Project Management –MGMT627 VU

LESSON 15

PROJECT PLANNING

Broad Contents

Introduction
Project Planning
Plan of Execution
Information Required for Planning Execution of Projects
Early Stage Documentation by Project Manager

15.1 Introduction:

Planning is done to facilitate later accomplishment. Planning techniques covered here are
intended to smooth the path from idea to accomplishment. Project planning is a complicated
process to manage project and planning act as map of this process. Map must have sufficient
detail to determine what must be done next but simple enough that workers are not lost in welter
of minutiae.

Almost all project planning techniques lead to plans that contain same basic elements. They
differ only in ways they approach process of planning. At its best, planning is tortuous. It is
iterative process yielding better plans from not-so-good plans, and iterative process of
improvement seems to take place in fits and starts. Process may be described formally, but it
does not occur formally. Bits and pieces of plans are developed by individuals, by formal group
meetings, or by formalized planning teams and then improved by other individuals, groups, or
teams, and improved again, and again.

15.2 Project Planning:

In order to do successful project management, (whether it is in response to an in-house project

or a customer request), it must utilize effective planning techniques. The quantitative and
qualitative tools for project planning must be identified. Management must make effective
utilization of resources, from a systems point of view.

A systematic plan is required in which the entire company is considered as one large network
that is further subdivided into smaller ones. This would ensure effective utilization over several
different types of projects.

In this regard, the first step in total program scheduling is to understand the project objectives.
These goals may be to:
• Develop expertise in a given area
• To become competitive
• To modify an existing facility for later use
• To keep key personnel employed.

Both implicitly and explicitly, the objectives are generally not independent and are all
interrelated.

The following four questions must be considered, once the objectives are clearly defined:

i) Which functional divisions will assume responsibility for accomplishment of these

objectives and the major-element work requirements?
ii) The required corporate and organizational resources available?
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iii) What are the major elements of the work required to satisfy the objectives, and how are
these elements interrelated?
iv) What are the information flow requirements for the project?

Both the direct as well as the indirect-labor-charging organizational units must accomplish
careful planning and analysis, if the project is large and complex. The project organizational
structure must be designed to fit the project; work plans and schedules must be established so
that maximum allocation of resources can be made; resource costing and accounting systems
must be developed; and a management information and reporting system must be established.

Unless all of the necessary information becomes available at project initiation effective total
program planning cannot be accomplished. These information requirements are:

• The statement of work (SOW)

• The project specifications
• The milestone schedule
• The work breakdown structure (WBS)

As the name indicates, the statement of work (SOW) is a narrative description of the work to be
accomplished. It includes the objectives of the project, a brief description of the work, the
funding constraint if one exists, and the specifications and schedule. The schedule is a "gross"
schedule and includes such things as the:

• Start date
• End date
• Major milestones
• Written reports (data items)

Report writing is a specialized area. Written reports should always be identified so that if
functional input is required, the functional manager will assign an individual who has writing
skills. It is no secret who would write the report if the line people did not.

15.3 Planning of Execution:

As described earlier, project planning is a structured sequence of events that lead to a desired set
of objectives.

A detailed, written, “Plan of Execution (P of E) ” for project is drawn up, once project
viability has been established and decision to proceed has been made. This plan must show:

a) Who is to do what
b) When
c) How
d) Major decisions requirements

It is essential that the project objectives must be clearly tied to overall mission of the firm.
Senior management defines a firm’s:

• Intent in undertaking project

• Scope of project
• Project desired results

In this regard, the Plan of Execution:

• Becomes a vehicle for communication with all stakeholders

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• Becomes a prerequisite for detailed scheduling of work
• Helps documentation for preparation of “cost estimates”

Project management plans are more comprehensive than either management plans or project
plans. The preparation of plans is a simple, straightforward approach designed to promote and
ensure comprehensive project planning. The project management plan is a combination of two
plans that are often prepared separately: the traditional management plan, which describes
operational management systems and approaches, and the project plan, which includes the work
breakdown structure (WBS), logic, schedules, and cost estimates. They reflect awareness that
the people, the system, and the detailed planning are all critical to project success.

