Send email to [email protected] to get the assignments in the doc form on your email
असाइनमेंट्स के लिए कॉल करे 8400000606 या e-mail करें [email protected]
SUBJECT CODE & NAME
MB 0049 - PROJECT MANAGEMENT
Question 1:
Describe the CPM model.
Explain the main focus of CPM and how is it different from PERT , List the assumptions of CPM
Explain the procedure of CPM analysis
Answer: The critical path method (CPM) is a step-by-step technique for process planning that defines critical and non-critical tasks with the goal of preventing time-frame problems and process bottlenecks. The CPM is ideally suited to projects consisting of numerous activities that interact in a complex manner.
In applying the CPM, there are several steps that can be summarized as follows:
Define the required tasks and put them down in an ordered (sequenced) list.
Create a flowchart or other diagram showing each task in relation to the others.
Identify the critical and non-critical relationships (paths) among tasks.
Determine the expected completion or execution time for each task.
Locate or devise alternatives (backups) for the most critical paths.
The CPM was developed in the 1950s by DuPont, and was first used in missile-defense construction projects. Since that time, the CPM has been adapted to other fields including hardware and software product research and development. Various computer programs are available to help project managers use the CPM.
Difference between CPM and PERT
(Program Evaluation and Review Technique) are most commonly used methods for project management. There are some similarities and differences between PERT and CPM. PERT can be applied to any field requiring planned, controlled and integrated work efforts to accomplish defined objectives.
Assumptions Of CPM
• the duration of an activity is a random variable with BETA distribution
• the durations of the activities are statistically independent
• the critical path (computed assuming expected values of the durations) always requires a longer
total time than any other path
• the Central Limit Theorem can be applied so that the sum of the durations of the activities on the critical path has approximately a NORMAL distribution
The Procedure of CPM is as follows
A list of all activities required to complete the project (typically categorized within a work breakdown structure),
The time (duration) that each activity will take to complete,
The dependencies between the activities and,
Logical end points such as milestones or deliverable items.
Question 2
Write short notes on:
The Shewhart Cycle
Project procurement process
Role of Risk Management in Overall Project Management
Design of PMIS(Project Management Information System)
Answer:
The Shewhart Cycle
Deming was widely credited with leading the quality revolution in Japan in the 1950s, and worked with American businesses in the 1980s. One of the principle components of his approach is the change methodology that he named after another quality 'guru', Walter Shewhart. This approach has four steps:
Plan - decide on desirable changes and evaluate existing data, and consider if new information is required.
Do - make changes decided upon, preferably in a small, experimental way.
Check - evaluate the effects of the experiment.
Act - implement the required changes.
This is usually represented as a cycle, intended as means of accumulating knowledge.
Project procurement process
This process will help you to purchase goods and services from external suppliers.
It gives you a complete procurement process andprocurement procedures, which explain step-by-step, how to purchase from suppliers.
You will learn how to issue Purchase Orders, receive and approve deliveries, endorse supplier payments and manage suppliers against their contracts.
This procurement process will also help you to:
Identify the goods and services to procure
Complete Purchase Orders and issue to suppliers
Agree on delivery timeframes and methods
Receive goods and services from suppliers
Review and accept the items procured
Approve supplier payments
This Procurement Management Process will enable you to:
Identify supplier contract milestones
Review supplier performance against contract
Identify and resolve supplier performance issues
Communicate the status to management
Role of Risk Management in Overall Project Management
While all stakeholders and project team members have a responsibility to identify project risks, the project manager has a number of responsibilities associated with project risk management. These responsibilities are as follows: (a) Seeking advice on appropriate risk treatment strategies (b) Management and maintenance of the project risk register (c) Identifying potential risks in a timely manner throughout the project lifecycle (d) Coordinating risk evaluation (e) Coordination of the implementation of risk treatment strategies
Design of Project Management Information System
1. Project Performance Indicator Tracking SystemThe project managers are required to report to the World Bank the status of each Performance Indicator from the project's Hierarchy of Objectives and management actions taken towards their achievement. The report must be on a semi annual basis and in an agreed format. For the past few years, this report was compiled using a word processor. As the report has a column on comments by the project manager on the status of each indicator, the project manager had to devote considerable time in the production of this report.
2. Procurement Planning and Monitoring System (PPMS) Procurement is a major part of the project activities. The procurement activity involves a number of discrete steps to be followed in sequence leading from development of specifications through bidding to contract signing with the suppliers who win the bid. The acquisition of goods and services essential to the implementation of the project will be delayed if the timetable of events is not followed. However, in many projects, procurement staffs simply follow the process in a step-by-step manner, finishing one step before tackling the next, with neither systematic planning nor tracking.
