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Chapter 6
- Managing Process
- Improvement Projects
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Background
- Project management concerned with managing organizational activities.
- Often used to integrate and coordinate diverse activities.
- Projects are special types of processes.
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Defining a Project
Projects are processes that are performed infrequently and ad hoc, with a clear specification of the desired objective.
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Examples of Projects
- Constructing highways, bridges, tunnels and dams
- Erecting skyscrapers, steel mills, and homes
- Organizing conferences and conventions
- Managing R&D projects
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The Project Portfolio
The project portfolio also known as the aggregate project plan is to achieve the organization’s goals
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Four Categories of Project
1.Derivative projects. Seek to make incremental improvements in the output and/or process.
2.Breakthrough projects. Are at the opposite end of the continuum from derivative projects and seek the development of a new generation of outputs.
3.Platform projects. Fall between derivative and breakthrough projects.
4.R&D projects. Entail working with basic technology to develop new knowledge.
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An Example of Aggregate Project Plan
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Life Cycle of a Project (Stretched-S) & (Exponential)
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Organizing the Project Team
- Ad Hoc Project Form
- Weak Functional Matrix
- Strong Project Matrix
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Types of Project Team Members
- Those having a long-term relationship with the project.
- Those that the PM will need to communicate with closely.
- Those with rare skills necessary to project success.
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Three Project Objectives - Performance, cost and time
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Complexity of Scheduling Project Activities
- Large number of activities
- Precedence relationships
- Limited time of the project
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Planning and Scheduling Projects
- Planning. Determining what must be done and which tasks must precede others.
- Scheduling. Determining when the tasks must be completed; when they can and when they must be started; which tasks are critical to the timely completion of the project; and which tasks have slack and how much.
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Project Scheduling with Certain Activity Times: A Process Improvement
- Inputs
- ◦list of the activities that must be completed
- ◦activity completion times
- ◦activity precedence relationships
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Project Scheduling with Certain Activity Times: A Process improvement
- Outputs
- ◦graphical representation of project ◦time to complete project
- ◦identification of critical path(s) and activities
- ◦activity and path slack
- ◦earliest and latest time each activity can be started
- ◦earliest and latest time each activity can be completed
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Project Scheduling with Uncertain Activity Times
- Inputs
- ◦Optimistic (to), most likely (tm), and pessimistic (tp) time estimate for each activity
- ◦activity precedence relationships
- Outputs
- ◦graphical representation of project ◦expected activity and path completion times
- ◦variance of activity and path completion times
- ◦probability that project completed by specified time
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Expected Activity Time and Variance of Activity Time
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