15.4 Information Required From Planning of Execution:

Following information is required:

1. Type of project
2. Its capacity and location(s)
3. Scope of work to be performed
4. Preliminary cost estimation
5. Site visitation report
6. Preliminary schedule of major objectives
7. Pertinent contract requirements
8. Special design and/or construction requirements
9. Climate restrictions
10. Environmental study, feasibility study reports, etc
11. Proposal document

Following are the basis for Project Manager’s planning endeavors for planning of execution.

• Existing documents:
• Client’s inquiry
• Proposal (as modified/amended in negotiation period)
• Contract and preliminary wok plans (during proposal preparation)

• Before Execution Planning:

Before Execution Planning, project manager is required to provide the complete scope
definition of work.
Planning of Execution provide basis to:
a) Schedules
b) Detailed cost estimation
c) Control budget
d) Quality and performance assurance program

It leads to develop Work Breakdown Structure and integrates work schedule costs into track-
able and controllable program. During this phase, performance baselines are also estimated
during project planning.

15.5 Early Stage Documentation by Project Manager:

This includes:
1. Coordination Procedure (CP):

• Coordination Procedures or Job Instructions. It includes administrative procedures in

projects.
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2. Early Work Schedule (EWS):
• This helps in tracking activities requiring immediate action.
• Cannot wait for release of formal schedules.
• Early work Schedule (EWS) contains:
a) Running list of activities started early
b) Name of responsible individuals
c) Completion date of an activity.
15.5.1 Emphasis Placed on Early Planning:
As we know that planning does not stop with the initial plan. It is a continuous process
which is fine tuned whenever necessary. Many events can potentially adversely affect
/disrupt plan targets. In this regard, many a times, corrective actions will be required to
restore:
a) Integrity of schedule
b) Budget
15.6 Example of Building House to Common “Activities in Each Phase” of Project Planning:
1. Definition Phase:
Problem defined in request document
House need heating, plumbing, lighting, storage etc.
2. Analysis Phase:
Produces functional specifications (deliverable)
Location of ventilators, air conditioner, outlet for phone etc.
3. Design Phase:
System proposed to solve problem
System divided into functional components
Components are interconnected
Expectation: rooms, ventilation, wiring etc.
4. Programming Phase:
Actual work conducted to bring system into being.
Expected: building of house
5. System Test Phase:
Brings pieces together and tests them as whole
House: test plumbing, electricity, roof, etc.
6. Acceptance Phase:
Customer tests complete system for acceptance/ payment
Minor problems are fixed
Major problems require negotiation
Minor problem may include house buyers ask for repairs to cracked plaster, or outlet
Major problem can be two fireplaces vs. one built.
7. Operations, Installation and Use:
House buyer moves in and lives in house
Problems developed/found upon use are fixed during warranty period
Not included in this are:
a) Maintenance
b) Upgrades
c) Extensions

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LESSON 16

PROJECT PLANNING (CONTD.)

Broad Contents

Steps in General Planning Process

Initial Project Coordination
Project Planning Checklist

16.1 Steps in General Planning Process:

In simple terms, planning is determining what needs to be done, by whom, and by when; in
order to fulfill one's assigned responsibility. There are nine major components of the planning
phase:

• Objective: A goal, target, or quota to be achieved by a certain time

• Program: The strategy to be followed and major actions to be taken in order to achieve or
exceed objectives
• Schedule: A plan showing when individual or group activities or accomplishments will be
started and/or completed
• Budget: Planned expenditures required to achieve or exceed objectives
• Forecast: A projection of what will happen by a certain time
• Organization: Design of the number and kinds of positions, along with corresponding
duties and responsibilities, required to achieve or exceed objectives
• Policy: A general guide for decision making and individual actions
• Procedure: A detailed method for carrying out a policy
• Standard: A level of individual or group performance defined as adequate or acceptable

Some of these components require additional comment. Forecasting what will happen may not
be easy, especially if predictions of environmental reactions are required. For example, planning
is customarily defined as strategic, tactical, or operational. Strategic planning is generally for
five years or more, tactical can be for one to five years, and operational is the here and now of
six months to one year. Although most projects are operational, they can be considered as
strategic, especially if spin-offs or follow-up work is promising. Forecasting also requires an
understanding of strengths and weaknesses as found in:

• Competitive situation
• Marketing
• Research and development
• Production
• Financing
• Personnel
• Management structure

These factors may be clearly definable, if project planning is strictly operational. However, if
strategic or long-range planning is necessary, then the future economic outlook can vary, say,
from year to year, and re-planning must be accomplished at regular intervals because the goals
and objectives can change.

