POM Project Case Study WMP17, Group5

Group Members (Group 5) - ANKUR KHANDELWAL (WMP10054)

ANUJ BHATNAGAR (WMP10057)
ARUN SAXENA (WMP10060)
JAIDEEP SINGH (WMP10069)
MOHAMMED DAWOOD SIDDIQUI (WMP10075)

Application of Risk and Earned Value Management in

R&E Projects for Power Sector Engineering Software

POM PROJECT
CASE STUDY

Project Management

IIM Lucknow
Noida Campus

Instructions:
Use this Document to enter details of your POM Project.
Be careful and neat with your entries and use your learnings from
the POM course to the maximum extent possible.
You should spread this work over the weeks remaining.
Every week I shall ask you to show me this document, review it
and then return it to you with oral commentstill done.
This submission will be graded.

My email: tapan.bagchi@gmail.com

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 POM Project Case Study WMP17, Group5

Table of Contents

Templates to be filled:
Completed on Marks
Understanding the Project
Mapping the project Life Cycle 23-Jan-2016
Project Charter
Stakeholder Identification
Scope 30-Jan-2016
Project Satisfaction Criteria
Work Breakdown Structure
Master Schedule with CPM network
MSProject printout (Gantt) 6-Feb-2016
Risk Management Plan
Control Factor Selection 13-Feb-2016
Maximum 20

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 POM Project Case Study WMP17, Group5

Acknowledgements
We take this opportunity to express our profound gratitude and deep regards to Prof. Tapan P Bagchi
for his exemplary guidance and constant encouragement throughout the course of Project
Management. The motivation, help and guidance given by him have been a constant source of
inspiration. The detailed guidelines provided by sir helped us in applying the concepts into the project
more effectively by reflecting upon the learnings through application.

We thank the Almighty, our families and friends for their constant encouragement and their valuable
support in the form of suggestions and views, without which this study would not have been possible.
We are grateful for their cooperation during the period of our study.

Executive Summary
In this project we try to apply the concepts of Earned Value Management and Risk Management to R&D
Projects for Power Sector Engineering Software in a leading power sector firm. We also try to find out
the aspects that could have been managed in a better way by using project management concepts.
Methodology disguised primary data has been used so as to maintain the confidentiality of the actual
work and the firm. The use of a live project with actual data provides a hands-on experience of applying
theoretical concepts to practice and deriving the key learnings.

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 POM Project Case Study WMP17, Group5

Understanding the Project

Similarities to previous projects: Describe your project in one sentence:

Similar software development and delivery process. Developing and deploying Engineering Station
Software to configure, monitor and diagnose power
Differences from previous projects: system equipment related to thermal powerto
More dependency on combination of power systems and
software knowledge. improve the efficiency of engineering software
related to power sector.
Pressure for completion:
Who is the Sponsor/Customer?
R&D department of the power company
High Moderate Low

Identify Projects Major Deliverables

NME Power ES work

packages

Detailed High and Components of Test plans and Integration of

software detailed level deliveries (code documents on modules and
requirements software design modules), software components in deployment
specifications document maintenance clear case and
document clear quest

These Deliverables should lead to your WBS (This is not the WBS!)

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 POM Project Case Study WMP17, Group5

Stakeholder Identification

Stakeholders are individuals and organizations that are actively involved in the
project or whose interests may be positively or negatively affected as a result of
the project executioner project completion. They may also exert influence over
the project and its results. (PMBOK Definition)

Stakeholder Identification

Stakeholder His/her Objective Role Their Requirement

R&D program Management Program Manager Development of engineering

software activities related to
power
Sponsor

Global Powers Companies Increasing efficiency of

thermal power engineering
activities
Customer

Project Team
Members:

Project Manager Project Management Requirement Specification

and Standards.

Project Lead Technical V&V/ Reviews Requirement Specification

and Standards.

Developers Implementation based on the Design Specifications.

Project Plan

Testers Validation based on the RS/DS/TS/PP.

