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Lecture 5/Interactive 2:
TOC Project Management Critical Chain: different perspective to project planning & control

Dr. Mark JG Govers, PhD, 2013 - all rights reserved

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Dr. Mark JG Govers, PhD, 2013 - all rights reserved 1

DAY 2: Time Mngt & Reflection on TOC

1.! Lecture 4: re-fresher day 1 (15 min) 2.! Lecture 5/Interactive 2: TOCs Project Management: Critical Chain (120 min) 3.! Break (15 min) 4.! Lecture 6: TOC assumptions (60 min) 5.! Lunch (60 min) 6.! Interactive 3: Summarizing summer school / consultation hour (60 min) 7.! Break (15 min) 8.! Evaluation: Testing your knowledge and insights (60 min) 9.! Optional Interactive: making a cloud (60 min)

Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

Dr. Mark JG Govers, PhD, 2013 - all rights reserved 2

Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

How to build such buildings?

Dr. Mark JG Govers, PhD, 2013 - all rights reserved 3

If we are used to work like this

Ever win a gold medaille again

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 if we are used to this?

instead of this?

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Everything is a

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TYPES of WORK
Improvise
New object Unknown results Problem oriented Unconscious Intuitive / ad-hoc Flexible approach Open structure/ intuitive management

Project
New object Planned results Result oriented Once, unique Rules Planned approach Temporarily structure/ project management

Routine
Known object Known results Means oriented Repeated Standard rules Standard approach Standing structure/ operational management

Project: a series of activities to be executed by more than one specialist group acting in a temporary (begin-end) co-operative relationship directed at a specific result to be attained within a certain time and with defined resources. Project Management: the managing of a set of activities, directed at a specific goal, which are executed once only within a limited time, with certain humans resources and with a certain budget.
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PROJECT: different view

Characteristics:
Given an assignment without intervention: - 80+% success probability ! operational management (A) - 80+% failure probability ! project management (B)

Criteria for success: Satisfied Satisfied Satisfied Satisfied users team members clients / principals suppliers

(A)

(B)

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PROJECT: process

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PROJECT: process

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PROJECT: process

Phases Cascading

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PROJECT: organization

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Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

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Dr. Mark JG Govers, PhD, 2013 - all rights reserved 12

Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

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Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

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TOC is all about time management, becomes vivid in project management

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A revolution in Time Management: critical chain

2 problems for overruns:
-! -! Multi-tasking: shifting between tasks and/or projects Student Syndrome: start too late (have time enough), and unforeseen problems can often not be resolved on time

Via the 5 focusing steps:

-! -! -! -! -! -! Critical Chain (CC) vs. Critical Path (PERT) Focus on one task (no-multi-tasking) Staggering: prioritizing projects (multi-project context) Project Buffer, no task protection but for WHOLE project Feeding Buffers for non-critical paths into the CC Buffer Management

Critical Chain = longest chain of depending steps (time & resources) Note: Critical Path only takes time in consideration 28

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Coins: effect of multi-tasking

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Resource Dependency
Resource Dependency

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Buffer Creation
Statistical Rule: Variance of the whole is less than the variance of the sum of the parts
!2whole = "(!2 A + !2 B + !2 C)

Same certainty, more T2M A B C

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Critical Chain & Communication

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Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

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Critical chain (TOC) Coins Game

Intro

Summary & Dialogue

PROJECTS

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Summary

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Quotes of Goldratt

There is plenty of safety embedded in projects but it is masked and wasted due to our mode of operation. It is not important to complete each task on time, it is essential to complete the project on time. Get consensus to stagger projects.

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Project Routines
! Bad Multitasking The dropping of work on one task before it is finished in order to start another. ! Parkinsons Law The satirical statement that work expands to fill the time allotted to it. ! Students Syndrome The type of procrastination students are prone to when they are assigned a project or are facing a test. ! Common Cause Variation a source of variation caused by unknown factors that result in a steady but random distribution of output around the average or mean of the data ! Special Cause Variation variation caused by known factors that result in a non-random distribution of output; also referred to as "exceptional" or "assignable" variation.

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Dialogue

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DAY 2: Time Mngt & Reflection on TOC

1.! Lecture 4: re-fresher day 1 (15 min) 2.! Lecture 5/Interactive 2: TOCs Project Management: Critical Chain (120 min) 3.! Break (15 min) 4.! Lecture 6: TOC assumptions (60 min) 5.! Lunch (60 min) 6.! Interactive 3: Summarizing summer school / consultation hour (60 min) 7.! Break (15 min) 8.! Evaluation: Testing your knowledge and insights (60 min) 9.! Optional Interactive: making a cloud (60 min)

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Dr. Mark JG Govers, PhD, 2013 - all rights reserved 21