Implementation of Critical Chain Project Management in Maintenance and Sustenance Projects of Tata Steel
Implementation of Critical Chain Project Management in Maintenance and Sustenance Projects of Tata Steel
Implementation of Critical Chain Project Management in Maintenance and Sustenance Projects of Tata Steel
Submitted by:
Nongmaithem Amarjit Singh
07BM8097, MBA, 2nd Year
ACKNOWLEDGEMENT
I am thankful Mr. Sudipto Sarkar, Head TOC task force on CCPM, TQM Department, Tata
Steel, guide par excellence, who has been a constant source of inspiration to me. His problem
analysis skills, way of thinking and helping nature has motivated me always during my project work.
His constant guidance and keen interest in my work, has made the project successful and continuous
learning possible. Within the short span of time I have learnt a lot about Project management and
TOC from him and he has left a deep impression on me with his enthusiasm and forethought.
I am thankful to Mr. Rupam Bhaduri, Chief TOC and Mr. Suman Biswas, Head TOC Supply
Chain and Operation Task Force and Mr Arnab Chakraborty, Sr Manager TOC, CCPM Taskforce,
TQM department, Tata Steel for their time to time guidance and input.
I would also like to thank Mr. Nayan Biswas, TQM Executive, TOC Task force on CCPM,
TQM Department, without whom the learning experience would have been incomplete.
I am thankful to Tata Steel, which gave me an environment and an opportunity to pursue the
project work, by which I was able to enhance my Knowledge and develop a better way of thinking.
I will also take this opportunity to thank all my Professors at Vinod Gupta School of
Management, IIT Kharagpur, who have been my constant source of inspiration during my endeavour
at VGSOM and the project work. I have learnt a lot during the interaction with them. This learning
has helped me in successfully completing the tasks I was assigned as part of the summer’s project.
ABSTRACT
Project Management involves the planning, monitoring and control of all aspects of the project so
that the project is delivered within time, Budget and with content. There are various methods of
project management. Most projects face the problem of not delivering the original commitments in
term time, budget and content – there is compromised in one of the three objective of the project.
Theory of Constraints (TOC) developed by Eliyahu M. Goldratt identifies the root cause of the
problems in the projects, applies five focusing Steps of TOC in Project Management which is known
CCPM was applied in Maintenance and Sustenance projects of Tata Steel namely LD-1 Vessel Gas
cooling Pack modification and LD-2 Slab caster-2 annual major shutdown. It helped in completing
Contents
ACKNOWLEDGEMENT....................................................................................................................2
ABSTRACT......................................................................................................................................3
EXECUTIVE SUMMARY...................................................................................................................6
1. INTRODUCTION.........................................................................................................................8
1.1: OVERVIEW OF TATA STEEL...............................................................................................................10
1.1.1: Process flow of Tata Steel..................................................................................................................................10
1.1.2: Maintenance......................................................................................................................................................11
1.1.3: Sustenance.........................................................................................................................................................12
2. PROJECT MANAGEMENT..........................................................................................................13
2.1: PROJECT MANAGEMENT CONCEPTS (LITERATURE SURVEY)..............................................................13
2.2: PROBLEMS FACED IN PROJECT MANAGEMENT................................................................................14
3. THEORY OF CONSTRAINTS........................................................................................................15
3.1: FIVE FOCUSING STEPS OF TOC..........................................................................................................15
3.2: APPLICATION OF TOC.......................................................................................................................16
3.3: CONFLICT CLOUNDS IN MANAGEMENT............................................................................................17
3.4: OBJECTIVE OF THE STUDY.................................................................................................................19
3.5: EXPECTED OUTCOME OF THE STUDY................................................................................................19
5.3: EXECUTION.......................................................................................................................................34
7. CONCLUSION...........................................................................................................................40
7.1: TO SUMMARISE................................................................................................................................40
7.2: SCOPE OF FURTHER WORK...............................................................................................................41
8. VALUE ADDITION.....................................................................................................................42
8.1: VALUE ADDITION TO THE ORGANISATION.......................................................................................42
8.2: VALUE ADDITION TO MYSELF...........................................................................................................42
REFERENCE..................................................................................................................................43
APPENICES............................................................................................................................................44
EXECUTIVE SUMMARY
Through with its recent acquisitions, Tata Steel has become a multinational with operations in
various countries. Under Viable Vision (strive to be a global leader in Steel industry), Tata Steel has
adopted TOC under Aspire Unlimited as a mean of Problem solving under which CCPM used for
project management.