Because of their uniqueness, the last three factors, policies, procedures, and standards, can vary
from project to project. Each project manager can establish project policies, provided that they
fall within the broad limits set forth by top management. Policies are predetermined general
courses or guides based on the following principles:
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• Subordinate policies are supplementary to superior policies.

• Policies are based upon known principles in the operative areas.
• Policies should be definable, understandable, and preferably in writing.
• Policies should be both flexible and stable.
• Policies should be reasonably comprehensive in scope.

It is essential that the project policies must often conform closely to company policies, and are
usually similar in nature from project to project. On the other hand, procedures can be
drastically different from project to project, even if the same activity is performed. For example,
the signing off of manufacturing plans may require different signatures on two selected projects
even though the same end-item is being produced.

We can easily say that planning varies at each level of the organization. At the individual level,
planning is required so that cognitive simulation can be established before irrevocable actions are
taken. At the working group or functional level, planning must include the following:

• Agreement on purpose
• Assignment and acceptance of individual responsibilities
• Coordination of work activities
• Increased commitment to group goals
• Lateral communications

All the organizational or project level, planning must include:

• Recognition and resolution of group conflict of goals

• Assignment and acceptance of group responsibilities
• Increased motivation and commitment to organizational goals
• Vertical and lateral communications
• Coordination of activities between groups

In order for the alternatives and constraints to be fully understood, the logic of planning requires
answers to several questions. An outline for a partial list of questions would include:

• Where are we?

• How and why did we get here?
• Is this where we want to be?
• Where would we like to be (in a year, in five years etc.)?
• Where will we go if we continue as before?
• Is that where we want to go?
• How could we get to where we want to go?
• What might prevent us from getting there?
• What might help us to get there?
• Where are we capable of going?
• What do we need to take us where we want to go?
• What is the best course for us to take?
• What are the potential benefits?
• What are the risks?
• What do we need to do?
• When do we need to do it?
• How will we do it?
• Who will do it?
• Are we on course? If not, why?

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• What do we need to do to be on course?
• Can we do it?

It is believed that one of the most difficult activities in the project environment is to keep the
planning on target.
Following are typical procedures that can assist project managers during planning activities:

• Establish goals before you plan. Otherwise short-term thinking takes over.
• Set goals for the planners. This will guard against the nonessentials and places your effort
where there is payoff.
• Stay flexible. Use people-to-people contact, and stress fast response.
• Keep a balanced outlook. Do not overreact, and position yourself for an upturn.
• Welcome top-management participation. Top management has the capability to make or
break a plan, and may well be the single most important variable.
• Beware of future spending plans. This may eliminate the tendency to underestimate.
• Test the assumptions behind the forecasts. This is necessary because professionals are
generally too optimistic. Do not depend solely on one set of data.
• Do not focus on today's problems. Try to get away from crisis management and fire
fighting.
• Reward those who dispel illusions. Reward the first to come forth with bad news.

16.2 Initial Project Coordination:

It is crucial that project's objectives be clearly tied to overall mission of firm. Senior
management should define firm’s intent in undertaking project, outline scope of project, and
describe project's desired results. Without clear beginning, project planning can easily go astray.
It is also vital that senior manager call and be present at initial coordinating meeting as visible
symbol of top management’s commitment to project.

At the beginning, meeting is conducted in which, project is discussed in sufficient detail that
potential contributors develop general understanding of what is needed. If project is one of
many similar projects, meeting will be quite short and routine, sort of “touching base” with
other interested units. If project is unique in most of its aspects, extensive discussion may be
required.

Whatever the process, outcome must be that:

1. Technical objectives are established (though perhaps not “cast in concrete)
2. Basic areas of performance responsibility are accepted by participants
3. Some tentative schedules and budgets are spelled out. It is important that each
individual/unit accepting responsibility for portion of project should agree to deliver,
before next project meeting, preliminary but detailed plan about how that responsibility
will be accomplished. Such plans should contain descriptions of required tasks, budgets
and schedules.

