Project Management: Program and Portfolio Information Systems course (written essay)
PPMP 20012
Program & Portfolio Information Systems
Lecture 3 for Week 3
Dr. Ronny Veljanovski, BSc, PhD, GradCertTEd, CertIVFMB, PMP
Discipline Leader for Project Management,
School of Engineering & Technology
Higher Education Division
CQUniversity Melbourne
Topics
• Topic for the week is:
– “Assess the relevance of systems engineering to
project cases”
• Lecture
– Overview
– Tasks
– Week 3
2
Week 2 - Topic: Identify different systems thinking tools and techniques to
aid project managers solve project problems
• SEBoK http://www.sebokwiki.org
– Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems Fundamentals';
– Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems Science';
– Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems Thinking';
– Part 2: Foundations of Systems Engineering - 'Knowledge Area: Representing Systems with
Models';
– Part 6: Related Disciplines - 'Knowledge Area: Systems Engineering and Industrial
Engineering';
– Part 6: Related Disciplines - 'Knowledge Area: Systems Engineering and Specialty
Engineering';
– Part 7: Systems Engineering Implementation Examples: How Lack of Information Sharing
Jeopardized the NASA/ESA Cassini/Huygens Mission to Saturn;
– Part 7: Systems Engineering Implementation Examples: Project Management Case Study;
• Kerzner (2013) Chapters 17.12-17.17;
• AS/NZS 15288:2015 Chapter 5;
3
PPMP20012
Program & Portfolio Information Systems
THE 3RD WEEK’S READINGS
SEBoK Readings – Foundations of System Engineering
• Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems
Fundamentals';
• Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems Science';
• Part 2: Foundations of Systems Engineering - 'Knowledge Area: Systems Thinking';
• Part 2: Foundations of Systems Engineering - 'Knowledge Area: Representing
Systems with Models';
• Part 6: Related Disciplines - 'Knowledge Area: Systems Engineering and Industrial
Engineering';
• Part 6: Related Disciplines - 'Knowledge Area: Systems Engineering and Specialty
Engineering';
• Part 7: Systems Engineering Implementation Examples: How Lack of Information
Sharing Jeopardized the NASA/ESA Cassini/Huygens Mission to Saturn;
• Part 7: Systems Engineering Implementation Examples: Project Management Case
Study;
SEBoK – Part 2 - What is a System?
SEBoK – Part 2 - What is a System? • System classifications, e.g:
– Structures
– Controls
– Humans
– Social, e.g. families
• Engineered Systems Classifications
– Created, used and sustained to achieve a purpose, mission, goal
– Driven by stakeholders
– Hardware, software, human, services etc
– Have a life cycle
• Enterprise and Enterprise Systems
• Products and Product Systems
• Services and Service Systems
• Systems of Systems & Capability
– A system contains elements which can be considered independent (systems)
– The combination of enterprise, service and product systems provide a capability
greater than any individual enterprise
SEBoK – Part 2 – System Complexity
• Structural Complexity – Looks at the system elements and relationships.
– How many different ways system elements can be combined?
– Can the system adapt to external needs?
• Dynamic Complexity – Considers the complexity which can be observed when systems are used to perform
particular tasks in an environment
– The ways in which systems interact in the short term is directly related to system behaviour
– The longer term effects of using systems in an environment is related to system evolution
• Socio-political Complexity – The effect of individuals or groups of people on complexity.
– People-related complexity:
• Multiple stakeholder viewpoints, social or cultural biases add to the wider influences on a system
context
• Irrational behaviour of an individual or the swarm behaviour, unpredicted and can be counterproductive
• Relationships and interactions of people
SEBoK – Part 2 – Systems Science
SEBoK – Part 2 – Systems Thinking
SEBoK – Part 2 – Concepts of Systems Thinking
• Wholeness and Interaction
• Regularity
• State and Behaviour
• Survival Behaviour
• Goal Seeking Behaviour
• Control Behaviour
• Function
• Hierarchy, Emergence and Complexity
• Effectiveness, Adaptation and Learning
SEBoK – Part 2 – Representing Systems with models
• What is a model? (some definitions in SEBoK):
– a physical, mathematical, or otherwise logical representation of a
system, entity, phenomenon, or process (DoD 1998);
– a representation of one or more concepts that may be realised in
the physical world (Friedenthal, Moore, and Steiner 2009);
– a simplified representation of a system at some particular point
in time or space intended to promote understanding of the real
system (Bellinger 2004);
– an abstraction of a system, aimed at understanding,
communicating, explaining, or designing aspects of interest of
that system (Dori 2002);
SEBoK – Part 2 – Representing Systems with models
• The modelling of systems and simulations during the
early stages of the system design of complex systems
and architectures can:
– document system functions and requirements
– assess the mission performance
– estimate costs
– evaluate trade-offs
– provide insights to improve performance, reduce risk, and
manage costs
• Modelling serves to make concepts concrete and formal,
enhance quality, productivity, documentation, and
innovation, as well as to reduce the cost and risk of
systems development
SEBoK – Part 2 – Representing Systems with models
• Modelling examples
– Integrated Circuit Simulation (e.g. microchip)
– 3D computer aided models for mechanical engineering (e.g.