In Tata Steel, a number of projects ranging from annual major shutdowns in each of the production
unit for regular maintenance to Expansion projects are carried out. These projects also faced similar
problems of not being able to deliver the original commitments-time, budget and content. CCPM is
CCPM was applied in Maintenance projects in LD-1 Vessel Gas cooling Pack modification and LD-
2 Slab caster-2 annual major shutdown. During the execution, the tasks are staggered by using ‘Start
as late as possible’. The time estimates of the tasks are not turned into commitments for which the
original times are converted into Aggressive schedules and Buffers are provided to protect the
project as the whole. The task priorities generated by Coweb, Online project monitoring software, is
followed so that there is no wastage of buffers. By following these rules, the projects are executed
and monitored to deliver the original commitment of content, time and budget.
The major jobs taken up in LD-2 Caster-2 Main shutdown were: Renewal of Torch cutting machine,
In LD-1 Vessel-1 Gas Cooling Plant Stack Up-gradation, the main tasks undertaken were:
Replacement of the cooling stack with up-gradated stack and modification of the Converter water
circulation system which include the pumping system, piping and Instrumentation system .
It helped in completing the project within time, with all contents and in budget.
1. INTRODUCTION
Project Management are the management activities of planning, directing, and controlling
resources (people, equipment, material) to meet the technical, cost, and time constraints of a project.
The goal of an Effective Project Management is to complete the project within Time, Budget and
Content. But it is hard to achieve all the above three simultaneously. Generally projects get
completed but always there is compromise with Time, Content or Budget. The problems are more or
less the same and are found in every project done in any field of specialisation/ Industry.
Tata Steel does a number of Sustenance, maintenance and expansion projects. It is necessary
to perform regular maintenance in order to keep the equipments in functional state. Sometime, it is
required to know whether or not it is running in a satisfactory manner. Thus Maintenance activities
are carried out periodically, called as Preventive Maintenance or at Tata Steel as Main Shutdown.
Equipments or the machineries are upgraded on the base of company’s need and market demand is
called as Sustenance Maintenance. Expansion Projects are done based on the company’s strategic
needs for capacity increase/expansion. In Tata Steel, all kind of Projects ranging from Preventive
maintenance/Annual Shutdown, Sustenance Maintenance and Expansion Projects takes place. The
problems in Project Management stated above are also common in all the projects done in Tata Steel.
The Theory of Constraint (TOC) implementation in Tata Steel started in consultation with
Goldratt Consulting Limited (GCL) in April 2006 through Viable Vision (VV) programme. The aim
was to achieve real breakthrough improvements. The policy of Tata Steel is to build a decisive
Constraints (TOC) developed by Mr. Eliyahu M. Goldratt. TOC gives deeper insight into the time
estimates in accordance with human behaviour and applies “Five Focussing Steps” in project
Management (CCPM). In CCPM, the longest chain of dependence tasks considering the resource
contentions is defined as Critical Chain. Here, Critical Chain project planning and execution takes
into account of resources contentions, in contrast to the more traditional Critical Path and PERT
Application of CCPM in Tata Steel helps in better management of the projects resulting in better
savings, projects delivers within time, in budgets and with contents. CCPM was applied in LD-2 slab
caster-2 main shutdown and in LD-1 Vessel-1 Gas Cooling Plant stack up-gradation. LD-2 slab
caster main shutdown was carried out by project team which has earlier done project using
CCPM.LD-1 Vessel-1 Gas Cooling Plant stack Up-gradation project was done by Project Team new
to CCPM. Both the teams have performed the projects and the results are encouraging.
countries.
It is the first private sector steel plant which started with a production capacity of 1, 00,000 tones has
transformed into a global giant. Tata Steel plans to grow and globalize through organic and inorganic
routes. Its 5 million tons per annum (MTPA) Jamshedpur Works plans to double its capacity by
2010. Tata Steel's vision is to be the global steel industry benchmark for Value Creation and
Corporate Citizenship. Tata Steel is one of the few steel companies in the world that is Economic
Value Added (EVA) positive. It was ranked the "World's Best Steel Maker", for the third time by
World Steel Dynamics in its annual listing in February, 2006. Tata Steel has been conferred the
Prime Minister of India's Trophy for the Best Integrated Steel Plant five times.
