Appendix1

SettingProject
Objectives
Objctivesare confused with aims and organisational
missionstatements.
The latterare reallystatements
which
pull totether the relationship between the resources,
activitiesand ostomers of an organisation.The project
obiectivesdescribethe position the orSanisationdesires
to achievewith respectto specificresources,
activitiesand
customerc.
Theseobjectivesmust bel
. Specific- i.e. not broador of a genelalnafure
r Measurable
- i.e. tangibleand canbe verifiedpracticaily
I Achievable
in theprevailingenvironment
-i.e. attainable
t Realistic- i.e. possiblewith known availableresources
I Timebound- i.e. givencarefullydesignatedtimescales

130

PLANNING PROJECIS

dlust vrify that the obiectivesare

also consistentwith
_:l
corporateshategy.Unforiunately,
not all thesechdracter_
are.alwaysimmediarelyobvious
m protectobjedives
l:::s
t,i:T:l
r. Soft proiectsparticulady tr"ve.
prottems in

firm objectives
untir afteralr rhe

possibre
lil"ll.jl* are explored
atremahves
and managerhentdecisionstaken.
-con
In these cfucuhstancesyou
must
tin ually review the
obJectives,amending them as the
work progresses.

Theobjectivesstatement
Theobjectives
statementmusthavethecharacteristics
listed
in a way which alrows rhem ro
be easity
::1-ll:*i,:d
understood everybodyinvolved
with the proyect.it
.by
representsthe framework for the
scopeof work to be
camed out in order to achievethe
a""ir"a .usult" f- fh"
organisation.you need to derive
statemenic-o-n;;;
-,
eital informationwhich everybody
"
accepts
as valid and
.
apirovat and o_ne,ship.rhere
::t::.:"^:"^'1"-r
:"*nolder
arc
'rveeremengyolt shouldconsiderasa minimum:
r Th perceived problem
or ned
The ploblem or need that has been
identifiedas the
solrce of the projectis frequently
basedon perceived
. effects.Itis always
validto exarninethisfo! underlying
eally srageto ensurethat you
clearty
:1:t-"_:,":i
unqerstand.the
problemyou areattemptingto resolve.

jllllli

,..o:,,ho.."uld leadyou ro makeerroneous

oeoslonsin theplanningphase.

I Th purposeot derivinga
solution

You^_should
d simple statement ot the organi_
l
sailonal need,make
to createa project for resolving
*,
the ieed

APPFNDIX
ONE_ SETTINGPBOJECTOBJECTIVES
I3I

,h.:* is no dear purposethen

why are
.::.1',"1"*:.
you doing it 'fat ali?
The benefitsexpectedfrcm

derivinga sotulion
benefirsro be -denvedfrom
ll-"]: ".",.3*"f.
any
nor everyoneis necessarity
happy
"l,h:."gf
:T-gj,
or agreeswith that change.yet
the

esrablished
tosahsfy
s,.#;* ;;#"0#It^:'"ff,:r

rne bmefitscanbe identified.

Ihese mustbe accepted
ano agr.eed
with stakeholders,
who wiJlusuallyiavl
input ro their perceptions
or porentiat
:.:'91'fi.ii,

:::tj:';oi,*"r,

ensuretharben&tsyoulisrcan
be

I Definitionof the results

to be achieved
ilaving established
purposeand benetitsii should
not
be too difficult for you to
defin

5,11
-"1,1i,**"i.il;;";'::ninlT"::T:;

phasedthloughthe project,yielding
:e
.r;;l;;:
benefirs
thatyou cunld"niifu.ihe results
are the
for
the
project
to
be
recognised
:ir-inlum
.accptable
as
successful
by thekeystakeioiders.
. Thdeadlinesfor achieving
the resutts
ttT, palt.of the obiectives
starement
vou ser
1L^r1:
olr
thc timescales
for the proiect,identifying
the
datT for
oi
each
phar"
uri tr,i
:,j:s.::T
Tmpletion
in each
phase.you mustberealistic
_vf,f.ous
fta8es
in
s-ethng
thesedeadlines,
makingadequare
provrsion
for
untor.eseen,events
with reasonible
contrngencies.
The
mrtestone
dateswill be keyprogress
reportingpoints
and areassociated
with key d-ejsions
:1,,1:,f-n.:
ano
release
of rcsources.