After this, these plans are then reviewed by groups and combined into composite project plan.
Composite plan, that is still not completely final, is approved by each participating group, by
project manager, and then by senior organizational management. Each subsequent approval
hardens plan somewhat, and when senior management has endorsed it, any further changes
must be made by processing formal change order. However, if project is not large or complex,
informal written memoranda can substitute for change order. Main point is that no significant
changes in project are made, without written notice, following top management's approval.
Definition of “significant” depends on specific situation and people involved.

It is generally the responsibility of the project manager to task responsibility for gathering
necessary approvals and assuring that any changes incorporated into plan at higher levels are
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communicated to, and approved by, units that have already signed off on plan. Nothing is as
sure to enrage functional unit managers as to find that they have been committed by someone
else to alterations in their carefully considered plans with out being informed. Violation of this
procedure is considered betrayal of trust. Several incidents of this kind occurred in firm during
project to design line of children’s clothing. Anger at this change without communication was
so great that two chief designers resigned and took jobs wit competitors.

Project manager should always return to contributing units for consideration and re-approval of
plans as modified, because the senior manages are almost certain to exercise their prerogative to
change plan. Final, approved result of this procedure is project plan, also known as master plan,
or baseline plan.

16.2.1 Outside Clients:

Fundamental planning process is unchanged (except for the fact that specifications
cannot be altered without client's permission), when project is to deliver product/service
(often referred to as project's deliverables) to outside client(s). Common “planning”
problem in these cases is that marketing has promised deliverables that engineering may
not know how to produce on schedule that manufacturing may be unable to meet. This
sort of problem usually result when various functional areas are not involved in
planning process at time original proposal is made to potential client.

In this regard, two objections to such early participation by engineering and

manufacturing are likely to be raised by marketing. First sales arm of organization is
trained to sell and is expected to be fully conversant with all technical aspects of firm’s
products/services. Further, salespeople are expected to be knowledgeable about design
and manufacturing lead times and schedules. On the other hand, it is widely assumed by
marketing (with some justice on occasion) that manufacturing and design engineers do
not understand sales techniques, will be argumentative and/or pessimistic about client
needs in presence of client, and are generally not “housebroken” when customers are
nearby.

Secondly, it is expensive to involve so much technical talent so early in sales process –

typically, prior to issuing proposal. It can easily cost firm more than $10,000 to send
five technical specialists on trip to consider potential client’s needs. Willingness to
accept higher sales costs puts even more emphasis on selection process.

It is usually cheaper, faster and easier to do things right first time than to redo them.
Thus, rejoinder to such objections is simple. When product/service is complex system
that must be installed in larger, more complex system, it is appropriate to treat sale like
project. Sale is also a project and deserves same kind of planning. Great many firms
that consistently operate in atmosphere typed by design and manufacturing crises have
created their own panics. In fairness, it is appropriate to urge that anyone meeting
customers face to face should receive some training in tactics of selling.

For a given project plan, approvals really amount to series of authorizations. Project
manager is authorized to direct activities, spend monies (usually within preset limits)
request resources and personnel, and start project on its way. Senior management's
approval not only signals its willingness to fund and support project, but also notifies
subunits in organization that they may commit resources to project.

16.3 Project Planning Checklist:

These are described below for different areas of operations:

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• Construction Planning:

1. Facility turnover sequence

2. Temporary facilities, offices, warehousing, etc
3. Tool and equipment requirements
4. Labor availability and productivity
5. Work week and productivity impact
6. Climatic affects on field work
7. Field engineering assistance required
8. Extent of subcontracting
9. Field organization and staffing

• Procurement Planning:

1. Procurement sources (equipment, materials)

2. Home office versus field procurement
3. Long lead time items
4. Logistical planning

• Engineering Planning:

1. Source(s) of technology
2. Codes, specifications and standards to be utilized
3. Utilization of consultants
4. Early work
5. Requisitioning priorities
6. Drawing priorities
7. Vendor data requirements
8. Utilization of scale models
9. Manpower requirements
10. Approval requirements
11. Organization and staffing
12. Utilization of prefabricated modules

• Quality Control Planning:

1. Audit of design and equipment for conformance to specifications

2. Checking of calculation and drawings
3. Shop inspection of equipment and fabricated items
4. Certification of materials
5. Certificate of welding procedures
6. Receiving and inspection of equipment and materials
7. Jobsite storage and environmental protection of equipment and materials
8. Construction inspection

• Financial Planning:

1. Cash flow requirement

2. Progress payments and billing frequency
3. Impact of financial sources

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LESSON 17

PROJECT PLANNING (CONTD.)

