The notion of managing a project by managing the consumption of funding and resources is fundamentally flawed. But it is surprisingly common in many business domains. We see it all the time, when asked for a schedule. The schedule shows work activities, connections between these activities. Things like
- Install Oracle database servers
- Develop business requirements
- Test integrated applications
- Conduct User Acceptance Testing
All good activities, but where are the "outcomes" that we can see, touch, compare to our expectations and measure in some tangible verifiable way?
Deliverables Based Planningsm
This approach to project planning and execute is guided by 10 organizing principles:
Organizing Principle | Beneficial Outcome to the Project |
Capabilities Drive System Requirements | Establishing capabilities starts with defining the fundamental ideas about the system through the operational behavior before the technical and process requirements are elicited. |
Requirements Identify Technical And Process Deliverables | From each system capability a system requirement can be derived. |
Work Packages Describe Production Of Deliverables | Work Packages contain executable tasks that produce deliverables. Work contained in the WP produces a single or small number of deliverables. |
Master Schedule Sequences Deliverables, Accomplishments, Criteria, And Work Packages into a Logical Activity Network | Work Packages are arranged in an Activity Network. This network looks like a schedule, but it is a description of the flow of increasing maturity of the product or service resulting from the completion of each WP. |
Work Package Progress Is Measured As Physical Percent Complete Against The Planned Progress During the Period of Assessment . | Measuring progress as Physical Percent Complete establishes a credible assessment of the increasing maturity of the product or service. |
Work Authorization Assures The Sequence Of Work Packages Produces The Planned Progress | Executing the Work Packages in the agreed on sequence assures the program proceeds as planned. |
Earned Value Describes Current Performance | Earned Value is cost based. Cost
Variance and Schedule Variance have units of measure in dollars. The To Complete Performance Index (TCPI) and the Independent Estimate At Completion (IEAC) are two measures of progress derived from Earned Value, are also measured in dollars. |
Conformance To Technical Performance Measures (TPM) Used to Adjust Earned Value Performance Values | Adjust the “Earned Value” forecast
of future performance by the compliance with Technical Performance
Measures (TPM). TPMs, when correlated to cost and schedule, provides the complete status of the program. |
Performance Feedback From Work Package And Project Level Earned Value Used To Adjust Work Package Sequence, Resource Allocation | With the performance measures and adjustments from Technical Performance compliance, a new Work Packages (WP) sequence may be needed. |
New Forecast Of Future Performance Based On TCPI, IEAC, And Adjusted Work Sequence | With the new sequence of Work Packages a new forecast of cost and schedule can be developed. This forecast must be based on the To Complete Performance Index and the Independent Estimate At Complete. |
These principles replace the effort based planning styles common in IT projects. And replace them with measurable outcomes as the only evidence of progress.