I32

PT'NNINGPROJE TS

fhe objectives statement is the comer foundation stone

supportinSthe fabric of your project. It is cleatly relevantto
give it adequatetime and attention so as to ensurethat you
get the acceptance
and commitmento{ the stakeholderc
to
all the elementsof the statement.Without this ownelship
your project is starting with a seriousdefect and the
downstream consequencescould be irreversible,with
significantwastateof resources.
It is during the processof objectives-setting
that covertor
hidden agendassometimessurfaceand you cannotafford
to ignole thm. Awarenessallowsyou to be preparedfor
Iatei situationswhen such hidden motivescould be used
to influencedecisionsin the planning, organisationor
exeotion of thepioject.Theycanbeusedto youradvantage
at times, but equally they can be a soutceof blockage,
creatingbalriers to protress and even on rare occasions
oukight sabotage!They may be personalto individuals
or functional.In any organisationthereis a tendencyfor
depa*mentsto createa sub-culfureof the olganisational
culture, influencedand directedby the manager.This is
often the sourceof conflictaqossfunctionalinte acesand
you needto understandthe differences
that existaqossthe
va ous interfacesyou will needto influenceat eachphase
of the project.
The statementis thereforeyour primary clitical success
factorand the key to settingthe success
criteriaspecificto
your ploiect.The critical successfactors for yow project
ale derivedfrom the individual resultsor "deliverables"
listed in the obiectivesstatemnt.
A suggestedformatfo! the ObjectiveStatementis givenin
F i e .A 1 .1 .

APPENOXONE. SETTINGPRO]ECTOAJECTIVES 133

STATEMENTOF OBJECTIVES
PROJECT
TITLE:

JOB NUMBERI

Probiem/ NeedSra(emsnr:

F8slits to bs achi6ved:

Oa16:

Fig. A1.1 Typicalformatof Statementof Obiectives

Appendix2
Brainstorming

The main purposeof brainstormingis to tenerate ideas

which are normallybasdon experience,
eitherftom doing
somethingin the pastor from directleaming.Most people
havea sub-conscious
storageof a vastamountof information
which is only calledupon infrequently.In brainstorming
you are trying to get at that dataand find somethinguseful
to your projectin there,
The techniquehas many variantsand you are certainto
use it many times during a project,flom initially setting
the objectivesto problem-solvingduling the ploject. This
is necessary
in the executionphaseto avoid unnecessary
wastageof tim and effort when using causand e{fect
analysisto clarifyploblems.

_.1?::r.,
APPNOXiWO

BMINSTOFMING

I35

In the process you are attempting to take people away

from logical vertical thinking to lateral thinking, where
expe ence is used in a creative way to expose possible
new ways of doing something. The best brainstorming
results come from taking a logical, structured approachto
the whole process.This means taking the processthrough
a sequenceof stages.

StageOne
Statethe purpose
Sta by statingtheobvious- what it is you areholdingthe
brainstormingsessionlor by havinga written statementof
the problemor needyou are addressing.You may find it
usefui to preparethe sessionby putting this statement
on a whiteboardor sheetoI flip-chartpaper on the wall
to keep people'sminds focusedon the rea6onfor their
presence.Explainwhy you are using the group vou have
presentand do not be confinedto your teamalone.It is
often valuableto bring in one or two outsidersto keep
ideasflowing, actingas catalystswith a few spontaneous
wild ideas.Finally,checkthat everyoneunderstandsthe
statementyou havepresented,whetherit is a problemor
eventhe objectives
of the project.

StateTwo
Setthe groundrules
I Emphasise
youarelookingfoTQUANTITY
notQUALITy
. Suspendall IUDGEMENT- ALL ideasareacceptedand
notedevenapparentlystupid or qazy ones

RINNING
'34

PFOJECTS

. Ensure there is no CRITICISM

of anyone,s idea, even
through the use of body language
r Avoid DR\-OUT _ keep things
moving and stressit is
rmportant not to pause for reflection too much
. Stop questions about ideas from
others
I Prevent explanation and clarification_
pick it up later
I Note EVERYTHINC down
The method of conducting the sessionvanes
considerably
and if you have your own prefered way,
tnen use it.