form called ‘Hot Metal’ through Huntsman crucible process. From blast furnaces, the molten metal is
fed to Steel making shops-LD1 and LD2 (LD stands for Linz Donawitz). LD-1 is meant for Long
products such as Wires and LD-2 is for Flat products such as Sheets. There are two LD vessels in
LD1 and three in LD2 having combine capacities of 1.75 Million Tons and 3.3 Million Tons
respectively. From LD1, the molten metal is fed to two continuous Billet Casters that have combine
capacity of 1.71 million tons, which in turn fed to three Rolling Mills having a combine capacity of
1.22 million tons. These Continuous Rolling Mills (Bar Mill, Wire Rod Mill and Merchant Mill)
ultimately produces the Long Products for Tata Steel. And from LD2, molten metal is fed to three
Continuous Slab Casters having combine capacity of 3.24 million tons from where the steel slabs are
fed to Hot Strip Mill and then to Cold Strip Mill having capacities of 3.24 million tons and 1.52
million tons respectively. From both the mills flat products are finally produced.
1.1.2: Maintenance
In order to keep the equipments function effective, maintenance is required. Sometime, some
equipments break-down, hence maintenance has to be done. There are two approaches to
• Corrective Maintenance (which means to let the equipment run until it fails and then fix it if
• Scheduled Preventive Maintenance (the equipment is inspected and regular maintenance on it done
after a specific number of operating hours have passed or after a certain number of months have
In Tata Steel, almost all the maintenance works are preventive ones. These maintenance works are
done to inspect and rectify normal wear and tear of the equipment added with cleaning and painting.
1.1.3: Sustenance
Sustenance is also a kind of maintenance but in this case the equipment or the machinery is upgraded
on the base of company’s need and market demand. The equipment or/and machinery is upgraded for
Higher production
All the maintenance, either maintenance or sustenance, causes stoppage of production of the plant.
This reduced the running/production time of the plant. Reduction in the duration of the shutdown and
delivery of projects with the commitments it promise to give, will improve the production time,
2. PROJECT MANAGEMENT
Project Management are the management activities of planning, directing, and controlling resources
(people, equipment, material) to meet the technical, cost, and time constraints of a project. The aim
of the project management is to finish the project within time, Budget and with the content.
There were various methods of project control used for the management of the projects. Gantt chart,
named after Henry L. Gantt, shows both the amount of time involved and the sequence in which
activities can be performed. There are network planning models developed in 1950s of which two
best-known – Critical Path Methods CPM) and Program Evaluation and Review Techniques (PERT).
The Critical Path Methods was developed for scheduling maintenance shutdowns at Chemical
processing plants owned by Du Pont. Since maintenance projects are performed often in this
industry, reasonably accurate time estimates for activities are available. CPM is based on the
assumptions that project activity times can be estimated accurately and that they do not vary.
The program Evaluation and Review Technique (PERT) was developed for the U.S. navy’s Polaris
missile project. This was a massive project involving over 3,000 contractors. Because most of the
activities had never been done before, PERT was developed to handle uncertain time estimates. As
years passed, features that distinguished CPM from PERT have diminished. The Critical path of the
activities in a project is the sequence of activities that form the longest chain in terms of time to
complete. If any one of the activities in the critical path is delayed, then the entire project is delayed.
Critical Chain Project Management (CCPM) is Project management based on Theory of Constraints
(TOC) developed by Eliyahu M. Goldratt. The Critical Chain in a project is the sequence of
Even after using all the techniques and methods, most projects do not finish on time and/or within
budget and/or with the original promised content. The project cannot be finished on time, without
Too often resources are not available when needed (even when promised to)
Even though projects are diversified, whatever the field of specialisation/industry – the complaints
are almost/basically the same. This suggests that there must be sometime common to all of them
3. THEORY OF CONSTRAINTS
Goldratt has developed his ‘Theory of Constraints’ (TOC) has become popular as a problem-solving
approach that can be applied to many business areas- Production, Distribution and Project
Management.
Theory of Constraints provides a set of Holistic processes and rules all based on a Systems approach,
that exploits the inherent simplicity within complex systems through FOCUSING on the FEW
physical & logical “LEVERAGE POINT(S)” as a way to SYNCHRONIZE the parts to achieve
ongoing & step change improvement in the performance of the system as a whole.
It aims to continually achieve more of the goal of a system. If that system is a for-profit business,
then the goal becomes one of making more money, in the present as well as in the future.
TOC used the chain analogy to derive the Process Of On-Going Improvement (POOGI).
