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Proj Cost & Schedule Control

Week 7: Project Management Communication and Information Systems - Lecture

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Project Management Communication and Information Systems

Project Management Communication | Project Monitoring, Reporting, and Control | Documentation | Project Management Information Systems Project Management Communication Plan to Control A structured approach to planning and control will enable project participants to know: what is expected of them; their required performance; the reports they must generate. Project Communication Plan Communication is another important part of the planning process. The communication plan is used to identify who, what, when, and how the project manager and team will keep the stakeholders advised of what is happening. Without a solid communication plan, there is a strong chance that there will be a vital communication breakdown that could jeopardize the success of the project. Creating the Communication Plan The plan starts with the project scope so that it supports the project objectives. The project team should be a part of the planning as with other parts of the project plan. Stakeholders who are to receive the communications should also be asked about their communication requirements and expectations. Who? Identify the target audience. There will be several and they fall into different categories, including the customer, the executives, the project team, the functional managers, and other stakeholders. A tool for identifying the stakeholders is a stakeholder interface map, which graphically depicts all the key interfaces where communication is required during the project. We will need to know the requirements of each of the stakeholders. What? What is the message that we are to deliver? Tailor it to the audience. You can refer to the stakeholder requirements to fine-tune the content. How? We need to let people know how they will receive the communication. Again, it will be tailored to the receiver. E-mail may be great for some but not all. There will be times and groups that will require face-toface contact. When? The timing and frequency of the communications should be defined. Monthly progress reports may be fine as long as the recipients don't expect them weekly. This does not have to be complex. It can take the form of a matrix similar to a risk matrix for easy reference. Just don't forget that it is needed. Project Monitoring, Reporting, and Control
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Proj Cost & Schedule Control

Project Reporting and Control a. Established during project planning b. Provides accurate and relevant information c. Timing based on availability of information Effective control means controlling the time, cost, quality, scope, and team at the right time and reacting according to measurable, verifiable results based on actual performance and measured against planned performance. Not every deviation requires taking a corrective action; only those deviations exceeding predetermined thresholds should generate corrective actions. The corrective action should be embedded in a new plan for the remaining work on the project. It is essential for effective project control that performance is measured while there is still time to take corrective action. Planning of Control Areas In order to put the proper focus on our control process we should plan for the areas, timing, and frequency of the control; control owner; and a description of the control process/mechanism. A table like the one below is a good planning and communication tool for this control information. Scope What is to be controlled? Scope changes Time Time slippage Cost Cost slippage Performance Process, specifications Team Moral, motivation, understand goals, roles Periodic, event driven

When to control it? Who is the control task owner? How to perform the control task ?

Event driven, periodic CCB meetings

Periodically

Periodically

Event driven, process driven

----------- Assign a task owner to the control tasks ---------------------

Define a scope management process

Earned value

Earned value

Define quality assurance and control procedures

Interviews, audits, team meetings

Examples of Planning and Control Documents

Planning documents Contract Resource forecast Resource availability Activity schedule Cash flow forecast Procurement schedule Cost/Schedule

Control Documents Change requests Timesheets Revised manpower histogram Progress report Actual cash flow Major material received Earned value (plan versus
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Proj Cost & Schedule Control

actual) Procedures for Monitoring Progress Procedures must be established to gather and evaluate key project information 1. 2. 3. 4. 5. 6. 7. Update period length and communicate to project personnel. Gather information from project participants. Accumulate data. Analyze results. Distribute information. Prepare to answer questions; gather additional information. If necessary, insist on more frequent reviews, communications, meetings, and so on.

Progress Activities
a. b. c. d.

Incorporate formal phase or milestone reviews as part of project plan. Encourage functional areas to address variances early, outside of regular meetings and reports. Require objective feedback on progress regularly. Communicate status with customer, project team, and functional areas.

Variance (Comparative Evaluation) Reporting

1. Exceptions reporting 2. Earned value

Status Reporting and Escalation of Issues Control Devices

a. Schedule milestones, CPM, summary reports, Gantt charts, and earned value b. Cost earned value, productivity, bid estimates/budgets, contract provisions, and change pricing c. Quality design documents, code and local requirements, testing and inspection, industry standards, and

punch list Documentation Importance of Documentation What are the three main purposes of documentation, including reports? Click to view answer Usable documents are: layered good documentation starts out by outlining content and purpose and develops detail as it progresses. If you don't do this the rest of the remaining steps are irrelevant. formatted presentation should be professional and simple. accessible distribution should be liberal. direct good documents cut to the chase. current good documents are up-to-date, or updated prior to release. Authoritative documents are: comprehensive detail is geared to the user. version control is a must. adhere to procedures where applicable, organizational procedures must be followed.

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Project Management Information Systems The PMIS forms the heart of communications for the project, and the efficency of communications will determine if projects are ultimately successful. Thus, the project manager must design a communications system which considers the needs of all stakeholders, provides adequate monitoring input to the project team, and sufficient directional capabilities for control efforts. In addition to communicating the project plan and receiving input on project performance, change control and escalation procedures must be included to ensure decision-makers have the necessary information to make informed decisions. Part of the communications plan must include measures to safeguard proprietary and sensitive information from access. The PMIS is usually supported by a software system. It can be as simple as using spreadsheets and a word processor to monitor, evaluate, and report. Project management software is available that will handle the details of the project much more effectively. On the basic end is MS Project, which will store and manipulate the data and create reports and graphs; however, it provides minimum integration with other company software, such as the accounting system. There are more capable systems with higher levels of integration. Many enterprise resource planning systems now have built-in project modules which tie projects to the rest of the company's systems. Whatever the system, it must be used if it is to provide the information a project manager needs to monitor, control, and, as we have discussed here, communicate with the stakeholders.

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