Concerto Execution Management System

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					Alna Software

Project Execution Management
using Critical Chain Project Management (CCPM)

Arturas Gruodis
How good is the classical project management system?

    ▪ Most projects do not finish on time and/or within budget and/or
      meet original promised content.

    ▪       According to The Standish Group International Inc report:
        ►   23% of all IT projects are cancelled, wasting all the time, money and
            effort spent on them;
        ►   49% usually fail to deliver the full project scope, run over budget and/or
            finish late;
        ►   28% succeed in achieving customer needs on time and within or below

    ▪ Can we finish projects on time, in half of the time, without going
      over budget or compromising content?
Why not? Because …

   ▪ Original deadlines are not usually met;
   ▪ There are two many changes;
   ▪ Too often, resources are not available when needed (even
     when promised);
   ▪ Necessary things are not available (information,
     specifications, materials, etc.);
   ▪ There are disputes about priorities between projects;
   ▪ There are budget over-runs;
   ▪ There is too much re-work.
How good is the classical project management system
  Dr. Eliyahu M. Goldratt – The Source of TOC

  TOC – The Theory of Constraints is based on
     the convergence of cause and effect logic to a
     core problem; the alignment of all local actions
     to support the "global" or "holistic" system
     solution to this problem and the
     implementation of a solution

  CC – Critical Chain has been described as the
     "most significant development in project
     management in the last forty years" and is
     generating high levels of interest from project
     management professionals from many
Source of Problem

        5 - 15      5 - 15   5 - 15
          A           B        C
Source of Problem

         Delays Cascade
         Within a Project

                                                 Delays Cascade
       A & B are integrated into C               Across Projects

                                                                   Project 1

                                                   B     C
                                     Project 2

                                         A & C are done by the same resource
  Multitasking & Interrupts

Single Tasking
Focused Execution

Multi Tasking
Losses in switching
Losses in waiting

Coming from outside
We can not ignore them,
   we can only manage
Losses During Execution
                            Total Time Taken
        Work Content                     Interruptions

        • Developers not available                       • Resources assigned for a fixed
        • Multitasking, esp. of experts                    duration
        • Clarification of analysis and design during    • Long duration tasks
          development                                    • Greater sense of urgency
        • Priorities change during task execution          towards milestones
        • Support work that is part of the contract is   • People have to charge their time
          unpredictable                                    to a contract
        • Scope changes                                  • …
        • Approval delays (design/plan/product)
        • Work estimation for sales proposals
        • Project phases start out of sequence
        • Long set-up times for tasks
        • …
Making project faster and more successfully

   CCPM attempts to account the following human behavior
     patterns during project planning and execution:
   ▪ Murphy’s Law - people do make considerable provision
     for contingencies when estimating activity duration;
   ▪ Student syndrome – people normally have a tendency to
     wait until tasks get really urgent before they work on them;
   ▪ Parkinson’s Law - people normally expand their work to
     fill the time available by improving the quality of the work
     even well beyond the requirement;
   ▪ Multitasking – people normally do not take into account
     the overheads needed to switch between tasks.
Critical Chain Rules For Managing Execution

      1. PIPELINING: stagger project starts
      2. BUFFERING: move safeties from
         individual tasks to buffer pools,
         shorten overall cycle times
      3. BUFFER MANAGEMENT: use buffer
         consumption to synchronize task
         level priorities, do not waste buffers
Why Stagger The Start Of Projects
                                                   All three projects started ASAP
      6 days        10 days      4 days
                                                   Constant resource shuffling
                                                   Priorities not synchronized
        6               10
                                                   All projects are delayed

            6           10            4

                                                   Start dates are staggered
 6     10           4                              Resources stay focused
                                                   Tighter synchronization
                6       10        4                All projects finish faster
                                                   More projects can be done
                             6            10   4
Why Buffer Projects Not Tasks
                         “I know the “I know this is      Schedules set in planning
                         task will be    not the only     Uncertainties are unavoidable
                        late before it task I will work
                          comes to        on” safety      Wanting to be reliable, people add safeties
                         me” safety                             into estimates
 What it really takes                                     Safeties get wasted in execution
                                                                (Parkinson’s Law)
                   Task Schedule

                                                          Schedules set in execution
                                                          Estimates are used only to plan projects
                                                          Task schedules determined in execution,
               What it really takes                            when tasks are closer to being started

                   Task Schedule
Why Explicit Buffers Make Projects Run Faster
                                                No buffer times in projects
                                                Delay on feeding paths slow down the
                                                     longest path
                                                People might hide safeties if they are
                                                     accountable for delivering on time

                                                Buffers are made mandatory
                      Buffer                    “Feeding Buffers” protect longest path from
                                                      incoming delays
                               Project Buffer   “Project Buffer” protects project due-date
                                                Individual task durations can be made more
                 Feeding                              aggressive
Using Buffer Consumption To make early course corrections

                               Project #1
                  Project #2
                                            Project #3
Using Buffer Consumption To Set Task-level Priorities
                         Green task in Project 1 has the higher priority

Project 1
                                                            Buffer Consumption = 60%
 5       5       5        5       5       5       15        Project Completion = 50%

 Project 2
                                                            Buffer Consumption = 20%
     5       5       5        5       5       5        15   Project Completion = 33%
                     Planning (Execution Readiness)

                                                  1. Pipeline the release of projects
                                                     based on resource constraints

                          Critical Chain Buffer
                                                  2. Move safeties from individual
                                                     tasks to buffer pools.

                             Execution Management

                     List of
                     Priority 1
                                                  3. Use relative buffer consumption
        Buffer       Priority 2
                                                     to synchronize priorities and
        Status                                       make early course corrections.
                     Priority 3


                   TASK UPDATES

       Team Leads         Production Managers         Project Managers          Senior Managers
   • Prepare for           • Identify and remove      • Investigate emergent   • Control project starts
     upcoming tasks            resource bottlenecks     delays                 • Resolve pipeline
   • Assign people         •   Manage Team Leads      • Plan and execute         level conflicts
   • Get tasks executed                                 recovery actions       • Remove policy-type
     in a timely manner                                                          execution obstacles
   • Update task status
Benefits of CCPM

  Improve project portfolio and resources management
  Improve project execution speed
  Improve project finishing on time
  Execute fewer projects at once
  Identify project execution problems early
  Reduce losses during execution
  Reduce resource shortage
  Reduce multitasking

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