In the Fifth Edition of PMI’s PMBOK (Project Management Body of Knowledge) Guide (© 2013 PMI®, Inc.) there is a good comparison (see Figure 11-13 on page 336 and Figure 11-17 on page 340) of the differences between using “Expert Judgment” and “Monte Carlo Simulations” to arrive at the range of overall Project Costs for… Continue reading Comparison of Overall Project Risk Assessments Using Expert Judgment Versus Monte Carlo Simulations
Do you realize that there is only one (yes, just ONE) Valid Way to effectively manage Project Schedule Risk? This should not be a surprise to anyone up the management ranks in organizations that conduct complex/risky product development projects/programs and profess to practice sound Project Management practices. Every certified PMP (Project Management Professional)… Continue reading If You Develop Products and/or Services and You Cannot Afford to Miss Project Delivery Commitments You Must Do This!
Here are the quick answers: When? Ideally, before and after kicking off projects with schedule commitments that are highly scrutinized (i.e., for most important time-sensitive projects with deterministic requirements). Why? To manage project schedule risk in the most effective way (i.e., SRAs are proven to be the best tools and techniques to employ… Continue reading When Why and How do We Use Project SRA Output Data?
Ask yourself “Do I really know the likelihood (or percent confidence) of meeting my project schedule commitment(s)?” If your project is relatively complex, with an aggressive completion date (i.e., is risky), and the schedule is based on single-point task duration estimates, your likelihood of meeting that date may be close to nil – or,… Continue reading Key Chrono Take-Aways!
Just absorb it, it’s not much of a change! Everyone is on board, so be a team player! Trust me, I’ll have your back if it causes issues! Just absorb it – your team can handle it! Why stir up the pot and make things difficult? The easiest way to handle a product requirement change (i.e.,… Continue reading When Requirements are Important, Changes can be Devastating to Project Success!
Years ago, I was asked by my boss (the CEO) to help determine why our largest division was having difficulties executing on DoD (Department of Defense) contracts. We had grown from implementing mostly internal product development projects to performing a larger percentage of contractual projects and struggled with meeting our commitments. In so doing, I decided to… Continue reading What are the Causes of Unsuccessful Project Execution?
I’m a long-time advocate of effective risk management. I’ve done it, taught it, and written about it. That said, formal risk management as described in PMI’s PMBOK® Guide has something that annoys me – conflation of risks (potential negative impact) and opportunities (potential positive impact) and suggesting both are equal fodder for risk management planning and management processes. While I agree that risk and opportunities are related concepts, they tend to emerge and… Continue reading Risks vs. Opportunities & Three Point Estimating
Organizational Quality Systems cover many aspects of compliance. Many industries have established standards, and most companies establish their own. From a project life cycle standpoint, product quality includes meeting technical performance requirements and specifications, some of which are directed by industry compliance codes. Project teams are basically commissioned to establish objective criteria (via tests, analyses,… Continue reading The Importance of Quality to project risk management.
Project scope performed by suppliers can very likely be the riskiest activity on the project. There is a good chance that if your organization conducts very complex, risky development projects which require a multitude of technical subject matter expertise, some key aspect of the projects’ scope will need to be out-sourced. There is a tendency… Continue reading Why Supplier Management is so important to project risk management.
There is a very good reason why PMs need to be good communicators – communication is vital to project success, especially on the more complex projects where team performance is highly scrutinized. Previous postings discussed some of the more critical communication items already – Priorities, Assumptions, Estimating and Planning, Change Management, and Risk Management. To… Continue reading Why Good Communication is so important to project risk management.