The Project Manifesto · project scheduling and manag ement. He has over twenty-five years experience developing process improvements in various fields. Rob is a frequent writer and

1© 2014 TOCICO. All rights reserved.

TOCICO 2014 Conference

Selling TOC through ValuesExplaining TOC through ValuesThe Project Manifesto

Presented By: Rob NewboldDate: June 9, 2014

Portions © 2014 by ProChain Solutions, Inc.



Human Nature and New Paradigms

• We think about technology first,• We ignore inconvenient conflicts,• And then we wonder why …

− People weren’t comfortable with the solution.− People didn’t implement it better.− It didn’t go farther or longer.



Technology First

• … blinds us to real issues. For example:Why do we create project buffers?

• … limits us. For example: “CCPM doesn’t work for research [R&D, engineering, New Product Development] projects because it is impossible to adequately size the buffers.”

Project BufferA time buffer placed at the end of a project to protect against variation in the time it takes to complete tasks on the critical chain.

- TOCICO Dictionary, 2nd Edition



Inconvenient Conflicts

% Project Complete100%

100%

50%

0%0%

% BufferUsed

A

B

1. Focus on red projects: project A.

Suppose the circle area is proportional to value per day. Now which project do you focus on?

2. Run the relay race on key tasks.3. Throughput is much more important than costs.4. Stop multitasking (or procrastinating or …)

50%



A Paradigm Shift …

• … challenges basic assumptions.

• … if practical, changes the answer to “How am I doing?”

• … creates conflicts within and between individuals, groups, and cultures until it is supplanted by (or supplants) the old.

• TOC (and CCPM) represent paradigm shifts. They create conflicts.

Key Question:How can we minimize the difficulties posed by these conflicts?



Basic Premise

• TOC includes some fundamental paradigm shifts.• TOC creates conflicts in organizations that implement it.• We will tend to talk about the shift, promote the new

technology, and ignore some basic conflicts.

People recognize that paradigm shifts create conflicts. By focusing on the technology, we limit the market. By ignoring the conflicts, we alienate it.



Agenda

Done: as far as possible in 1 ¼ hours, answer the following questions:

− How can we describe “what is critical chain” in a way that both goes beyond the technology, and helps people understand and address critical conflicts?

− How might we do the same thing for other parts of TOC?

General improvement problems2. Conflicts and traditional values for CCPM3. The CCPM solution

− New Values− Implementation elements

4. How might we do the same for TOC?



Major Conflicts Created by CCPM

1. I know I’m supposed to work to priorities, but good teamwork means I have to be responsive.

2. I know we’re trying to get stuff done quickly, but people keep giving me things to get started on. (And the sooner we start, the sooner we’ll finish.)

3. I know we want speed, but deadlines are the way you get anything done.

4. I know we have shared goals for the company, but first of all I need to hit my individual goals.



1. Be Responsive

• Lack of focus• Multitasking

−http://www.prochain.com/games/multitasking.html−http://www.youtube.com/watch?v=BvOHieaPgt4



2. Get Things Started (a)

• What is the impact of starting too many:− Books?− Home improvement projects?− Business improvement projects?

• http://www.prochain.com/games/projstarts.html• http://www.youtube.com/watch?v=zzErwIHEEDE



2. Get Things Started (b)

Andy Beth CarlaProject X:

You are the manager of Project X and your project plan is shown below. Each task requires 2 days of work, but you share resources with other projects.

Riddle: Which resource do you start with?

What might cause a 6-day project to take 12 days?



2. Get Things Started (c)


Multitasking caused both 6-day projects to take 12 days.

Andy Beth CarlaProject W:

How do we fix it?



2. Get Things Started (d)


Andy Beth CarlaProject W:

Delaying Project X by 2 days makes everything faster. The sooner you start, the later you finish.

Answer to the riddle: Project X should start with NO resource.



3. Hit the Deadlines

• Multitasking impact• Homeostasis• Real-life example



Task Owner

Safety Time

Deadlines Affect Behavior …



Wants more time Wants project earlier

Deadlines Are Often Negotiated …



4 weeks

Leading to Multitasking



Deadline Homeostasis

• There’s a big penalty if we deliver late.• We don’t deliver early because:

− Next time you negotiate for safety time, you will be given less. − If one thing looks early, other things will be more urgent.− I may get a chance to do a little more tweaking.− Sometimes people are upset when you deliver early. − Dates often replace unclear requirements.

• What’s wrong with this 2012 Standish Group picture?− 39% of projects successful (on time, on budget, with required scope)− 43% challenged (late, over budget, and/or reduced scope)− 18% failed (cancelled or delivered but never used)

Deadlines conflict with speed.

PushPush



4. Meet Individual Goals



The Answer: The Relay Race Paradigm

1. We value priorities over responsiveness.2. We value finishing over starting.3. We value speed over deadlines.4. We value shared goals over individual goals.

