Project Scheduling & Time Management PDF

Chapter Three Project Scheduling It provides structure, organization, and clarity to the development process, ensuring that projects are completed efficiently and effectively. project scheduling in software engineering involves creating a timeline and assigning resources to various tasks and activi...

Chapter Three Project Scheduling It provides structure, organization, and clarity to the development process, ensuring that projects are completed efficiently and effectively. project scheduling in software engineering involves creating a timeline and assigning resources to various tasks and activities. It is the process of determining start and end dates for each task, estimating the effort required, and allocating resources accordingly. This allows software engineers to plan and execute projects systematically, facilitating better collaboration and coordination among team members. It also involves identifying dependencies between tasks, understanding the sequence in which activities should be performed, and allocating resources efficiently. It helps in visualizing the project’s progress and identifying any potential bottlenecks or challenges that may arise during development. Project schedule simply means a mechanism that is used to communicate and know about that tasks are needed and has to be done or performed and which organizational resources will be given or allocated to these tasks and in what time duration or time frame work is needed to be performed. Effective project scheduling leads to success of project, reduced cost, and increased customer satisfaction. Scheduling in project management means to list out activities, deliverables, and milestones within a project that are delivered. It contains more notes than your average weekly planner notes. The most common and important form of project schedule is Gantt chart. The role of project scheduling Project scheduling plays a vital role in software engineering. It helps in managing resources effectively, ensuring that they are allocated optimally to achieve project goals. By breaking down the project into smaller tasks and assigning time frames to each, project scheduling allows for better control and monitoring of progress. Furthermore, project scheduling in software engineering enables developers to identify critical paths and milestones within a project. It helps priorities tasks and activities, ensuring that the most critical elements are addressed first. This not only enhances project efficiency but also reduces the risk of delays and cost overruns. 1  Cont. Project Scheduling Problems arise during Project Development Stage : People may leave or remain absent during particular stage of development. Hardware may get failed while performing. Software resource that is required may not be available at present, etc. Advantages of Project Scheduling : There are several advantages provided by project schedule in project management: It simply ensures that everyone remains on same page as far as tasks get completed, dependencies, and deadlines. It helps in identifying issues early and concerns such as lack or unavailability of resources. It also helps to identify relationships and to monitor process. It provides effective budget management and risk mitigation. 2  Cont. Time Management Time management in project management is one of the most important components that helps project managers stay on time delivering projects. Time management is equal to success in today's world where no deadline is negotiable, and therefore inadequacies are almost impossible to gloss over. Failures and successes are equal to time management in these circumstances. 3  Cont. The seven main processes in project time management Plan schedule management: Many resources don’t mention this process when discussing time management. But, before you can complete the other steps, you need to plan how you will manage your schedule. Some questions you should answer are: What software or tool will you use? Who will be responsible for using the software? How often will the schedule be reviewed? What controls will be put in place to ensure everyone stays on schedule? Define activities: Once you have your time management plan, you can identify and define your project activities. Often a work breakdown structure (WBS) is used to help define activities and tasks within a project. Major milestones should also be determined. Sequence activities: Now that you know all of the tasks that must be completed, you can start sequencing them in the proper order with a network diagram. Estimate resources: In project management, the term ‘resources’ often refers to people. However, you also need to identify which tools, materials, systems, budget, and other resources you will need for each task to be completed. Estimate durations: Once you know which tasks must be completed and what you need to accomplish them, it’s time to estimate how long it will take to complete each activity. Some project managers use PERT (Program Evaluation Review Technique) to come up with their durations, especially if there’s a lot of unknown factors at play. Develop the project schedule: This can be done by inputting your activities, durations, start and end dates, sequencing, and relationships into a scheduling software. Control the schedule: Once your schedule is created, it needs to be monitored and controlled. Progress needs to be reviewed and updated on a regular basis so you can compare your actual work completed against the plan. This allows you to see if there are areas you’re falling behind schedule. 4  Cont. Sequencing and Scheduling Activity Sequencing and Scheduling Activities in Software Project Management are essential steps in planning and managing the project's timeline and tasks. Sequencing Activities: This involves determining the logical order in which tasks or activities need to be performed. The sequence is based on dependencies, where some tasks must be completed before others can start. Identifying these dependencies ensures that the project flows smoothly and that critical tasks are prioritized. For example, the design phase of a software project must occur before development can begin. Scheduling: After sequencing, scheduling involves assigning start and finish dates to each task, determining resource allocation, and estimating the time each task will take. Scheduling ensures that the project progresses on time, helping project managers track progress and make adjustments when necessary. 