The strength of the Chain is ‘the weakest link’, so strengthening the “Weakest link” is what really
The TOC was developed to achieve both STEP CHANGE and ONGOING improvement.
Step0: Agree on the System GOAL (to define “Constraint” and “problem”)
Step1: Identify the constraint No improvement is possible unless the constraint or weakest link is
found).
Step 2: Decide how to exploit the constraint (Make the constraints as effective as possible)
Step 3: Subordinate everything else to hat decision. (Align every other part of the system to support
Step 4: Elevate the constraint (If output is still inadequate, acquire more of the resource so it no
longer is a constraint)
Step 5: If, in the previous steps, the constraints have been broken, go back to step 1, but do not let
inertia become the system constraints. (After this constraints problem is solved, go back to the
beginning and start over. This is a continuous process of improvement: Identify constraints, break
FINANCE
PROJECT MANAGEMENT
Even after using all the techniques and methods, most projects do not finish on time and/or within
budget and/or with the original promised content. The project cannot be finished on time, without
Too often resources are not available when needed (even when promised to)
Even though projects are diversified – the complaints are almost/basically the same. The problems
still exist even when the Project Management techniques- Critical Path Methods and PERT analysis
are used. These problems are almost the same for the past 40 years or so, the same problem. These
may be because we are dealing with the direct complaints rather than the deep cause of their
The causes of the problems can be identify using ‘Conflict Cloud’ and resolve the conflict.
The above figure says that: In order to do Block A, we must do block B. In order to do block B, we
must do block D. But if we do Block D we jeopardize block C. And in order to do block C we must
do block D’. Invariably D and D’ are in conflict. There is never a conflict between B and C. These
are both genuine needs. The actions that need to be taken to achieve each of the needs are in conflict.
We typically compromise on D and/or D’. We keep doing D until C becomes intolerable and then we
do D’ till B becomes intolerable. This is called as Conflicting Cloud of Managers. Under each
To implement Critical Chain Project management in Maintenance and Sustenance projects of Tata
Steel
Deeper understanding of Theory of Constraints (TOC) and its way of dealing with Conflicts.
High sustainable performance in Project team that has already implement CCPM in their
projects and Baptising new project team to adopt CCPM in their projects
Critical Chain Project Management (CCPM) is Project planning and execution based on Theory of
Constraints (TOC) developed by Eliyahu M. Goldratt. It used Critical Chain for planning and Buffer
Management for Project Execution. The Critical Chain in a project is the sequence of activities that
This is in contrast to the traditional Critical Path and PERT methods, which emphasize task order
and rigid scheduling. In CCPM, the project planning is based on the flow of the project and Critical
chain resources.
Application of TOC in Project Management starts with identifying the undesirable effects (UDEs) as
stated in the problem faced in Project management and uses them to identify the core cause/causes of
the problems. In order to identify the core problem, TOC suggest identifying the conflict for each
There is underlying assumptions inn each connecting arrows. The TOC way to examine the
assumptions underlying the arrows and challenges them to find out which one is erroneous.
Uncertainty in the content, in process and in skills. Here little improvement can be done.
The common practice of project management, which cannot be improve in short term and
significant.
These causes are being identified using ‘Conflict Cloud’ and resolve the conflict.
As improvement in the first two causes is little/cannot be done in short term, the third causes ‘Mode
Assumptions: The safety we are allowed is not enough to absorb all the glitches.
Meaning: trying to solve the problem even when the commitment given is unrealistic. There are lot
of safety embedded in task estimates-enough to meet all the glitches-but the way we manages the
The basic cause of conflict is that, in our projects today, we do not have enough safeties or/and are
there more than enough safeties and we are not managing the safeties properly. We can have
Application: Changes the way we places and use the existing safety.
The safety embedded in task estimates is enough to meet all the glitches.
The Common practice in Project management is to ensure the project finish on time is to each task
finish on time.
But Common Knowledge suggests that it is not important to complete each task on time, but to
From this, Conclusion can be drawn that the common practice assumes that the local optima
(finishing each task on time) is the best way to achieve the global optima (to finish the project on
time).
There is need to satisfy not just one objective/commitment but three different
objectives/commitments.
As there is High uncertainty, so task time cannot be deterministic but they are only time estimates.
But in general, people turn the task time estimates into commitments.