3. Disbursement Planning and Tracking System (DPTS) With the recent introduction of the Loan Administration Change Initiative (LACI), project management units of World Bank supported projects have to furnish the Bank with accounting reports in a specified format. The tables in these reports require listing disbursements made in each quarter and the forecast of payments for the following quarter.
4. Procurement Activity Tracking System (PATS) Apart from the major contracts for the building of new schools and the major consultancies, each project management unit also undertakes a number of relatively small contracts for furnishing the new schools and for purchasing school supplies. These shopping activities include the following steps: Finalizing the initial specifications; contacting suppliers for price quotations; negotiating specification modifications, discounts and delivery dates; receiving shipments or verifying deliveries in terms of quantities and quality; and authorizing payments by the accountant.
5. Project Planning and Scheduling System (PP&SS) A complete critical path based project plan and schedule was developed using MS project. A portion of this plan is shown in. The first level of indenture is the WBS of the project. The schedule for the items of procurement, transferred from the PPMS, is presented on one line in the CPM chart using the rollup technique in MS Project.
Question 3 :
Cash Flow Techniques
Cash Flows from Operations
The term Operations implies making a net income or net loss. This is the most important source of cash for a successful corporation. We would expect that the bulk of the cash coming in to the company is from revenue earned, and that the cash going out would be for expenses.
Cash flows from Investing
In the context of a cash flow statement, we consider investing to consist of purchasing productive assets such as buildings or equipment, or selling buildings or equipment. The purchases would in most cases involve spending cash, and the sale of such assets would be a source of cash.
Cash flows from Financing
Financing activities would include issuing stocks or bonds, issuing long term notes payable, or paying dividends to stockholders. If a company pays off a bond, or redeems stock, those transactions would also be considered financing transactions
Explain any four commonly used methods in brief
Discounted Cash Flow
We all know that the worth of money received today is more than the money received in the future. For example, the value $10,000 USD after 10 years will not be same as today; its worth will be far lower than the current value of $10,000 USD.
Therefore while calculating the cost invested and return on investment, we have to consider the concept of discounted cash flow.
Now let’s get back to Benefits Measurement Methods.
The following is a list of techniques used in Benefit Measurement Methods:
Benefit/Cost Ratio
Economic Model (Economic Value Added)
Scoring Model
Payback Period
Net Present Value
Discounted Cash Flow
Internal Rate of Return
Opportunity Cost
Benefit/Cost Ratio
This technique is also known as Cost/Benefit Ratio.
As the name suggests, it is the ratio between the present value of inflow (cost invested to the project) and present value of outflow (value of return form the project). If the budget is not a constraint, the project with higher Benefit-Cost Ratio (BCR) will be selected.
Economic Value Added (EVA)
Economic Value Added (EVA) is a performance metric that calculates the worth creation for the organization, and defines the return on capital (ROC). It is the net profit after deducting all taxes and capital expenditure.
If you have many projects, the project with the higher Economic Value Added (EVA) will be selected. Keep in mind that EVA is expressed in dollar value, not in a percentage.
Scoring Model
This is more like an objective technique. Here, the project selection committee will list a few relevant criteria, weigh them according to their priorities and importance, and then will add all these weighted values.
Once you complete scoring the projects, the project with highest score will be selected.
Payback Period
This is the ratio of total cash out with average per period cash in. Or you can say that it is the time required to recover the cost invested in the project.
If other parameters are the same, the project with the minimum payback period will be selected.
- list the criteria for choosing a project in each method
the value of one project would need to be compared against the other projects, you could use the benefit measurement methods. This could include various techniques, of which the following are the most common:
You and your team could come up with certain criteria that you want your ideal project objectives to meet. You could then give each project scores based on how they rate in each of these criteria and then choose the project with the highest score.
When it comes to the Discounted Cash flow method, the future value of a project is ascertained by considering the present value and the interest earned on the money. The higher the present value of the project, the better it would be for your organization.
The rate of return received from the money is what is known as the IRR. Here again, you need to be looking for a high rate of return from the project.
The mathematical approach is commonly used for larger projects. The constrained optimization methods require several calculations in order to decide on whether or not a project should be rejected.
Cost-benefit analysis is used by several organizations to assist them to make their selections. Going by this method, you would have to consider all the positive aspects of the project which are the benefits and then deduct the negative aspects (or the costs) from the benefits. Based on the results you receive for different projects, you could choose which option would be the most viable and financially rewarding.
Question 4: Write a note on Earned Value Method (EVM).
