project management unit V essay and DQ question

MBA 6961, Project Management 1

Course Learning Outcomes for Unit V Upon completion of this unit, students should be able to:

7. Apply critical chain project management to resolve project resource conflicts. 7.1 Identify the advantages and disadvantages of agile project management (APM) and extreme

project management (xPM). 7.2 Compare and contrast critical chain project management and program evaluation and review

technique (PERT). 7.3 Apply critical chain project scheduling to network reconfiguration.

Reading Assignment Chapter 11: Advanced Topics in Planning and Scheduling: Agile and Critical Chain, pp. 366–392

Unit Lesson Introduction As we have seen, the basic structure of projects is derived from the project plan. The detailed management of the project is usually developed during the initiation phases when management discusses and agrees on the approach and procedures. Projects vary in size and complexity, and these characteristics affect the delivery time, resource efficiency, and overall project deliverables. Project managers (PMs) must effectively apply project management methodologies to improve scheduling reliability and increase project throughput. A number of scheduling methodologies exist to manage and monitor projects. In this unit, we will discuss agile project management (agile PM), extreme project management (xPM), and critical chain project management (CCPM). Agile PM and xPM methodologies are a reaction to traditional approaches used during very complex software development efforts. Agile Project Management (Agile PM) The agile PM methodology presents a paradigm shift for managing highly-complex and time-sensitive development projects. Agile PM fits the new, post-industrial, information-based society, which requires adaptive, complex tactics to project planning methods. Pinto (2016) noted that the agile PM methodology “places a premium on flexibility and evolving customer requirements throughout the development process” (p. 369). When working on complex projects using the traditional approach, change is very difficult to implement and can be unmanageable. The agile PM methodology responds to these challenges with unique principles based on the experiences derived from change itself. Pinto (2016) emphasized that agile PM is based on user stories—not the project developer’s point of view. User stories are critical in agile PM, as they represent the “voice of the customer” (p. 372). Agile PM principles are summarized as shown below:

1. self-organization, interaction, and cooperation; 2. functioning solution, visible output; 3. user/customer collaboration; and 4. adapting to change.

UNIT V STUDY GUIDE

Scheduling Methodologies

MBA 6961, Project Management 2

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Extreme Project Management (xPM) xPM is part of the same family as the agile PM methodology. xPM is derived from extreme programming (XP). Pinto (2016) articulated that XP has an agile approach as it considers users’ stories as an important part of the methodology. Pinto (2016) noted that XP’s core principles include emphasis on simplicity, frequent reviews, testing early and frequently, and working normal business hours. xPM consists of four phases (phases 2-4 are cyclical):

1. Initiate: This focuses on the project’s boundaries and the establishment of project priorities. 2. Speculate: This concerns how to define the project’s structure and prioritize the requirements. 3. Incubate: Resources are assigned, and a cycle plan is established. 4. Review: This analyzes cycle results and defines approach for the next cycle if needed.

Critical Chain Project Management (CCPM) Throughout the history of project management, the approach to improve PM processes dealt with three major challenges: the problem, the solution, and implementation of the solution. CCPM is based on the theory of constraints (TOC) introduced by Eli Goldratt in 1984. Goldratt (1997) posited that, like a chain, in any complex process, a system could have its weakest link at any point in time, limiting the ability of the system to achieve its goal. For a system or process to achieve improvements and reach its goal, an organization must identify the constraint, or weakest link, and manage the system from a holistic perspective. CCPM is a methodology that adjusts the project schedule to account for constraints in the process (Project Management Institute [PMI], 2013). CCPM is a key element of schedule network analysis. It puts emphasis on minimizing uncertainty through productivity, predictability, and simplicity of scheduling. CCPM’s goal is to identify the activity path that allows the most efficient and effective use of resources coupled with timely completion.

Developing the Schedule Within a project schedule, noncritical tasks have lower priority. Pinto (2016) asserted that these lower-priority activities serve as project buffers, which are contingency reserves for individual activities. PMs add lower- priority tasks as buffers to significantly reduce the amount of time required to complete a project. Table 11.1 on page 381 in the textbook illustrates the activities based on the original estimated duration and the duration based on 50% probability. This approach is referred to as “shrinking the schedule.” The project buffers allow the PM to protect the entire project and the critical activities. The PM derives this calculation by taking the amount of time needed to complete activities in their totality and then working backwards.

CORE CONCEPTS

Critical Path vs. Critical Chain

 The critical path is the longest activity path in a project, but it does not consider the resources needed for each task along the path.

 The critical chain is the longest path through the project, considering tasks, dependencies, and

resource constraints along the path.

CORE CONCEPTS

CCPM uses statistics and risk management theory to reduce the planned schedule for completing a project (Pinto, 2016).

MBA 6961, Project Management 3

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The CCPM Culture The traditional approach to project execution and management does not align well with CCPM. The notion that “this is the way that we have always done things,” “get it done by any means necessary,” or that “late performers will be punished” is thinking that will create scheduling challenges in projects managed with a CCPM methodology. The use of CCPM requires a culture that is supportive and willing to accept the possibility that sometimes employees will fall short of achieving project goals. Remember that people have different attitudes toward structure and deadlines. As an example, judgement- type individuals prefer to follow schedules, meet set deadlines, and achieve closure, whereas perception-type individuals prefer to keep things open and flexible. Different individuals, cultures, and entire nations have unique attitudes about schedules.

References Goldratt, E. M. (1997). Critical chain. Great Barrington, MA: North River Press. Pinto, J. K. (2016). Project management: Achieving competitive advantage (4th ed.). Boston, MA: Pearson. Project Management Institute. (2013). A guide to the project management body of knowledge (5th ed.).

Newtown Square, PA: Author.