File Name: project performance measurement and control .zip
Measuring performance is a critical factor in optimizing performance.
Measuring performance is a critical factor in optimizing performance. Optimal performance is sustainably achieving multiple, often conflicting, objectives under changing conditions.
But when we look more deeply we find that it is not that simple. First, we find that there is confusion about what we actually want to measure. Is it the success of a single project, the success of project performance across many projects, or the success of project management and a project office? If our objective is to measure the success of a single project, are we looking at the project during its life or at the project after it has been completed? Once we determine what we really want to evaluate we can identify the key performance indicators KPIs that will tell us whether we have been or are being successful or not and to what degree.
KPIs give managers the most important performance information to enable them to assess the performance of a project or process. Generally we look for from two to five or so indicators. One is not enough for any complex process and project performance is a complex process. Too many KPIs make it difficult to see the big picture clearly. Too few make it difficult to diagnose and correct the issues that get in the way of optimal performance. Keep in mind that KPIs are not objectives.
They are readings that enable a manager to assess performance towards the achievement of objectives. On a personal level we use KPIs such as weight, blood pressure, and cholesterol level to assess general health.
The objective is general health, the measures are indicators that can be used to determine if we are tracking towards the objective, or not. Project objectives are to deliver goods and services, within time, cost, quality and other constraints, satisfying stakeholder expectations. Project deliverables are used to deliver benefits to satisfy the needs of sponsors and clients.
Note the difference between project and business objectives. Projects deliver goods and services that are generally used after the project has ended to achieve business objectives such as reducing costs and risks, increasing revenues, etc. Projects are initiated to achieve business objectives. Project objectives are a means to that end. When measuring project success, particularly when the project is on-going, it is necessary to focus on the project objectives and performance against schedule and budget estimates.
Further, there are factors that are outside of the control of the project that influence benefits realization. For example, in product development the performance of sales and marketing, market conditions, and other factors impact the degree to which expected benefits are achieved. Performance measurement during a project is to know how things are going so that we can have early warning of problems that might get in the way of achieving project objectives and so that we can manage expectations.
A secondary benefit is information that can be used to improve the planning and performance of future projects. Typical KPIs are schedule and budget compliance, number of scope changes, number of issues and defects, and stakeholder satisfaction.
There is broad agreement that schedule and budget compliance during the course of the project are essential indicators. In most cases, project sponsors and clients are cost conscious. They want to know how much they will spend on the project and they want to know it before the project is over.
Assessing the degree to which the project is tracking to its schedule and budget provides an indication of whether the team is going to meet stakeholder expectations a critical objective in any project. It highlights the need to look into the causes of variance.
Causes may be poor estimating, loss of resources, price changes, underperforming resources, too many changes, errors, omissions and defects, etc. Once the causes are understood a course of action can be decided, either accepting things as they are or making changes to remediate any problem that has been identified. As in earned value management we need to combine schedule and budget perspectives to get a true sense of overall project health. Do not rely on these measures independent of one another, a project can be under budget because it is behind schedule, because prices have gone down, because performers have used clever means to get their work done less expensively, or for other reasons.
A stakeholder who is budget oriented can easily get the wrong idea of project health by looking at stand alone budget data. To effectively measure performance it is necessary to plan so that tasks are defined in terms of specific deliverables with clearly stated requirements. The availability of an accepted deliverable is the only measure of the successful completion of a task. Velocity is the number of features or use cases, components, deliverables, etc.
This is clearly measuring against schedule but highlights the need for linking tasks to concrete, useful deliverables. Whether or not you are using an Agile approach, it is a best practice to ensure that task completion is defined as the delivery of a specific and meaningful deliverable.
Whether you use velocity or earned value you need to account for effort and the cost of other resources to monitor budget compliance and to estimate to project completion based on current performance. Can you measure project performance without tracking effort and cost? Of course you can. It is done all the time. Capturing and using effort and cost data is often difficult, requiring appropriate tools and cultural change, but if you want to manage your project effectively, do it.
Issues are questions, disputes or problems that arise during a project and that must be addressed to satisfy stakeholders and ensure that the project is heading in the right direction. Issues vary in priority, complexity and the amount of time and effort they require. Issues are inevitable, plan for them and track the effort required to address them against your estimate. Scope changes result from requests for change in requirements. Changes require analysis, decision making and execution. Scope changes, particularly those that occur late in project life, are disruptive.
When planning the project it is best to estimate time, effort and cost to create a fund for expected changes and then to monitor actuals against this fund. Defects are discovered when testing is performed to validate deliverables.
Defects require effort to determine their cause and correct or accept them. Again, it is best to estimate defects and their impact in duration and cost and to track against this estimate. Each of these is a KPI. High instances of each indicate that there will be project schedule and budget slippage. Issues, changes and defects should be tracked and aged to give management a sense of what is happening outside of the schedule and budget.