EVM explanation
Parameters to calculate performance measures
Plot of BCWS versus time
Plots BCWS, ACWP, and BCWP for a typical project
Answer
EVM explanation
Earned Value Management (EVM) helps project managers to measure project performance. It is a systematic project management process used to find variances in projects based on the comparison of worked performed and work planned. EVM is used on the cost and schedule control and can be very useful in project forecasting. The project baseline is an essential component of EVM and serves as a reference point for all EVM related activities. EVM provides quantitative data for project decision making.
Parameters to calculate performance measures
EVM consists of the following primary and derived data elements. Each data point value is based on the time or date an EVM measure is performed on the project.
Primary Data Points
Budget At Completion (BAC)
Total cost of the project.
Budgeted Cost for Work Scheduled (BCWS) / Planned Value (PV)
The amount expressed in Pounds (or hours) of work to be performed as per the schedule plan.
PV = BAC * % of planned work.
Budgeted Cost for Work Performed (BCWP) / Earned Value (EV)
The amount expressed in Pounds (or hours) on the actual worked performed.
EV = BAC * % of Actual work
Actual Cost of Work Performed (ACWP) / Actual Cost (AC)
The sum of all costs (in Pounds) actually accrued for a task to date
Question5 Discuss the various methods of conflict resolution.
List and explain the methods of conflict resolution and with examples
Mediation is an attempt to find a peaceful settlement to resolve a dispute between individuals. The process uses a neutral party to mediate. As a project manager, that often becomes your job.
Mediation
The underlying principle of mediation lies in the genuine willingness of all disputing parties to participate. As project manager, if the dispute is between team members and does not involve you, then you can act as intermediary (unless there is a clearly defined perception that you are aligned with one of the parties in the dispute). Depending on the nature of the dispute, mediation can present a short-term cure by bringing the project-related arguments from both sides to the forefront and trying to find a middle ground or compromise settlement.
If, however, the conflict stems from underlying, non-project-related issues, ranging from personal feelings to previous conflicts, the idea of finding a compromise and creating a true win-win situation is less likely. The best you can hope for is to find a temporary short-term solution through which everyone can work.
Conflict Transformation
A more complicated process called conflict transformation uses mediation, but focuses on the attitudes and perceptions of the parties and looks to alter these perceptions. On small-scale or short-term projects, the time frame won't allow this level of resolution to make radical changes in personalities. Long-term, large-scale projects with significant impact on a wide-spread population may require loftier resolution techniques in which the parties are encouraged to look beyond the project to their feelings and attitudes.
Compromise
When both sides have something tangible to bring to the table, compromise can be the fastest and easiest way to resolve difference. For example, if the dispute is over which person will do a specific task the tangible factor is the task, and it can be divided so that both parties will do various aspects of the task. A simple dispute over where to hold a retirement party could end with a third choice that has some of the best aspects of the two previous choices.
If various elements are involved, each party can gain something important to them while conceding something that isn't. Perhaps one individual wants up-tempo music with dancing for the company holiday party while another wants a more reserved, quiet, no-dancing atmosphere. The compromise could be a quiet dinner and a more up-tempo, dance-oriented atmosphere after the meal.
Shift Perspectives
Putting things into perspective is a most interesting method of conflict resolution. If, for example, Fred is furious that Maryanne is not pulling her weight on the project, you need to put the situation into perspective for that individual. You can talk to Maryanne and evaluate why she does not appear to be working as hard as Fred. If she is slacking off or just not trying, then Fred may have alerted you to a potential problem.
However, maybe Maryanne is working just as hard as Fred; he may simply not be aware of what she is accomplishing, or perhaps she is slower than he is at producing results. Either way, you need to remind Fred that he is a fast worker and not everyone can maintain his pace. Put into perspective that people work at different speeds, and that as long as they are trying to fulfill their roles as best they can, that's all one can and should expect.
Three other approaches to conflict resolution include a consensus approach, smoothing, and the dictatorial approach. A consensus approach means taking the issue to the people. If the conflict is between two groups with opposing viewpoints, you might — with their consent — bring the issue to a vote. Call a meeting and decide this issue once and for all. Exclude yourself from the voting.
You should have a zero-tolerance policy toward any type of racist, sexist, or violent behavior. Make sure, however, that you are correct before acting or accusing anyone of any such behavior!
When the project is close to the finish line, or time is of the essence, you may be forced to take the dictatorial approach, which doesn't appease many, but keeps the project on course. If the team members have nothing to lose, they could defect; if they are on staff, receiving a salary or compensation, or hope to gain from their experience with the project, they may simply have to buckle down and follow your commands. If the project is seriously threatened and other manners of conflict resolution will take too much time, you may need to take control in this manner. Use this method only as a last resort.