5  Cont. Project Network Diagrams A network diagram is a visual representation of project tasks and their dependencies, crucial in project management for planning and scheduling. It illustrates the flow of work, sequence of tasks, and relationships between them, aiding project managers in understanding project complexity and optimizing resource allocation. By providing a clear overview of the project structure, network diagrams facilitate effective communication, decision-making, and risk management throughout the project lifecycle. A project network is the interconnected framework of tasks and activities within a project, illustrating their sequence, dependencies, and interrelations. It visually demonstrates how various project components link together and contribute to achieving project goals. Project networks are typically portrayed through diagrams like PERT or CPM charts, aiding project managers in efficiently planning, scheduling, and overseeing project endeavors. Network diagrams help project managers: Sequence Tasks: They provide a clear understanding of the order in which tasks should be executed, ensuring that work progresses smoothly from one activity to the next. Identify Dependencies: By showing the relationships between tasks, network diagrams highlight dependencies—where the completion of one task depends on the start or completion of another. This helps in managing task dependencies effectively. Determine the Critical Path: The critical path is the longest sequence of tasks that determines the shortest possible duration of the project. By identifying the critical path, project managers can focus their efforts on managing and optimizing tasks along this path to ensure timely project completion. Estimate Project Duration: By analyzing the sequence of tasks and dependencies, project managers can estimate the overall duration of the project more accurately, taking into account potential delays and dependencies. Allocate Resources: Network diagrams help in resource allocation by providing insights into when and where resources are needed throughout the project lifecycle. 6  Cont. Project Schedule Network Diagram A project schedule network diagram depicts the chronological and logical relationships between tasks in a project scenario. This visualization is based on a clear depiction of the chronology of tasks and occurrences. A project network diagram is typically depicted as a chart with boxes and arrows. This network diagram tool is used to plan the project's schedule and work order, as well as follow its progress through each step, including completion. A network diagram is also effective in displaying the breadth of the project because it includes all of the large tasks that must be completed during the project. Nodes (Boxes): Nodes represent project activities or tasks. Each node contains information such as the activity name, duration, resources, and any other relevant details. Arrows (Lines): Arrows represent dependencies between activities. They show the logical sequence in which activities must be performed. The direction of the arrow indicates the flow of work. Relationships: There are four types of relationships between activities:  Finish-to-Start (FS): The successor activity cannot start until the predecessor activity finishes.  Start-to-Start (SS): The successor activity cannot start until the predecessor activity starts.  Finish-to-Finish (FF): The successor activity cannot finish until the predecessor activity finishes.  Start-to-Finish (SF): The successor activity cannot finish until the predecessor activity starts. Critical Path: The critical path is the longest sequence of dependent activities that determine the shortest possible duration for completing the project. Activities on the critical path have zero slack or float time, meaning any delay in these activities will directly impact the project's overall timeline. 7  Cont. Types of Project Network Diagrams In project management, there are two types of network diagrams: the arrow diagramming method (ADM), also known as "activity network diagram" or "activity on arrow"; and the precedence diagramming method (PDM), also known as "node network" or "activity on node." Arrow diagram method (ADM) The ADM, or activity network diagram, depicts project-related activities using arrows. It is crucial to note that, due to its limitations, the ADM is no longer commonly utilized in project management. However, understanding ADMs will help you recognize them if they appear in your workplace. In ADM: The tail of the arrow signifies the beginning of the action, while the head represents the end. The length of the arrow often represents the duration of the action. Each arrow connects two boxes, called "nodes." Nodes are used to indicate the beginning or end of an activity in a sequence. The initial node of an activity is sometimes referred to as the "i-node," whereas the last node of a sequence is sometimes referred to as the "j-node." The only relationship between nodes and activity that an ADM chart may indicate is "finish to start" (FS). 