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    Chapter 6:Project Time Management

    Information TechnologyProject Management,Fifth Edition

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    Importance of Project Schedules

    Managers often cite delivering projects on time asone of their biggest challengesTime has the least amount of flexibility; it passesno matter what happens on a projectSchedule issues are the main reason for conflictson projects, especially during the second half ofprojects

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    Individual Work Styles and CulturalDifferences Cause Schedule Conflicts

    One dimension of the Meyers-Briggs TypeIndicator focuses on peoples attitudes towardstructure and deadlineJudgment type people prefer to follow schedules,meet deadlines and have closure. Perceptiontypes prefer to keep things open and flexible;

    deadlines are a signal to start rather than tocomplete a projectDifferent cultures and even entire countries havedifferent attitudes about schedules

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    Media Snapshot

    In contrast to the 2002 Salt Lake City Winter OlympicGames, planning and scheduling was very different for the2004 Summer Olympic Games held in Athens, GreeceMany articles were written before the opening ceremonies

    predicting that the facilities would not be ready in timeMany people were pleasantly surprised by the amazingopening ceremonies, beautiful new buildings, and state-of-the-art security and transportation systems in Athens

    The Greeks even made fun of critics by having constructionworkers pretend to still be working as the ceremoniesbegan

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    Project Time Management ProcessesActivity definition : identifying the specific activities/tasksthat the project team members and stakeholders mustperform to produce the project deliverablesActivity sequencing : identifying and documenting therelationships between project activitiesActivity resource estimating : estimating how manyresources a project team should use to perform projectactivitiesActivity duration estimating : estimating the number ofwork periods that are needed to complete individualactivitiesSchedule development : analyzing activity sequences,activity resource estimates, and activity duration estimatesto create the project scheduleSchedule control : controlling and managing changes tothe project schedule

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    Project Time Management Summary

    Project Time Management 6

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    Activity Definition

    Project schedules grow out of the basicdocuments that initiate a projectProject charter includes start and end dates andbudget information

    Scope statement and WBS help define what will bedone

    Activity definition involves developing a moredetailed WBS and supporting explanations tounderstand all the work to be done so you candevelop realistic cost and duration estimates

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    Activity Definition

    The basis for creating a project schedule isderived from four project time managementprocesses

    Activity definition further defining the scope

    Activity sequencing further defining the time Activity resource and activity duration (furtherdefining the time and cost)

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    Activity Lists and Attributes

    An activity list is a tabulation of activities to beincluded on a project schedule that includes:

    The activity name An activity identifier or number A brief description of the activity

    Activity attributes provide more informationsuch as predecessors, successors, logical

    relationships, leads and lags, resourcerequirements, constraints, imposed dates, andassumptions related to the activity

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    Milestones A milestone is a significant event that normallyhas no duration

    Not every deliverable or output created for a projectis a milestone

    It often takes several activities and a lot of workto complete a milestoneTheyre useful tools for setting schedule goalsand monitoring progressExamples include obtaining customer sign-off onkey documents or completion of specific productssuch as software modules or the installation ofnew hardware

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    Activity Sequencing

    After defining project activities, the next step isactivity sequencingInvolves reviewing the activity list and attributes,project scope statement, milestone list andapproved change requests to determine therelationships between activities

    A dependency or relationship is thesequencing of project activities or tasksYou must determine dependencies in order touse critical path analysis

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    Three Types of DependenciesMandatory dependencies : inherent in the natureof the work being performed on a project,sometimes referred to as hard logicDiscretionary dependencies : defined by theproject team; sometimes referred to as soft logicand should be used with care since they may limitlater scheduling options

    Dont start detailed design work until users sign -offon all the analysis good practice but can delay

    projectExternal dependencies : involve relationshipsbetween project and non-project activities

    Delivery of new hardware; if delayed can impact

    project schedule13 Project Time Management

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    Network Diagrams

    Network diagrams are the preferred technique forshowing activity sequencing

    A network diagram is a schematic display of thelogical relationships among, or sequencing of,project activitiesTwo main formats are the arrow and precedencediagramming methods