Realistic estimations means that we do account for thins that would not go smoothly. We know that
there will be disruptions. Therefore realistic estimations always have some level of safety. Let us
Thus, when time estimates of a job is concerned then there is a consideration of human behaviour
because the entire job requires human indulgence. Because of all these human aspects, it is quite next
In addition this, it is observed the distribution of time for any kind of job, for example; delivery time,
But in reality, the probability distribution for time estimate is highly asymmetric. The safety we take
In most of the project environment, at least half of the time estimates is safety.
The safety embed to the time estimated is inflated- each level of pyramid in the hierarchy adds each
own level of safety to the time estimates, is because of two undesired human nature.
Student Syndrome: The phenomenon that many people will start to fully apply them to a task just
Figure 4.3: Student syndrome: Level of effort as time comes nearer to due date
Parkinson’s Law: “Work expands so as to fill the time available for its completion”. Turning the
WHAT’S THE EFFECT? The following diagram shows the effect of above human behaviour.
Figure 4.4 shows how safety are embedded in the time estimate in planning and figure 4.5 shows
how safeties for each of the individual tasks are wasted during execution due to student syndrome
The mechanism by which the safety is wasted caused gain not to be transferred to next task in full,
Let us assume a simple project with 8 activities in series with each 8-hours of duration.
8Hrs
ss
Nongmaithem Amarjit Singh TATA STEEL
VGSOM, IIT Kharagpur
13
Thus, the total duration of the Project will be 8*8=64 Hrs. But
1. In any project – What are the chances that once project starts one or two activities are added
2. For any of these activities what are the chances that each of them will take exactly 8 hrs? Not
Since, time estimate distribution is skewed and it is not deterministic. Taking the minimum variation
in number of activities and time taken for each activity, the total time that will take to complete the
job will be
So, there is wide spread of time within which the project can be complete. Our target is to complete
the job in scheduled time, i.e., to protect the time of project as a whole.
Figure 4.6 shows how a series of task which have skewed time distributions, but completion time
Time is not deterministic and times estimates are given are skew distribution.
1. What is the chance that task 1, 2, 3 and 4 will all happen early? Nearly impossible.
Nongmaithem Amarjit Singh TATA STEEL
VGSOM, IIT Kharagpur
13
2. What is the chance that tasks 1, 2, 3 and 4 will all get delayed? Very remote
3. What is the chance that some of the tasks will get delayed and some will finish early? Most
Likely
Thus, the delayed tasks and the early completions will even out leading to a uniform distribution of
Again taking the same Project with 4 tasks in a series; each takes 10 hours, each with a similar skew
distribution of time estimates. Considering this project and expecting some tasks to get delayed and
some tasks to complete early, there is a chance that the project may get delayed.
The question arises- What is the expected delay that the project as a whole can experience? If the
project as a whole is protected with the expected delay that can take place, then the project will never
get delayed- but much protection to give. Figure 4.7 shows how providing buffer at the end of the
If the variability of each of the tasks in series is added up and add that to the end of the project then
the project would be protected. According to the central limit theorem in statistics, variability
The variability of the entire project will be the square root of the sum of squares of each of the tasks.
In the above example there are 4 tasks of 10 hours each. So the amount of buffer required will be:
√ (102 + 102 + 102 + 102) = 20 (Which is 50% of the total project duration)
As long as there is four or more task in series in the longest chain of a project, a buffer of 50% of the
2. In a series of activities, the delays and early completions even out, giving uniform distribution.
3. A buffer equal to half the project duration can protect the project as a whole.
Again considering a series of 10 tasks, each with similar distribution of time estimates and the
successive task is ready to take up the task from predecessor at the 90% time estimate. Figure 4.8
shows a series of 10 tasks with skew time distribution and the completion of all the tasks follows
Normal time distribution. Hence providing buffer at the end of the project can protect the whole
project.
All the above stated conditions; 1, 2 & 3 are fulfilled here, but again there is a problem: We are just
adding more time to our existing schedule in the form of buffer. This is counterproductive. To solve
In the aggressive scheduling, the actual Work Breakdown Structure is kept but the tasks are
scheduled such that successor task is ready to start if its precedence task finishes early. This adds
significant gain to the project itself. The time estimation for each task is cut into half-no one act as
though there is enough time available, thus the Parkinson’s law and student’s syndrome are
overcome and the project is protected with a buffer leads to completing projects in shorter duration.