StageThree
Conductthe session
The processis bestcarriedout with someoneachng
as the
leaderto take the role of refereein caseanyonebreaks
the
rules. Altholgh you want to promotefree thinking,
you
must do this within a simple framework,otherwiie
the
resultswill not meet your expectations.
Somealtehative
ways are:
a Tskifigtums - arrangethe group in
a circle or ,.U,,
tormationandgo systematically
aroundthegroup,asking
eachin turn for a contlibution.If no ideaiifortf,.o^in!
allowa "pass,,.After two or threeroundsallowthegroui
to freewheel.
! Singles
-.allow eachpersonpresentto work rndividually
fo! the 6rst fivs es 1s. minutesto write down as
many
ideasaspossible,No talking is allowedin this opening
part
this has the advantagethat less dominani
.and
memDersot the troup can preparea contribution
and
not feelleft out late!.Followthis with the ,,Takins
tums,,
method.If thegroupis largeusesmall,,buzzgr;ups.,
of

APPENDIXIWO - AFAINSTOBMING 13,

two or thtee to work quietly for the sametime before

openingup the session.
a Frcewheel
- usuallybest when someideasalreadyexist
on theflip chart.Allow ideasto flowfromanyoneinthe
group m a random manner.This needscalefulcontrol
by the refereeto avoidoneor two membersof the group
dominatingthe session.
In practicea combinationof thesemethodsis usuallyused
according
to the groupsire.
REMEMBER
to note down EVERYTHINC.A sureway k)
stopparticipation
is to only wntc down whatyou thi;k is
relevantor important.If ideasseemto slow down or stop
then DRY-OUTmay havebeenreached.Do not attemotft
push on, but takea breakor adjoum for a while. Leave
all
your ideasgenratedon the flip-chartsheetsavailable
lor
peopleto look at - stickthemup on the officewall!Another
techniqueyou can try at DRY-OUTis to opena dictionarv
at randomand ask someoneto selecta word at random.
Write this word down in largeletterson a blankflip-chart
sheetand ask everyoneto concentrate
on the word to see
tf.l,,:lurUroff.anyfreshideas.Givingthe groupa really
wllo rcleawhtch is obviouslvridiculousc.1noftenhave
rhE
sameeffect.It canlightenthe atmosphere
with the laughte!
lt createsand freespeople,sminds from beingchannellecl
backinto verticalthinkins.

StageFour
Evaluatingthe results
Whenyou ale satisfiedthatyou haveenoughideasyou can
startthe processof evaluation.Ihe groupcin carryout thrs
Processtogetherto assembleall the ideasinto ,,clusters,,

t$

PLANT{INCF tO.lECtS

of related ideas o. topics. If you have used the session

to
tenerate the liEt of probable tasks which are requtuedto
exeoie the project then these clustels will form ihe basis
of th KEY STAGES.One way of proceedingis:
r Eliminateobvious ,,Iosers,,- thosewhich everyone
at ees 'are inappropriate, unnecessaryor ridiculous
I Sort idea6 into goups and decidea label for each
r Check ideas for poesible failure - try and determine
if
the idea is sound in principle and identify vulnerable
asPects
If you are kying to solve a problem then you will reduce
your list to a few options onty using this technique. you
can.then home in on the most practicable
optionio apply
to the problem.
A.lthoughyou haveeliminatedideasand reducedvour list,
it i. prudent to letain ALL the data
tenerated for ieference $
later. You never know when it might be useful tjo refer to ,:
the lists asain.
tf it is pro]ea tast<syou are $ouping rhen you will reduce
your li8t to rhe KEy STAGESof the project. The detail of

l"l:ilI.:dd
io idenrify

the tasls in eachgroup

is not
rrur lu(rprre
y ro
completeanq
andarmo9t certarnty ,fiF
,#
"t.ort yo.,
""*"inly
Forplanning
p t_h"Tlater.
pu.por"r
n""i

*'" rrv erAuEr

ii,q,ciJil;n:;;;il;"r"
.rr!r to qenve tne
"l
plan..As you devlopthe plan into all its

ba8e dg
K

detail you can

use the samebrainstormingtechniquesto derive the full ."

Wort BreakdownStructurE.

Appendix3
Estimating
It is a commonmisunderstanding
that CPM will give you
accuGteestimatesand the projctschedules
will be conect
through the rigorous analysisyou have executed.Any
rigorousanalyticalmethod is only as tood a8 the data you
providefor processing,
so it is humanerrorif estimatesof
time are subsequentlyfound to be wlont. Unfortunately
thereis no easyway to deriveacculateestimates
for many
project activities, particularly when a Key State could
includea larte numberof individualtasks.

