The focus of this week is on tools and techniques for performance management. Such tools and techniques need to be seen in the context of managing the plan-execute-monitor-control cycle which was introduced in Week 1 and, specifically, recognising the importance of establishing baselines against which performance can be reported. This week, you learn how to analyse schedule- and budget-related data which highlights variances between planned and actual performance. A specific method that is considered is that of earned value management (EVM), which enables metrics relating to both schedule and budget to be integrated via one reporting mechanism. To complete the picture, this week’s topics end with consideration of quality and of specific approaches and tools that are available as aids to solving quality-related problems.
1. 500 words
Interpret earned value (EV) data
Evaluate the value metric of earned value (EV)
2. 600 words
analyse the process of establishing appropriate metrics to enable the performance of a project to be effectively measured.
1. Document: Week 5 Key Concept Overview (PDF)
2. Kerzner, H.R. (2013a) Project management case studies. 4th ed. Hoboken, NJ: Wiley.‘The need for project management metrics’ (A), (B) and (C) (pp.411-423)
3. De Marco, A. & Narbaev, T. (2013) ‘Earned value-based performance monitoring of facility construction projects’, Journal of Facilities Management, 11 (1), pp.69-80.
4. Iacovou, C.L., Thompson, R.L. & Smith, H.J. (2009) ‘Selective status reporting in information systems projects: a dyadic-level investigation’, MIS Quarterly, 33 (4), pp.785-810.
5. Pavlak, A. (2004) ‘Project troubleshooting: Tiger Teams for reactive risk management’, Project Management Journal, 35 (4), pp.5-14.
6. Basu, R. (2014) ‘Managing quality in projects: an empirical study’, International Journal of Project Management, 32 (1), pp.178-187.
7. Kwak, Y.H. & Anbari, F.T. (2012) ‘History, practices, and future of earned value management in government: perspectives from NASA’, Project Management Journal, 43 (1), pp.77-90.
8. Lovallo, D. & Kahneman, D. (2003) ‘Delusions of success: how optimism undermines executives’ decisions’, Harvard Business Review, 81 (7), pp.56-63.