Broad Contents

Elements of a Project Plan

System Integration

17.1 Elements of a Project Plan:

As we know that the process of developing project plan varies from organization to
organization. However, any project plan must contain the following elements:

• Overview:

This is short summary of objectives and scope of project. It is directed to top management
and contains statement of goals of project; brief explanation of their relationship to firm’s
objectives, description of managerial structure that will be used for project, and list of major
milestones in project schedule.

• Introduction:
This contains more detailed statement of general goals noted in overview section. Statement
should include profit and competitive aims as well as technical goals.

• General Approach:
This section describes both managerial and technical approaches to work. Technical
discussion describes relationship of project to available technologies. For example, it might
note this project is extension of work done by company for earlier project. Subsection on
managerial approach takes note of any deviation from routine procedure – for instance, use
of subcontractors for some parts of work.

• Contractual Aspects:
This critical section of plan includes complete list and description of all reporting
requirements, customer-supplied resources, liaison arrangements, advisory committees,
project review and cancellation procedures, proprietary requirements, any specific
management agreements (for example, use of subcontractors) as well as technical
deliverables and their specifications, delivery schedules, and specific procedures for
changing any of above. Completeness is necessity in this section. If in doubt about whether
item should be included or not, wise planner will include it.

• Schedules:
This section outlines various schedules and lists all milestones events. Estimated time for
each task should be obtained from those who will do work. Project master schedule is
constructed from those inputs. Responsible person or department head should sign off on
final, agreed-on schedule.

• Resources:
There are two primary aspects to this section. First is budget. Both capital and expense
requirements are detailed by task, which makes this project budget. One-time costs are
separated from recurring project costs. Second, cost monitoring and control procedures
should be described. In additional to usual routine elements, monitoring and control
procedures must be designed to cover special resource requirements for project, such as

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special machines, test equipment, laboratory usage or construction, logistics, field facilities,
and special materials.

• Personnel:
This section lists expected personnel requirements of project. Special skills, types of
training needed, possible recruiting problems, legal or policy restrictions on work force
composition, and any other special requirement, such as security clearances, should be
noted here. (This reference to “security” includes need to protect trade secrets and research
targets from competitors as well as need to protect national security). It is helpful to time-
phase personnel needs to project needed and in what numbers. These projections are
important element of budget, so personnel, schedule, and resources sections can be
crosschecked with one another to ensure consistency.

• Evaluation Methods:
Every project should be evaluated against standards and by methods established at project's
inception. This section contains brief description of procedure to follow in monitoring,
collecting, storing, and evaluating history of project.

• Potential Problems:
Sometimes it is difficult to convince planners to make serious attempt to anticipate potential
difficulties. One or more such possible disasters such as subcontractor default, technical
failure, strikes, bad weather, sudden required breakthroughs, critical sequences of tasks,
tight deadlines, resource limitations, complex coordination requirements, insufficient
authority in some areas, and new complex or unfamiliar tasks are certain to occur. Only
uncertainties are which ones will occur and when. In fact, timing of these disasters is not
random.
There are times, conditions and events in life of every project when progress depends on
subcontractors, or weather, or coordination or resource availability, and plans to deal with
unfavorable contingencies should be developed early in project's life cycle. Some project
managers disdain this section of plan on grounds that crises cannot be predicted. Further,
they claim to be very effective firefighters. It is quite possible that when one finds such
project manager, one has discovered arsonist. No amount of current planning can solve
current crises, but preplanning may avert some.

These are elements that constitute project plan and are basis for more detailed planning of
budgets, schedules, work plan, and general management of project. Once this basic plan is fully
developed and approved, it is disseminated to all interested parties.

Below is detailed discussion on some important parts/aspects of a Project Plan.

• Introduction/Overview:

The project management plan introduction/overview includes an introduction both to the

specific project and to the project management plan document itself. Some background
information may be included to set the stage or provide perspective on the information that
follows, such as how the project was initiated, who the customer or sponsor is, how the project
is funded, or other factors that are important to those who read the plan. Introductions are
always short, allowing the reader to move into the plan quickly. Additional external or historical
information can be referenced or included in the Appendix.

