2001 年編寫 ( 引用沈肇基老師講義 ) 朝陽科技大學 1 Successful Project Management What will be the constraint of a project? Think of the possible problems that may

2001年編寫(引用沈肇基老師講義) 朝陽科技大學 1

Successful Project Management

• What will be the constraint of a project?

• Think of the possible problems that may occurs

• How to start a successful project

• In your opinion, what is a proposal?

• What is a good proposal?

Brain Storming


The triple constraint

How to startSuccessful project

Negotiations andcontracts

Defining The Goals of A Project


Successful project management means accomplishing the performance specifications on or before the time limit and within the budgeted cost.

Cost

Time

Performance

Schedule

Specification

Budget

The Triple Constraint


Poor communication between the contractor and customer.

Ambiguous communication between the contractor (boss) and the customer (project team) may lead to a quality disappointment.

Technical difficulty from too optimistic assumptions.

Poor design or make mistakes in executing contract performance.

CLARIFY UNCLEAR SPECIFICATIONS

The Triple Constraint-- Performance problems


“Better” is the enemy of “good enough”.

Resources are not available when required.

Those assigned to it are not interested in their tasks.

Performance specification is raised.

Overrun

Time

Budget

Scheduleworse

better

Early Late

Underrun

$

Performancespecification

The Triple Constraint --Time problems

Triple constraint Outcome


Schedule delay or sleep.

Resources are not being used as efficiently as plan.

“Liars Contest” during contract negotiation which causes a cost overrun.

Initial cost estimates are simply too optimistic.

Inadequate cost consciousness. ( 沒有成本概念 ).

Funding may not occur according to plan.

TIME IS MONEY!!!

The Triple Constraint Cost problems


•Proposals bridge the defining and planning activities on projects.

•A good proposal includes a thorough plan for work performance that embodies the triple constraint.

define

plan/replan

leadmonitor(metrics)

complete

Proposal

How to Start Successful Projects


STRATEGIC ISSUES

DEFINING PROJECT

PLANNING ACTIVITIES

THE PROPOSAL PROCESSTHE PROPOSAL PROCESS

Proposal

The basis of a successful strategy is to filter out

losing projects


Strategic

Proposal effort

Current and near-term resources

Company long-tem goals

Framework

requirementProject value

Response ability Winning the

completion

Bid / No Bid Decision

STRATEGIC ISSUES

filtering


The basis of a successful strategy is to filter out losing projects.

Reject consumer project efforts in an industrial product company. Reject a fixed price contract for a technical development,

scientific advance, invention, or something not previously accomplished.

In summary, avoid projects that are inconsistent with your organization’s long-term goals or current and near-term resources, such that

Unlikely to win the proposal competition. Unlikely to satisfy the intended triple constraint. Insignificant or irrelevant.

STRATEGIC CONCERNS


The Requirement

Project Value

Response Ability Winning the Competition

Whether there is a real requirement.Whether the funds are really available.

Market request. Apply important new technology. Enhance the organization’s reputation. Commercial new product.Accept future financial commitments

for new capital or facility investments.

First to prepare a winning proposal and second to perform the proposed work. If some capabilities are not actually present. There must be a viable plan to make them available when they are needed.

Is there advance information about the project available to it?

Concern the customer. Is it an indi-vidual or a commercial organiza-tion? (internal or external)

BID/NO BID DECISISONS


1. Authorization

2. Theme Fixation

3. SOW

4. Plan

5. Adjustments

6. Approval

7. Submission

8. Post-submission

Proposal Process


1.Authorization.

2.Selection of a dominant theme.

3.Preparation of the statement of work.

4.Development a plan to satisfy the triple constraint.

5.Adjustment to remove inconsistencies and inadequacies.

6.Approval.

7.Submission.

8.Postsubmission follow-up, including presentations and contract negotiations.

plan

SOW

Theme fixation

authorization

Post-submission

submission

approval

adjustments

THE PROPOSAL PROCESS


1. Authorization 2. Theme Fixation

3. SOW4. Plan

5. Adjustments

7. Submission 8. Post-submission

• Authorization form: estimated schedule, funding, customer, estimated bid price, competition, proposal plan, approvals

• This proposal process frequently Starts before an RFP.(preproposal)

• A proposal itself can be considered a project with a triple constraint.

• Understand the subtle different minds of customers and either harmonize them of deduce who has the most influence.

• Working with the customer (when this is permitted).

• If everyone in your organization understands what the theme is, your proposal should be acceptable to your prospective customer.

• Content It should identify measurable tangible, and verifiable

acceptance criteria.• Clarification: After it is drafted, the SOW should be

reviewed with the customer prior to further work on the proposal. No too much “gold plating”.

Customer’s goals

Contractor’sgoals

• Someone discovers that two departments contributing to the proposal have duplicated their efforts or have made differing assumptions about some significant item.

• Someone discovers new information or corrects some oversight.

• The act of writing the proposal forces the organization to think through and attempt to simulate the entire project.

• Simulation: To identify any potential problem areas in the prospective system before building it.

• The triple Constraint: 1. Use Work Breakdown Structure (WBS) to describe your approach to the performance dimension. 2. Use schedule chart, in which each activity corresponds to a WBS element, to describe your approach to the time dimension. 3. Use a complete cost breakdown for each activity to describe your approach to the money dimension.

• Checklists (ref:pp.287-289) HOMEWORK!! Prepare your own list for your project.

>Total bid price >cost >fee >summary SOW >submitted package >summary of risk >key people promised > financial commitment requited >warranty • Watch your data

• Check requested format in RFP.Presentation and

Negotiation

6. Approval Form: >schedule for job >title >customer

The Details of Proposal Process


EXECUTIVESUMMARY

MAIN PROPOSAL• TECHNICAL

• MANAGEMENT

APPENDICES

ProposalProposal ContentProposal Content


Contractual FormFFP→Firm Fixed Price:

The price and fee are determined and do not depend on cost.

FP→Fixed Price: Same as FFP.CPFF→Cost Plus Fixed Fee:

The customer agrees to reimburse the contractor’s actual costs, regardless of amount, and pay a negotiated fixed fee independent of the actual costs.

CPIF→Cost Plus Incentive Fee :Similar to CPFF except the fee is not preset or fixed but rather depends on some specified incentive.

T and M>>Time and Material :The customer agrees to pay the contractor for all time and material used on the project, including a fee as a percentage of all project costs.

Contract Negotiation

Customer Organization Contractor Organization

ManagementContracting or

PurchasingProject Manager

Support Team

Project Team

ManagementContracts

Manager or Marketing

Project Manager

Support Team

Project Team

Contract

Financial Risk

Fixed price Cost reimbursable

Customer

Contractor

NEGOTIATIONS AND CONTRACTS


Customer’s name and address and specification of

authorized signatures. Contractor’s name and address and specification of

authorized signatures. Statement of supplies (items), services, and prices

(i.e.,SOW). Preservation, packaging, and packing instructions. Delivery or performance period. Inspection and acceptance terms.

Legal Aspects: Contract Items-1


Contract administration data. Special provisions (funding limitations or customer furnished

equipment). General provisions (reference to federal procurement

regulations, overtime payment terms, or similar) such that, for example manufacturers have been obligated to pay criminal and civil penalties for violations of federal regulations.

Patent terms, conditions, and ownership rights (if not covered

in items 8 and 9). List of required documentation.

Legal Aspects: Contract Items-2

Documents

2001 年編寫 ( 引用沈肇基老師講義 ) 朝陽科技大學 1 Successful Project Management What will be the constraint of a project? Think of the possible problems that may