1

Basics of Security Project Management

Session 4 Planning

2

3

PlanningHappens after Project Initiation Phase

Initiation within System Integrator world begins with Sales

Initiation may also involve Sales Engineering ampor Engineering CAD Operations Finance

Planning ndash for Systems Integrators typically starts at receipt of project unless designbuild type project

4

Establish project plan

1 2 3 4

Schedule amp Communications

Plan

Project milestones amp

details

Budget Change Plan amp

Risk Contingencies

Planning

5

Learning Objectives

1

3

5 2

4

6 Identification of Planning steps

Applications of Skills

Risks identification amp considerations

Refinement of the Security Project Initiation

Stage

Team Planning

Consideration of Planning Resources

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

2

3

PlanningHappens after Project Initiation Phase

Initiation within System Integrator world begins with Sales

Initiation may also involve Sales Engineering ampor Engineering CAD Operations Finance

Planning ndash for Systems Integrators typically starts at receipt of project unless designbuild type project

4

Establish project plan

1 2 3 4

Schedule amp Communications

Plan

Project milestones amp

details

Budget Change Plan amp

Risk Contingencies

Planning

5

Learning Objectives

1

3

5 2

4

6 Identification of Planning steps

Applications of Skills

Risks identification amp considerations

Refinement of the Security Project Initiation

Stage

Team Planning

Consideration of Planning Resources

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

3

PlanningHappens after Project Initiation Phase

Initiation within System Integrator world begins with Sales

Initiation may also involve Sales Engineering ampor Engineering CAD Operations Finance

Planning ndash for Systems Integrators typically starts at receipt of project unless designbuild type project

4

Establish project plan

1 2 3 4

Schedule amp Communications

Plan

Project milestones amp

details

Budget Change Plan amp

Risk Contingencies

Planning

5

Learning Objectives

1

3

5 2

4

6 Identification of Planning steps

Applications of Skills

Risks identification amp considerations

Refinement of the Security Project Initiation

Stage

Team Planning

Consideration of Planning Resources

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

4

Establish project plan

1 2 3 4

Schedule amp Communications

Plan

Project milestones amp

details

Budget Change Plan amp

Risk Contingencies

Planning

5

Learning Objectives

1

3

5 2

4

6 Identification of Planning steps

Applications of Skills

Risks identification amp considerations

Refinement of the Security Project Initiation

Stage

Team Planning

Consideration of Planning Resources

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

5

Learning Objectives

1

3

5 2

4

6 Identification of Planning steps

Applications of Skills

Risks identification amp considerations

Refinement of the Security Project Initiation

Stage

Team Planning

Consideration of Planning Resources

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

6

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

7

Why have a PlanA defined plan is key to successful project management

Documenting the Project Plan providesKey customer informationTeam amp resource guidanceScope definitionTime linesCoordination requirementsContingency planningCreates Value

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

8

Project Planning ActivitiesKickoff

bull Internal project teambull High level overview

Review

bull Project ownershipbull Contract documentsbull Plans specs specific scope of workbull High level schedule items

Plan

bull Budget Estimates amp Cashflow requirementsbull Schedule amp Resource requirementsbull Communicationsbull Control amp Managementbull Internal Project Executive Escalation process

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

9

PLAN development is based on SCOPE

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

10

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

11

Questions to Answer During PlanningPoint 1 What did we sign up for

Point 2 Who amp what resources are needed

Point 3What are phases tasks milestones risks priorities

Point 4 Cash flow bonding insurance amp other cost requirements

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

12

Project Planning Information

Estimated Duration

Assumptions

Key Objectives

Resources

Major Risks

Executive Summary

Project Objectives

Project Scope

Estimated ProjectHours

Estimated Cost amp Profitability

Project Scope

Document

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

13

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

14

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

15

Planning

Project Plans amp Specs

Project Contractual Documents

Procurement Approach

Sole Source Justification

Design Criteria amp

Requirements

Performance requirements

Business ObjectivesResource Approach

Business Safeguards amp

Objectives

ldquoFail to Plan Plan to Failrdquo

establishing an aligned repeatable process

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

16

Planning Potential Information

6 Job Turnover amp Closing Requirements

5 Delivery Schedule Labor Requirements

4 IT Network Requirements amp Provisioning

3 Facility Job Site Rules amp Regulations

2 Site Information

1 Organizational Charts

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

17

Planning Always Think the JobStart from furthest point out in to the head end What devices How far What could happen along the way What other trades required When can we dohellip Are there phases How do we avoid go backs

