Information Systems Project Management
What is the significance of risk events to a project manager? Why do project stakeholders lose interest in project risk after the project is underway? (150 words)
Within the perspective of a manager, a risk -as defined by Larson & Gray (2011)-, comprises an indeterminate situation leading to either positive or negative repercussions on the project’s most sensible aspects (cost, quality and schedule). For example, the Project Manager in a leading web development software company, may have to adjust the allocated resources if the deadline is changed by surprise, or if the computers on the creative department go out of service due to a virus and data is corrupted.
Thus, having the leading role in the plot, the project manager must implement a wide range of techniques to minimize the negative outcomes that would otherwise jeopardize the project’s integrity. These include (as stated by the authors) four steps: the identification, assessment, response development and response control of risks.
Larson & Gray (2011) stated that slack (also interchangeably understood as float), defines how long an activity may be postponed before it must start without delaying the chain of process it belongs to (or “becomes critical”). It’s the mathematical difference between how late and how early can the activity start. So clearly, having a greater amount of slack, gives the project manager more flexibility over unexpected events, but it also allows room for smart decision making that may even save time: to give an example, a better allocation of resources could potentially reduce the amount required for a more urgent activity.
Why is it essential for a PM to know the difference between tasks on the critical path and ‘critical’ tasks? (150 words)
It’s clear by the definition of Larson & Gray (2011) that a critical path is the longest one, so if an activity within this path is behind, the whole project -not only this particular path-, will be delayed, as there’s no slack room for these activities. There may be activities outside of the original critical path that are also critical, if they don’t have any slack. Identifying which tasks are “critical” is possible through the creation of a Project Network, which shows the timed consumed by each one of the activities and how they are related.
Nonetheless, Williams (2008) has brought a different focus, stating that special attention should be brought to plan deliverables. Keeping track of the tasks being done is crucial, but an excellent indicative that these are being done the way they should, is possible when looking at the end-products (whether they are tangible or not). This complements Larson & Gray’s approach, since a task that wasn’t on the critical path may become critical if it’s delayed beyond its slack.
What does it mean if the priorities of a project include: Time–constrain, Scope-accept, and Cost–enhance? (180 words)
Project Managers need to know what success criteria drive a project (Pritchard, 2014). Analyzing what necessities are more urgent to the project will lead to a clearer panorama to follow. Thus, the effects of decision making should studied within a proper methodology. Establishing priorities is a strategy used to guarantee the viability of a project, meeting the expectations that were set upon it.
Larson & Gray (2011) used a technique involving a matrix that contrasts the three attributes (Time, Scope and Cost) against their flexibility. In this particular case, the project cannot stretch on its completion date (time-constrain); so the budget becomes the second priority: it’s tight, so the manager tries to enhance it by utilizing cost optimization tools (cost-enhance); but its performance is sacrificed (It is accepted that the scope must be lowered in order to stay on schedule; scope-accept).
A prime example for this situation would be the developing of a mobile app for carry-out fast food. At the beginning of the project, the client’s main concern was to have the app launched before his competition, under a specific budget and having a number of features he desired the users could experience. Nevertheless, the project manager realizes that in order to meet the schedule and avoid an increase on the contract’s price, he has to lower the scope of the proposal. This way, the client’s requirement is met while preserving the cost and delivering a product that will still meet the expectations.
What kinds of information are included in a work package? Is there a difference between a work break down structure and a schedule? Explain. (170 words)
As the smallest units or pieces of a system, Work Packages function as non-interdependent tasks that include the information about the “definite start and stop point, consume resources, and represents cost” (Larson & Gray, pg. 110, 2011). Taking the Web Development example in a previous exercise, one of the Work Packages would consist on creating the “FAQ Section” for this client webpage. This should include how many people are involved in this task and what is its extent or delimitation. This segmentation of the work allows for an exhaustive analysis (Did this activity start on time? Did it finish when it was supposed to? Is it overly consuming the allocated resources?) leading to precious feedback to assure a better control of the processes.
Conversely, the Work Breakdown Structure acts out as a main layout, it is -as pointed by Wysocki (2013)-, a graphical outline of the work expressed as activities that are used as a planning tool. The main Project Goal is divided into a finite amount of requirements, which are then divided into functions and eventually into activities. These divisions intend to conform a layered map, that helps the staff understand the project as a whole. In contrast, a schedule takes these tasks and put them together in a chronological order, taking into account in which order the activities can be done and generates a deadline. In simpler words, the Work Breakdown Structure specifies WHAT are the tasks in a hierarchy, while the Schedule specifies in what order or WHEN they should be made.
You have signed a contract to build a garage for the Simpsons. You will receive a $500 bonus for completing the project within 15 working days. The contract also contains a penalty clause in which you will lose $100 for each day the project takes longer than 15 working days.
Draw a project network given the information below.
Complete the forward pass AND backward pass.
Compute the activity slack
Identify the critical path
Identify which task(s) are merge activities and which are burst activities.
Do you expect to receive a bonus or a penalty on this project? If so, how much?
Figure 1. Project Network for the Exercise.
Conclusions
The earliest project duration is 16 days, so unless more resources are allocated in the tasks of the Critical Path (specially in A, B and I; which are not parallel activities), the penalty clause would cause the contractor to lose a total of 100$ to Homer Simpson.
Burst Activities: B, E and F. Merge Activities: G, H and I. Critical Path: A, B, C, G, I, J.
References
Larson, E. W., & Gray, C. F. (2011). Project management: The managerial process (5th ed.). (146-251)
Pritchard, C. L. (2014). Risk Management Concepts and Guidance, Fifth Edition. Hoboken: CRC Press.
Wysocki, R. K. (2013). Effective Project Management: Traditional; Agile; Extreme; 7th Edition. Wiley.
Williams, M. (2008). The Principles of Project Management. SitePoint.