Whodoesthe estimating?
The accuracyof time estimatesfor tasks and actieities is
related to who makes them. Some people have a talent
for easily visualising what is involved in executing tasks

_------

140

PLAINiNGPTI]OJrcTS

and can give remarkablyaccurateestimates.you will

soon
get totnow them by their reputation.Othersappear
to be
quitehopeless
at estimating.
Althoughas a generalrule
themostknowledgeable
personin the teamor department
shouldprovidethe estimatesfor any part of the work, past
historicalperformance
in estimatingmustbe reviewed.ihe
beste.stimates
are usually derived by mufual agteement
atter discussionbetweenthe personwho is mosilikely
to
be assignedthe work and their immeqlatesupervisor
or
manager.
Whenit is impossible
to identifythejetaii of the
work involvedit is necessary
to usecontingency,thoughit
is iftportant fo ensurethat any assumptionsmade
at the
hme a.e clearlyrecoided.

Iypes of Estimates
Timeestimatescanbe derivedftom four oaslcsources:
I Historlcaldata - usingdatacollectedfrom
pastprojects
with similar activities.Thi6 can onlv be regarded
as a
guide sincethe data may be very outdated.In practice
such data are often not accuratelyrecordedfor future
-.
use,so historicalinformationbecoftescolourcdwith
an
elementof hearsay!
! Dtailedanalysis- requiresthe full Work
Breakdown
Structurefor the project to be availablefor accurate
estimatesto b assignedto everytask.This is obviously
rmpoltantasthe projectimplementation
getsunderway,

ilyf
llr.oj
when initial

O*rtbteat theeartystages
of theprolect :

time analysis needsto be carried oLrt.

I Gu$timating - inexplicablyaccurateestimatint
by th
talentedfew who seem to have an rntuitive ability to
usesomeinspiredguessworkto comeup with accurate
estimates.

APPENOX
THFEE- ESNMANNG 141

r Data records - for ce ain typesof projects,hard and

reliable cost data ale readily available from numetous
sources.Theseare usually basedon work study data
collectedovet many projectswith work study methods
appliedto the rcsult and the peopleinvolvedin producing
the result.The data are often publishedin the form of
Cost/Rate,Data
booksor evencomputedsed.
Like planning,estimatingis alsoa re-itetativeprccessand
thebestresultswill onlycomefromusingdsmanysources
as possiblein deriving your project estimates.you will
normallywork with activity duration,ie the avetagetime
the activityshouldtake,implyingthattheunitsareworking
daysonly with no accounttakenof the numberof people
assignedto any task.

PracticalSteps
Decidethe numberof working daysavaiiableper week
afterallowingfor holidays,tlainingcourses,srckness
etc.
This can often reducethe working week ove! several
monthsto lessthan 4.0 daysper week.
Allow time within the estimatesfor management
supervisionandmonitoring.Thiscanvaryfromorganisation
to
organisation
but with smallprojectscouldriseto 1501,.
Takeindividualability,experience
and pastperformance
into accountas thesefactorsinfluencetime to executea
rasK,
Initially,assumetasksaresingle-resourced
- one person
per task- asthis makesestimationsimple!.This ensures
that the dulation becomesthe sameas elapsedtime for
the task.
Teamworkis importantand eachmemberof the teamis

I'2

PLANNING PROJCTS

seekingpersonaldevelopment.When possible,
involve
the team in estimatingdiscussionsas this
can lead to
acceptance
and commitment.
r Allow a proportionof time in the
estimatesfor unsched_
uled. activities, particularly those oeated
by functional
rcquirementsrl:t.ar: n:r projed-related.
iry to agree
rnesengureswjth individuals
and theirIinemanage-r.
. If rcgularprojectreviewmeetings
are essenhal,suchas
a clash programfie in development,then
allow time
tor these_ they can,t-be,,justsqueezedin.,
somehow.
Meetrntschedules
publishedwell in advancetheplanning
phaseallow peopleto plan their time effectively.
_
.