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    Sample Activity-on-Arrow (AOA)Network Diagram for Project X

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    Arrow Diagramming Method (ADM)

    Also called activity-on-arrow (AOA) networkdiagrams

    Activities are represented by arrows

    Nodes or circles are the starting and endingpoints of activitiesCan only show finish-to-start dependenciesCan omit activities that have no dependencies

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    Process for Creating AOA Diagrams1. Find all of the activities that start at node 1: Draw their

    finish nodes and draw arrows between node 1 and thosefinish nodes; put the activity letter or name and durationestimate on the associated arrow

    2. Continue drawing the network diagram, working from leftto right: Look for bursts and merges

    Bursts occur when a single node is followed by two or moreactivities

    A merge occurs when two or more nodes precede a single node

    3. Continue drawing the project network diagram until allactivities are included on the diagram that havedependencies

    4. As a rule of thumb, all arrowheads should face toward theright, and no arrows should cross on an AOA network

    diagram17 Project Time Management

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    Precedence Diagramming Method (PDM)

    More popular than ADM method and used byproject management software

    Activities are represented by boxes Arrows show relationships between activitiesBetter at showing different types of dependencies

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    Task Dependency Types

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    Sample PDM Network Diagram

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    Activity Resource EstimatingBefore estimating activity durations, you must have

    a good idea of the quantity and type of resourcesthat will be assigned to each activityConsider important issues in estimating resources

    How difficult will it be to do specific activities on thisproject?What is the organizations history in doing similaractivities?

    Are the required resources available or need to be

    acquired? A resource breakdown structure is a hierarchicalstructure that identifies the projects resources bycategory and type

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    Activity Duration Estimating

    Duration includes the actual amount of timeworked on an activity plus elapsed timeEffort is the number of workdays or work hoursrequired to complete a taskEffort does not normally equal durationPeople doing the work should help createestimates, and an expert should review them

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    Three-Point Estimates

    Instead of providing activity estimates as adiscrete number, such as four weeks, its oftenhelpful to create a three-point estimate

    An estimate that includes an optimistic, most likely,and pessimistic estimate, such as three weeks forthe optimistic, four weeks for the most likely, andfive weeks for the pessimistic estimate

    Three-point estimates are needed for PERT andMonte Carlo simulations

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    Schedule DevelopmentUses results of the other time managementprocesses to determine the start and end date of theprojectUltimate goal is to create a realistic project schedule

    that provides a basis for monitoring project progressfor the time dimension of the projectO/P: Project Schedule , Schedule model data,schedule baseline, requested changes and updatesto activity attributes, project calendar and projectmanagement planImportant tools and techniques include Gantt charts,critical path analysis, critical chain scheduling, andPERT analysis

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    Gantt Charts

    Gantt charts provide a standard format fordisplaying project schedule information by listingproject activities and their corresponding startand finish dates in a calendar format

    Symbols include:Black diamonds: milestonesThick black bars: summary tasksLighter horizontal bars: durations of tasks

    Arrows: dependencies between tasks

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    Figure 6-5: Gantt Chart for Project X

    Note: Darker bars would be red in Project 2007 to represent critical tasks

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    Adding Milestones to Gantt Charts

    Many people like to focus on meeting milestones,especially for large projectsMilestones emphasize important events oraccomplishments on projectsNormally create milestone by entering tasks witha zero duration, or you can mark any task as amilestone

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    SMART Criteria

    Milestones should be:SpecificMeasurableAssignableRealisticTime-framed

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    Best Practice

    Schedule risk is inherent in the development ofcomplex systemsLuc Richard, the founder of

    www.projectmangler.com, suggests that projectmanagers can reduce schedule risk throughproject milestones, a best practice that involvesidentifying and tracking significant points or

    achievements in the project

    Project Time Management 30

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    The five key points of using project milestonesinclude the following:1. Define milestones early in the project and include

    them in the Gantt chart to provide a visual guide2. Keep milestones small and frequent3. Each milestone must be binary, meaning it is

    either complete or incomplete5. Carefully monitor the critical path

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    Best Practice (continued)