8  Cont. In some cases, ADM network diagrams require the inclusion of "dummy activities" to represent indirect relationships. For instance, if activity C can only start after both activities A and B are finished, but A and B are not directly related, a dummy activity is added between B and C to show this dependency. For example, if pouring concrete (activity A) and obtaining permits (activity B) are prerequisites for tiling a floor (activity C), a dummy activity would illustrate the connection between B and C. Additionally, ADM charts lack a built-in mechanism for incorporating lead and lag times without introducing new nodes and activities. Precedence diagram method (PDM) In contemporary project management, PDM network diagrams are commonly employed, offering a streamlined substitute for ADMs. In the Precedence Diagramming Method, each node signifies an activity, while arrows depict relationships between them. These arrows symbolize all four potential connections: "Finish to Start" (FS), "Start to Start" (SS), "Finish to Finish" (FF), and "Start to Finish" (SF). “Finish to Start” (FS): When an activity cannot start before another activity finishes “Start to Start” (SS): When two activities can start simultaneously “Finish to Finish” (FF): When two tasks need to finish together “Start to Finish” (SF): This is an uncommon dependency and is only used when one activity cannot finish until another activity starts 9  Cont. PDM allows you to write lead and lag times beside the arrows. If a given action will take 10 days to complete before the following activity can begin, for example, you may simply put "10 days" over the arrow expressing the relationship between the related nodes. Advantages of Network Diagram Network diagrams offer several advantages in project management: Visualization: They provide a clear visual representation of project tasks, dependencies, and critical path, making it easier for project teams to understand the project's structure and workflow. Sequence Planning: Network diagrams help project managers plan the sequence of tasks more effectively, ensuring that work progresses in the correct order and minimizing delays. Dependency Management: By highlighting task dependencies, network diagrams allow project managers to identify and manage dependencies more efficiently, ensuring that tasks are completed in the right sequence to avoid bottlenecks and conflicts. Critical Path Analysis: Network diagrams help identify the critical path—the longest sequence of tasks that determines the project's duration. This allows project managers to focus their efforts on managing and optimizing tasks along the critical path to ensure timely project completion. Resource Allocation: By analyzing task dependencies and durations, project managers can allocate resources more effectively, ensuring that resources are available when and where they are needed throughout the project. Risk Identification: Network diagrams help project managers identify potential risks and uncertainties by highlighting dependencies and critical path tasks. This allows project teams to proactively address risks and develop contingency plans to mitigate their impact on the project. Communication: Network diagrams serve as valuable communication tools, allowing project teams to communicate project plans, timelines, and dependencies effectively with stakeholders, clients, and team members. 10  Chapter Four Project Cost Management Cost management is the process of estimating, budgeting, and controlling project costs. The cost management process begins during the planning phase and continues throughout the duration of the project as managers continuously review, monitor, and adjust expenditures to ensure the project doesn't go over the approved budget. Project cost management is the process of estimating, budgeting and controlling costs throughout the project life cycle, with the objective of keeping expenditures within the approved budget. For a project to be considered a success, it’s necessary that  it delivers on the requirements and scope  its execution quality is of a high standard  it’s completed within schedule and  it’s completed within budget. Project Cost Management Important The importance of cost management is easy to understand. To take a simple, real-life example, if you decide to build a house, the first thing to do is set the budget. When you have a sense of how much to spend on the project, the next step is to divide the high-level budget into expenses for sub-tasks and smaller line items. By implementing efficient cost management practices, project managers can: Set clear expectations with stakeholders Control scope creep by leveraging transparencies established with the customer Track progress and respond with corrective action at a quick pace Maintain expected margin, increase ROI, and avoid losing money on the project 11 Generate data to benchmark for future projects and track long-term cost trends  Cont. The Four Steps in Project Cost Management 1. Project Resource Planning Resource planning is the process of identifying the resources required to execute a project and take it to completion. Examples of resources are people (such as employees and contractors) and equipment (such as infrastructure, large construction vehicles and other specialized equipment in limited supply). Resource planning is done at the beginning of a project, before any actual work begins. To get started, project managers first need to have the work-breakdown structure (WBS) ready. They need to look at each subtask in the WBS and ask how many people, with what kind of skills are needed to finish this task, and what sort of equipment or material is required to finish this task? By adopting this task-level approach, it becomes possible for project managers to create an accurate and complete inventory of all resources, which is then fed as an input into the next step of estimating costs. The very first step in any cost management process is resource planning, which is when the cost manager reviews the project's scope and specs to figure out what resources the project will require. A resource is anything that helps you complete a project—including tools, money, time, equipment, and even team members. To create the most accurate resource plan possible, consult directly with team leads and stakeholders about what resources they will need during the project. People with hands-on experience in each project department will have a better understanding of what resources will be required. For this step, you'll need:  Clearly defined project objectives  A high-level project roadmap or a work breakdown structure (WBS), depending on the complexity of the project  A tentative resource management plan  A project scope statement 12  Cont. The Four Steps in Project Cost Management 2. Cost Estimation Once you have a list of necessary resources, the next step is to estimate what it will cost to procure them. The key to this step is to gather as much pricing information as possible so that you can make informed cost estimates. For tangible resources like tools, supplies, and equipment, get real price quotes from sellers to inform your cost estimate. Cost estimation is the process of quantifying the costs associated with all the resources required to execute the project. To perform cost calculations, we need the following information:  Resource requirements (output from the previous step)  Price of each resource (e.g., staffing cost per hour, vendor hiring costs, server procurement costs, material rates per unit, etc.)  