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

18

Planning Site Information

bull Existing Conditionsbull Special Operational requirementsbull Special Site Conditionsbull Special equipment requiredbull Delivery requirementsbull Labor requirementsbull Safety Training

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

19

Planning Project TeamProject Manager

Your Company

EngineeringCAD

Your Company

Labor

Combo

Subcontracted

Outside

Technicians

Inside

IT Network

Typ Your Company

Outside Resources

Coordinated

Finance

Your Company

Procurement

Your Company

Suppliers

Outside

Cash Flow Mgmt

Combo

Service amp SupportYour Company

Subconrtacted

Outside

Project Assistant

Your Company

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

20

Planning Always Think the JobProject Area What could go wrong

Scope Poorly defined or understood

Integration Lack of knowledge engineering pre-configurationtesting mistakes

Cost Estimate Inaccuracies missing parts or labor subcontractor labor missed scope

Schedule Delays lack of coordination critical path undefined holidaysick time working hours

Resources Miss management unassignedoverbooked crew size skills needed safety certifications

IT Network Lack of coordination network not available lack of knowledge resource shortage certifications needed

Communication Cadence lack of documentation use of wrong words missed updating

Other Risks Weather fire activities strike acquisition

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

21

Planning Scope Verification

Estimate Validation Plans Specifications RFIs Device schedule amp counts Conduit wire runs wire types Risers Fire alarm amp elevator connections Power IT amp Network connections Ceiling amp wall types Doorsframeshardware elevators

Documentation Door Hardware Schedules Mark Ups Notes Dates Engineered Drawings Pricing Presentation Breakouts Technical Specification Response

Plan amp Spec Review amp Take Offs

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

22

Broad Categories of RISK

2

3

4

5

1 Market Risk

Financial Risk

Technology Risk

People Risk

Structure Process Risk

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

23

Importance of Planning Project Risk Management

bull Project Life Cycle ndash risk variances change

bull Risk considerations often overlooked

bull Risk planning can help improve success

bull Are all projects worth accepting

bull Where are highest exposures

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

24

Project Risk Management

Enter phase Start project

Knowledge Area

Project PhaseInitiation Planning Execution Monitoring Closing

Risk Overview Risk Analysis

Plan ID Risk Risk Mgmt ID Qualitative Risk Quantitative RiskPlan Riskresponse

Manage risks document events non-events

Monitor Control amp close out Risks

SOW complete wapproval

Exit phase End projectInitiation Closing

Monitoring amp Controlling Processes

Planning Processes

ExecutionProcesses

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

25

Negative Positive Risks Understanding potential problems that may occur amp how they may impact

project success

Negative risk management is like a form of insurance

Positive risks result in good things sometimes called opportunities

Review understand your approach to risk vs project ownerrsquos approach

How amp when do you identify a project as being too risky

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

26

Subset of project management plan May include

o Methodologyo Roles amp responsibilitieso Budgetingo Timingo Risk categories

o Definition of probability and impacto Stakeholder toleranceso Reporting formatso Trackingo Probability and impact matrix ()

Risk Management PlanDescribes how risk management will be structured and performed on the project

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

27

Examples of risks to Security Projects

Typical Security Project Risks

Payment Cadence

Schedule Delays

Equipment Delivery amp Installation

Changes

Closing Codes AHJ Approvals

Labor

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

28

Project Planning KnowledgeDuring project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Budget allocated to managing the risk