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    Sample Tracking Gantt Chart

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    Sample Tracking Gantt Chart

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    Baseline dates : Planned schedule dates are called baseline dates

    Schedule baseline : Approved planned schedule called schedulebaseline

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    Critical Path Method (CPM)

    CPM is a network diagramming technique usedto predict total project duration A critical path for a project is the series ofactivities that determines the earliest time by

    which the project can be completedThe critical path is the longest path through thenetwork diagram and has the least amount of slack or float

    Slack or float is the amount of time an activitymay be delayed without delaying a succeedingactivity or the project finish date

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    Calculating the Critical Path

    First develop a good network diagram Add the duration estimates for all activities oneach path through the network diagramThe longest path is the critical pathIf one or more of the activities on the critical pathtakes longer than planned, the whole projectschedule will slip unless the project manager

    takes corrective action

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    Determining the Critical Path for Project X

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    More on the Critical Path A project team at Apple computer put a stuffedgorilla on the top of the cubicle of the personcurrently managing a critical taskThe critical path is not the one with all the criticalactivities; it only accounts for time

    Remember the example of grow ing g rass being onthe critical path for Disneys Animal Kingdom

    There can be more than one critical path if thelengths of two or more paths are the sameThe critical path can change as the projectprogresses

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    Using Critical Path Analysis toMake Schedule Trade-offs

    Free slack or free float is the amount of time anactivity can be delayed without delaying the earlystart of any immediately following activities

    (Early Start Date means earliest possible time an activity can start)Total slack or total float is the amount of time anactivity may be delayed from its early start withoutdelaying the planned project finish date

    A forward pass through the network diagramdetermines the early start and finish dates

    A backward pass determines the late start and

    finish dates38 Project Time Management

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    Calculating Early and Late Startand Finish Dates

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    d l l Sl k f

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    Free and Total Float or Slack forProject X

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    How to Find the Critical PathGeneral Foundrys network with expected activity times

    A 2 C 2

    H 2E 4

    B 3 D 4 G 5

    F 3

    Start Finish

    Figure 13.3

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    How to Find the Critical PathTo find the critical path, need to determine the following quantities foreach activity in the network

    1. Earliest start time (ES ): the earliest time an activity can begin withoutviolation of immediate predecessor requirements

    2. Earliest finish time (EF ): the earliest time at which an activity can end3. Latest start time (LS ): the latest time an activity can begin without

    delaying the entire project4. Latest finish time (LF ): the latest time an activity can end without

    delaying the entire project

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    How to Find the Critical PathIn the nodes, the activity time and the early and late start andfinish times are represented in the following manner

    ACTIVITY t ES EFLS LF

    Earliest times are computed as

    Earliest finish time = Earliest start time+ Expected activity time

    EF = ES + t

    Earliest start = Largest of the earliest finish times of immediate predecessors

    ES = Largest EF of immediate predecessors

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    How to Find the Critical Path At the start of the project we set the time to zeroThus ES = 0 for both A and B

    Start

    A t = 2ES = 0 EF = 0 + 2 = 2

    B t = 3ES = 0 EF = 0 + 3 = 3

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    How to Find the Critical PathGeneral Foundrys ES and EF times

    A 20 2

    C 22 4

    H 213 15

    E 44 8

    B 30 3

    D 43 7

    G 58 13

    F 34 7

    Start Finish

    Figure 13.4

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    How to Find the Critical PathLatest times are computed as

    Latest start time = Latest finish time Expected activity time

    LS = LF t

    Latest finish time = Smallest of latest start timesfor following activities

    LF = Smallest LS of following activities

    For activity H

    LS = LF t = 15 2 = 13 weeks

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    How to Find the Critical PathGeneral Foundrys LS and LF times

