Project 2

Module 5 Progress and Performance Measurement

Week 10

PROJ6003 – PROJECT EXECUTION AND CONTROL

Dr Ibrahim Abdallah [email protected]

Learning Facilitator

Master of Global Project Management

Today’s Schedule

Module 5 – What we’ll cover

Why Monitor & Control project work?

What is progress and performance evaluation

Types of evaluation

Measuring project progress

Analysis and Causes of project variances

Project Status Reporting

Analysis presentation

Assessment 3 overview

What we’ll cover in this Module

▪ Tools, templates and processes for monitoring project progress and

performance.

▪ Types of reporting tools.

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Why do you think this is important? What’s the purpose of doing that?

• This is the process of tracking, reviewing, and reporting the overall progress to

meet the performance objectives defined in the Project Management Plan.

Monitor & Control Project Work

This process allows

stakeholders to

understand the current

state of the project, to

recognise the actions taken

to address any performance

issues, and to have visibility

into the future project status

with cost and schedule

forecasts.

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• How are we progressing with our planned

activities and outputs?

What are we looking at?

• How are we addressing project variances?

• Is there any variance between plan and

implementation?

Progress Monitoring

Project Evaluation

Project Control

• Are we achieving the project’s goals?

• Are we delivering expected outcomes?

• As we are monitoring the progress and performance of our projects, we need

project evaluation to make value judgement about a project to determine its

effectiveness of achieving its outcomes and, ultimately organisation’s

goals.

• We need to be able to measure both the effectiveness of our project, if the

project is being run as intended and if it is reaching the intended audience.

• Many types of evaluation exist, consequently evaluation methods need to be

customised according to what is being evaluated and the purpose of the

evaluation.

• It is important to understand the different types of evaluation that can be

conducted over a program/project lifecycle and when they should be used.

Progress and Performance Evaluation

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Summative Evaluation

• Definition: To determine the results, outcomes, accountability, or achievement of objectives in relation to the resources deployed and its initial intentions. Provides information on program/project effectiveness.

• Use: Move forward or not. Used towards the end of a project/phase/milestone.

• Focus on presenting Final report - End-of-project or Post project report

Formative Evaluation

• Definition: It is referred as development evaluation or implementation evaluation. Looking at how the project is being executed.

• Use: Make early improvements. Provide feedback to guide changes.

• Focus on understanding and learning through various short reports

Most Common Types of Evaluation

(Thomas, 2015)

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Classifications of Evaluation:

(Thomas, 2015)

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Components

(quality) Goods, services

(the result)

Individual contribution Compliance

Result against criteria

Methods, systems,

sequences

• Component Evaluation – an assessment of each aspect of the project and the sum of the whole consisting of a report on the merit (relative quality based on criteria) of each item. Components include each of the five PM process groups and the ten PM knowledge areas.

• Outcome Evaluation – asks if a project has met its goal. It is to establish the impacts of the project and measure changes in outcomes of the project. It is concerned with the long term effects of the project. Consequently, outcome evaluation measures how well the project’s goal has been achieved.

• Impact Evaluation – It is, perhaps, better defined as longer-term and deeper outcomes than the Outcome Evaluation. It evaluates the project after a period of time after its completion to determine the extent of outcomes realised and to determine if the sustainability of what we expected with the project was real, and to what extent.

Project Evaluation

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• A crucial part of the project control process is the accurate measurement of

the progress of the work. Without it, it would be impossible to calculate the

status of the project accurately. Analysing progress and its monetary value is

part of the tracking process and occurs while monitoring the execution of work.

Measuring Project Progress

Measuring Project Performance:

• Units completed

• Incremental milestone

• Start/finish

• Cost ratio

• Experience/opinion

• Weighted/equivalent units

• Earned Value

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Your Favourite…Earned Value Management Planned value

Earned value

Actual cost

Schedule variance

Cost variance

Schedule Performance

Index = EV/PV

Cost Performance Index

= EV/AC

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• What project data are collected for analysis and reporting?

• The current status of the project in terms of schedule and cost

• The cost of project completion

• The date of project completion

• Potential problems in the project

• The causes for cost and/or schedule overruns

• Return on the dollars spent

• Forecast of the overrun at completion

Analysing and Reporting Variances in Schedule and Cost

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Poorly defined scope during the buyout phase that can often add to vendor costs as the work packages are executed

Incorrect distribution of dollars to cost accounts in the budgeting phase

Unrealistic or overly aggressive target budgets at completion (BAC)

Excessive front loading of costs

Performing work out of sequence

Scope creep due to the rejection of change order requests

Causes of Cost Variances Excessive use of premium wages with little or no benefit to the schedule

Crew sizes too small or too large for the task resulting in inefficient use of resources