.?.olCenry,
particularly
attheprimary
plan_
1TT,:":,,"
theKeySrage
plan.
Ensure
contingency
llg-l;y.I.*.
ts not being accumulated

blind at lower teuefJ.ei

Proiectleaderyou must have a clearunderstandinl
whele contingencyexists in the plan and
why it iI
therc-_This may involve you in dsk
assessment _
id.e:rliffrngall the possibleevenrsthar might
happen
which couldjeopardise
the projectrn someuav. tou
can then plan what actionsto take to avoid,
minimise
or limit the possibledamages.
r Major problemsin estimafi;gare
encountered
trom hme
allowedfor third partyresponseto requests
by the team.
r nls,lan occurinternallyas well as extemally
and must
be allowedfor in your estirhates.
E\ternalstakeholdels
ro causingproiectdelay,especiay if they
"9$,
:::",/tunding
are
the proiect,so an allowancefor response
time must be madebasedon experience.
I Other factorsthat canaffectestimates
include:
- statutoryregulationsand response
- politicaldimension
- economicsituation(intmaland external)

APPENOD(
THREE. EENTiANNG I'3

- weekendworking and overtimehourc (leadingto exba

holidays)
Researchhas shown that the use of rigorous analytical
methodsgenerallydoes not show any Bitnificant improve_
ment in the quality of estimatesas a direct consequence.
Howeve!, it is clearthat using thesenetworkint methods
improves project scheduling and control thlough more
efficient comrnunication,It is this improvement in communicationthat directlyconkibu.tes
to inceasedperformance
in delivint acorate estimates,This is certain to improve
your chanceof completingthe projectsuccessfully.

Appendix4

Glossaryof Project
Management
Terms
Thereis a considerable
amountof jargon used bv project
managerstoday, enhancedby the rapid growth in the use
ol peFonalcomputersfor planningand controlof proiects.
The list $ves someof the more commontermsand theit
usualmeaning.
Accountable Exgcutive.The individual, usuallva senior
manager,
who is heldto account
for thesuccess
.rfa oroiect.
Aclion Cycle.Ihe dynamicre-iterative
process
of-actions
thata leaderfollowsto achleveresults.
Activity.A clearlydefinedtaskwith known duration:often

APPENOIX
FOUR- GIOSSARY 14!,

usedto includea sericsof taskswhich togethercompletea

particularstepor part of the work.
Activity on Anow Diagram.A networkdiagramwhereall
activitiesarerepresentcd
by arrowsandeventsrepresented
by circles.
Activity on Node Diagram.A networkdiagramwhere all
activitiesare represented
by the nodeor event,usuallyas
a box, and the artowsare usedmerelvto show the logical
flow of the project.
Arrow, The symbolby whiih an activityis represented
in
the Arrow Diagram.
Arrow Diagram.A diagrammatic
statement
of thecomplete
by
means
arrows:
also
known
of
as a Network
Project
Dlagram.
BackwardPass.The procedureby which the latestevent
times or the finish and start times for the activitiesof a
netwolk are determined.
Bar Chart, A graphicalpresentationof the activitiesof a
derivedfrom the projectlogicdingram,
shorvnns.l
Proiect
timedschedule.
Budget Variance.The analyseddifferencebetweenthe
ApprovedBudgetand the OperatingBudgetfor theproject,
eitheras a projecttotal or for eachkey stage.
Clrcle.The symbolused to representan event,ie the start
or finishof an activit_!
.
ControlSystem,The ploceduresestablished
at the startof
the projectwhich provide the leade! with the necessary
datato compareplannedstatuswith the actu.rl)trtus rt
anyinstantin time, to identify variances
and takeco(ective
action.
CPM.CriticalPathlvlethod- a systemwhereactjvitiesare
representedby arrol s on a diagramwhich can then be

:.4

PIANNJNG PFOJECTS

used for effectiveplanning of the use of lesourcesand

subsequentcontrolof the proiect.
Critical Path.The sequence
of activiheswhich determines
the total time for the project. All activities on the c tical
path ale known as CriticalActiyities.
Critical Success Factors. The factorsthat have a direct
lmpacton the success
of a project.
Dependency.The basicrule of logic governrngnetwork
qrawlnt- anyactivitywhichis dependent
on anothermLrsr
Deshown to emelgefroni the HEAD event of the activitv
on whichit depends.
Dummy, A logicallink, but v/hich representsno specific
operation(zeroresources).
Duration. The estimatedor actual time to completean
activity.
EET.The earliesteventtime - the earliestcompletiontjme
for an eventwhich doesnot effectthe Total pf;ject Time.
EFI. Theearliestfinishtimeofan activitywithout changing
total time or the spareor float time.
Event. A point in the progressof the prolect after total
completionof all precedingactivities.
Float, Differencebetweenthe time necessalyand the
time
availablefor an activity.
Forward Pass.The Frocedureior detcrminingthe earliest
event hmesof a network.
Gantt Chart. A glaphicalmefhod of snowrng a pro,ect
schedulewhich shows proiect time, dates, all activities,
resourcesand their relationships.
Hard Project.A projectwith clearlydefinedobjectives
and
readilyidentifiableresourcerequirements
flom the outset.
HeadEvent.Theeventat thefinishofan.ctivity. Theevent