Resources assigned to handling the risk

Events that result in the risk actually occurring

Actions the team should take when the risk actually occurs

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

29

Events that result in the risk actually occurring

During project scope review planning amp risk management planning team members identify risk triggers These warning signs represent the

Project Planning Knowledge

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

30

Project Planning KnowledgeProject managers may document possible project risks in the

Risk Register

Project Charter

Risk Management Plan

Project Scope Statement

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

31

Project managers may document possible project risks in the

Risk Register

Project Planning Knowledge

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

32

Planning Risk Management

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

33

32

1 Inputs

Tools amp Techniques

Output

Plan Risk Management First Project Scope Statement Cost Management Plan Schedule Management Plan Communication Management Plan Enterprise Environmental Factors Organizational Process Assets

Planning meetings and analysisProcess to followKey Players included

Project Risk Management Plan

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

34

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Cost and time

Type and category

Formal and informal

Magnitude and probability

Project Planning Knowledge

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

35

Qualitative risk analysis typically involves examining historical information to make informed decisions for each possible outcome Quantitative risk analysis identifies the

Magnitude and probability

Project Planning Knowledge

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

36

Plan Risk Management

Importance

Risk Categories

Plan Risk Mgmt

Degree type visibility of risk management arecommensurate to importance

Establish agreed-upon basis for risk evaluation Provide resources amp time for risk management activities

ID standard risk categories to ensure remembered Standard list of risk categories helps identify risk

considerations now amp in future

Business Risk gain or loss Insurable Risk only a risk of loss (ie fire theft personal

injury business interruption etc)

PrimaryTypes of

Risk

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

37

The primary output of this process risk management plano documents the processes amp procedures to implement to manage risk

throughout a project

Project Team should review and understand the organizational and sponsor risks amp approaches to risk

A Project Risk Register can be created in which to document potential risks amp plans

The level of plan detail varies with project scope type amp requirements

Planning Risk Management

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

38

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

Strengths

Weakness

Opportunities

Contingencies

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

39

Opportunities

Planning KnowledgeProject managers identify preventive actions for project risks They also need to prepare for risk events that could represent

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

40

Effective project managers resolve project risks with high priority values on which basis

Utmost urgency

Budget allocation

When scheduled

Resource availability

Planning Knowledge

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

41

Utmost urgency

Planning KnowledgeEffective project managers resolve project risks with a high priority value on which basis

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

42

Contingency PlanningContingency Plan ndash predefined actions to take when an identified risk event occursTypes of contingenciesndash Laborndash Cost overrunsndash Deliveryndash Schedule delaysndash Change in ownership

Fallback Plans - developed for risks with high impact on project objectives Come into effect when reduction of risk is not effective

Contingency Reserves - provisions to reduce cost or schedule overruns

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

43

Planning Scope Management

Expect the best plan for the worst and prepare to be surprised - Denis Waitley

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

44

Planning Contract Management

bull Signed contract documents reviewed by internal teambull Insurances Bonds in placebull Labor Payroll requirements amp reporting definedbull Change Order process paper pricing approvals

understoodbull Project Manager authority levels definedbull Contract constraints consideredbull Default clause reviewed amp understoodbull Warranty clausebull Taxes

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

45

bull Understand all work requiredbull Understand exceptions clarifications work by othersbull Overall project schedulebull Security scope against schedule

bull Submittal Engineering Processbull Initial AutoCAD project plan development for approvalbull Device plansbull Risersbull Detail drawingsbull Specific detail coordination ie doorhardware schedule trenching

power conduit pathways IT amp networks

Security Scope Management

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

46

Scope Statement defined summary Includeso Project Justification business objectives evaluating future trade-offso Project Product summary of end result ndash what are we deliveringo Project Deliverables summary of deliverable items for project

completion o Project Objectives quantifiable criteria for success

Supporting Detail documentation of all assumptions and constraints

Scope Management Plan ndash process amp methods too Manage scopeo Understand expected deliveryo Manage control change procedureso Classify track amp monitor progresso Control what is is not in the project