    A 20 20 2

    C 22 42 4

    H 213 1513 15

    E 44 84 8

    B 30 31 4

    D 43 74 8

    G 58 138 13

    F 34 7

    10 13

    Start Finish

    Figure 13.5

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    How to Find the Critical PathOnce ES, LS, EF, and LF have been determined, it is a simplematter to find the amount of slack time that each activity has

    Slack = LS ES, or Slack = LF EF

    From Table 13.3 we see activities A , C , E , G , and H have no slacktimeThese are called critical activities and they are said to be on thecritical path

    The total project completion time is 15 weeksIndustrial managers call this a boundary timetable

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    How to Find the Critical PathGeneral Foundrys schedule and slack times

    ACTIVITY

    EARLIESTSTART,ES

    EARLIESTFINISH,EF

    LATESTSTART,LS

    LATESTFINISH,LF

    SLACK,LS ES

    ON CRITICALPATH?

    A 0 2 0 2 0 Yes

    B 0 3 1 4 1 No

    C 2 4 2 4 0 Yes

    D 3 7 4 8 1 No

    E 4 8 4 8 0 Yes

    F 4 7 10 13 6 No

    G 8 13 8 13 0 Yes

    H 13 15 13 15 0 Yes

    Table 13.3

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    Using the Critical Path

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    Using the Critical Pathto Shorten a Project Schedule

    Three main techniques for shortening schedulesShortening durations of critical activities/tasks byadding more resources or changing their scopeCrashing activities by obtaining the greatest amountof schedule compression for the least incrementalcost

    A 2 week task with one person working 50% could beshortened to 1 week if the person is assigned 100% -no increase in costOr, a temporary worker could be hired to work inparallel with the other worker to speed up the task (ata cost)

    51

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    Project CrashingProjects will sometimes have deadlines that are impossible tomeet using normal proceduresBy using exceptional methods it may be possible to finish theproject in less time than normally required

    However, this usually increases the cost of the projectReducing a projects completion time is called crashing

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    Project CrashingCrashing a project starts with using the normal time to createthe critical pathThe normal cost is the cost for completing the activity usingnormal proceduresIf the project will not meet the required deadline, extraordinarymeasures must be takenThe crash time is the shortest possible activity time and willrequire additional resourcesThe crash cost is the price of completing the activity in theearlier-than-normal time

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    Four Steps to Project Crashing1. Find the normal critical path and identify the critical activities2. Compute the crash cost per week (or other time period) for all

    activities in the network using the formula

    Crash cost/Time period = Crash cost Normal costNormal time Crash time

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    Four Steps to Project Crashing3. Select the activity on the critical path with the smallest

    crash cost per week and crash this activity to themaximum extent possible or to the point at which yourdesired deadline has been reached

    4. Check to be sure that the critical path you were crashingis still critical. If the critical path is still the longest paththrough the network, return to step 3. If not, find the newcritical path and return to step 2.

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    General Foundry ExampleGeneral Foundry has been given 14 weeks instead of 16weeks to install the new equipmentThe critical path for the project is 15 weeksWhat options do they have?The normal and crash times and costs are shown in Table13.9Crash costs are assumed to be linear and Figure 13.11shows the crash cost for activity BCrashing activity A will shorten the completion time to 14but it creates a second critical path B,D,G,H because whenyou recalculate the LF and LS times for B and D they nowmatch the EF and ES

    Any further crashing must be done to both critical paths

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    General Foundry ExampleNormal and crash data for General Foundry

    ACTIVITY

    TIME (WEEKS) COST ($)CRASH COSTPER WEEK ($)