Duration that each resource is required  List of assumptions  Potential risks  Past project costs and industry benchmarks, if any  Insight into the company’s financial health and reporting structures In the estimation stage, you'll need:  Project schedule or a PERT chart, depending on the complexity of the project  A list of your project deliverables  Clearly defined success metrics 13  Cont. The Four Steps in Project Cost Management 3. Cost Budgeting Cost budgeting can be viewed as part of estimation or as its own separate process. Budgeting is the process of allocating costs to a certain chunk of the project, such as individual tasks or modules, for a specific time period. Budgets include contingency reserves allocated to manage unexpected costs. Now that you have general estimates for your project needs and resource requirements, you can begin to work on your project budget. Your project budget is a detailed plan of how much you plan to spend during the project, for what, and by when. Depending on the complexity of your project, the “when” may significantly influence your cost management strategy. For multi-year projects, you may want to specify cost allocations so that no more than 30% of your budget should be spent in the first year, etc. This can prevent cost overruns later down the road. In this stage, you'll need:  A project budget document  A project stakeholder analysis 4. Cost Control Cost control is the process of measuring cost variances from the baseline and taking appropriate action, such as increasing the budget allocated or reducing the scope of work, to correct that gap. Cost control is a continuous process done throughout the project lifecycle. The emphasis here is as much on timely and clear reporting as measuring. The bulk of the cost management process is made up of cost control. This is the process of recording and accounting costs as the project progresses, making adjustments, and alerting stakeholders to problems when they occur. The goal of the cost control step is to compare actual project costs with original budgets and estimates and take steps to make sure the project stays as close to plan as possible. 14 Cont. 15  Cont. project cost management methods One of the most persistent challenges faced by teams across various industries is controlling and preventing budget overruns. These overruns not only strain financial resources but can also lead to compromised project quality, delayed timelines, and even project failure. Effective cost management is the key to tackling this challenge because it makes certain that projects are delivered within their allocated budgets while maintaining high standards of quality and efficiency. Top-down estimating Top-down estimating is a method where the overall project cost is estimated first, and then individual costs are deduced from this total. This approach is beneficial in the early stages of project planning, when detailed information is not yet available. It gives a quick and rough idea of how much the project will cost. For example, in a new software development project, the project manager might estimate the total project cost at $200,000 based on previous similar projects. This total cost is then broken down into smaller segments like design, coding, testing, and deployment, each allocated a portion of the total budget. This method is effective for providing a preliminary cost framework and guiding early project decision-making. Bottom-up estimating Bottom-up estimating is the reverse of the top-down approach. It involves estimating individual tasks or components of the project first and then adding them up to get the total project cost. This estimation method is more accurate and reliable, especially for projects with a well- defined scope, as it considers detailed cost information. Consider a construction project where each part of the project, such as foundation laying, framing, plumbing, and electrical work, is estimated individually based on detailed analysis. After estimating all these components, the costs are summed up to determine the overall project budget. Bottom-up estimating is ideal for teams that need precise control over each aspect of the project's costs. 16  Cont. Earned value management (EVM) Earned value management (EVM) is a sophisticated approach to cost management that combines measurements of project performance in terms of scope, schedule, and cost. EVM provides a comprehensive view of the project's progress and its alignment with the original project planning. For instance, in a large infrastructure project, EVM would be used to track the following:  Budgeted cost of work scheduled (BCWS)  Actual cost of work performed (ACWP)  Budgeted cost of work performed (BCWP) By comparing these figures, project managers can gauge the project's cost performance and take corrective action if necessary. Earned value management (EVM) is one of the most popular approaches to measuring cost performance. Let’s take an example. At the end of a week, you measure the progress of task X and find that it’s 25% complete. Now, how do you assess if you are on track to meet the task budget? First, a project manager calculates the planned value for this task (at the planning stage). Let’s say, Task X has a budget of $4000 and is expected to be 50% complete by the week. Planned value (PV) of task X by the week = $4000 *.5 = $2000 Earned value (EV) of task X by the week = $4000 *.25 = $1000 Now, you also determine the actual cost (AC) of the work, which involves other variables such as equipment and material costs (say, $800). Schedule variance = EV – PV = $1000 – $2000 = -$1000. Cost variance = EV – AC = $1000 – $800 = $200. The negative schedule variance indicates that the task is falling behind, but the positive cost variance indicates that it’s under budget. 17