Project Plan.
Quality Manager
Valuation of desired KPI. Checklist and Updated KPI.

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 POM Project Case Study WMP17, Group5

Mapping the Project Life Cycle (read the slides in Handout #1)
Stage Purpose Deliverables
To identify the need for doing the project, Project Charter
its intended benefits i.e. the purpose of Project Scope
Conceptualize doing it. The scope, deliverables and high Targets/Output
the Project level timelines are decided at this stage. specifications
Justification Definition At this stage, the project team has very Stakeholders
little or no involvement. identification
for doing it

At this stage, the project team comes into Schedule

picture. Sub-projects within the project, Resourcing
Develop the work packages, activities etc are Risk plan
Plan: Planning identified. Tasks dependencies,
resourcing and schedule is base lined.
Various risk which may impact the project
WBS are also identified, analyzed, prioritized
and appropriate handling strategy is
CPM applied formulated.
The main purpose is to reduce the
uncertainty and risks with the help of
Risk Analysis proper planning.
The project team has maximum Modules of actual
involvement in this phase. The project work product
Execute team performs the activities as planned Status reports
(you did this Execution in the previous phase. Risks are Quality audit
while doing monitored, quality control and reviews reports
are in place, changes are tracked, and Change request
the actual status reporting is done to the identified tracking
project) stakeholders.
The purpose is the build the work product
along with proper tracking and
monitoring.
Again, the majority of the project team Training sessions
has no involvement at this stage. This Documents
Finish or Closure phase is targeting to smooth handover
Close the transition/transfer of the work product to Closure reports
Project the customer/users. This state also submission
provides opportunity to document and
share the learnings which is necessary for
continuous improvement.

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 POM Project Case Study WMP17, Group5

PROJECT CHARTER

AProjects Charter is
A document issued by the senior management
Formally authorizes the existence of a project
Designates the Project manager with authority to apply the
organizational resources to project activities (PMBOK Definition)

Project Charter should include:

a) The business need for which the project is undertaken (project should not
end up with Operation successful, the patient died syndrome!),
b) Brief but comprehensive description of the projects product
(preferably referring to specifications or contract)
c) Tentative Project Budget or Time/Deadline
d) Tentative Schedule or Completion Date
e) Key Assumptions underlying the project plan the risks when assumptions
dont hold
f) Constraints (The contract price & schedule for an external project for a
client or budget/schedule constraints for internal project; constraints on
availability of resources men, material, technology; statutory approvals;
environmental or social constraints, etc.
g) Identification of key project team members.

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 POM Project Case Study WMP17, Group5

My Projects Charter:
The objective of the project is to improve efficiency of engineering software related to Power Sector.
Engineering Station Software is used to configure, monitor and diagnose power system equipments
related to thermal power. The software project consists of 5 phases that are typically followed in a
software development life cycle (SDLC) -

Planning
Specification
Design
Development & unit testing
Integration, feedback & correction

The project is typically following the waterfall model, where each phases of the SDLC are performed one
after the other. Specification phase starts after Planning is complete; Design starts after Specification
phase is complete and so on. However, the 5 phases described above are not just one time activities.
They together comprise just a single iteration. The same steps are performed sequentially in a number
of iterations as per the requirement and the feedback that iteration generates for the next iteration.
Once, all feedbacks have been handled and managed, the project lifecycle is supposed to be complete
and project is closed.

The estimated project starting date is 10th December, 2014 and first iteration of project is expected to
run for 256 days. The schedule of further iterations will be decided by the feedbacks and will be planned
at a later stage.

Project Charter Details

Sponsor Name Major Deliverables Product(s) or

Service(s)

1.WKP Registration Document

1. Program Manager
2. Execution Manager 2. Engineering Architecture and Product Delivery.
3. Engineering Manager
4. Site Manager 3. Product Components
5. Customer Consultant
4. Product with Validated V&V KPI fulfilled.

5. Quality KPI And Satisfaction criteria fulfilled.

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 POM Project Case Study WMP17, Group5

Project Satisfaction Criteria indication that project was done

as contracted, and the stakeholders accepted the
deliverables!

