Introduction to Project Management

Malcolm Kear

EFTS/EODI Training Programme

Wednesday, 10 June 2009
Course Objectives
 To provide participants with:
– An awareness of the importance of applying good
practice Project Management in projects of any size.
– An understanding of essential elements, including the
Leadership Role of the Project Manager, Project
Planning, Risk Management and Stakeholder
Engagement.
– An understanding of the principle elements of design
control to be applied within projects at Culham.
Culham Challenges
 “What are the particular technical challenges
facing projects at Culham?”
– Research environment
• requirements may be hard to define and may change
• producing one or a few items rather than production line
– Uncertainties of leading edge R&D 
• solutions may have to be developed, including possibly new
technologies
• ‘first of a kind’ so planning and estimating is difficult
– Need to balance the desire to get maximum
performance versus achieving acceptable
reliability/availability
Culham Challenges
 “What are the particular management challenges
facing projects at Culham?”
– Requirements hard to define and may evolve
– Risk Management (all aspects) crucial but difficult
– Cross functional team composition
– Competing pressures on resources, e.g. design office
– Working with scientific organisations not used to project
and QA disciplines  planning may be poor
– Collaborative agreements rather than contracts
– Political - EC funding requirements
– Growing funding pressures due to ITER
What is a Project?
“Unique process consisting of a set of coordinated and
controlled activities with start and finish dates, undertaken
to achieve an objective conforming to specific
requirements, including constraints of time, cost, quality
and resources”

 A Project is a planned set of activities

 A Project has a scope
 A Project has time, cost, quality and resource constraints
What is Project Management?
 The art of organising, leading, reporting and
completing a project through people
What is Project Management?
 A project is a planned undertaking
 A project manager is a person who causes things
to happen
 Therefore, project management is causing a
planned undertaking to happen.
Exercise 1
 Write down three attributes of a good Project
Manager
Project Manager Role
 A Good Project Manager
– Takes ownership of the whole project
– Is proactive not reactive
– Adequately plans the project
– Is Authoritative (NOT Authoritarian)
– Is Decisive
– Is a Good Communicator
– Manages by data and facts not uniformed optimism
– Leads by example
– Has sound Judgement
– Is a Motivator
– Is Diplomatic
– Can Delegate
Stakeholder Engagement
Stakeholder
“A person or group of people who have a
vested interest in the success of an
organization and the environment in which
the organization operates”
Exercise 2
 Write down three typical project stakeholders
Exercise 2 - Typical Stakeholders
 Sponsor
 Funding Body
 Customer
 Suppliers
 End User
 HSE/Environmental Agency
 Maintenance Team
 Neighbours/Community/Shareholders
 Fusion Community
 Interfaces
Stakeholder Engagement process
 Identify Stakeholders
 Assess needs
 Define actions
 Establish communication channels
 Gather feedback
 Monitor and review
 The Project Process Design Approval Readiness for
Project Justification
Strategic and Budgetary Gate 1 Gate 2
Gate 0 - Approve Project Definition - Approval of Gate 3 Manufacture
Approval Undertake Design Final Documents - Approval to
place Contract

Initiate Project
Prepare Technical Design
Ensure Machine Compatibility Prepare
Safety Case Modification
Undertake Tender
Project
set-up Project
Major
Definition Conceptual
Project Scheme
Design
Proposals Design Detailed Tender
Appoint Project Sponsor Design Invitation &
Assess Project Priority Assess
Budget Implications
Est. Proj. Deliverables and
Raise/Extend/Update initial TCD-R/PERF Assessment
Prepare Outline
Objectives Appoint Project Leader
Conceptual Design Define Design Extend TCD-Rs/PERFs
Approve Project Set-up
Constraints Prepare Interface Prepare Sub-system Detailed Design Hold
Requirements Spec. (IRP) Detailed Design Review (DDR)
EFDA/CSU/JOC Management Finalise Conceptual Design Clear Sub-system DDR Issues
Hold Conceptual Design Review Use TCD-I/MMAC for Sub-system DD Approval
(CDR) Clear CDR Issues Prepare Final Documents including:
Initiate Modification Safety Case - Design Documents., Machine *** These will comprise:
Update PMP Compatibility Documents., Safety Case
Approve Proceed to Detailed Design - Technical Specification
Modification
- Drawings
Project Team/IRP/EFDA/CSU/JDC Project Team/Interfaces/EFDA/CSU/JDC - Contractual Requirements

