs Space Shuttle Challenger 1986 Bureaucratic mismanagement Edsel automobile 1958 Failure to discover customer needs Titanic 1912 Poor quality control Apollo-13 1970 Poor configuration management New Coke 1988 Arrogance A-12 airplane 1980s Mismanagement Nuclear Power Plant 1986 Bad design, Bad risk management, Cost cutting Lewis Spacecraft 1997 Design mistakes Mars Climate Orbiter 1999 Use of different units Mars Polar Lander 2000 Failure of middle management
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Infamous for being late, buggy and costly Holy Grail of Software Development:
“Faster, Better, Cheaper” Software development is typically considered
A ‘creative process’ A ‘wicked problem’
The ‘predictable’ Waterfall model has been blamed for poor project performance New thought is about using ‘adaptive’
processes
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Scope: fixed, changing, feature creep, “Featuritis” Size: size of software, development cost, number of people Schedule: length of schedule, fixed schedule, variable schedule Complexity: Volume Complexity, Innovation, NPD Development Paradigm: Waterfall, Agile, Kanban,… Location of teams: collocated, distributed, virtual Quality requirements: 6δ, Mil-Standards, FDA, 99.999,
Enterprise Class, Web, HA, Mission-critical Technology: existing, brand new, evolving, Team Structure: Command & Control, Democratic, etc. People: Skills, Experience, Domain Knowledge Tasks/activities: partitionable vs. division of labor, expertise vs.
fungibility, task dependencies, uncertainties, risks, estimates,
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On-time On-cost On-quality On-specs User Experience Performance / NFRs Deliver Business Benefits …any many more !!!
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Success Category Measurable Success Criteria
Internal Project Objectives (Pre-completion)
• Meeting schedule • Within budget • Other resource constraints met
Benefit to Customer (Short term)
• Meeting functional performance • Meeting technical specifications & standards • Favorable impact on customer, customer's gain • Fulfilling customer's needs • Solving a customer's problem • Customer is using product • Customer expresses satisfaction
Direct Contribution (Medium term)
• Immediate business and/or commercial success • Immediate revenue and profits enhanced • Larger market share generated
Future Opportunity (Long term)
• Will create new opportunities for future • Will position customer competitively • Will create new market • Will assist in developing new technology • Has, or will, add capabilites and competencies
Project Focus
Full Benefits
Realization
Disaster Business Focus
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Com
ple
ted
On
-tim
e
/on
- bu
dge
t
Delivered Expected Benefits
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“Adding manpower to a late software project makes it later”, The Mythical Man-Month, 1975
“The number of months of a project depends upon its sequential constraints.”
“The maximum number of men depends upon the number of independent subtasks.”
“From these two quantities one can derive schedules using fewer men and more months. One cannot, however, get workable schedules using more men and fewer months. More software projects have gone awry for lack of calendar time than for all other causes combined.”
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How does a project get late by a
month ???
The most authoritative and comprehensive survey on IT project performance since last 15+ years
"This year's results show a marked decrease in project success rates, with 32% of all projects succeeding which are delivered on time, on budget, with required features and functions" says Jim Johnson, chairman of The Standish Group, "44% were challenged which are late, over budget, and/or with less than the required features and functions and 24% failed which are cancelled prior to completion or delivered and never used." "These numbers represent a downtick in the success rates from the previous study, as well as a significant increase in the number of failures", says Jim Crear, Standish Group CIO, "They are low point in the last five study periods. This year's results represent the highest failure rate in over a decade"
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Successful: deliver on-time, on-budget, with required features and functions
Challenged: late, overbudget, and/or with less then the required features and functions
Failed: cancelled prior to completion or delivered and never used
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2009 2006 2004 2002 2000 1998 1996 1994
Successful 32% 35% 29% 34% 28% 26% 27% 16%
Challenged 44% 19% 53% 15% 23% 28% 40% 31%
Failed 24% 46% 18% 51% 49% 46% 33% 53%
No Silver Bullet (NSB): there is no single development, in either technology or management technique, which by itself promises even one order-of-magnitude improvement within a decade in productivity, in reliability, in simplicity – Fred Brookes, 1986
High-level languages ? 4GL? OOP? Reuse? Offshoring? Rapid Prototyping? What next ?
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Many projects 25 years behind time Key Trends from 937 big projects (20+ Cr):
Schedule Overrun on projects has come down from 62% to 51% (considered insignificant) in the past 18 years
Cost Overrun has seen a huge dip. In May 1991, the cost overrun was more than 62%. By September 2009, it came down to 12%
Schedule Performance: 486 time overrun, 258 projects on schedule, only 17 are ahead of schedule delay ranges between 1 month and 324 months Worst-hit is the road transport and highways ministries - 162 out of 184
projects under these ministries are running behind schedule Cost Performance:
300+ projects account for a cost overrun of Rs 77,518 cr, 54%. Ministries-wise, the railways' cost overrun on projects is pegged at 82%
above original Report attributed the time and cost overruns to factors including
inadequate funding, geological surprises and changes in the scope of projects
1. Enthusiasm 2. Disillusionment 3. Panic 4. Search for the
Guilty 5. Punishment of
the Innocent 6. Praise and
Honors for the Non-Participants