Customer/Stakeholder: R&D department of the power sector firm

Project:Power Sector Engineering Software

Satisfaction Criteria Weight Remarks

10%
1. Testing WL Respect

DePHOFT 20%
2.

VV Efficiency 20%
3.

DWLE 25%
4.

Documents handover 10% Project team to handover all

5. documents including specs, design
docs, test plans/results
User manuals 5% Proper help documents and user
6. manuals to be provided

UAT and rollout sign-offs 10% Sign-offs from PM as well as UAT

7. group.

Notes:

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 POM Project Case Study WMP17, Group5

WORK BREAKDOWN STRUCTURE

WBS is a deliverable oriented grouping of project elements that organizes and it

defines the total work scope of the project. Each descending level represents an
increasingly detailed definition of the project work (PMBOK Definition)

Work Breakdown Structure (WBS)

Power sector
engineering
software

Planning Specification Design Development & unit Integration

Level 1 project plans requirements architectural testing actual work integration plan
Deliverables specifications documents, HL/DL product document

Level 2 P1 S1 D1 U1 I1
Deliverables
P2 S2 D2 U2
s
S3 D3

S4 D4

D5

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 POM Project Case Study WMP17, Group5

Master Schedule

Master Schedule is a summary level schedule that identifies major activities and
key milestones significant events in the project, usually the completion of the
major deliverables. (PMBOK Definition)

Suggestions

Look at your WBS and planned activities to complete those

tasks.
Sequence the tasks into a CPM network
Draw/attach the MSProject CPM chart below with rough activity
time estimates

Paste the MSProject Task List and Gantt Chart on this page or attach it
to your report
CPM network for the project -

D3, 16

S2, 9 D1, 4 D2, 13 D4, 16

P1, 25 S1, 8 S3, 23 U1, 10 I1, 20

S4, 7 D5, 10

P2, 26 U2, 71

Critical path: P2 S2 S3 D1 D3 D4 U2 I2, Critical path length: 185 days

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POM Project Case Study WMP17, Group5

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 POM Project Case Study WMP17, Group5

EVM (Earned Value Management)

% BCWS (in ACWP BCWP (in
Tasks Baseline Actual complete ) (in ) ) SV SPI CV CPI
P1 25 25 100.00% 24650.00 24650.00 24650.00 0.00 1.00 0.00 1.00
P2 25 26 100.00% 24650.00 25636.00 24650.00 0.00 1.00 -986.00 0.96
S1 8 11 100.00% 7888.00 10846.00 7888.00 0.00 1.00 -2958.00 0.73
S2 9 11.5 100.00% 8874.00 11339.00 8874.00 0.00 1.00 -2465.00 0.78
S3 23 21 74.50% 22678.00 20706.00 16895.11 -5782.89 0.75 -3810.89 0.82
S4 7 8 100.00% 6902.00 7888.00 6902.00 0.00 1.00 -986.00 0.88
D1 4 4 100.00% 3944.00 3944.00 3944.00 0.00 1.00 0.00 1.00
D2 13 15 100.00% 12818.00 14790.00 12818.00 0.00 1.00 -1972.00 0.87
D3 16 20 75.00% 15776.00 19720.00 11832.00 -3944.00 0.75 -7888.00 0.60
D4 16 2 13.33% 15776.00 1972.00 2102.94 -13673.06 0.13 130.94 1.07
D5 10 10 100.00% 9860.00 9860.00 9860.00 0.00 1.00 0.00 1.00
-23399.95 -20934.95

RISK MANAGEMENT PLAN

Risk Management Plan is the process of deciding how to approach and plan the risk
management activities the systematic process of identifying, analyzing and responding to
project risks.