One of the most important and underutilized project performance indicators is stakeholder satisfaction. This article has focused in on performance measurement of in-progress projects. The objectives of performance measurement are 1 to enable project teams to manage stakeholder expectations by informing stakeholders of where the project is with respect to the plan and where it looks like it is headed, 2 obtain early warning of problems that might affect the overall performance of the project and diagnose the situation to determine the most effective course of action.
Note that achieving business benefits is not a practical KPI for projects while they are in progress. Benefits do not accrue until after the project has delivered its deliverables and they have been used. The key performance indicators discussed are schedule and budget compliance, issues, changes, defects, and stakeholder satisfaction. Combining these into a dashboard and drilling down to assess their causes and impact helps to ensure project success.
George Pitagorsky, PMP, integrates core disciplines and applies people centric systems and process thinking to achieve sustainable optimal performance. He is a coach, teacher and consultant. Project Performance — Schedule and Budget Performance measurement during a project is to know how things are going so that we can have early warning of problems that might get in the way of achieving project objectives and so that we can manage expectations.
Quality Deliverables To effectively measure performance it is necessary to plan so that tasks are defined in terms of specific deliverables with clearly stated requirements. Effort and Cost Tracking Whether you use velocity or earned value you need to account for effort and the cost of other resources to monitor budget compliance and to estimate to project completion based on current performance.
Conclusion This article has focused in on performance measurement of in-progress projects. Don't forget to leave your comments below. Published in George Pitagorsky.
Tagged under Communication Planning. George Pitagorsky George Pitagorsky, PMP, integrates core disciplines and applies people centric systems and process thinking to achieve sustainable optimal performance. Search all Project Times Articles.
In the past few years, there has been an increasing interest in developing project control systems. The primary purpose of such systems is to indicate whether the actual performance is consistent with the baseline and to produce a signal in the case of non-compliance. However, these control charts are fundamentally designed for processes and ignore project-specific dynamics, which can lead to weak results and misleading interpretations. For the sake of clarity, an illustrative example has been presented to show how the ex ante control chart is constructed in practice. Furthermore, an experimental investigation has been set up to analyze the performance of the proposed control chart.
Since data drives many decisions today, you will likely be expected to measure project performance with data. Here are some of the key ways to measure project performance and the key performance indicators KPIs that really matter. Before a project even begins, the goals for the project need to be determined. You need to understand how project sponsors and key stakeholders will determine if the project is successful and ensure everyone is on the same page. Project success can be measured in many ways including if it was completed on time, on or under budget, if it resulted in more sales, improved customer service or increased efficiencies, and a combination of these or other factors. Once goals are determined you can gather baseline metrics to record the status of business at the starting point of your project for just those things that are meaningful to your team and stakeholders.
Not a MyNAP member yet? Register for a free account to start saving and receiving special member only perks. The purpose of performance measurement is to help organizations understand how decision-making processes or practices led to success or failure in the past and how that understanding can lead to future improvements. Key components of an effective performance measurement system include these:.
The Monitoring and Controlling process oversees all the tasks and metrics necessary to ensure that the approved and authorized project is within scope, on time, and on budget so that the project proceeds with minimal risk. This process involves comparing actual performance with planned performance and taking corrective action to yield the desired outcome when significant differences exist. Monitoring and Controlling process is continuously performed throughout the life of the project. Statewide search:.
Section Navigation. Facebook Twitter LinkedIn Syndicate. Minus Related Pages. Indicators are organized by evidence-based logic models and detailed information is provided for each indicator. Office of Smoking Health Introduction to Program Evaluation for Comprehensive Tobacco Control Programs Helps state tobacco control program managers and staff in the planning, design, implementation, and use of practical and comprehensive evaluations of tobacco control efforts.
- Кассирша опустила металлическую шторку и скрылась в служебной комнате. Беккер шумно вздохнул и поднял глаза к потолку. Успокойся, Дэвид. Спокойно. Он оглядел пустой зал. Ни души.
Халохот впервые сорвал задание, выбрав неблагоприятные время и место. Получить ключ было необходимо, но Стратмор отлично понимал, что посылать глухого киллера в севильский морг было бы настоящим самоубийством. И тогда он стал искать иные возможности. Так начал обретать форму второй план. Стратмор вдруг увидел шанс выиграть на двух фронтах сразу, осуществить две мечты, а не одну. В шесть тридцать в то утро он позвонил Дэвиду Беккеру.
Алгоритм, не подающийся грубой силе, никогда не устареет, какими бы мощными ни стали компьютеры, взламывающие шифры. Когда-нибудь он станет мировым стандартом. Сьюзан глубоко вздохнула.
Но… - Вы спутали нас с кем-то другим. У нас всего две рыженькие, Иммакулада и Росио, и ни та ни другая не станут ни с кем спать за деньги. Потому что это проституция, а она в Испании строжайше запрещена. Доброй ночи, сэр.
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