Scope Planning Outputs

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

47

Work Breakdown StructureWork Breakdown Structure - deliverable-oriented breakdown of projects into smaller components Work breakdown structure - key project deliverable that organizes work into manageable sections

Decomposition ndash based on WBS Subdivides major deliverables into manageable components

oPhases amp TasksoMilestones ndash critical path items tasksoCost ndash could be assignedoTask durations definedoResource Assignments

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

48

Improve accuracy cost time resource estimatesDefines baseline for performance measurementClearly assigns responsibilitiesReduces risk of higher cost redundancy time delays and poor productivityDefines ldquowhatrdquo you are doing Work Breakout Schedule is the visible evidence of scope definition

Scope Definition InputsScope StatementConstraints ndash consider contractual provisionsAssumptionsOther Planning OutputsHistorical information

Scope DefinitionSubdivide major deliverables to smaller manageable components

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

49

Project Time Management

Better three hours too soon than a minute too late

- William Shakespeare

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

50

The processes required to ensure timely completion of a project Processes include

o Activity definitiono Activity sequencingo Activity duration estimatingo Schedule developmento Schedule controlo Personal time management

50

Project Time Management

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

51

Schedule Execution Learning ObjectivesUnderstand and use critical path analysis

Describe use of techniques to shorten project schedules

Basic concepts behind critical chain scheduling amp Program Evaluation and Review Technique (PERT)

Discuss controlling and managing changes to the project schedule

How software can assist in project time management

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

52

Execution Schedule Learning Objectives

Understand importance of project schedules amp time management Identify major components of project schedule definition Learn how dependencies assist in activity sequencing Identify various tools and techniques help project managers perform

Activity duration estimating and schedule development Gantt chart use schedule tracking amp realignment

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

53

Schedule Definition Benefitsbull Identifies Phases Tasks Critical Path itemsbull Help prevent work slippagebull Provides task understanding within overall

project bull Defines impact upon the projectbull Facilitates communication amp coordinationbull May help prevent changesbull Focuses team amp results in higher qualitybull Validates labor estimates type cost timebull Role identificationbull Provides graphic of project hierarchy

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

54

Work Breakdown ScheduleHigh Level definesmMini-projects within ProjectProject Phases Categories Systems- Some idea of phase timing- Task time assignments amp dependencies roll up to phase time framesDetailed Tasks per PhaseMilestones ndash specific items critical path or of particular importanceTasks- Easily defined important to overall completion of work- Rely on specific resources- Require specific time estimates (typically hours or days)- Have a meaningful conclusion and deliverable- Generally can be completed without interruption- May depend on others

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

55

Cost overrun $211 billion (145)Delay 1 year (20)Country UK

THE CHANNEL TUNNEL

Cost overrun $161billion (163)Delay Ahead of scheduleCountry China

THREE GORGES DAM

THE BIG DIG

Cost overrun $134 Billion(421)Delay 9years(128)Country US

JUBILEE LINE EXTENSION

Cost overrun $4 Billion(84)Delay 2 years(128)Country UK

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

57

Importance of Project Schedules

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

58

Importance of Project SchedulesActivity Definition Project schedules grow from the scope of work

o Project charter start and end dates budget informationo Scope amp WBS define what will be accomplished

Activity Definition specific Task definition Result more realistic time duration estimates Verify labor requirements

Activity Duration Estimating Occurs based on Task definition Duration the expected time an activity is allocated Monitoring includes activity time plus elapsed time Effort expressed in work days or hours required Resources responsible for the work important for task

creation time estimates review

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

59

Activity Sequencing Involves reviewing activities and determining dependencies You must determine dependencies in order to use critical

path analysis

Schedule Development Uses results of time management processes to determine start

end dates of activities Goal create realistic schedule a basis for monitoring progress

within time dimension Important tools include Gantt charts PERT analysis critical

path analysis critical chain scheduling

Importance of Project Schedules

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

60

Project Scheduling Time Cost Tools

Gantt charts standard format for displaying project scheduleSymbols include

bull Black diamond milestones or significant events on a project with zero duration

bull Thick black bars summary tasksbull Lighter horizontal bars tasksbull Arrows dependencies between tasks

