Project Planning: Resources

Project Management Control Systems

Project management control systems are the modern tools for managing project scope, cost and schedule. They are based on carefully defined process and document controls, metrics, performance indicators and forecasting with capability to reveal trends toward cost overrun and/or schedule slippage. Identifying those trends early makes them more amenable to successful management.

Traditionally, management systems have utilized data about planned and actual costs. Modern systems further incorporate, in their analysis of projects and tasks, the monetary value earned for actual work accomplished. They analyze the Planned Value of work scheduled (PV), Actual Cost of work performed (AC), and Earned Value of work performed (EV). Forecasting includes cumulative and incremental trends in key indicators such as the Estimate at Completion (AC + Estimate to Complete), Cost Variance (EV – AC), Schedule Variance (EV – PV), Cost Performance Index (EV/AC), and Schedule Performance Index (EV/PV). Earned Value Management (EVM) is a systematic approach to the integration and measurement of cost, schedule and scope accomplishments on a project or task, providing managers the ability to examine cost data in the context of detailed schedule information and critical program and technical milestones. EVM systems are in use at CERN and by leading project delivery contractors in commercial industry and government service.

Changing the culture of big science, by Luciano Maiani, in the CERN Courier

As scientific facilities become larger and more costly, so the management challenge grows. Then Director-General Luciano Maiani wrote that lessons learned from the LHC cost overrun will ultimately benefit CERN and help secure its future.

Insight on Pacesetting Project Management Organizations

A director in a 50-year-old management consulting firm for the construction industry discusses issues of leadership development and project management development that are critical for organizations that aspire to add value to a project through good management and differentiate themselves from the pack that merely provides service as an indistinguishable commodity. While his firm advises best-of-class project delivery contractors, his lessons apply to all project-oriented management organizations that aspire to succeed. He says that building a good project is not enough; many well-built projects have also been financial disasters for the contractor and/or the owner. He describes the foundations for management processes and tools, including project control systems, that let key decision makers see leading indicators of what’s coming in time to manage it successfully.