Purpose of Planning

 Predict which activities and resource are critical to the timely

completion of the project
 Optimize time
 Optimize the use of resource
 Provide an early warning of potential problems
 Enable you to take proactive and not reactive action
 Identifies risk
Project Planning Overview

Time , Cost and Effort (resource) are the three primary elements of Project
Planning.
•Elements are interrelated-a change in one impacts the others

Time

Project
Planning

Costs
Resources
 Understanding Planning and Scheduling

Break down the project into products or deliverables under WBS

Break the project down into activities that are entered into the software
under WBS
Assign to activities their durations, predecessors, successors and
constraints and then calculate the start and finish dates of all the activities
Assign resources to the activities and calculate the planned project resource
requirement and costs.
Monitor the actual progress of activity against the original plan and revise
plan when required
Monitor consumption of resources and re-estimate the resources required to
finish the project
Provide the cost to date, cost to complete and other cost performance date
as required including earned value.
 Project Process Group

5 1
Project Initiation
Closure Process

Project
4 Management
Monitoring 2
& Control Planning
Process

3
Execution
 Enterprise Project Management
Primavera Version 6.1 is an Enterprise Project Management Software
package that allows many projects to be managed in one database.

User access control

Manage common resource in multiple project

Allow standardized reporting

 What is new in P6.1

Undo actions made to a project in the Activities, Resource

Assignments, and Resources windows.

Better reports

Project Management
Planning, monitoring and Controlling
Manage project

Methodology Management
Standard Work Product Templates
Estimation metrics
Store reusable components like WBS, Activities

Portfolio Management
Project reporting structure
Summery level information of all Projects for executives
 Enterprise and Project Specific Data

Centralized Project management include

Project Structure
Project Codes
Admin categories preferences
Resource
Calendars
Cost Accounts
Reports
Resource Codes Activity Codes
…may be common
Project Specific Data
Dates,
WBS,
Activities,
Relationship,
Expenses, Risk etc
 Primavera 6.1 Architecture

P5 is an integrated solution with web enabled, client

server desktop software that provides specific duties by
different employees as per their user profile.

Relational database (Oracle, SQL, Server and MSDE)

Client/Server
Project
Architect
Methodology Project Portfolio
Management Management Analysis

Real Time
information

MMDB PMDB
Real Time
information

Time Reporting
Project
Architect

Time
Sheet
Primavera on the web
Project : Install a Tank

SS Tank

Foundation
 Activities
1) Fabrication
2) Foundation
3) Installation
 Activities
1) Fabrication…..5 days
2) Foundation…..10 days
3) Installation…...15 days

Total Duration = 25 days

Project Start Date: 1-June-2008

Activity Activity Description Duration Start Date Finish Date

ID
10 Fabrication 5
1-June-08 5-June-08

20 Foundation 10
1-June-08 10-June-08

30 Installation 15
11-June-08 25-June-08

Project Finish Date: 25-June-2008

Duration Type
Units = Resource Units /Time X Duration
-----------------------------------------------------------------------------------------------------
Fixed Units & Time

Fixed Duration & Units/Time

Fixed Units

Fixed Duration & Units

 Defining Roles & Resources

Create Roles Dictionary

Assign Roles to Activities

Replace Roles with Resource

 THRESHOLDS

Enable to define the acceptable tolerances within the project.

Able to specify type of thresholds parameter to monitor such as

Total Float, Finish date varience.

Create and Monitor thresholds at the activity or WBS level.

 THRESHOLDS

• Define Tolerances which are acceptable within Project.