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

61

Critical Path Method A project network analysis technique used to predict total project duration Defines activities serices that determines the earliest time the project can be completed Critical path is the longest path through the network diagram with the least slack or float

Finding the Critical Path Develop a good project network diagram Add durations for each activities on each path in the diagram The longest path is the critical path

Importance of Updating Critical Path Data Project schedule updates important Critical path may change as actual start and finish dates are updated Once you know project completion will slip find resolution with the project owner

Critical Path

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

62

Project Network Diagrams

Show project activity sequencing Schematic display of logical relationships or

sequence of activities Also called activity-on-arrow (AOA) network

diagrams Circles are activity start and end points Activity motion represented by arrows Shows only finish-to-start dependencies

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

6363

Determining Critical Path

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

64

Using Critical Path Analysis

Misconceptionso The critical only accounts for time o It does not account for activity prioritieso There can be more than one critical path if the lengths of two or more

paths are the sameo The critical path can change as the project progresses

If activities on critical path take longer than planned project completion will slip unless corrective action is taken

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

65

Critical path helps when making schedule trade-offs Free slack or free float time an activity can be delayed without delaying early start of

immediately following activities Total slack or total float time an activity may be delayed from early start without

delaying the project finish date A forward pass determines early start finish dates A backward pass determines late start finish dates

Critical Path Analysis amp Schedule Changes

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

66

FOR DISCUSSION

Why do schedule issues often cause the most conflicts on projects

66

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

67

Planning Cost Management

Better three hours too soon than a minute too late

- William Shakespeare

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

68

Goal ensure project is completed within budgetCost of resources neededldquolife-cycle costingrdquo decisionsFinancial impacts of working outside project scopeInformation needs stakeholdersControllable vs uncontrollable costsEstimating reviews include WBS to improve accuracyEstimating validated by people performing the work

Planning Cost Management

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

69

Estimated costs should be utilized unless improvedManage actual costs to estimatesRevise Plans as work is completedCorrective action should be taken swiftly

69

Planning Cost Management

Use experience history to improve estimating amp cost management practices amp accuracy

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

70

Estimate Type Description

Budgetary Estimates Budgetary estimates are prepared during the initial planning phase for a new PPS

The goal in preparing this estimate is to arrive at a cost figure that can be used for getting new PPS systems into an operating budget cycle

Estimates are used for budgetary purposes they have a large contingency such as plus or minus 10 to 20 percent

Preliminary Design Estimates If the PPS project is part of a larger construction project the process should require a preliminary design estimate

This estimate should be developed at the 50 percent design review stage and will normally have a contingency of plus or minus 10 percent

Final Design Estimates The estimate is refined as the project advances to the 100 completion

Estimate is developed using the completed documents drawings and schedules

Type of Cost Estimates for Security

Projects

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

71

Estimate Type Description

Budgetary Estimates Budgetary estimates prepared during initiation phase for a new PPS Goal is to arrive at cost used for acceptance in operating budget cycle Budgetary Estimates are used for budgeting purposes Often include contingency of 10-25 depending on definition

Preliminary Design Estimates As part of construction project a preliminary estimate Estimate more developed 5 -75 design review Normally includes 10-20 contingency

Final Estimates Obtained in ldquoBid Processrdquo typically by number of qualified bidders Typically bid at 75-80 CD or higher Developed from defined specifications plans drawings schedules

Estimate Types for Security Projects

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

74

Step Description Associated Tasks

1 Define estimatersquos purpose

Determine estimatersquos purpose required level of detail and overall scope Determine who will receive the estimate