It is not important to complete each task on time; instead our ultimate aim is to complete the whole
The solution to the problems in the Project Management using the five focusing steps of TOC is:
Step 1: Find the Constraint: The Critical Chain: identifying the chain which taken maximum time
Step 2: Exploit the Constraint: Expedite Critical Chain Tasks: Aggressive scheduling of the
projects
Step 3: Subordinate to the Constraints: Yield resources to CC Tasks and complete feeding tasks
so there Critical Chain tasks are not delay because of Feeding tasks delay.
Step 4: Elevate the Constraint: Off-Load Critical Chain by change schedule or adding resources.
Here the Critical Path is A1-A2-A3-D1-D2 with duration of 8 weeks. Figure 4.9 gives the network
In CPM and PERT, the resource contentions are not consider in the project planning. Here A2, B1
and C2 are performed by the same resources. To final the project on time, each task wants to start as
soon as possible, there is always fight for resource. Naturally, there will be multi-tasking in the
resource leading to longer lead time for each tasks and hence the delay in delivery of the project.
The critical chain identified considering the resource contentions. Here the Critical Chain is B1-A1-
C2-C3-D1-D2 with duration of 11 weeks. There is difference from what is given by CPM and PERT
techniques. The critical chain tasks are shown in the fig. 4.10 (tasks in bold box).
Here the one marked in bold box are the tasks in the Critical Chain. Aggressive Scheduling is done
by cutting the task durations into half of the original duration. The Critical chain is subordinated by
providing Feeding Buffers (equal to half of the duration of the feeding chain). The total project is
protected with Project Buffer (equal to half of the Critical Chain). The total project duration is of
8.25 weeks. Here, as the project is provided with Project (which is equal to half of the Critical
Chain), it is ensure that the project will be complete within the given time.
The process/methodology adopted in applying CCPM in Tata Steel to optimize major shutdowns is
as follows:
5.1: CONCEPTUALIZATION
Buy in with the project team
Here the project team comprising of Supervisors, Foremen and Engineers leaded by the Project
manager defined the scope of the project. The whole step involved the following things:
The TOC task force team on CCPM involves in the understanding the project.
the basic framework of the tasks to be carried out during the shutdown. This plan generally leaks the
detailed Work Breakdown Structure (WBS) and allocation of resources to the individuals. In addition
to this, the dependency relationship is generally not clear. After discussing with the job participants;
Supervisor, Foremen and Engineers, the basic plan of the Major Shutdown including the allocation
of proper resources, proper break ups of the job, proper activity, and resource dependency and most
The project is design as per flow of the tasks to be carried out and dependency. The detailed
description of the tasks to be performed is given for each task so as that it is easily understandable
by anybody. Various reviews are done on the plan so that the plan is planned in the way the project
buffer. The task durations asked by the people are time estimates and contain some safety. When
there is a series of tasks performed, some tasks will finish early and some will finish late. By
application CCPM i.e., Aggressive scheduling maximum benefits can be derived to take advantage
of early finish for early completion of the project. Aggressive scheduling is done by 50% reduction
in total time and giving 50% buffer to the critical chain. CONCERTO 4.0 provided by Realization, is
It is hard to convince the people that they are given only half of the time for each of their
tasks and the project can be completed in maximum of 75% of the total time asked by them. They are
convinced that as the time is not deterministic, rather probabilistic, these times were estimates only
not commitments. If there is delay due to the aggressive scheduling (time for each task cut into half),
TOC suggest that the project should be access to everyone involved in the project from anywhere.
CONCERTO has a web-based software option called “Conweb”, for online display of the Project.
The project is uploaded in the server. The project team can see the status and progress of the project
5.3: EXECUTION
During the execution, the project is monitored using the CONWEB. The Project team can monitor
the progress of their project. The project manager and task-managers can get the list of jobs based on
the priority to be performed i.e., CONWEB provides the tasks which are critical or which became
critical during the progress. This helped to allocate the maximum resources available to the critical
activities. It also shows the Task manager who is responsible for that job. They can update the status
of the job as Not-started, In progress with remaining duration and Complete. Thus, by just guiding
those persons on everyday basis and also the Project Manager for the whole project, it was possible
to monitor the project very closely and complete the project within the aggressively allocated time.
Execution view of the project gives the overall status of the project such as due date, Projected due
date, % buffer consumed, % of Critical chain complete and Penetrating task if any.
Viewing by the Project and Task Managers of actual execution team for updating the task
(Task Management).