Draft Statement of Requirements (SoR) Compile Tender Docs.***

* This will include: Review & Approve SoR Identify Send out
Resources Appoint Project Raise/Extend Sub-system TCD-Rs/PERFs Invitations (ITTS) Hold
- Initial WBS, OBS and CBS Agree Classifications & Interfaces
Team Produce & Maintain Clarification Meetings Receive
- Project Plan - Prepare Sub-system Scheme Design
Procurement Plans Tenders Evaluate
Risk and Procurement Strategies Hold Sub-system Scheme Design Review (SDR)
Undertake Project Risk Assessment Tenders Arrange
Prepare Project Boundary Document Clear Sub-system SDR Issues site visits Approve
Develop Project Management Plan (PMP)* Update PMP changes to Specs. Choose
** These will only take place here Raise initial TCD-R/PERF** Use TCD-I/MMAC for Sub-system SD preferred Company
for large projects demanding DO Prepare Preliminary Conceptual Design** Approval
effort for preliminary Conceptual Project Team/Contracts/EFDA
Project Team/Interfaces
work
Project Leader/Project Team/EFDA/CSU

Readiness for Operation

Implement Project Gate 4
- Acceptance of System
Note: Overall Project
Complete Project Management and Reporting will
Manufacture
be as defined in the Project
Equipment Install Management Plan (PMP)
Equipment Test &
Commission Confirm
Completion Project Gates (Formal Decision Points)
Raise Contract Documentation
Place Contract Review See accompanying notes
Hold Kick off Meeting
(KOM) Clarify Issues (Quality Test Equipment against Test Schedule
Plan) Monitor Commission Complete System
Progress Witness key
Procedures Complete Release Undertake Post

UNCONTROLLED
Project Team/ICM/EFDA/CSU Project Review
Note Approve Complete
Package**** Approve Release
Note Pack & Dispatch Project Team/CSU
Equipment

WHEN PRINTED
Confirm Technical Completion
Receive Equipment
Project Team/Contractor/ICM Review Project Records Complete
Pre-test Equipment
Handover Documents Resolve
Install equipment
Reservations Obtain
Acceptance of Completed Project
**** This includes Project Team/ICM
supporting documentation
Project Team/EFDA/CSU
Key Points in Project Set-up and Definition
 Create Project Management Plan (PMP)
 Be clear of scope and objectives
 Establish clear statement of what is to be
done (WBS)
 Establish Risks to be Managed
 Establish Costs and Durations
 Establish Resources Required
Project management Plan - PMP
 Master Document for Project
 Defines the following:-
 Project Objectives, Scope, Deliverables
 Stakeholders (Internal & External)
 Work to be done (WBS)
 Project Organisation and Resources (OBS)
 Project Costings (CBS)
 Project Schedule
 Procurement/Contract Strategy
 Risk Management
 Quality management
 Change Management
Project Planning
Project Planning
 Adequate planning leads to the correct
completion of work
Planning
 Inadequate planning leads to frustration
towards the end of the project & poor
project performance

Project Start Project End

Work Breakdown Structure (WBS)
 The Work Breakdown Structure is the foundation for
effective project planning, costing and management.
 It is the most important aspect in setting-up a Project

 It is the foundation on which

everything else builds
Work Breakdown Structure - Definition
“A Work Breakdown Structure (WBS) is a
hierarchical (from general to specific) tree
structure of deliverables and tasks that need
to be performed to complete a project.”
Example WBS - Top Level ILW Project
ITE R-Like
W all P roject
1 .0.0.0.0

R e s ea rc h & E n gin e erin g E P2 P ro je ct Be In s ta lla tion E ro s ion /D e po s itio n

D e velo p m e nt D e s ig n & M an u fa c tu re S h utdo wn M a na ge m e n t R e c yc lin g P rep a ratio n fo r IL W
1 .1.0.0 .0 1 .2.0.0 .0 1 .3.0.0 .0 1 .4.0.0 .0 1 .5.0.0 .0 1 .6.0.0 .0 1 .7 .0.0 .0

Be S lic ed B e R e m o te O v e ra ll P ro je ct A ss e s s JE T S lic e d B e T iles E n gin e e ring

R e c yclin g T ile s H a nd ling M a na ge m e n t B e S to cks In s ta ll P re p. D e sign & M a n u f.
1 .1.1.0 .0 1 .2.1.0 .0 1 .3.1.0 .0 1 .4 .1.0 .0 1 .5.1.0 .0 1 .6.1.0 .0 1 .7 .1.0 .0