    CRITICALPATH?NORMAL CRASH NORMAL CRASH

    A 2 1 22,000 23,000 1,000 Yes

    B 3 1 30,000 34,000 2,000 NoC 2 1 26,000 27,000 1,000 Yes

    D 4 3 48,000 49,000 1,000 No

    E 4 2 56,000 58,000 1,000 Yes

    F 3 2 30,000 30,500 500 No

    G 5 2 80,000 86,000 2,000 Yes

    H 2 1 16,000 19,000 3,000 Yes

    Table 13.9

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    Using the Critical Path

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    Using the Critical Pathto Shorten a Project Schedule

    Fast tracking activities by doing them in parallel oroverlapping them instead of doing them in sequence

    Instead of waiting for all analysis to be completedbefore starting coding, some coding could begin for

    those tasks that have been fully analyzedDrawback starting a task too soon could lengthenthe project because other tasks whose analysis hasnot been completed could impact this task and cause

    rework

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    Importance of Updating

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    Importance of UpdatingCritical Path Data

    It is important to update project scheduleinformation to meet time goals for a projectThe critical path may change as you enter actual

    start and finish datesIf you know the project completion date will slip,be proactive and negotiate with the projectsponsor and stakeholders

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    C iti l Ch i S h d li g

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    Critical Chain SchedulingCritical chain scheduling

    A method of scheduling that considers limited resourceswhen creating a project schedule and includes buffers toprotect the project completion date

    Based on the Theory of Constraints (TOC) A management philosophy developed by EliyahuGoldratt

    Like a chain with its weakest link, any complex system at anypoint in time often has only one aspect or constraint that limitsits ability to achieve more of its goalFor the system to attain any significant improvements, thatconstraint must be identified and the whole system must bemanaged with it in mind

    For example, two tasks originally scheduled to be done inparallel, require the same resource 100% of the time. CCSacknowledges that either one of the tasks must be delayedor a similar resource must be found in order to keep to theoriginal schedule

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    Critical Chain Scheduling Attempts to minimize multitasking

    When a resource works on more than one task at a timepeople are assigned to multiple tasks within the same project ordifferent tasks on multiple projects

    Someone assigned to three tasks, tries to please

    everyone and works a little on each task and then goesback to finish the first oneThis can actually delay the completion of tasks as compared toworking on each task in sequenceMultitasking also often involves wasted setup time, whichincreases total duration

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    Multitasking Example

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    Critical Chain Scheduling

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    Critical Chain SchedulingCritical Chain Project Management (CCPM), developedby Eliyahu M. Goldratt, is a method of planning and

    managing projects that puts more emphasis on theresources required to execute project tasks.This is in contrast to the more traditional Critical Pathand PERT methods, which emphasize task order andrigid scheduling.

    A Critical Chain project network will tend to keep theresources levelly loaded, but will require them to beflexible in their start times and to quickly switch betweentasks and task chains to keep the whole project onschedule.

    Typically, CCPM case studies report 95% on-time and on-budget completion when CCPM is applied correctly.

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    Buffers and Critical ChainIn traditional estimates, people often adda buffer to each task and use it if itsneeded or not

    A buffer is additional time to complete a

    taskThis time is added to when there ismultitasking, interruptions, fear thatestimates will be reduced and Murphys

    LawMurphys Law states that if something cango wrong, it will

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    Buffers and Critical ChainCritical chain scheduling removes buffers from individual

    tasks and instead creates: A project buffer or additional time added before theprojects due dateFeeding buffers or additional time added before tasks onthe critical path that are preceded by non-critical-path tasks

    The tasks estimates in critical chain scheduling shouldbe shorter than traditional estimates because they donot include their own buffers

    Not having tasks buffers should mean less occurrence of Parkinsons Law - work expands to fill the time allowedFeeding and project buffers protect the date that reallyneeds to be met the project completion date

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    Example of Critical Chain Scheduling

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    Program Evaluation and Review

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    gTechnique (PERT)

    PERT is a network analysis technique used toestimate project duration when there is a highdegree of uncertainty about the individual activityduration estimatesPERT uses probabilistic time estimates

    Duration estimates based on using optimistic, mostlikely, and pessimistic estimates of activity durations,or a three-point estimatePERT attempts to address the risk associated withduration estimates by developing schedules that aremore realistic