External factors, such as general or specific economic trends, constraints, or opportunities;

political or governmental conditions; population demographics; or internal organizational
factors, should be discussed.

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• Mission and Objectives:

The purpose or mission of the project is stated in one or two paragraphs, followed by a set
of concrete objectives. The mission statement is all encompassing, establishing why the
project exists. Mission statements can be general or specific. They also reference the
customer if the project is being performed under contract or for a third party.

Project objectives are outlined as specific goals to be accomplished and to which status they
can be applied. For instance, objectives for a small construction project might include a
good location; a modern energy-efficient economic design; a fully furnished facility; a
complete set of project documents; compliance with all laws, codes, and requirements; a
standard profit margin; and a completion date.

Planning becomes straightforward when objectives are defined for key areas. Objectives
can be established for every aspect of the project, including scope of work, organization,
management, systems, environment, safety, and overall completion of the project (i.e., final
cost and schedule dates). Established objectives in the following areas facilitate detailed
planning, systems development, and work performance:

o Technical objectives
o Schedule objectives
o Cost objectives
o Organizational/personnel-related objectives
o Quality objectives
o Environmental safety and health objectives
o Contracting/procurement objectives
o Management system objectives

Well-defined objectives enhance the reliability of subsequent planning. Once objectives are stated in
concise terms, they allow for the development of the project scope of work and the work breakdown
structure.

• Work Scope:

The work scope section of the project management plan demonstrates how well the project
is understood.

It includes narrative descriptions of all elements of the project’s scope of work. It clearly
identifies the products or services to be provided to the customer. The statement of work
contains enough information to allow development of the Work Breakdown Structures
(WBS), schedules, and cost estimates, as well as assignment of responsibilities.

This section can address the project phases and include special plans associated with those
phases, such as the Research and Development plan, engineering/design plans, construction
plan, manufacturing plan, facility start-up plan, or transition plan. It may also describe the
systems management activities, including systems engineering and integration, to ensure
project life cycle perspective. In other words, it shows that the activities necessary to ensure
that the design and final products meet customer requirements are all planned and managed
properly and can be integrated and operated as intended, and that start up, transition,
operation, and completion activities are also planned and managed properly.

To simplify preparation, the work scope can be prepared in outline form, which can then be
used to develop the Work Breakdown Structures (WBS). Often the Work Breakdown
Structure (WBS) and work scope are prepared in parallel, with the resultant narrative
description of the work called a Work Breakdown Structure (WBS) dictionary.

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• Planning Basis:

The planning basis section provides for the documentation of key approaches, assumptions,
requirements, and other factors considered during preparation of the project management
plan. The following topics are addressed in this section:

1. Project Deliverables/End Products:

A list of all products, documents, and services to be delivered to the customer

over the life of the project is required.

2. Requirements:

Requirements are specifications or instructions that must be followed during

project performance.

They may include technical requirements, facilities requirements, data

requirements, management requirements, or special instructions. Technical
requirements may include codes, standards, laws, engineering or design
specifications, models, or examples for mandatory or recommended compliance
on the project. When there are mandatory requirements, such as laws, these
must be identified and listed, or project performers run the risk of
noncompliance and legal prosecution.

Facilities requirements include an initial assessment of types, amount, and

quality of facilities needed for the project, along with related utilities, furniture,
and equipment.

This provides initial bases for estimating quantities and costs associated with
those resources. Overlooking facilities issues during project planning leads to
schedule slippages, cost overruns, unhappy project participants, and untold
headaches for the project managers. For small projects, facility requirements
may not be a big issue; for larger projects, they can be critical.

Functional and operational requirements spell out what the system, facility, or
product being produced is intended to do. They provide the basis for the
engineering, design, and planning of the system, facility, or product. Where
Functional and operational requirements exist, listing or identifying them
greatly simplifies and facilitates the design process. Mandatory data
requirements, management directives, or special instructions are also identified
and documented during the planning process. Special instructions may include
directions from the customer or upper management or may be spelled out in
contract documents.