Risk Identification

Risk Event Risk Impacts

RE1:Lack of stakeholders (primarily RI1:Schedule overrun

customers) involvement during the life cycle
RI2: Cost overrun
RE2: Co-ordination and communication
issues due to distributed teams RI3: Poor quality

RE3: Interdependency of powers systems

and software systems knowledge, higher
learning curve

RE4: Resource turn overs

RE5: Insufficient time for validation

RE6: Lack of intermediate environments

before production deployment

RE7: Lack of configuration management

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planning
 POM Project Case Study WMP17, Group5

Risk Analysis

Risk Event Drivers Risk Impact Drivers

ED1: Confusion and lack of clarity on ID1: Rework at one or multiple stages (RI1,
the deliverables of various RI2)
stakeholders. (RE1)
ID2: Confusion and conflicts among teams
ED2: Incomplete and unclear and stakeholders (RI1, RI2, RI3)
communication and reporting plan
ID3: Improper and incomplete validation
(RE1, RE2) (RI3)
ED3: Software developers lacking ID4: Extent of changes in the requirements
knowledge on powers systems (RE3) (RI1, RI2)

ED4: Power systems specialists lacking
knowledge on software design and
architecture (RE3)
ED5: Lack of motivation (RE4)
ID5: Rework due to improper configuration
management stages (RI1, RI2)
ID6: Rollbacks and rework due to
intermediate environments stages (RI1, RI2)

ED6: Compensation, personal reasons

(RE4)

ED7: Delays and rework in initial

stages of the project (RE5)

ED8: Parallel development of modules

by distributed teams (RE6, RE7)

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 POM Project Case Study WMP17, Group5

Risk Management Plan

(0.1- (0.1-1) Exposure Resolution Contingency Triggers Assignee
or planned (who will
Risk Event identified 0.9) Impact PePi Mitigation
to
watch
SN. Proba- Pi watch these
Possible bility triggers)
Condition Consequence Pe
(Impact)
1 RE1 RI1 & RI2 .7 .6 .42 Avoidance Raise Delay in PM and
by change sign-offs Owners
mandatory requests,
customer status
sign-offs reports with
ownership
details
2 RE2 RI1 & RI3 .4 .4 .16 Mitigation Proper Delays PM and
by daily estimation due to PL
stand-up for rework interdep
meetings endent
tasks
3 RE3 RI1 & RI3 .4 .2 .08 Mitigation Documentat Repetitio PM and
by training ion of key n of same PL
learnings issues
and
dependenci
es
4 RE4 RI1 & RI2 .2 .3 .06 Acceptance Proper Morale PM and
by team documentati of the PL
engagemen on team
t

5 RE5 RI3 .3 .5 .15 Mitigation Proper test Escaped PM and

by regular plans, cycles defects PL
tracking and sign-offs to UAT
and
monitoring
6 RE6 RI1 .3 .4 .12 Acceptance Code Multiple PM
due to movement code
budgetary and rollback moveme
constraints to be nts
in getting approved by across
more PM with environm
environme proper ents

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 POM Project Case Study WMP17, Group5

nts labelling

7 RE7 RI1 & RI2 .7 .8 .56 Avoidance Proper Observati PM and

no movement ons in PL
exception of all CM
to CM plan artifacts, audits
docs and
code as per
CM plan and
versioning

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 POM Project Case Study WMP17, Group5

Risk Management Worksheet

Initial identification of risks in your project

RE1 RE7

Hi probability >
0.75

RE3 RE2

Medium
probability ~ 0.40

RE4 RE6; RE5

Low probability ~
10%

No risk, no Project WILL MEET Project WILL MEET Project WILL NOT
impact; All all deliverables some deliverables deliver most of its
deliverables met deliverables

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 POM Project Case Study WMP17, Group5

RISK MAP SHOW RISK EVENTS/FACTORS THAT WERE

RESOLVED IN ORDER TO SATISFACTORILY COMPLETE
YOUR PROJECT

Hi probability >
0.75

RE1; RE2; RE7

Medium
probability ~ 0.40

RE3; RE4; RE5;

RE6
Low probability ~
10%

No risk, no Project met all Project met some Project did not
impact; All deliverables deliverables deliver most of its
deliverables met deliverables

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 POM Project Case Study WMP17, Group5

Review of CONTROL FACTOR SELECTION

The project control practice is modeled on the classical feedback loop; monitoring
the actual performance, comparing the work results with the plan and providing
the necessary corrective action for change in direction and quantum of efforts to
ensure that the desired project work results are achieved.