Based on the “Agile Manifesto” concept, www.agilemanifesto.org.



Values Drive the Need for Technology

• Priorities over responsiveness− Shared understanding of “done” and how to get there (team’s project plan)− Clear, credible, shared priorities (critical chain, focus durations)

• Finishing over starting− Staying on task− Full kitting− Project pacing (staggering)

• Speed over deadlines− “Landing zone” for delivery (buffers)− Conserve safety time (manage buffers, deliver asap)

• Shared goals over individual goals− Shared understanding (common plans and methodology)− Everyone paddling in the same direction (consistent goal and measurements)



Is It a Sufficient Description?

Paradigm: Relay Race1. We value priorities over responsiveness.2. We value finishing over starting.3. We value speed over deadlines.4. We value shared goals over individual goals.

• Does it match our intuition about CCPM?• Is technology subordinate?• Is it simple to understand and remember?



Relay Race Culture Change

• Agreement on the values• Consensus on work standards• Senior-level participation• Frequent communication

− “How’s it going?”− “What’s in it for me?”− Discussions/use cases

Work Standards1. Work to your priorities.2. Agree on global priorities, taking into account

relative value.3. Work tasks from start to finish, as quickly as

possible; then hand off the work.4. Create credible project schedules that include the

work of all functions.5. Each day, determine your top-priority task.6. Report honest status (days remaining) to the best

of your ability.7. Look for ways to improve focus. When working on

key tasks, minimize meetings; turn off email, instant messaging, and phones; find quiet places to work.

8. Don’t switch to lower-priority tasks; avoid asking and avoid agreeing.

9. Work as a team to share and recover buffer time.10.When in doubt, communicate. Both ways.



The “Normal” Project



Project Buffer

Commitment Date

Critical Chain Scheduling

Create credible relay-race schedules Eliminate the use of task due dates Take out safety time from tasks Add protection at the end and manage it Identify KEY tasks

Practice relay-race values Define, teach, and follow relay-race work standards Keep schedules up-to-date



Relay Race Summary

The Project Manifesto1. We value priorities over responsiveness.2. We value finishing over starting.3. We value speed over deadlines.4. We value shared goals over individual goals.

Relay Race PrioritiesRelay Race Culture Change• Agreement on the values• Consensus on work standards• Senior-level participation• Frequent communication

“How’s it going” “What’s in it for me?”Discussions/use cases

Relay RaceBenefits

Project Buffer



Creating a Relative Value

Objective: create a value that addresses a real, significant conflict between old and new paradigms.

1. Understand the context and what people value in it.2. Identify real conflicts created by the new paradigm: “Which

should I do, X or Y?”3. Verbalize the value: “We value X over Y. We value Y, but we

value X more.”4. Talk it through. Evaluate cases and examples.

− Does it make sense?− Is it valid?− Do we value Y, but value X more? What if Y subordinated to X?− Is it useful?



Value Examples: Which Are Valid?

• We value life over death.• We value cause and effect over correlation.• We value abstinence over drinking.• We value throughput over operating expenses.• We value what we believe over what we love.• We value win-win over compromise.• We value constraint production over non-constraint

production.• We value organizational productivity over individual

productivity.



Requirements to Describe a Paradigm Shift

• Select key values that describe conflicts created by the change.

− Individually, should be fairly distinct.

− Pick a few (3-4) that seem to cover the critical issues.

• Draw the CRT (showing the impact of old values). Note similarities and differences with 3-cloud approach.

• Address the conflicts in your implementation and communication planning.

Old ValueOld Value

Old Value

Old Value



Corporate Values

“IBMers value …• Dedication to every client’s success• Innovation that matters – for our company and for the world• Trust and personal responsibility in all our relationships”

Here’s a possible rewrite:• We value client success over company needs.• We value progress over expedience.• We value building trust over accepting trust.

http://www.ibm.com/ibm/values/us/



Recap

• Done:− How can we describe “what is critical chain” in a way that both

goes beyond the technology, and helps people understand and address the conflicts?

− How might we do the same thing for other parts of TOC?• Questions?



About Rob Newbold

Rob is CEO and founder of ProChain Solutions and one of the world’s leading experts on Critical Chain project scheduling and management. He has over twenty-five years experience developing process improvements in various fields. Rob is a frequent writer and speaker and holds degrees from Stanford University, SUNY Stony Brook, and Yale University. He is the author of the books The Project Manifesto and The Billion Dollar Solution (ProChain Press) and Project Management in the Fast Lane (St. Lucie Press), and is a contributing author to Theory of Constraints Handbook from McGraw-Hill.

ProChain Solutions, Inc. has been a leading provider of software, methodology, and implementation services for Critical Chain solutions since 1997.

Rob can be contacted at [email protected].

Documents

The Project Manifesto · project scheduling and manag ement. He has over twenty-five years experience developing process improvements in various fields. Rob is a frequent writer and