Applying buffer management to the project so that the questions-how much job is
Identify the variation in original critical chain; either the variation is there or not
Trend chart gives the history of the rate of consumption of project buffer. This help in
CCPM. This group of people has experience the application of CCPM in their project and the
The major jobs taken up in LD-2 Caster-2 Main shutdown were: Renewal of Torch cutting machine,
Here in this project with this team, the objective of application of CCPM is to sustain the high
The step of application of CCPM is followed in this group except for the buy-in process (as they
have already accepted the CCPM concept and know its benefits and are confident).
the help of the project team. The details include the task descriptions, time estimates for duration,
resource and its managers and task dependencies. Each member of the team participates in making
the plan.
duration should be cut. It is still 50% or less than 50%. Sometime, some members are
overconfidence that they can tell they can achieve unrealistic targets. It is for the TOC-CCPM
taskforce members and the project manager to determine what should right so that the target is
realistic as well as it does not compromise on the ability of the team to delivery high performance.
Once it is agreed on the new aggressive schedule, next step is identification of the possible
Murphy/hurdles that may delay or interrupt the project. Initial action plan is plan for each Murphy
identified so that the team ready in case any Murphy hits the project.
which is accessible from anywhere anytime, each of the team members closely monitor the progress
of the project and does the action plan for implementation of the project.
They do the tasks according to the priority list generated by the conweb. The project manager does
review at regular interval so that everyone knows the status of the project as a whole and hence
The project needs a close monitor as most of the time duration estimates given by team members are
good estimate (mostly less than 90% of task completion) above which Aggressive scheduling is
applied.
The project execution view, Project chain view and Trend chain of the project is included in the
Project management. The team members do not have experience in doing project management as per
CCPM. They may/may not have heard of the concept of CCPM. They generally have doubt and
show resistance to the CCPM concept. The team is not sure whether CCPM will help in achieving
their commitments of time, content and budget. Here the main hurdle is the Buy-in of CCPM.In LD-
1 Vessel-1 Gas Cooling Plant Stack Up-gradation, the main tasks undertaken were: Replacement of
the cooling stack with up-gradated stack and modification of the Converter water circulation system
real picture of the project. According to CCPM, the project plan should show how the project is
done. The project team is convinced about the Project planning according the flow of the tasks in the
project. Initially, they felt difficult with the new way of planning as it is opposite of what they
generally do. Once, they understand the concept and gets the idea of flow, the project planning is
smooth. The dependencies between the tasks are set. The project team gives the time estimates of
each of the task. At this time, no question is raised regarding the duration of the task, why it is taking
long. At this stage, the main aim of the CCPM team is to be accepted by the project team. CCPM
team helps in getting the flow of project planning and suggests how it could be done better by just
questioning they the right question at right time, answers and solutions are derived through
discussion by the project team themselves. Other issues like resource allocation to the tasks and
resource managers, task managers are identified and added in the plan. The tasks which have fixed
lead time are also set. The plan is given to the project team is further review. Based on the review,
The task durations of each and every task (except for tasks with fixed lead time) is cut into half. The
critical chain of the project is identified. Buffer equal to half of the Critical chain is added as ‘Project
Buffer’ to the end of the critical chain to protect the project as whole. Buffer equal to half of the
feeding chain is added as ‘Feeding Buffer’ to the feeding chain of tasks to protect the Critical chain
commitment. CCPM is about completing the project as whole rather than completing each task on
time. The team is made to realise that the time estimates are not deterministic, rather probabilistic.
Hence, the task can take longer than the time estimate and it can also take shorter than the time
estimate given. It is explained that when there is a series of tasks, it is most likely that some task will
complete early and some task will complete late. The delay in completion of the task delay the
project as whole but the early completion of a task may or may not passed on to the next task.
CCPM is about utilising the early finish to advantage of the project to complete on time. The Project
cause the delay of the completion of task in the next aggressive timing. It is brainstorming session to
point out the difficulties that may rise. Action plan is developed for the possible Murphy as that the
of the project through Conweb. The project manager is given the task list generated by Conweb (as
per Priority so as to complete the project at earlier) for next 7 days every day so that he can do the
resource planning. He is guided through how to do the review of the project. In CCPM, the progress
of the project is measured through the percentage of completion of Critical Chain, Status of the
project through Buffer management and it is monitored through trend chain with give the rate of
buffer consumption. The task managers are given task list of next 3 days every day. The review is
done every day (Review should be done atleast for every 5% of the project duration). During the
review, it is not questioned why the job is not completed in the given time, rather it is asked what is
need to speed up the completion of the task. Close monitoring is done through the online mechanism
using Conweb.The project execution view, Project chain view and Trend chain of the project is
CCPM benefits that can be achieve by using from application of CCPM in their
CCPM in their projects projects
Acceptance of They are defensive in their approach. They accept CCPM as a mean to achieve
CCPM/buy-in better and better target.