3. Constraints:

Constraints may include known technical limitations, financial ceilings, or

schedule “drop dead” dates. Technical constraints may be related to state-of-
the-art capabilities, interface requirements with other systems, or user-related
issues (e.g., software that must run on certain types of personal computers).
Financial and schedule constraints can be introduced by the customer and lead-
time associated with procured hardware or funding/ budgetary limits.

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4. Approaches/Strategies:

The approach or strategies to be utilized can have a major impact on subsequent

planning.

For instance, if all project work is to be performed within the parent (host)
organization with minimum subcontract support that approach impacts planning
of resources and organizational issues. If work is to be “fast-tracked” by
overlapping design and construction activities, or by performing more work in
parallel, then that approach can be described. Communication of strategies to
project participants can be done effectively by devoting several paragraphs to
that topic in this section of the project management plan.

5. Key Assumptions:

Every project is planned under some degree of uncertainty. Therefore,

assumptions are required to estimate work scope, schedule durations, resource
requirements, and cost estimates. Assumptions are also required when defining
the management strategies, systems, and procedures to be utilized.

Major assumptions are to be documented because they can have a significant

impact on planning and estimating. This is true on all projects, regardless of
size. Large projects, which involve numerous participants and major
complexities, generally depend on more key assumptions during project
planning than smaller projects. The major reason for documenting key
assumptions is to provide the project manager with a basis for revising plans
when the assumptions are changed (that is, when a customer changes his or her
mind).

6. Specifically Excluded Scope:

This subject may be needed to limit the scope of work. It highlights specific
and relatively obvious issues, such as documentation, training, or follow-on
support, which customers often assume but which cost money and have not
been included in the project plan. Clarification of these scoping questions saves
headaches later, in some cases even avoiding litigation.

17.2 Systems Integration:

Systems integration (sometimes called systems engineering) plays crucial role in performance
aspect of project. We are using this phrase to include any technical specialist in science or art of
project who is capable of performing role of integrating technical discipline to achieve
customer’s objectives, and/or integrating project into customer’s system.

As such, system integration is concerned with three major objectives:

1. Performance:

It is what system does. It includes system design, reliability, quality, maintainability,

and reparability. Obviously, these are not separate, independent elements of system, but
are highly interrelated qualifies. Any of these system performance characteristics is
subject to over-design as well as under-design but must fall within design parameters
established by client. If client approves, we may give client more than specifications

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require simply because we have already designed to some capability and giving client
over designed system is faster and less expensive than delivering precisely to
specification. At time, esthetic qualities of system may be specified, typically through
requirement that appearance of system must be acceptable to client.

2. Effectiveness:

Objective is to design individual components of system to achieve desired performance

of optimal manner. This is accomplished through following guidelines:

• Require no component performance specifications unless necessary to meet one or

more system equipments.
• Every component requirement should be traceable to one or more systems
requirements.
• Design components to optimize system performance, not performance of
subsystem.

It is not unusual for clients to violate any or all of these seemingly logical dicta.
Tolerances specified to far closer limits than any possible system requirement,
superfluous “bells and whistles,” and “off shelf” components that do not work well with
rest of system are so common they seem to be taken for granted by both client and
vendor. Causes of these strange occurrences are probably associated with some
combination of inherent distrust between buyer and seller, desire to over-specify in
order “to be sure” and feeling that “this part will do just as well”. These attitudes can be
softened and replaced with others that are more helpful to process of systems
integration.

3. Cost:

Systems integration considers cost to be design parameter, and costs can be

accumulated in several areas. Added design cost may lead to decreased component
costs, leaving performance and effectiveness otherwise unchanged. Added design cost
may yield decreased production costs and production cost may be traded off against
unit cost for materials. Value engineering (or value analysis) examines all these cost
tradeoffs and is important aspect of systems integration. It can be used in any project
where relevant cost tradeoffs can be estimated. It is simply consistent and thorough use
of cost/effectiveness analysis. For application of value engineering techniques applied
to disease control projects.

Systems integration plays major role in success or failure of any project. If risky
approach is taken by systems integration, it may delay project. If approach is too
conservative, we forego opportunities for enhanced project capabilities or advantageous
project economies. Good design will take all these tradeoffs avoid locking project into
rigid solution with little flexibility or adaptability in case problems occur later on or
changes in environmental demand changes in project performance or effectiveness.

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