Engine)
– Software design and architecture models (e.g. app development)
– Flight simulation for pilot training
• Modelling can complement actual testing and verification
• Organisations can use models and simulations to obtain
greater predictability of their projects and programs as
well as model alternatives
SEBoK – Part 2 – Representing Systems with models
SEBoK – Part 7 Case Studies (read)
• Complex Adaptive Project Management
– http://sebokwiki.org/wiki/Complex_Adaptive_Project_
Management_System_Case_Study
• NASA’s mission to Saturn
– http://sebokwiki.org/wiki/How_Lack_of_Information_S
haring_Jeopardized_the_NASA/ESA_Cassini/Huygen
s_Mission_to_Saturn
AS/NZS 15288:2015
• Chapter 5 – Key Concepts and application of this International Standard
– 5.1 Introduction
– 5.2 System Concepts
– 5.3 Organisation and Project Concepts
– 5.4 Life Cycle Concepts
– 5.5 Process Concepts
– 5.6 Processes in this standard
– 5.7 Process Application
– 5.8 Process reference model
15288:2015 - 5.2 System Concepts
• Systems: man-made, created and utilised to provide products or services in defined environments for the benefit of users and other stakeholders – Hardware
– Software
– Data
– Humans
– Processes
– Procedures
– Facilities
– Materials
– Etc.
Source: ANZ/NZS ISO/IEC/IEEE 15288:2015
15288:2015 - 5.2 System Concepts
• A stakeholder’s system-of-interest can be a system element in another stakeholder’s system-of-interest – defined boundaries encapsulate meaningful needs and practical
solutions;
– there is a hierarchical or other relationship between system elements;
– an entity at any level in the system-of-interest can be viewed as a system;
– a system comprises an integrated, defined set of subordinate system elements;
– humans can be viewed as both users external to a system and as system elements (i.e., operators) within a system;
– a system can be viewed in isolation as an entity, i.e. a product; or as a collection of functions capable of interacting with its surrounding environment, i.e., a set of services.
Source: ANZ/NZS ISO/IEC/IEEE 15288:2015
15288:2015 - 5.2 System Concepts
Source: ANZ/NZS ISO/IEC/IEEE 15288:2015
15288:2015 - 5.2 System Concepts
Source: ANZ/NZS ISO/IEC/IEEE 15288:2015
15288:2015 - 5.2 System Concepts S
o u rc
e : A
N Z
/N Z
S IS
O /IE
C /IE
E E
1 5 2 8 8 :2
0 1 5
15288:2015 - 5.6 Processes in this standard
Source: ANZ/NZS ISO/IEC/IEEE 15288:2015
Systems and PPPM
• Why should organisations think in terms of
systems?
• How is it relevant to PPPM?
Kerzner (2013): 17.12 – 17.17
• Chapter 17 – Risk Management
17.1 – Plan Risk Responses
17.13 – Monitor & Control Risks
…
…
17.17 – The Impact of Risk Handling Measures
Future Risks
Customer’s Knowledge
Experienced
Inexperienced
Simple Complex
Contract Type
Source: Kerzner 2013
How Much Risk Is Acceptable?
• High tolerance for risk
• Medium tolerance for risk
• Low tolerance for risk
Source: Kerzner 2013
R&D
Manufacturing
Marketing
Time
Low Risk
Degrees of Downstream Risk
Source: Kerzner 2013
R&D
Manufacturing
Marketing
Information Exchange
Time
Moderate Risk
Degrees of Downstream Risk
Source: Kerzner 2013
R&D
Manufacturing
Marketing
Time
High Risk
Degrees of Downstream Risk
Source: Kerzner 2013
Prioritization of Risks
Schedule Cost Technical
Performance or Quality
First (Highest) Priority
Second Priority
Third Priority
Source: Kerzner 2013
Risk Controls S
c h
e d
u le
L e n
g th
Risk Controls
Appropriate
Too Long
Low High
Too Many Risk Management
Filters and Gates
No Risk Plan
Source: Kerzner 2013
Risk Control Measures In
te n
s it
y o
f C
o n
tr o
ls
Risk Intensity
Standard Controls
High
Range of Controls
Low
Low
Extreme
Source: Kerzner 2013
P ro
je c t
P ro
c e d
u ra
l D
o c u
m e n
ta ti
o n
Guidelines High Low
Tolerance for Risk
Rigid Policies/
Procedures
Assumption
Reduction
Transfer
Avoidance
Which Method to Use?
Source: Kerzner 2013
The Risk-Reward Matrix
Low High
Reward
Medium
Risk
High
Low
Medium
Source: Kerzner 2013
Specification Limit On Characteristic B
Interacting Risks
P ro
d u
c t
F e a tu
re A
Product Feature B
Desirable
Undesirable
Undesirable Desirable
Source: Kerzner 2013
Poor Risk Management
Risk Planning
Technical Inability
P e rf
o rm
a n
c e
Time Source: Kerzner 2013
Week 3 - Topic: Assess the relevance of systems
engineering to project cases.
• Reflection:
– What is systems engineering?
– Why would an organisation use systems engineering?
– Who in an organisation would use systems engineering?
– What is the relevance to project management?
– What is the relevance to portfolio management?
– What is the relevance to the project cases?
– Is there anything that will explain these reflections using
the Project-based Work Flow?
• How will you write these reflections in the Portfolio
for Week 3?
38
Summary
• Topic for the week is:
– “Assess the relevance of systems engineering to
project cases”
• Lecture
– Overview
– Tasks
– Week 3
39
SEBoK – Part 7 Case Studies (read)
• Complex Adaptive Project Management
– http://sebokwiki.org/wiki/Complex_Adaptive_Project_
Management_System_Case_Study
• NASA’s mission to Saturn
– http://sebokwiki.org/wiki/How_Lack_of_Information_S
haring_Jeopardized_the_NASA/ESA_Cassini/Huygen
s_Mission_to_Saturn