2 Develop Estimating Plan

Determine the composition of the cost estimating team and develop the master schedule

Determine who will do the independent cost estimate Outline the cost estimating approach Develop the estimate timeline

3 Define Program Characteristics

In a technical baseline description document identify the programrsquos purpose and its system and performance characteristics as well as all system configurations

Identify any technology implications Develop the program acquisition schedule and acquisition strategy Determine the relationship to other existing systems including predecessor or similar legacy systems Identify support (manpower training etc) and security needs and risk items Determine system quantities for development test and production Develop deployment and maintenance plans

High-Quality Estimating Process for Security Projects

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

75

Step Description Associated Tasks

4 Determine Estimating Structure

Define a work breakdown structure (WBS) and describe each element in a WBS dictionary (a major automated information system may have only a cost element structure)

Choose the best estimating method for each WBS element Identify potential cross-checks for likely cost and schedule drivers Develop a cost estimating checklist

5 Identify Ground Rules amp Assumptions

Clearly define what the estimate includes and excludes Identify global and program-specific assumptions such as the estimatersquos base year

including time-phasing and life cycle Identify program schedule information by phase and program acquisition strategy Identify any schedule or budget constraints inflation assumptions and travel costs Specify equipment the government is to furnish as well as the use of existing facilities or

new modification or development Identify prime contractor and major subcontractors Determine technology refresh cycles technology assumptions and new technology to

be developed Define commonality with legacy systems and assumed heritage savings Describe effects of new ways of doing business

High-Quality Estimating Process for Security Projects

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

76

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

6 Obtain Data

Create a data collection plan with emphasis on collecting current and relevant technical programmatic cost and risk data

Investigate possible data sources Collect data and normalize them for cost accounting inflation learning and quantity

adjustments Analyze the data for cost drivers trends and outliers and compare results against rules of thumb

and standard factors derived from historical data Interview data sources and document all pertinent information including an assessment of data

reliability and accuracy Store data for future estimates

7

Develop a Point Estimate and

Compare it to an independent

Cost Estimate

Develop the cost model estimating each WBS element using the best methodology from the data collected and including all estimating assumptions

Express costs in constant year dollars Time-phase the results by spreading costs in the years they are expected to occur based on the

program schedule Sum the WBS elements to develop the overall point estimate Validate the estimate by looking for errors like double counting and omitted costs Compare estimate against the independent cost estimate and examine where and why there are

differences Perform cross-checks on cost drivers to see if results are similar Update the model as more data become available or as changes occur and compare results

against previous estimates

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

77

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Cost Estimating Process for Security Projects

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

78

Step Description Associated Tasks

8Conduct

Sensitivity Analysis

Test the sensitivity of cost elements to changes in estimating input values and key assumptions Identify effects on the overall estimate of changing the program schedule or quantities Determine which assumptions are key cost drivers and which cost elements are most affected by

changes

9Conduct Risk amp

Uncertainty Analysis

Determine and discuss with technical experts the level of cost schedule and technical risk associated with each WBS element

Analyze each risk for its severity and probability Develop minimum most likely and maximum ranges for each risk element Determine type of risk distributions and reason for their use Ensure that risks are correlated Use an acceptable statistical analysis method (eg Monte Carlo simulation) to develop a

confidence interval around the point estimate Identify the confidence level of the point estimate Identify the amount of contingency funding and add this to the point estimate to

determine the risk-adjusted cost estimate Recommend that the project or program office develop a risk management plan to track

and mitigate risks

High-Quality Estimating Process for Security Projects

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

79

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

10 Document the Estimate

Document all steps used to develop the estimate so that a cost analyst unfamiliar with the program can recreate it quickly and produce the same result

Document the purpose of the estimate the team that prepared it and who approved the estimate and on what date