Argue if one method suits all situations or if project managers need to need to use different methods to resolve conflicts.
In many cases, conflict in the workplace just seems to be a fact of life. We've all seen situations where different people with different goals and needs have come into conflict. And we've all seen the often-intense personal animosity that can result.
The fact that conflict exists, however, is not necessarily a bad thing: As long as it is resolved effectively, it can lead to personal and professional growth.
In many cases, effective conflict resolution can make the difference between positive and negative outcomes.
The good news is that by resolving conflict successfully, you can solve many of the problems that it has brought to the surface, as well as getting benefits that you might not at first expect:
Increased understanding: The discussion needed to resolve conflict expands people's awareness of the situation, giving them an insight into how they can achieve their own goals without undermining those of other people.
Increased group cohesion: When conflict is resolved effectively, team members can develop stronger mutual respect, and a renewed faith in their ability to work together.
Improved self-knowledge: Conflict pushes individuals to examine their goals in close detail , helping them understand the things that are most important to them, sharpening their focus, and enhancing their effectiveness.
However, if conflict is not handled effectively, the results can be damaging.
Question 6: Answer the following questions:
a. What are the advantages of using PM software package?
b. What are the types of project performance evaluation techniques?
What are the advantages of using PM software package?
Project management has become a fundamental way for organizations to optimize processes, ensuring that they offer the highest level of efficiency and effectiveness while carrying out projects throughout the company. Project management software is one of the most helpful tools that can assist project managers in being as effective as possible, regardless of the industry. While incorporating project management software can certainly improve processes, there are distinct advantages and disadvantages to using it, which require careful evaluation.
Advantages of Project Management Software
The variety of tools available in project management software can help drive a project forward. These advantages include:
Collaborate with team members in real-time. Project management software commonly offers communication tools that can assist teams in discussing issues in real time. The benefit is that each team member can be kept up to date, quickly dealing with issues as they arise.
Document sharing. For projects that require the use of significant documentation, document sharing tools allow individuals to edit, update the status of reports and create systems that allow for transparency and communication.
Manage project costs. Controlling costs is one of the most important benefits of project management. Project management software generally includes tools that can assist in managing project costs.
Ability to manage risks, forecasting, and budgets. Knowing project risks, creating forecasts and tracking budgets are some of the biggest advantages of project management software.
Reporting capabilities. With flexible report formats and the ability to quickly access needed data, project management software can keep tasks on schedule.
Intuitive to use. Dashboard-based software requires little training to implement. Simple to use and easy to install, new project management software allows for quick ramp-up times.
Disadvantages of Project Management Software
Though there are clearly many good reasons to utilize project management software, there are also disadvantages to consider:
Some programs can be very costly with very little ROI. While project management software can provide great solutions, many times those solutions need to be custom designed or solved by purchasing multiple software programs. These can be costly options and can be difficult to implement.
Project management software may complicate simple projects. While using project management software is a popular option for many organizations, simpler projects may not need project management software. When project management software is used inappropriately it can unnecessarily complicate matters.
Execution issues when relying on automated alerts. While alerts are helpful to remind team members that tasks are due, a problem develops when more time is spent on setting up the alert than the task itself.
b. What are the types of project performance evaluation techniques?
Purpose
– The purpose of this paper is to describe a Doctor of Project Management research study including summary of the literature review, the application of the combination of case study, survey and theory building research methodologies, key research findings and potential areas for future research.
Design/methodology/approach
– The research investigates the reasons for the limited adoption of earned value management (EVM) as a project performance evaluation technique. It proposes new extensions to this technique that will be beneficial to project management practitioners. The multifaceted research approach incorporates the following elements: a review of previous and current literature on EVM; a survey of project management practitioners on their practices and attitudes towards EVM; analysis of the known challenges of the EVM technique; development of techniques to address and resolve the EVM challenges; consolidation of those techniques into a single framework and implementation model; and validation of that framework and model through multiple methods.
Findings
– The research confirms that EVM can be greatly enhanced and simplified though three key initiatives: include the cost assurance (i.e. risk transfer) provided by procurement contracts; measure project achievement and progress on the completion of each phase, rather than monthly; and combine the above into a simplified, single model.
Originality/value
– This paper provides practitioners with an insight into how EVM can be enhanced and applied in project management organizations. In particular, the integrated PAVA technique should be particularly useful to projects using the rolling wave approach, as its recognition of phases provides a framework for short‐ and long‐term planning
END OF PROJECT
=====================================================================================