Practical Project Management

Tips, Tactics, and Tools

Harvey A. Levine


This book is printed on acid-free paper.

Copyright © 2002 by Harvey A. Levine. All rights reserved.

Published by John Wiley & Sons, Inc., New York. Published simultaneously in Canada.

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Library of Congress Cataloging-in-Publication Data:

Levine, Harvey A.

Practical project management : tips, tactics, and tools / Harvey A. Levine.

Includes bibliographical references and index.

Bookz ISBN 0-471-20303-3 (alk. paper) 1. Project management. I. Title. HD69 .P75 L484 2002

658.4'04—dc21 2002003007

Printed in the United States of America.

10 987654321


Acknowledgments ix

Preface xi

1. Setting Up the Project Management Operation 1

1.1 About Projects and Project Management 2

1.2 Organizing for Project Management 13

1.3 Does Your Company Need a CPO? 24

1.4 Implementing a Computer-based Project Management Capability 29

2. Getting Started 39

2.1 Project Initiation Techniques 41

2.2 Do You Weebis? Clarifying WBS, OBS, and RBS 60

2.3 Project Life Cycles 65

3. Scheduling 73

3.1 Critical Path Scheduling 76

3.2 Critical Path, Critical Chain, and Uncertainty:

Exploring Concepts of Shared Contingency 84

3.3 Estimating Task Durations 93

3.4 How Important Are Schedules and Time Compression? 100

3.5 Practical Scheduling 107

4. Resource and Workforce Management 117

4.1 An Overview of the Different Elements of

Resource Management 119

4.2 Role-based Needs for Managing Resources in a Project-driven Organization 123

4.3 Resource Leveling and Games of Chance 139

4.4 Practical Resource Scheduling 150

5. Budgeting and Cost Control 159

5.1 Concepts and Issues of Project Budgeting and

Cost Control 162

5.2 Software Support for Cost Management 172

6. Risk Management and Contingency Ill

6.1 Using and Managing Contingency 180

6.2 Risk Management for the Sigmaphobic: 197 Managing Schedule, Cost, and Technical

Risk and Contingency

6.3 Some Computer-based Approaches to Schedule

Risk Analysis 205

l. Maintaining the Plan 21B

7.1 Change Control and Scope Management 218

7.2 Real-time Status versus Period Data 234

7.3 Automatic Project Management: A Classic Oxymoron 240

S. Performance Measurement 24l

8.1 Measuring the Value of Work Accomplishment 249

9. Project Portfolio Management 261

9.1 Defining and Implementing Project

Portfolio Management 263

9.2 Bridging the Gap between Operations

Management and Projects Management: 271

The Important Role of Project Portfolio


9.3 Project Selection and Risk: 276 Risk Management Is an Essential Part of Project Portfolio Management

1G. Project Management, Enterprise Project Management, and Enterprise Resource Planning 2S1

10.1 The Search for Automated, Integrated, Enterprise-wide Project Management: 283 Minnesota Smith and the Temple of

Unrealized Dreams

10.2 Integrating PM and ERP 288

11. Project Management and Professional Services Automation 297

11.1 Defining the PSA Market 299

11.2 Building PSA Solutions 303

12. Tools of the Trade 307

12.1 A Simplified and Balanced Approach to PM

Software Selection 309

12.2 New Names for Old Games: 320 Rebadging Sound and Proven PM Concepts

12.3 The e Revolution: Collaboration Services,

B2B, Gateways 327

13. Making Project Management Work 335

13.1 Implementing Project Management: 337 Commitment and Training Ensure Success

13.2 Making Project Communication Work: 344 Everything You Need to Know about

Project Communication

13.3 Why Project Management Implementation

Programs Fail 352

13.4 Teams, Task Forces, and Bureaucrats 357

13.5 The Psychological Contract: How to Stimulate

Initiative and Innovation in Any Organization 362

13.6 Shared Rewards 371


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