Hastily or partially purchased materials resulting in premium costs

Frequent delays of crews from inadequate material stores on-site

Insufficient/incorrect tools or equipment for the task

Excessive handling, freight, and storage costs

Changes in labour rate, benefits, or labour burden

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Continual or excessive interruptions to production forces

Lack of provisions for adequate and clear direction to workforce

Rework due to inadequate supervision

Provision of material stores not adequate to prevent interruption in production

Use of overtime when there is no tangible benefit to the schedule

Unforeseen latent conditions resulting in a work stoppage

Improper equipment or tools for the task

Causes of Schedule Variances

Crew size not appropriate for the task

Delays due to equipment breakdown

Performing work out of sequence

Late start of a critical task

Incorrect linkage of a critical task to a noncritical task

Loss of continuity due to change in supervision

Change in crew composition (tradesmen vs apprentices)

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The Project Control Cycle

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1. Plan to Achieve Goals

2. Execute Work According to Plan

3. Monitor the progress of the Plan

4. Measure the Progress of the

Plan

5. Identify Variations from the

Plan

6. Analyse Cause of the Variations

7. Implement Corrective Actions

8. Execute the Work after the Corrective

Actions

9. Measure Changes to the Progress

▪ Work performance reports are the primary output of Monitor & Control

Project Work process.

▪ It’s where work performance data and work performance information gathered

and analysed throughout the project are documented and reported to the

stakeholders.

▪ Work performance reports may range from simple status reports to highly

detailed reports.

▪ The information contained in these reports is used at status/review meetings

or in meetings with the project sponsor to generate action, make decisions,

or to simply inform progress.

▪ Work performance reports are considered a subset of project documents and

should be shared and distributed according to the communications plan.

Performance Reports

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Typical reports are prepared and circulated in projects

Class Discussion

What would be your understanding of the following reports?

What do you think is the type of information they present? And format?

Current period reports

Cumulative Reports

Summary reports

Exception report

Spotlight reports

Variance report

Dashboard report

Common Project Status Reports

Current Period Reports

Cumulative Reports

Summary Reports

Exception Reports

• Covers only the most recently completed period.

• Highlight activities completed and variances

• Doesn’t show all progress of the project – limited information

• Contains the history of the project from the beginning to the end of the current

report period (it accumulates all information).

• Show trend in project progress – more informative, but dense and extensive,

which might not suit all kinds of stakeholders

• Indicates deviations from the plan: major issues, risks, mishaps that could

interrupt the project delivery

• Designed for senior management to read and interpret quickly – for merit

special consideration.

• A one-page, high-level summary report – detailed attachment is allowed.

• Highlights and briefly describes the status of the project – one page

• Overview of scope, cost, time variances including data and analysis

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Common Project Status Reports Cont’d

Stoplight Reports

Variance Report

Dashboard Reports

Heat Reports

• Colour-indicated report – green, yellow/amber and red status.

• Gives quick glance about health of the project and can be used with others.

• Rules for allocating colours may be inconsistent and misunderstood.

• Quickly points out differences between what was planned and what actually

happened – matters that need attention and correction.

• Can be in a numeric or graphical representation format.

• Catch deviations from the curve early, reduce fluctuations, allow early corrective

action, determine weekly schedule variance, determine weekly effort (person

hours/day) variance.

• Displays all information in one page layout (or one screen/snapshot).

• Allows the PM to stay on top of multiple aspects and view them together.

• Facilitates tracking issues or bugs and interrelations as all info is compiled.

• Also uses colour as data visualisation tool (with different palettes)

• It shows where, how and when stakeholders will be affected by a change

• Rich insights, complement other tools as the Stoplight report, visual approach

and instant overview of key performance parameters

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Example of EVM Used in Project Status Report

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Example of Earned Value Analysis Report

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S-Curves

They show the progress of work

over time and form a historical

record of project trends and

variations. It shows quick

information about the project

status, progress and

performance.

When progress, measured in

dollars or labour-hours, is

plotted against time, results in a

S-curve that can be used to

visually demonstrate progress or

performance for a variety of

tasks or the project as a whole

(E.g EVM).

Analysis Presentations

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S-Curve Example

Analysis Presentations Cont’d

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Tracking Gantt Chart

Tracking Gantt charts compare actual

start and finish times to baselines for

individual tasks.

In an easy-to-follow visual format,

the baseline for the task is identified as

a bar with start and finish dates defined

on the timescale.

Updates to the baseline are shown in

bar style beneath the task with

actual start and finish dates.

The different bars are illustrated in

contrasting colours or infill patterns to

avoid confusion.