APPENDXFOUR- GLOSSARY 147

then changesits natureand becomesthe Tail Eventfor the

succeeding
activity.
Key Stage.A group of closelyrelatedactivitiesthat canbe
isolatedtogetherasa clearstageof the plojectwhich must
be completebeforeproceedingto the next stage.
Lgt. The latesttime by which an event can be achieved
without affectingthe TotalProjectTime{romstartto finish.
LFT.The latestpossiblefinish time without changingthe
total taskor float times.
Milestone.Anothernamefor anevent,butusuallyreserved
for a significantor maior eventin the project.Often used
for idefltifyingkey progressreportingpoints.
Multi-levelPlanning.Planningthe projectat severallevels
of detail,starting$/ith the key statesand then exploding
eachkey stageto show all the associated
activities,Where
necessary,
any activityis further explodedto showfurther
detail of associatedtasksat the next level down and so
Must Date. A planneddate when an activityor group of
activitiesmust be completeunde! all circumstances.
Node.Anothernamefor an event.
PrecedenceDiagram.A network where activitvancl
dependencyis shown by a box to representthe activity
and an anow to show the dependencylink or logic.The
arrowsonly serveto show the flow of the projectbetween
the nodes.
Prodocassor.The activityihmediatelyprior to an event.
Project Approved Budget. The budget approvedat the
conceptionof the project,basedon outiineplansonly with
continsencvincluded.

rA

PLANNINGPFOJECTS

Project Life-cycle. A systemsapprcachto a project where

the proiectis describedaspassingthroughfour phasesfrom
conceptionto telmination.
ProjectOperatingBudget.Thebudgetderivedatoperating
levelafterdetailedplanningto firstor preferablythe second
levelis completed.
Resource.Anything other than time which is neededfor
carryingouf an activity.
Resource Levelling.Utilisationof availablefloat wirhin a
netwotk to ensurethat the'resources
rcquiredareappreciably
constant,
ResourceSmoothing,The schedulingof activitieswithin
the limits of their total floats to minimisefluctuationsin
resou!cerequlrcments.
Semi-crilical Path. Thar path which is nex! to the c tical
path when all pathsare aranted irt orderof float,
Slack. Used to !efe! only to an event and is the latest
date(time)minus the ealliestdate(time).
Soft Pro.iect.A project where the objectivesare only
broadlystatedand the resources
neederlare unknown ani
flexible,the scopeleft openintentionallyand deadlinesnot
definedclearly.
Sponsor.The seniormanagerwho takesownerchipof the
proiecton behalfof the oiganisation.
Stakeholdgr.Any individualwho hasan interestor stake
in the projectat any time during the projectlife-cycle.
Sub-crlticalPath. A path which is not critical.
Successor.The activityimmediatelyfollowingan event.
Tail Event.The eventat the beginningof an activity.
Tail Sl6ck, The slackpossessed
by an event at the tail of
an activity.

APPENDIX
FOUF- GLOSSqFY ll

Time Limited Scheduling. The scheduling of activities

suchthat the specifiedprojecttime is not exceededusing
resources
to a predetermined
pattem.
Total Float The total float possessedby an activity.
Tracking. The proce3sof takint pro$ess information
tatheled in a control systemand inselting this into the
original plan to show the actual status, i the compliance
or deviationfrom the plannedstatusof the project;t that
point in time.
Work Brsakdown Structure.The diagrammaticpresntation
of all the key stagesand their associatedactivitiesarranged
in a hierarchicalformat, showing eachlevel of planning.