Lower Threshold Upper Threshold

Not Acceptable Acceptable Not Acceptable

Issue Issue
Generated Generated
 Issues

Issues are known problem within a project, which

require attention or corrective action before the
project can be completed

An issue is automatically generated when the

threshold values for a given parameter are
exceeded.
 Managing Thresholds and Issues

Create Thresholds
Specify a threshold parameter
Set lower and upper threshold values

Generate the Issues

Monitor the threshold
Analyze the issue
Quickly view all the information associated with an issue by using Issue
Navigator

Resolve Problem
 RISK MANAGEMENT

The Purpose of Risk Management is to increase

the probability and impact of Positive events and
decrease the probability and impact of negative
events on the projects.
 Exposure Value or Expected Monetary value

Work Probability Impact EMV

Package (AED) (AED)
A 10% 20,000 2,000

B 30% 45,000 13,500

C 68% 18,000 12,240

 Probability
Fare
AED 900 On Time 90%

Airline
A
What is Your
Decision
Late 4000
Impact

Probability

On Time 70%

Airline
B
Late 4000
Fare Impact
AED 300
 Monitory Value of your decision

• Air line A
(10% X 4000=400) + (90% X 0=0)+ 900=1300

• Air line B
(30% X 4000=1200) + (70% X 0=0)+ 300=1500
 Risk Management

1. Set up risk types

2. Create a Risk
3. Calculate a risk’s exposure value
4. Analyze the impact of a risk
 Risk Management

•Create risk control plans

•Assign a probability of occurrence to each risk
•Assign an Organizational Breakdown Structure (OBS) element
to each risk
•Calculate a risk’s net exposure value
•Perform a ‘what-if’ impact analysis for each project risk
•Use the exposure value to determine the risk’s impact on cost,
float and finish date.
 Duration Type

Duration percent Complete = ( [OD] – [RD] ) / [OD]

Units % Complete] = [Actual Units] / ([Actual Units] + [Remaining Units] )

Schedule % complete := PV/BAC

 Budget
Current Budget=Original Budget +Approved budget log changes (Budget Log Tab)

Unallocated Budget=Current Budget-Distributed Current Budget

Distributed Current Budget=Sum of Current Budget Values from one level lower

Current Variance=Current Budget-Total Spending Plan

Spending Plan
Total Spending Plan=Sum of the monthly Spending Plan (Spending Plan Tab)

Undistributed Current Variance=Total Spending Plan-Total Spending Plan Tally

Total Spending Plan Tally=Sum of the monthly Spending Tally (spending Plan Tab)

Benefit Plan

Total Benefit Plan=Sum of the monthly Benefit Plan (Spending Plan tab)

Total Benefit Plan Tally =Sum of the monthly Benefit Plan Tally (Spending Plan
tab)
 TOP DOWN BUDGET
Weight
X Total Estimate Weight
Total Weight
 Duration Type

When You
Duration units/time units add a resource,
change

Duration Type what changes? what changes? what changes? what changes?

Fixed Units/Time Units Duration Duration Duration

Fixed Duration and Units/Time Units Units Units/Time Units

Fixed Units Units/Time Duration Duration Duration

Fixed Duration and Units Units/Time Units Units/Time Units/Time

RESOURCE LEVELLING

The goal of resource leveling is to optimize the use of resources and ensure the
resource demanded does not exceed availability.

Try to avoid or minimize the irregular pattern of resource usage especially for a non-
consuming resource.

Some conflicting demand can be avoided by performing certain activities ahead of the
scheduled start.

Some non-critical activities (with float) could be delayed without delaying the project
completion date.

Consider extending the duration of certain activities and so reducing the demand for
resources over the duration of the activity.

Or a combination of any of the above adjustments.

Consider delaying the critical activities and allowing the project to be delayed to
optimize the resource usage
 Updating & Managing the
Structuring Projects Schedule

Setting Up the Enterprise

Project Structure Managing Baselines. Customizing Projects

Updating, Scheduling &

Creating Calendars
Leveling.
Working with Layouts.

Create WBS Structure Summarizing Projects

Grouping, Sorting, &
Filtering Data.

Defining, Assign
Project Issues &
Resources & Roles.
Thresholds
Customizing Layouts

Establishing Activity
Codes. Managing Risks
Customizing Reports.

Working With
Maintaining a Projects Printing Layouts &
Activities.
Document Library.
Reports

Working With Cost

Accounts & Project
Tracking Projects
Expenses

Comparing Projects with

Schedule Comparison