Describe the program its schedule and the technical baseline used to create the estimate Present the programrsquos time-phased life-cycle cost Discuss all ground rules and assumptions Include auditable and traceable data sources for each cost element and document for all

data sources how the data were normalized Describe in detail the estimating methodology and rationale used to derive each WBS

elementrsquos cost (prefer more detail over less) Describe the results of the risk uncertainty and sensitivity analyses and whether any

contingency funds were identified Document how the estimate compares to the funding profile Track how this estimate compares to any previous estimates

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

80

High-Quality Estimating Process for Security ProjectsStep Description Associated Tasks

11

Present the Estimate for Management

Approval

Develop a briefing that presents the documented life-cycle cost estimate Include an explanation of the technical and programmatic baseline and any uncertainties Compare the estimate to an independent cost estimate (ICE) and explain any differences Compare the estimate (life-cycle cost estimate (LCCE)) or independent cost estimate to the budget

with enough detail to easily defend it by showing how it is accurate complete and high in quality Focus in a logical manner on the largest cost elements and cost drivers Make the content clear and complete so that those who are unfamiliar with it can easily comprehend

the basis for the estimate results Make backup slides available for more probing questions Act on and document feedback from management Seek acceptance of the estimate

12

Update the estimate to

reflect actual costs and changes

Update the estimate to reflect changes in technical or program assumptions to keep it current as the program passes through new phases and milestones

Replace estimates with EVM EAC and independent estimate at completion (EAC) from the integrated EVM system

Report progress on meeting cost and schedule estimates Perform a post mortem and document lessons learned for those elements whose actual costs or

schedules differ from the estimate Document all changes to the program and how they affect the cost estimate

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

81

Project Quality Management

First have a definite clear practical ideal a goal an objective Second have the necessary means to achieve your ends wisdom money materials and methods Third adjust all your means to that endrdquo - Aristotle

)

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

82

Processes required to ensure the project will satisfy the needs for which it was designed

Includes overall management functions that determinequality policyObjectivesResponsibilities

Implemented by quality planning quality control quality assurance and quality improvement

Project Quality Management

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

83

3 major quality processesQuality Planning ID quality standards relevant to the project

(Planning)Quality Assurance evaluate overall project performance to

provide confidence that project will satisfy relevant quality standards (Execution Monitoring)Quality Control monitoring specific results to comply with quality

standards Eliminate unsatisfactory results amp causes

Project Quality Management

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

86

Project deliverablesManagement cost and schedule performance resultsAwareness of statistical quality control

o Prevention and inspection o Decrease errors o Sampling result conforms variable

samplingo Special Causes - unusual events o Random causeso Tolerances (acceptable range)o Control limits (result falls within range)

Quality Control

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

87

InputsoWork results ndash process and product resultsoQuality Management PlanoOperational DefinitionsoChecklists

OutputsoMeasured improvementoAcceptance Reject decisions improveoRework diminishes

oFrequent cause of project overrunsoCompleted checklistsoProcess Adjustments correctivepreventive

actions

Planning Quality Control

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

88

Tools amp TechniquesInspection ndash verify test confirm results with requirementsControl Charts ndash plot results over timePareto diagrams ndash frequency of occurrence identifies category of result

8020 rule guides corrective actionStatistical sampling ndash selected populations of interestFlowchartingTrend Analysis ndash forecast future outcomes based on historical results

o Technical performance o Cost to Actual varianceso Schedule performance

Planning Quality Control

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

89

Planning Internal External Team Assignments

Skill sets amp resources neededIndividuals identifiedWhen each is neededWhere are theyCertifications RequiredTraining needs completeInterpersonal compatibility

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

90

Executives Project ExecutiveProject ManagerProject SuperintendentLead Technician Installation TechniciansProject AdministratorIT TechniciansSystem Engineers amp CAD DesignersProcurement Accounts PayableReceivableCustomer Service

Planning Internal Team Members

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

91

Planning External Team MembersArchitectsEngineersConstruction ManagerGeneral ContractorSecurity ConsultantsSubcontractorsProperty Management ServicesAuthority Having Jurisdiction (AHJ)Manufacturer Reps

