Chapt14

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Chapt14

  1. 1. Managing Engineering and Technology Third Edition Babcock and Morse <ul><li>Project Planning and Acquisition </li></ul><ul><li>Chapter 14 </li></ul>
  2. 2. Advanced Organizer
  3. 3. Chapter Objective <ul><li>Describe the management tools used in project planning </li></ul>
  4. 4. A Project <ul><li>A project is a one-time job that has definite starting and ending points, clearly defined objectives, scope, and (usually) a budget. </li></ul>
  5. 5. Essential Considerations of a Project <ul><ul><li>Cost </li></ul></ul><ul><ul><li>Schedule </li></ul></ul><ul><ul><li>Performance </li></ul></ul>
  6. 6. Project Proposal Process <ul><li>Description of what is to be accomplished </li></ul><ul><li>Proposal or estimate of time </li></ul><ul><li>Proposal or estimate of cost </li></ul>
  7. 7. Project Proposal Process <ul><li>Pro-active businesses prepare in advance </li></ul><ul><ul><li>Technical capabilities/skills/skill mix </li></ul></ul><ul><ul><li>Assessment of future technologies </li></ul></ul><ul><ul><li>Assessment of future markets </li></ul></ul><ul><li>Proposals are expensive to complete </li></ul>
  8. 8. Proposal Preparation <ul><li>Based on RFP </li></ul><ul><ul><li>Statement of Work (SOW) </li></ul></ul><ul><ul><li>Schedule </li></ul></ul><ul><ul><li>Specifications </li></ul></ul><ul><ul><li>Standard Clauses </li></ul></ul>
  9. 9. Proposal Preparation <ul><li>Government vs. Commercial </li></ul><ul><li>Reviewed extensively by both parties </li></ul><ul><li>May become basis for contract (including 1st and 2nd tier specifications) </li></ul>
  10. 10. Managing a Project
  11. 11. Define the Problem <ul><li>What is the Purpose? </li></ul><ul><li>What Client Need Is Being Satisfied by the Project? </li></ul>
  12. 12. Plan the Project <ul><li>What must be done? </li></ul><ul><li>Who will do it? </li></ul><ul><li>How will it be done? </li></ul><ul><li>When must it be done? </li></ul><ul><li>How much will it cost? </li></ul><ul><li>What do we need to do it? </li></ul>
  13. 13. Effective Planning <ul><li>Plan to plan </li></ul><ul><li>People implementing plan should be involved in preparing plan </li></ul><ul><li>What is the Purpose? </li></ul>
  14. 14. Planning Mission Statement <ul><li>What do we do? </li></ul><ul><li>For whom do we do it? </li></ul><ul><li>How do we go about it? </li></ul>
  15. 15. Planning Develop Objectives <ul><li>Specific </li></ul><ul><li>Measurable </li></ul><ul><li>Attainable </li></ul><ul><li>Realistic </li></ul><ul><li>Time-limited </li></ul><ul><li>Consistent with organizational plans </li></ul>
  16. 16. Project Planning Tools <ul><li>SOW </li></ul><ul><ul><li>Scope of work </li></ul></ul><ul><ul><li>Itemized tasks to be performed </li></ul></ul><ul><ul><li>Deliverables </li></ul></ul><ul><ul><li>Data Items </li></ul></ul><ul><ul><li>Reports </li></ul></ul>
  17. 17. Project Planning Tools <ul><li>Milestone Schedule </li></ul><ul><ul><li>Key dates </li></ul></ul><ul><ul><li>May include entrance and exit criteria for each milestone </li></ul></ul>
  18. 18. Project Planning Tools <ul><li>Work Breakdown Structure (WBS) </li></ul><ul><ul><li>Level-by-level subdivision of work to be performed in a contract </li></ul></ul><ul><ul><li>Common framework or outline </li></ul></ul><ul><ul><li>Complicated task is subdivided into several smaller tasks </li></ul></ul><ul><ul><li>Process continued until task can no longer be subdivided </li></ul></ul>
  19. 19. Project Planning Tools <ul><li>Gantt Charts (Henry L. Gantt) </li></ul><ul><ul><li>Tasks </li></ul></ul><ul><ul><li>Precedence Relationship </li></ul></ul><ul><ul><li>Duration </li></ul></ul>
  20. 20. Project Planning Tools <ul><li>Network Scheduling Systems </li></ul><ul><ul><li>Critical Path Method (CPM); construction </li></ul></ul><ul><ul><li>Program Evaluation Review Technique (PERT); aerospace and related industry </li></ul></ul><ul><ul><ul><li>Optimistic </li></ul></ul></ul><ul><ul><ul><li>Likely </li></ul></ul></ul><ul><ul><ul><li>Pessimistic </li></ul></ul></ul>
  21. 21. Types of Contracts <ul><li>Fixed-Price </li></ul><ul><ul><li>Firm Fixed-price </li></ul></ul><ul><ul><li>Fixed-price with escalation </li></ul></ul><ul><ul><li>Fixed-price, redeterminable </li></ul></ul><ul><ul><li>Fixed-price, incentive </li></ul></ul>
  22. 22. Types of Contracts <ul><li>Cost Type </li></ul><ul><ul><li>Cost plus incentive fee </li></ul></ul><ul><ul><li>Cost plus fixed-fee </li></ul></ul><ul><ul><li>Time and materials </li></ul></ul>

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