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THE

PROJECT
WORKOUT
FOURTH EDITION

The ultimate handbook of project and


programme management
ROBERT BUTTRICK

Prentice Hall
FINANCIAL TIMES

An imprint of P e a r s o n E d u c a t i o n
Harlow, England London New York Boston San Francisco Toronto
Sydney Tokyo Singapore Hong Kong Seoul Taipei New Delhi
Cape Town Madrid Mexico City Amsterdam Munich Paris Milan

Contents
List of Project Workouts

xvi

Foreword by Robert Heller

xvii

Acknowledgments

xviii

Preface to the Fourth Edition by Ian Livingston

xx

Introduction

xxi

Part One: Challenges To Be Faced


1 Challenges We Need to Face

Problems, more problems

Initiatives fail, are cancelled or never get started - why?

2 Advice the Best Organisations Give Us

11

The study

13

The lessons and their implications

17

But we're different! - organisational context

34

Conclusion

39

Part Two: A Walk Through a Project


3 The Project Framework: An Overview of its Gates
and Stages

47

Projects as vehicles of change

49

Internal and customer-facing projects

52

Stages and gates

53

The project framework

58

Some key questions

63

How can 1 apply the framework?

68
CONTENTS

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4 Who Does What?

71

The players

74

5 The Proposal: Identify the Need!


Overview

87
89

Key deliverable

89

Process steps

90

6 The Initial Investigation Stage: Have a Quick Look at It! 93


Overview

95

Key deliverables

95

Process steps

96

7 The Detailed Investigation Stage: Promising . . .


Let's Have a Closer Look

99

Overview

101

Key deliverables

101

Process steps

104

8 The Develop and Test Stage: Do It!


Overview
Key deliverables

107
109

<

Process steps
9 The Trial Stage: Try It Out

109
110
113

Overview

115

Key deliverables

115

Process steps

116

10 The Release Stage: Let's Get Going!

119

Overview

121

Key deliverable

121

Process steps

122

CONTENTS

1 1 The Post-Implementation Review: How Did We Do?

125

Overview

127

Key deliverable

127

12 Applying the Staged Framework

129

Four types of project

131

Fitting into the staged framework

133

Small stuff, or 'simple' projects

136

Agile or rapid projects

i38

'Just do it' projects - loose cannons

139

Big stuff, or projects and subprojects

140

Work packages

141

The extended project life cycle

143

13 A Few Related Projects: Simple Programmes

145

Simple programmes

147

Sharing projects - interdependencies

149

Part Three: Dealing With Many Projects


14 Portfolios of Projects

157

The Business Programme

159

What's different about Business Programme management?

165

Managing the portfolio

172

Prerequisites for effective portfolio management

174

15 There are Too Many Projects to Do!

177

Principles for selecting projects

179

Project authorisation

185

Selecting the right projects

198

Far too many projects!

212

Putting the brakes on

214
CONTENTS

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16 Have I Got the Resources?

217

Conditions for total resource planning

219

White space - the freedom to change

226

How can I meet the three conditions?

227

How detailed does resource, forecasting need to be?

234

17 An Environment for Managing Your Portfolio

239

New structures for old

241

Support offices

243

The tools to help it work - systems

253

Lists - keeping tabs on your projects

255

Harnessing web technology

259

What would such a system look like?

260

Management accounting systems

265

Putting your systems together

271

Part Four: Making Projects Work For You


18 Project Teams and Style

279

Culture - the way we do things around here

281

Project teams

282

Leadership and influence

284

I thought you were doing that! - accountability

286

19 Project Setup

289

How to go about it

291

Set up the project team

294

Prepare a project definition

298

Prepare the project plan

305

Define your project organisation

310

Engage your stakeholders

317

CONTENTS

20 Managing Benefits

323

Benefits and drivers

325

Forecasting benefits

334

Timing of benefits

335

2 1 Managing the Schedule

339

The project schedule

341

Summary and detailed schedule plan

343

Tracking progress toward your objectives

' 349

Schedule reports

351

Reports used when drafting a plan

355

Report used to update the forecast

363

Reports used for progress reporting

365

So why are we nearly always late?

372

22 Managing the Finances

377

The financial plan

379

Financial management controls

380

Estimating the costs

382

Authorisation to spend funds

384

Recording actual costs and committed costs

387

Financial reporting

388

Earned value

391

23 Managing What Might Go Wrong (or Right):


Risks and Opportunities

397

Considering possible risks and opportunities

399

Addressing risk at the start of the project

401

Addressing opportunities at the start of the project

408

Monitoring once the project is in progress

411

Tips on using the risk and opportunity log

413

More sophisticated risk evaluation techniques

414

CONTENTS

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24 Managing What Has Gone Wrong (or Right!): Issues

419

What do we mean by 'issues'?

421

When an issue is identified

422

Tips on using the issues log

426

;
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25 Let's Do It Differently!: Change Control

429

Controlling change

431

The change control process

434

Accountabilities for change decisions

437

The change request form

438

26 Reviews and More Reviews

443

Keeping sight of the objectives

445

Review when a proposal is raised

449

Review at the Detailed Investigation Gate

449

Reviews during the project

450

Project closure review

452

Post-Implementation Review

452

Recording agreement - quality reviews

453

27 Closing the Project

461

Project closure

463

The closure report

464

The closure meeting

467

Closure actions

469

Part Five: Implementing the Framework


28 Implementing the Framework

475

Advice from other organisations

477

Corporate maturity

479

, xiVJ

CONTENTS

o
Finding help in implementing a project's approach

481

Justifiably different - tailoring

483

A strategy for implementation

484

Appendix A: Glossary

495

Appendix B: A project process framework

507

Index

517

CONTENTS

( XV

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