91

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

92

End User Personnel amp Stakeholders

Management ndash approvals decisions paymentsSystem Administrators amp Operators

oSystem controloDaily system operation onboarding changesoRequires training amp ongoing communication

Maintenance and Engineering oEnable site accessoSite ldquoeyes amp earsrdquooOperational SOPs

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

93

Human Factors The Project Team

bull Background Checksbull Drug-Free Workplacebull Credit Worthinessbull Appearance amp Cleanlinessbull Attitudebull Skill Sets Abilities bull Training Requirements

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

94

Execution Meetings Types Design Meetings Construction Job Meetings ndash weekly

typical Safety Job Site Project Team Meetings Internal Team Meetings Training Sessions

A Security Project Manager wears a lot of hats and is involved on many levels with different skill sets

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

95

Communication amp Coordination Meetings Internal amp external project meetingsMeeting cadence agendas amp documentation Relationships to manage Customer End User General Contractor Security Consultant Project Team Subcontractors Other Contractors IP IT Groups

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

96

TrainingTrainers system certifications amp

knowledgeTraining as part of Project ScheduleTraining materials amp space rqmtsUser participation hands-on

demonstrate understandingAsk reinforcing questionsHold QA session

Project ExecutivesGeneral ContractorOwner End-user Management Security

FacilitiesSubcontractor(s) amp 3rd PartiesDoor hardware contractorsManufacturers amp suppliersIT Network ServicesSecurity personnelAHJ ndash authorities having juristiction

Coordination

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

97

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

98

Why Plan Critical to project success Defines a repeatable aligned organizational process Involves key project departments amp players Includes executive commitment amp oversight Reviews contract scope budget labor time definitions Defines constraints contingencies Reduces risk project size does not matter

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success

99

Planning for Success

)

• Slide Number 1
• Slide Number 2
• Slide Number 3
• Slide Number 4
• Learning Objectives
• Slide Number 6
• Why have a Plan
• Project Planning Activities
• Slide Number 9
• Slide Number 10
• Questions to Answer During Planning
• Project Planning Information
• Slide Number 13
• Slide Number 14
• Planning
• Planning Potential Information
• Planning Always Think the Job
• Planning Site Information
• Slide Number 19
• Slide Number 20
• Planning Scope Verification
• Broad Categories of RISK
• Importance of Planning Project Risk Management
• Project Risk Management
• Negative Positive Risks
• Slide Number 26
• Examples of risks to Security Projects
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Project Planning Knowledge
• Slide Number 32
• Plan Risk Management First
• Project Planning Knowledge
• Project Planning Knowledge
• Plan Risk Management
• Slide Number 37
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Planning Knowledge
• Contingency Planning
• Planning Scope Management
• Planning Contract Management
• Slide Number 45
• Slide Number 46
• Slide Number 47
• Slide Number 48
• Project Time Management
• Project Time Management
• Schedule Execution Learning Objectives
• Execution Schedule Learning Objectives
• Slide Number 53
• Slide Number 54
• Slide Number 55
• Slide Number 57
• Slide Number 58
• Slide Number 59
• Slide Number 60
• Slide Number 61
• Project Network Diagrams
• Slide Number 63
• Using Critical Path Analysis
• Slide Number 65
• FOR DISCUSSION
• Planning Cost Management
• Planning Cost Management
• Slide Number 69
• Slide Number 70
• Slide Number 71
• Slide Number 74
• Slide Number 75
• Slide Number 76
• Slide Number 77
• Slide Number 78
• Slide Number 79
• Slide Number 80
• Project Quality Management
• Slide Number 82
• Slide Number 83
• Slide Number 86
• Planning Quality Control
• Planning Quality Control
• Planning Internal External Team Assignments
• Slide Number 90
• Planning External Team Members
• End User Personnel amp Stakeholders
• Human Factors The Project Team
• Execution Meetings Types
• Communication amp Coordination Meetings
• Training
• Slide Number 97
• Why Plan
• Planning for Success