    It involves more work than CPM since it requires severalduration estimates

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    PERT Formula and ExamplePERT weighted average =

    optimistic time + 4X most likely time + pessimistic time6

    Example:

    PERT weighted average =8 workdays + 4 X 10 workdays + 24 workdays = 12 days6

    where optimistic time= 8 days,

    most likely time = 10 days , andpessimistic time = 24 days

    Therefore, youd use 12 days on the network diagraminstead of 10 when using PERT for the above example

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    Schedule Control

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    Schedule ControlPerform reality checks on schedules

    Allow for contingenciesDont plan for everyone to work at 100%capacity all the time

    Hold progress meetings with stakeholdersand be clear and honest in communicatingschedule issues

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    S h d l C l ( i d)

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    Schedule Control (continued)Goals are to know the status of the schedule,

    influence factors that cause schedule changes,determine that the schedule has changed, andmanage changes when they occur Tools and techniques include:

    Progress reports A schedule change control systemProject management software, including schedulecomparison charts like the tracking Gantt chart

    Variance analysis, such as analyzing float or slackPerformance management, such as earned value(chapter 7)

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    Working with People IssuesStrong leadership helps projects succeed morethan good PERT chartsProject managers should use:

    EmpowermentIncentivesDisciplineNegotiation

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    h h

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    What Went Right?Chris Higgins used the discipline he learned in the U.S.

    Army to transform project management into a culturalforce at Bank of America; he used the same approach hedid for packing tents when he led an interstate bankinginitiative

    He made the team members analyze, plan, and documentrequirements for the system in such detail that it took sixmonths just to complete that phaseHowever, because of his discipline with time management

    and planning, the software developers on the teamfinished all of the coding in only three months, and theproject was completed on time*

    *Melymuke, Kathleen, Spit and Polish, ComputerWorld (February 16, 1998).

    Project Time Management 74

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    Words of Caution on Using

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    Words of Caution on UsingProject Management Software

    Many people misuse project managementsoftware because they dont understandimportant concepts and have not had training

    You must enter dependencies to have datesadjust automatically and to determine the criticalpathYou must enter actual schedule information tocompare planned and actual progress

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    E l f C iti l Ch i S h d li g

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    Example of Critical Chain Scheduling

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    Critical Path = Task1+Task2+Task3+Lag+ Task6 =5+4+2+1+8 = 21 Days.

    Example of Critical Chain Scheduling

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    Example of Critical Chain Scheduling

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    Critical Path = Task1+Task2+Task3+Lag+ Task6 =5+4+2+1+8 = 21 Days.

    Example of Critical Chain Scheduling

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    Example of Critical Chain Scheduling

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    Remove safety time and reduce tasks durations by 50%.

    Project Duration = Task1+Task2+Task3+ Task6 = 3+2+1+4 = 10 Days.Note: All safety time durations are removed. For example 1 day lag after Task 2 and4 days after Task5 are removed. All tasks durations are reduced to half (50%). For example Task 1 is 3 Daysinstead of 6 days.

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    Example of Critical Chain Scheduling

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    Example of Critical Chain Scheduling

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    Add Project Buffer of 50% of the tasks duration and add Feeder buffer to non critical chain.Project Duration = Task1+Task2+Task5+ Task6 + PB = 3+2+2+4+5 = 16 Days.Note: Project Buffer (PB) = 50% of Project Duration (11 Days) = 5.5 Days = 5 Days (Rounded). Feeder Buffer (FB) for non critical tasks on chain. For example Task 4 is added 2 days FB.

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    Comparison of CPM and CCPM results

    According to the results we found above, projectduration by CPM traditional approach is 21 daysand the project duration for the same amount ofwork by using CCPM is 16 Days.Using CCPM:

    Project Duration can be reduced by 25-40%.Resources can be utilized effectively.Project is fully focused on both critical and non criticaltasks