NOW THAT YOU HAVE COMPLETED THE PROJECT, LIST

BELOW FIVE ITEMS THAT COULD HAVE BEEN DONE
BETTER TO HELP YOU COMPLETE THIS PROJECT
SATISFACTORILY. THESE ITEMS OR STEPS OR ACTIONS
SHOULD HAVE BEEN MONITORED AND CONTROLLED:

The companys project management team is currently assuming that resources are available in
abundance and hence it is still following critical path method for planning. However, it is
recommended that critical chain method should be applied to handle resource overlaps,
bottlenecks & constraints that may occur at any stage of the software development life cycle.
Earned value management calculations during the execution phase are being done after each
phase of the lifecycle is completed. The EVM calculation shown in the above section, for e.g. has
been done after the design phase. However, if there are deliverables and reports in between
the phases, then EVM can be done in between as well, because it will help to crash tasks within
the same phase, if required.
The project did not involve customers as the stakeholders at the early stage of the project. A
well-defined process should be there for increasing involvement of stakeholders, for e.g.
mandatory sign-offs for different stages and proper change request procedure.
These are some common problems existing as on today in the R&D department of Power
Companies Automation Business, The schedule and budget overrun information is available
only after the projects are already been completed. At this point the project managers are left
with an option of only postmortem than any other action. Efforts should be put to apply
Earned Value Analysis at pre-defined milestone changes.
There is a variety of challenges while planning software projects when we are working to deliver
high quality software on-time and within budget constraints. Many of these challenges are
related to a large degree of uncertainty, either in schedule duration, quality factors, or in design
issues. To complete a project in the given timeframe and within the given resources, it is
necessary to plan for their judicious use, not only at the beginning of a project but also during
its execution. This is essential to make the project adapt to external changes and absorb
irregularities in the schedule.

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 POM Project Case Study WMP17, Group5

Control Factor Selection Worksheet

Approved Aspect to Control Control Control Measurement

Requirements Control Responsibility Variable Measurement Frequency

Timelines, Project leads Schedule Planned Vs Weekly via

Scheduled and adherence or Actual status reports,
delivery of development schedule completion of detailed reports
Project work team slippage deliverables in at team level
Schedule products terms of and high level
timelines reports to other
stakeholders

Scope creep, Project manager Effort Planned Vs Weekly via

rework, effort and leads variance Actual effort to status reports,
spent on complete the detailed reports
Cost or Man- activities No. of deliverables at team level
hours change and high level
requests reports to other
stakeholders
Amount of
rework i.e.
cost of
quality
Quality of the QA/QC teams Defect rate No. of defects Weekly via
work product per unit of effort status reports,
i.e. Audit spent detailed reports
Product or conformance observations/ at team level
Service to NCs No. of defects and high level
requirements, found in review reports to other
Requirement both or testing stakeholders
or Quality functional
Specification and non-
functional

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 POM Project Case Study WMP17, Group5

Appendix

Phase level CPM network

Planning:

Start p1, 25

p2, 26

Specification:

s2, 2 S1, 8

s3, 3 S3, 23
s1, 3 s9, 8 s10, 1 s11, 5 s12, 9

s6, 4 s8, 2

s7, 3 S2, 9

s4, 2 s5, 5 S4, 7

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 POM Project Case Study WMP17, Group5

Design:

d3, 4 D2, 13 D4, 16

d2, 5 d4, 4

d1, 4 d10, 4 d11, 4 d12, 8

d6, 5 d9, 3

D3, 16 d7, 4 d8, 4

d5, 10

Development and user testing:

u1, 10

u2, 40 u7, 12

u3, 5 u4, 2 u5, 8 u6, 4

U2, 71

Integration:

i1, 20 finish

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