Identifying They express the Murphy in term of They can articulate the possible Murphy
Murphy resistance to CCPM idea. They don’t better and derived action plan if the
possible have well coordinated action plan if the Murphy arises during the project
Murphy hit during the project. implementation
Monitoring the They use Conweb site to update their They use the Conweb to monitor the
project tasks status for other people to see their project and take advantage of it in
project status. It takes some time for them deciding the priority of the tasks and
to realise that Conweb is for them to deliver excellence result.
monitor their project.
6.4: RESULTS
CCPM Increased
ABP Plan Achieved
Area Target Availability
7. CONCLUSION
7.1: TO SUMMARISE
TOC identifies the conflicts that exist in the project environment and applies the five focusing steps
in Project Management which is known as CCPM. CCPM gives a methodology of managing the
project to meet the original commitment of time, content and budget. It aims at achieving the
delivery of the project as whole rather than completion of individual task. It protects the project by
providing project buffer at the end of critical chain after aggressive scheduling (removing safety of
Each task time estimate becoming aggressive, this helps in eliminating Student’s syndrome
Starting the tasks as late as possible eliminates resource contention, help in staggering the
Tasks, if delayed, consume from the common buffer and tasks, which complete early,
The total safety required to protect the project as whole is much less than sum of the safety in
individual task. Thus, there is better of finishing projects earlier than the plan where CCPM is
not applied.
The uncertainties/Murphy that may rise in the projects are taken care of by the project buffer.
The continuous monitoring of the project execution through Conweb help to see the dynamic
The implementation of CCPM in Maintenance and Sustenance projects of Tata Steel helps in
delivering the project with the original commitments of time, content and budget. CCPM was
implemented with the project team after they introduced to the new way of project management.
Here in case of LD-1 Vessel-1 GCP up-gradation project, the team was able to achieve result that
was thought impossible to them before. This changes the mindset of the project team. In case of LD-
2 Slab caster-2 main shutdown project, the project team had experience CCPM implementation in
their earlier projects. The project team can continuous to sustain the high performance and
maintenance and sustenance projects of Tata Steel has delivered good results.
8. VALUE ADDITION
Cooling Plant stack up-gradation and LD-2 for Slab Caster -2 main shutdown. As in LD-1 Vessel-1
Gas Cooling Plant Stack Up-gradation Project execution the project team was new to the CCPM
concept, hence application of CCPM in this project has expanded the areas in Tata Steel. This has
developed confidence of People in the CCPM as project management tool. As in LD-2 Slab Caster -2
main shutdown project the project team has already had experience in managing the project as per
CCPM concept, the application of CCPM in project with this group has proved that continuous
implementation of both the projects have increased the available time of production in both the areas
by completing the project within and ahead of the project due date.
(TOC) concepts and its applications in various areas of business. The Five focus steps of TOC and
the Conflict cloud concept has developed in me a new and better way of managing and doing things
both in my personal life as well as in the areas of business. Implementation of CCPM in the live
projects in Tata Steel has developed me in the confidence to handle planning and implement the
projects. CCPM has taught to me (though I am a chemical engineer) that I need not have the
specialisation of the particular field to plan, implement and monitor the project.
REFERENCE
Eliyahu M. Goldratt[1997] : Critical Chain, Indian Edition 2005, Productivity and Quality
Eliyahu M. Goldratt, Jeff Cox: Goal, The process of On-Going Improvement, Indian Edition
Eliyahu M. Goldratt: Goal II, It’s not luck, Indian Edition 2005, Productivity and Quality
Tzvi Raz; Robert Barnes; Dov Dvir: A critical look at Critical Chain Project Management,
PA, USA
www.wikipedia.com
www.realization.com
APPENICES
Fig.A-1: Project Execution View for LD-1 Vessel -1 GCP stack upgradation
Fig.A-2: Daily Buffer History for LD-1 Vessel-1 GCP stack upgradation project
Fig. A-4: Penetrating Chain view if LD-1 Vessel-1 GCP stack Upgradation