Lecture week 4 Flashcards
(15 cards)
Success factor: strategy
- different project strategies
- rapid start. Creating & maintaining momentum
VS - detailed preperation, high front-end loading
Resource constrained, limit the costs
VS
Time constrained, limit the throughput time
Risk allocation, owner risk vs contractor risk
VS
Shared risk, building alliance
Success factor: strategy
- project approach
- process approach
Project: analyze, plan, act
Process: do, experience, embrace
Make them come together
Success factor: strategy
- Purpose project approach
- Show principal that it’s gonna be managed properly
- Create focus for sub projects
- Facilitate structured start of sub projects
- Make sure project leader understands role
- Give project office the elementary tools to control the project
Success factor: strategy
- Purpose process approach
- Let people discover their own rational for change
- Connect with the person instead of the official
- Focus on interaction patters instead of believes
- Action creates energy, reflection doesn’t
- Pride is a powerful effect
Focus on interaction patterns
- different interaction patterns
Content “that’s a poor sollution”
Procedure “We’ll get back to that later”
Process “You don’t hear what I say”
Relation “You are not helping me at all”
Success factor: Power of control
- essential tools for control
Project governance
Planning and scheduling
Cost control
Risk control
Succes factor: control
- Project governance
- Make sure the decisions are co-ordinated timely by the right people
Problem:
in large, complex projects many different parties (stakeholders) continuously make decisions which affect the course & progress of the project.’
Some of them are not formally bound by the (same) contract underlying the project. Co-ordinating & synchronizing all of these decisions can become quite cumbersome.
Succes factor: control: Planning and scheduling
Organize and control the operational work such that throughput time is optimal
Problem
People (or parties) prefer to plan their activities independent of others.
But activities in a project are not independent of each other.
If the dependencies between activities are not taken into account, then the throughput time of the project may be 2x or 3x the optimal throughput time.
Succes factor: control: Planning and scheduling
Task interdepencies
Pooled interdepence
- interdependence: all sit together can’t get out (e.g. all in the car on your way to vacation)
Sequential interdependence
- interdependence: In a production line one is dependent on the one before.
- Can be a competitive advantage
Reciprocal interdependence
- Only in projects
- All things have to be put together therefore all things are interdepend
Succes factor: control
- Cost control
Systematically use prior experience & specialist know-how to provide reliable cost estimates
Problem
Due to extra work & re-works costs will fluctuate all the time, until the project is finished.
If costs go out of control, business cases threatened
How to improve precision and reliability of costs estimates
Succes factor: control
- Cost control => cost estimates increased reliability
Stepwise increasement of precision and reliability.
Start with a very broad proposal, then narrow it down through budget estimate, functional estimate, detailed estimate, tender estimate, and finally execution estimate
Succes factor: risk management
identify risks before they occur, have a plan to mitigate them & make sure that the plan is executed
Problem:
soooo many risks, people cannot deal with it objectively and rationally with that many risks. Hindsight bias, Preference for the existing situation, Illusion of transparency, Naieve correlation and Group think are some of the psychological phenomena involved. These are the ManMade risks. They cannot be insured.
Succes factor: risk management
- Elementary steps
- identify source of risk
- determine impact of individual risks
- asses overall impact of risks
- determine how risks can be reduced
- Control the identified risks
Succes factor: risk management
- likelyhood vs impact
9 grid: likelyhood & impact: low medium high
- High risk = Medium & high, and above
- Low risk = Medium & low, and under
- medium risk….
Succes factor: risk management
- Risk management strategies
Initial risk: go with this through the following steps
- Avoid
- Reduce the impact
- Limit (immediate measures to be prepared)
- Transfer
- Retain
- Remaining risk