Bibliography
EffectiveLeadership
Adair, J. (1983.Gowerpress)
Network Analysistor ptanningand
Scheduling
Sdttersby.
A. (Macmillan,
London)lrd Ldtion,1978.
Advancedproiect Management
Harrison,F. L. (Cowerpress.Aldershot
1981)
Critical path Anatysis and Oth6r project
Network
Techniques
Lockyer,Keith (pitman,London)4th
Edition1984
CPM in ConstructionManagement
O'Brien,J. J. (McGrawHill, New york 1971)
Succeastulproject Management
Rosenau,M. D. Jr. (Van NostrandReinhold,
New york)
Proiect Cost Control Using Networks
Staffurth,C. (Heinemann,London)znd
Edition,1980
Planningby Network
Woodgate,H. S. (BusinessBooks,London)
3rd Edition,
1977
lmplsmsnting projects
Young,T. L. (to be published1993.The Industrial
Society,
London)
LeadingProiects
Young,T. L. (The IndustrialSociety,Lonoon)
1993
Britlsh StandardsInstitution
BS 4335:1972Clossaryof Termsused rn
projectNetworl.
Techniques.
BS 6046:parts 1, ?, 3, 4. Use o[ Netwoik
techniquesin
projectmanagement.
The Manageras a Leader
The lndustrialSocietv,Lonclon

!{)

PL'.IINING PROJECTS

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r Projectinformationto includeat the

top:
:
- projecthtje dnd description
- i6suenumber and date
:
issued
by
(or
dlawn by) nameand approvedby narn6
- cross-reference
to otherchartsiJ applicable
uni: of projec time: days, eighihour days,
Imonths,
etc
-eek*_I
r Sy-stem
of codingof Key Stagesand activitiesinsideKey
brages
r The calendarperiod
r The acceptedsyrnbolsto be used
for:
- achyitydurationas estimated
- activitypro$essmarkedas completed
- m estonepoints
- Protressreviewmeetings
-,f -ancialreview points(if separateftom milestones)
_
! Number of horizontallines on chan _
rnesemust be
sufficientto allow for additionalactiviristo
be added
later and shouldbe consistentwlth the reqtrlrement
iJ'
keep the charteasyto readand unclutterecl
Theseare the essentialminima for drawing
a bar chart,
Rernernber
alsoto inclqdea key to any notahonsthat are
to be maintainedas standard
The practicaldrawing of the chart is best carried
out bv
setting up a blank pro-formaincorporatingthe
fcatures
ano qatayou conside!essential.In this way
everyonecan
readilyusethe sameformatfor the Key Stage
plan as well
asthe explodeddetailof anyparticula!stageas
appropriate.
draw a chaft, aluaysvse a soft pencil to d;aw in
::hen lo!
the.activitydurationbarsj It savespaper anct
ls easierto
rnooriyyour master.

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The totaloperathgbudgetis derived from the ?uorkbreakdown

stntcturc,rxjt\ally fo|c.)sedon the key stagesof the plan. you*
assessthe costsfor eachkey slagebasedon the levelof
detaildevelopedand identifiedat the time. Sinceyou havq
started to layer the plan the earlier key stageshave beel*
explodedto show the detailedtasksinvolved.You have
negotiatedwotk assignments
and now know the resource
costsassociated
with eachpart of thework to be completed.
Developingthesecoststakestime, but is essentialto your
subsequent
controlof the project.
Thecostof time is not alwayscalculateda5this requiresall the
individualswolkint on projecttasksto recordtheir committed*. I
fime accuratelyfor the accountingfunctionto convertintor;lI
financialdata. If costsare not normallycalculatedin thisll j
way you should strive to get peopleto record tt,e timeT I
in dircct hours,ie time actuallyspenton projectactivities.&
The introductionof the need for timesheetsis sometimeF

met with obstruction

and evenderision,;"; t, ; t;;n#
essentialif you are to control the costs of the project
with any reasonable
accuracy,Unfortunately,
this needis :
not confinedto your own immediatefunction;ldeparEnent=
Asyounegotiateresources
fromotherdepartments
you wil1l
have to seekthe support of functionalmanagersfor thg

process
of keepintrecordsof dilecthoursspenton you{nil
project.Clearlyif you can persuadeyour projectsponsor
to direct this requilementto all managers,your control
the proiectis easier.
As you layer the plan plotressivelyyou can developthe
operatingbudget statementsfor each key stage.In
way you derive a family of Acilvity Operating B
statementsfor the wholeproject.This is particularlyv
for the larger projectswhere you ale delegatingpart of

txl

ESTABUSH'NG
THE PROJECTBIJDGET 117

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