B u lk W B u lk M e tal T o ru s In stalla tion C o n trac tu al P re pa re & S h ip B u lk M e ta l T ile s E ro s ion /D e po s ition

D iv e rto r T ile s G ro up M a na ge m e n t JE T Be In s ta ll P re p. A s s e m b y & C a lib.
1 .1.2.0 .0 1 .2.2.0 .0 1 .3.2.0 .0 1 .4 .2.0 .0 1 .5.2.0 .0 1 .6.2.0 .0 1 .7 .2.0 .0

W C o a tin gs W C oa ted W a ste M a n. S a fe ty & H P W C o ate d C FC E ro s ion /D e po s ition

1 .1.3.0 .0 C F C T ile s G ro up M a na ge m e n t In s ta ll P re p. In s talla tion
1 .2.3.0 .0 1 .3.3.0 .0 1 .4 .3.0 .0 1 .6.3.0 .0 1 .7 .3.0 .0

M a rk e rs E m b e d d ed V a cu um Q u a lity E m be d . D ia g. E ro s ion /D e po s ition

1 .1.4.0 .0 D ia g n o s tics G ro up M a na ge m e n t In s ta ll P re p. M a na ge m e nt
1 .2.4.0 .0 1 .3.4.0 .0 1 .4 .4.0 .0 1 .6.4.0 .0 1 .7 .4.0 .0

R&D E n g ine e rin g D & M IL W T ile R e m o v al F Z J C o n tra ct In s ta ll P re p.

M a na ge m e n t M a na ge m e nt & R ep la c em e nt M a na ge m e n t M a na g e m e nt
1 .1.5.0 .0 1 .2.5.0 .0 1 .3.5.0 .0 1 .4 .5.0 .0 1 .6.5.0 .0

B u lk W E P 2 S hu tdo w n In s ta ll P re p.
T ile s M a na ge m e nt B u lk W
1 .2.6.0 .0 1 .3.6.0 .0 1 .6.6.0 .0

C o m p o ne n t In sp e ct In s ta ll P re p.
& R e -p a ck O th e r A c tiv ities
1 .2.7.0 .0 1 .6.7.0 .0
Example WBS - Top Level TSCL Project
O p tica l
S yste m s
5 .5.C .0 .0 .0.0 .0

T h o m so n S ca tte rin g
C o re (L ID A R )
5 .5.C .1 .0 .0.0 .0

L ID A R P ro je ct L ID A R S ys te m L a se r C o lle ctio n L a se r P a th C o n tro l & L ID A R L ID A R In te rfa ce s &

M a nagem ent C o n ce p ts S ys te m s O p tics O p tics A c q u isition P o rt E n gin e e rin g S e rv ic es In te g ra te d T e stin g
1 .1.0 .0 .0 1 .2.0.0 .0 1 .3 .0 .0 .0 1 .4 .0.0 .0 1 .5 .0 .0 .0 1 .6 .0 .0 .0 1 .7.0.0 .0 1 .8.0 .0 .0 1 .9.0.0 .0

K e y P ro je ct O v e ra ll C lu ste r L a s e rs C o lle c tio n L a se r P a th C o n tro l S ys te m S h u tte rs W a ter L ID A R

M ile sto n e s C o -o rd in a tio n 1 .3 .1 .0 .0 O p tic a l D e sign O p tic a l D e sign In te rfa ce D e fin itio n 1 .7.1.0 .0 S e rv ic es In te rfa ce s
1 .1 .1 .0 .0 1 .2.1.0 .0 1 .4.1.0 .0 1 .5.1.0 .0 1 .6 .1 .0 .0 1 .8.1.0 .0 1 .9 .1 .0 .0

K e y P ro je ct P e rfo rm a n ce Laser C o lle c tio n L a s er C o n trol L a b yrin th In te rsp a ce M o c k-up

D e live ra b les A n a lysis L a yo u t W in d o w s W in d o w s S ys te m 1 .7.2.0 .0 V a cu u m F a c ility
1 .1 .2 .0 .0 1 .2.2.0 .0 1 .3 .2 .0 .0 1 .4.2.0 .0 1 .5.2.0 .0 1 .6 .2 .0 .0 1 .8.2.0 .0 1 .9 .2 .0 .0

K e y IT E R L ID A R L a se r B e am In -V ac u u m P la sm a Fa c ing A c q u isitio n E xte n sio n T u b e s & L ID A R B a sic M o ck -u p

