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Change management control Sources of Change Project scope changes Implementation of contingency plans Improvement changes ISE 491 - Ch. 6 1

Change management control Sources of Change Project scope changes Implementation of contingency plans Improvement changes ISE 491 - Ch. 6 1

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Page 1: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Change management control

Sources of Change

Project scope changes

Implementation of contingency plans

Improvement changes

ISE 491 - Ch. 6 1

Page 2: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Change management control The change control process

Identify proposed changes.

List expected effects of proposed changes on schedule and budget.

Review, evaluate, and approve or disapprove of changes formally.

Negotiate and resolve conflicts of change, condition, and cost.

Communicate changes to parties affected.

Assign responsibility for implementing change.

Adjust master schedule and budget.

Track all changes that are to be implemented.

ISE 491 - Ch. 6 2

Page 3: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

The change control process

FIGURE 7.9ISE 491 - Ch. 6 3

Page 4: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Benefits of a change control system1. Inconsequential changes are discouraged by the formal

process.

2. Costs of changes are maintained in a log.

3. Integrity of the WBS and performance measures is maintained.

4. Allocation and use of budget and management reserve funds are tracked.

5. Responsibility for implementation is clarified.

6. Effect of changes is visible to all parties involved.

7. Implementation of change is monitored.

8. Scope changes will be quickly reflected in baseline and performance measures.

ISE 491 - Ch. 6 4

Page 5: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Change Request Form (CR)

FIGURE 7.10

ISE 491 - Ch. 6 5

Page 6: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Change request log

FIGURE 7.11

ISE 491 - Ch. 6 6

Page 7: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

PERT and PERT Simulation

Chapter 7 Appendix

ISE 491 - Ch. 6 7

Page 8: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Program Evaluation Review Technique (PERT) Expands CPM methods to account for uncertainty

in activity times. Assumes each activity duration has a range that

statistically follows a beta distribution. PERT uses three time estimates for each activity:

optimistic, pessimistic, and a weighted average to represent activity durations. Knowing the weighted average and variances for each

activity allows the project planner to compute the probability of meeting different project durations.

ISE 491 - Ch. 6 8

Page 9: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Activity and project frequency distributions

from FIGURE A7.1

ISE 491 - Ch. 6 9

a. Activity times (beta) b. Project time (normal)

Page 10: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Activity time calculations The weighted average activity time is computed

as follows:

10ISE 491 - Ch. 6

(7.1)

Page 11: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Activity time calculations (cont’d)

The variability in the activity time estimates is approximated by the following equations: The standard deviation for each activity is,

The standard deviation for the entire project

11ISE 491 - Ch. 6

Note the standard deviation of the activity is squared in this equation; this is also called variance. This sum includes only activities on the critical path(s) or path being reviewed.

(7.2)

(7.3)

Page 12: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

An example: Activity times and variances

TABLE A7.1

ISE 491 - Ch. 6 12

Page 13: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Probability of completing the project

The probability of completing the project in the time specified is determined by first computing a z-score, as follows:

The probability, α, associated with the z-score is the probability of completing the project on time.

13ISE 491 - Ch. 6

(7.4)

Page 14: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Example: A hypothetical network

FIGURE A7.2

ISE 491 - Ch. 6 14

Page 15: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Possible project duration

from FIGURE A7.3

ISE 491 - Ch. 6 15

TE = 64TS = 67

Page 16: Change management control Sources of Change  Project scope changes  Implementation of contingency plans  Improvement changes ISE 491 - Ch. 6 1

Probabilities associated with some Z values

TABLE A7.2

ISE 491 - Ch. 6 16