Glossary

Activity The lowest level of the WBS. A packet of work that forms the basic building block of a plan or network. Activity Network A network made up of two or more activities with dependency. Actual Cost The actual money spent in performing an activity so far. Actual Cost of Work Performed (ACWP) The CSCS term for actual cost. Additional Cause Reservation A reservation applied to a Thinking Process tree suggesting that there may be an additional cause that create an effect at least one third of...

Future Directions

Hopefully you have concluded by this point that the Thinking Process can apply to any problem. If you have, I agree with you As such, you can bring it to bear on many problems of project management, beginning with deciding on a portfolio of projects to achieve some organizational goal. If you are a problem solver, you can begin with a CRT and the UDEs you wish to resolve. If you are a goal seeker, you can begin with the FRT and lay out a coherent strategy and synchronized plan to achieve your...

Projects Durations Get Longer and Longer

Most people agree that projects seem to take longer and longer. I ask people in classes, Does everyone know what contingency is All participants usually signal that they do indeed understand it. Then I ask someone to define it. A lot of wiggling in place usually follows the question, but eventually, sometimes after I single out an individual, someone offers an answer along the lines of, Extra time or money to handle the unexpected. I then ask, Extra compared to what More puzzled expressions. I...

Early Start versus Late Finish

Extensive studies have evaluated the desirability of using early-start schedules or late-finish schedules. Project managers believe early-start schedules reduce project risk by getting things done early, and late-finish schedules do the following Reduce the impact of changes on work already performed Delay the project cash outlay Give the project a chance to focus by starting with fewer simultaneous task chains, allowing the project team and processes to come up to speed. Some...

Begin with the End in Mind Vision

If you don't know where you are going, you won't know when you get there. You may represent the end vision a variety of ways. Kotter's third point is to create a vision of the state that will exist after the change is made, when the organization is functioning using CCPM. A picture usually helps, as many people respond better to Project Implement Critical Chain Project Management Revision 0 Date 1 1 2005 The Critical Chain Project Management (CCPM) implementation project will install CCPM for...

Cost Buffer Sizing

Use a cost buffer if your business is project-cost sensitive. Organizations using throughput accounting and internal projects (e.g., internally funded R& D) may not require a cost buffer. Sizing the cost buffer requires considering a number of factors. First, you should budget for the use of the schedule buffers. While start delays will not directly translate to cost, additional activity-duration times used by people working to complete the activity will increase cost. You should include at...

Synthesizing the Principles

Figure 11.1 illustrates a matrix showing how and where TOC tools can be applied within project management. It also illustrates how TOC thinking complements much of project management, and vice versa. For reasons I don't understand, some have positioned TOC and or critical chain as versus conventional project management. As I indicated in the beginning, I see TOC as one addition to the ongoing improvement of management thinking and appreciate the particular help it provides to project...

The Theory of Constraints Thinking Process Applied to Project Management

This chapter integrates the rest of this book and describes the process used to think through project management and develop the critical-chain process. It also provides some ideas for future directions. One of Dr. W. Edwards Deming's obstacles to improvement is a tendency on the part of many managers to search for examples. He states, My answer to such enquiries (i.e., for examples just like us) is that no number of examples of success or of failure in the improvement of quality and...

The Buffer Report

Clients always want to know how their project is going. Project management sometimes wants to separate the client from the people performing the work for a variety of reasons. The reasons include the clients' disturbing the work flow, workers' mistaking client comments as direction to change the project, and clients' receiving inaccurate information through asking people questions that they don't really know the answer to. (Everybody likes to help.) Most of us are aware of the organization...

Projects Frequently Overrun Schedule

When asked why projects overrun schedule, people usually say the projects start out fine, but somewhere along the way, a snag develops that begins to push one or more deliverables farther and farther behind. Everyone knows that it only takes one late task on the critical path to make the whole project late. As this shift begins to hit the plan, management tries to solve the problem causing the shift, usually by diverting resources and making changes in the project plan, placing more and more...

Agile or Light Project Management

There has been quite a bit of attention paid to light, or agile, methods as a solution to the specific problems of projects involving information technology. The Wikipe-dia 7 notes, Agile Methods evolved in the mid 1990s as part of the reaction against high ceremony methods, like Rational Unified Process (RUP), Prince and ISO 9000. The processes that originated from those methods were seen as bureaucratic, slow, demeaning, and contradicted the ways that software engineers actually work....

Task Manager Role

The task manager's job is to maintain project flow. The task manager needs to know which task to work on next. The trick is to work on the tasks that will move the project toward completion as soon as possible. W. Herroelen, R. Leus, and E. Demeulemeester 3 criticized CCPM for not rescheduling the project dynamically Opportunities for speeding the remaining part of the ongoing project may be exploited by rearranging the schedule (p. 57). They did not understand that CCPM does not schedule task...

Project Manager Role

The project manager controls the project value stream. During execution, the project managers' primary question is, when should I take action to recover buffer The Figure 8.1 CCPM+ Software shows a prioritized, filtered view for task managers to decide which task to work on next. The first three tasks are on the critical chain. Figure 8.1 CCPM+ Software shows a prioritized, filtered view for task managers to decide which task to work on next. The first three tasks are on the critical chain....

Toc Pmbok Lean and Six Sigma

This book approaches the problem of improving project management from the perspective of synthesizing two domains of knowledge the PMBOK 1 and the TOC. We consider this synthesis with perspectives from two other knowledge areas Lean Manufacturing and Six Sigma. This chapter addresses each of these knowledge areas in order and illustrates their relationship to the overall CCPM approach. These knowledge areas provide different reality filters, or paradigms, to understand the project system....

Current Reality Tree

The CRT describes the system, as it is today, to help find the core conflict. The core conflict is a root cause of many UDEs. You start the CRT process with UDEs, which are those things that you feel really bother me about the current reality. For example, It really bothers me that projects overrun the schedule. Chapter 3 described the UDEs for project management. You then select three of the UDEs to develop the core conflict. You do that by developing each UDE conflict and then combining the...

References

1 PMI, A Guide to the Project Management Body of Knowledge, Newton Square, PA PMI, 2000. 2 PMI, Organizational Project Management Maturity Model Knowledge Foundation, Newton Square, PA PMI, 2003. 3 Carnegie Mellon University, The Capability Maturity Model Guidelines for Improving the Software Process, Reading, MA Addison-Wesley, 1994. 4 Womack, J., D. Jones, and D. Roos, The Machine That Changed the World The Story of Lean Production, New York HarperCollins Publishers, 1990. 5 Womack, J., and...

C

Capacity-constraint buffers, 157-59 defined, 157 sizing, 158 See also Buffers CCPM software, 166, 167 Central-limit theorem, 77, 136 Change control, 104 actions, 182-83 functions, 125 process, 9, 30 Change management, 57-58, 125 Change s behavior, 190-91 to CCPM, implementing, 187-208 for core conflict resolution, 79 decision, 61-62 frequency asked questions, 183-84 FRT as guide for, 229 programs, 201 resistance, 203-4 strategies, 201 Check lists, 214 Common-cause variation, 39, 90, 91...