M ile sto n e s & IP L N e u tro n ics C o m b in er C o lle c tio n M irro rs L a s e r M irro rs S ys te m M irro r M o u n tin g P ow er T e s ts
1 .1 .3 .0 .0 1 .2.3.0 .0 1 .3 .3 .0 .0 1 .4.3.0 .0 1 .5.3.0 .0 1 .6 .3 .0 .0 1 .7.3.0 .0 1 .8.3.0 .0 1 .9 .3 .0 .0

O ve ra ll S ca tte rin g E x -V a c u um O th er L a se r L ID A R E x te rn a l P o rt O p tics S p e ctro m e te r To kam ak

M ana gem e nt T h e o ry C o lle c tio n O p tics M irro r s In s tru m e n ta tio n M o u n ting A re a T e s ts
1 .1 .4 .0 .0 1 .2.4.0 .0 1 .4.4.0 .0 1 .5.4.0 .0 1 .6 .4 .0 .0 1 .7.4.0 .0 1 .8.4.0 .0 1 .9 .4 .0 .0

S a fe ty & H P R&D C o lle c tio n O p tics L a se r P a th S a fe ty B io s h ie ld L a se r F in a l S ystem

M ana gem e nt T a sks M e c h a n ic a l D e sign M e c h a n ica l D e sig n In te rlo c ks 1 .7.5.0 .0 R o om T e s tin g
1 .1 .5 .0 .0 1 .2.5.0 .0 1 .4.5.0 .0 1 .5.5.0 .0 1 .6 .5 .0 .0 1 .8.5.0 .0 1 .9 .5 .0 .0

R is k R a d ia tion S p e ctro m e te r B e am S a fe ty BSM P o rt C e ll/ S ys te m A sse m b ly

M ana gem e nt E ffe c ts D a ta S yste m Dump S ys te m P e n e tratio ns In te rsp a ce & D is-a s se m b ly
1 .1 .6 .0 .0 1 .2.6.0 .0 1 .4.6.0 .0 1 .5.6.0 .0 1 .6 .6 .0 .0 1 .7.6.0 .0 1 .8.6.0 .0 1 .9 .6 .0 .0

Q u a lity R e m o te D e te cto rs A lig n m e n t E M A n a lysis fo r

M ana gem e nt H a n d lin g 1 .4.7.0 .0 S ys te m In -P ort C o m p .
1 .1 .7 .0 .0 1 .2.7.0 .0 1 .5.7.0 .0 1 .7.7.0 .0

Ite m A lig nm e n t C a lib ra tion

T e s t U n it S yste m S ys te m
1 .2.8.0 .0 1 .4.8.0 .0 1 .5.8.0 .0

E n g in e e rin g C a lib ra tio n

A n a lysis S yste m
1 .2.9.0 .0 1 .4.9.0 .0
Project Planning – WBS (1)
 Lowest Level of WBS is the Work Package
(WP)
 WP can be clearly defined allowing package
to be costed, scheduled and resourced
 WP contains a list of Tasks to be Performed
that form the basis for the Schedule
 WP allows assignment of responsibilities
(Work Package Manger, WPM)
Project Planning – WBS (2)
 WBS allows hierarchical build-up of costs
and schedule
 Cost and Schedule can be reported at any
level of the WBS
 WBS facilitates strong management during
project execution (Cost and Schedule
control)
 WBS can be used for many other things -
Document Management, Risk Management
etc.
Project Planning
 A word about Scheduling
– Schedules (task durations) can have a wide
variation
– There is no unique answer. Rather, there is a
statistical variation depending on assumptions
– Need to understand the basis of scheduling
(Most challenging; Most likely; Absolute certainty
- bet your life on it!)
– Most people are very optimistic/naive
Common schedule development
Accuracy of Timescale Estimates

100
90
80
Subsequent
70 Estimates
Probability

60
50
40
30 First
20 Estimate

10
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Timescale
 Example WBS for the
ITER-Like Wall & TSCL Projects

ILW WBS MJ Kear TSCL WBS

ILRH Schedule
Project Planning – Key Points
 Recognise that adequate project planning is
essential
 Produce a sound WBS
 Use the framework provided by the Project
Management Plan (PMP) template
 Involve the right people
 Allow enough time
 Be systematic
Project Risk Management
Project Risk – Definition (1)
“Project risk is an uncertain event or condition
that, if it occurs, has a positive or negative
effect on a project objective”
Project Risk – Definition (2)
“A combination of the probability of a defined
threat or opportunity (Likelihood) and the
magnitude of the consequences of the
occurrence (Impact) defines a Risk Index”
Risk Impact
Threat → Scope → Poor Quality Product
Threat → Schedule → Late Delivery
Threat → Cost → Overspend