Analysis Presentations Cont’d

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Tracking Gantt Chart

Example from MS Project:

• Grey bar is the baseline

• Blue bar non critical

tasks – the actual

progress (task position:

right is behind schedule,

left started earlier)

• Red bar - critical tasks

Analysis Presentations Cont’d

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Control Charts

The chart is used to plot the difference

between the scheduled time on the

critical path at the report date with the

actual point on the critical path.

Control chart trends are very useful for

giving warning of potential problems

so appropriate action can be taken if

necessary.

The disadvantage to the control chart is

its lack of detail. There is insufficient

data to determine anything other than a

positive or negative position at that date.

Analysis Presentations Cont’d

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Burndown Charts

The Burn-down chart shows the estimated

effort remaining on the project. As more

work is completed, the progress indicator

will move downwards.

Burnup Charts

Burn-up charts shows what has been accomplished

so far. As more work is completed, the progress

indicator will move upward and meet estimations.

Analysis Presentations in Agile Projects

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Assessments Overview

Assessments Timeframes

Assessment Task Overview Weight Due Date

Assessment 1 – Change Management Plan

Integrated Change Report (Individual Assessment) 40% End of Module 3

(Week 6)

Assessment 2 – Risk and Communication Management

Risk Management Report (Group Assessment) 40% First Half of Module 5

(Week 9)

Assessment 3 – Project Status Reporting

Module 4-5 Discussion Forum (Individual Assessment) 20% First Half of Module 6

(Week 11)

Total for Subject: 100%

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You will use it for all your Assessments…

PROJ6003_Assessment Case Study_The Case of IV Pumps in a Health Care Centre

Case Study

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Assessment 3

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Assessment 3 – Task Summary

In this assessment, you will further analyse the case study that was introduced in Assessments 1

and 2. You will participate in the discussion with your classmates demonstrating your

understanding of Project Status reporting by:

• Identifying effective project status reports and discussing their challenges and pitfalls,

• Explaining the difference between the status reports provided for teams, sponsors, and

steering committee considering their unique needs,

• As well as creating and justifying a sample of a status report that would be submitted to a

chosen stakeholder of the project from the given case study.

This assessment allows you to practice professional communication with peers, either face-to-

face or virtually.

Note: At the discretion of the Learning Facilitator, this assessment can be delivered in

class as a presentation/discussion, using recordings or writing directly on the discussion

forum. This might require to initiate the task ahead of the submission deadline and will be

communicate by the Learning Facilitator.

Please refer to the Task Instructions for details on how to complete this task.

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Assessment 3 – Key Requirements

This assessment can be delivered via a presentation in class (Option 1) or as a discussion on

Blackboard (Option 2), to be advised by the Learning Facilitator based on the group/class

size.

To complete this assessment task, you must:

PART 1

Prepare a script/essay for the main post/presentation to be submitted on the discussion forum

of 850 words (+/-10%) containing:

a) Identify, at least 3, effective status reports used in project management.

b) Discuss challenges and pitfalls of these status reports.

c) Explain the difference between the status reports provided for teams, sponsors, and

steering committee considering their unique needs.

d) Create and justify a sample of a project status report that would be submitted to a

chosen stakeholder of the project from the given case study.

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Assessment 3 – Key Requirements Cont’d

PART 2

OPTION 1 – Discussion in class – Presentation & Responses

If presenting in class (F2F/Virtual/Online):

You will, then, present your script and respond to at least one (1) other classmate in class.

OPTION 2 – Discussion in writing or as recording on Blackboard – Presentation & Responses

If submitting on the discussion forum – recording/written post (F2F/Virtual/Online):

You will, then, present your script and respond to at least one (1) other classmate on the

discussion forum directly, either in writing or as a recording, as instructed by the Learning

Facilitator.

Please refer to the Task Instructions for details on how to complete this task.

The Learning Facilitator will advise well in advance which will be the option for your

class.

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Submission Instructions

In submitting the written portion of your Assessment 3, you will use the Assessment link in the

main navigation menu in PROJ6003 – Project Execution and Control.

The link will take you to the discussion forum where you will select the existing thread created

by the Learning Facilitator and reply to the first post by the Learning Facilitator and write

directly on the forum (do not attach files).

The Learning Facilitator will provide feedback via the Grade Centre in the LMS portal.

Feedback can be viewed in My Grades.

If submitting recording/pictures:

If your submission includes items (illustrations, recordings), you may attached them by clicked

to add content and selecting to insert local files, click ‘Browse Your Computer’ to attach your

extra files.

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Checking your Originality Report

Any Questions or Concerns?

PROJ6003 – PROJECT EXECUTION AND CONTROL

Don’t forget!

I’m here to facilitate your journey, the rest is up to you!

But, when in need, don’t hesitate to contact me via the

Ask the Facilitator Forum or at [email protected]

.