 In addition there are health, safety and

environmental threats that must be
managed (CDM Regulations)
Risk Management Process
 Identify Risks
 Assess likelihood and impact
 Rank risks and prioritise
 Define risk management approach & actions
 Implement actions
 Monitor & review
Example Risk Management for the
ITER-Like Wall Project

MJ Kear Microsoft
PowerPoint Presentation
Risk Management – Key Points
 Make the management of risk integral to the
way the project is managed
 Ensure that cost and time contingencies are
consistent with identified risks
 Focus on the “significant few” – don’t try to
manage too many risks
 Be vigilant and proactive
Project Monitoring and Control
Exercise 3
 Write down three typical project
control/monitoring activities
Project Monitoring
 Typical Monitoring Activities
– regular reviews of progress against schedule
using WBS as basis (Plan against Baseline)
– regular review of actual costs (O/P from SAP)
against budgeted costs and Earned Value at
WBS level
– regular review of resource loading
– regular progress meetings with project team
– regular meetings with contractors
– production of periodic progress reports
– risk reviews
– inspections/ audits
Project Control
 Typical Control Activities
– assign responsibilities at Work Package level
– staged authorisation of work to be done
– staged release of budgets (staged release of
WBS(e) numbers)
– ensure PM has a ‘Management Reserve’ under
his control
– seek corrective action reports when WPs go ‘off
track’ (overrunning or overspending)
– release Management Reserve carefully
Project Monitoring and Control
Summary
 Monitor against the plan – status regularly
 Take a factual approach to decisions
 Identify management action early
 Check that defined controls are being
applied – correct if necessary
 Apply change control
Introduction to Design Management
Design Management
 Design takes place as part of a project
 Design Management is part of Project
Management
 Design Management considerations must be
included in the PMP
Exercise 4
 Write down three Design Management
Activities
Exercise 4 - Design Management Activities
 Sub-divide Design Stages (CD, SD & DD)
 Sub-divide Tasks (WBS)
 Define Constraints and Interfaces (WPD
Summary Sheet)
 Formally Initiate the Design (TCD-R/PERF)
 Ensure Design conforms to H&SE and CDM
Requirements
 Hold Design Reviews (Peer review)
 Formally Approve Design (TCD-I/MMAC)
Design Stages
 Conceptual Design
 Scheme Design
 Detailed Design
Conceptual Design Phase
 TCD-R
 Decide Local or TCS route
 Develop Conceptual Design
 Define Constraints & Interfaces
 Carry out Conceptual Design Review
 Initiate Safety Case Modification if required
 Obtain Approval to Proceed to next stage
Scheme and Detailed Design
 Basic considerations and process similar to
concept
 Need to ensure that safety & environmental
issues receive proper consideration as
design develops (CDM Regulations)
Exercise 5
 List who should be invited to a design review
 Write down three issues that should be
considered at a design review
Exercise 5 - Design Reviews, Attendance
 Project Leader or nominee (Chairman)
 RO (Work Package Manager)
 Customer
 End User
 Safety and Quality Reps
 All other Relevant Interfaces/Stakeholders
 Other Experts in the area being reviewed
 Exercise 5 - Design Reviews, Issues to
Consider
 Assumptions and Constraints
 Technical Solutions - Does it meet the Spec?
 Safety, Environment and CDM issues
 Can it be Manufactured/Maintained?
 Actions from previous DRs
 Issues to be resolved (including Timescales)
Safety & Environment
 Need to ensure that safety & environmental
issues receive proper consideration as
design develops
– Involve the right people from the start
– Systematically identify issues – Hazards/Risks,
Environmental Aspects & Impacts
– Carry out rigorous reviews at each design stage
– Control Design Changes
 MUST take note of CDM Regulations
CDM Regulations
 CDM - Construction (Design & Management)
 Regulations recently updated
 Now must have someone in EACH Project
Responsible for CDM
 Currently information is on the Conceptual,
Scheme & Detailed Design steps on the
Process Maps
 More information will be developed over the
coming months
Design Change control
 Needs to be a formal and defined procedure
 New procedure in place CD/P/J008 for JET
Facilities
Confirm Completion
 Ensure design records are complete and
accurate
 Ensure any outstanding actions or issues
are addressed
 Ensure Maintenance Records are produced
 Ensure User Manuals are produced
 Hold a formal Post Project review