Comments on: The Future of Project Controls — Five Years Later http://www.reformingprojectmanagement.com/2008/11/30/889/ The magazine for the project age Fri, 15 Apr 2011 17:20:14 -0700 http://wordpress.org/?v=2.8.5 hourly 1 By: Hal http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20823 Hal Sat, 24 Jan 2009 19:24:18 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20823 Joe, et al, Thanks for your comments and those of all the others. It's time for me to continue my writing on Project Controls, but in a context of what some have called a <i>humanistic</i> approach. I prefer to call it a responsibility-based approach to project delivery. A few of you have commented above about the concern of the fox watching over the chicken coop. While I acknowledge that there are foxes in the world, just as there are snakes, there are far more people ready to take responsibility for an outcome if given a chance. As Joe points out, ask people to produce a detailed plan for <u>only</u> the work that is needed and that they <u>will be doing</u> or they are responsible for <u>directly managing</u> the work of others. What we see happening every time is people step up. They become responsible. They end up taking actions that beforehand they would leave to others. Where will this take us? Calculating progress, whether by done or not done for earned value sake or for simple coordination with each other becomes a simple matter that is addressed in daily stand-up meetings among the planner-doers. In essence, this is an approach for staying in control rather than being controlled by others. The last thing any of us wants is to be controlled by others. I know my argument is incomplete. It also flies in the face of long-standing project management practices, particularly in DoD contracting. But, so what? Large design and construction projects are benefiting from this thinking. They are getting more of their jobs done on time and on budget with far fewer injuries. The construction industry might take a responsibility-based approach just for the sake of safety. Note: Responsibility-based Project Delivery is a trademark of Lean Project Consulting, Inc. Joe, et al,

Thanks for your comments and those of all the others. It’s time for me to continue my writing on Project Controls, but in a context of what some have called a humanistic approach. I prefer to call it a responsibility-based approach to project delivery.

A few of you have commented above about the concern of the fox watching over the chicken coop. While I acknowledge that there are foxes in the world, just as there are snakes, there are far more people ready to take responsibility for an outcome if given a chance. As Joe points out, ask people to produce a detailed plan for only the work that is needed and that they will be doing or they are responsible for directly managing the work of others. What we see happening every time is people step up. They become responsible. They end up taking actions that beforehand they would leave to others.

Where will this take us? Calculating progress, whether by done or not done for earned value sake or for simple coordination with each other becomes a simple matter that is addressed in daily stand-up meetings among the planner-doers. In essence, this is an approach for staying in control rather than being controlled by others. The last thing any of us wants is to be controlled by others.

I know my argument is incomplete. It also flies in the face of long-standing project management practices, particularly in DoD contracting. But, so what? Large design and construction projects are benefiting from this thinking. They are getting more of their jobs done on time and on budget with far fewer injuries. The construction industry might take a responsibility-based approach just for the sake of safety.

Note: Responsibility-based Project Delivery is a trademark of Lean Project Consulting, Inc.

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By: Joe Carapellucci http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20822 Joe Carapellucci Mon, 19 Jan 2009 02:27:40 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20822 Hal: I think you are really on to something here. People closest to the work have the best insight, and the truth about what is and isn’t working, is or isn’t getting done, etc. I have used this approach, successfully, with a few additional extensions to this basic idea. One: It is difficult to establish partial progress (percent complete) but relatively easy to establish done, or not done. Two: For activities (tasks) in succession, the next step validates the previous (can’t hang drywall if the studs aren’t there) so, the concept of self reporting isn’t as irresponsible as it might first appear (reference to other posts here). Last, if you allow automated reporting of done or not done, within a dynamic updating environment, the methodology will scale to a project of any size, and, allow for more detailed task assignments than would be practical if progress updating is by manual means. So, make the plan very detailed, assign each piece uniquely, allow self reporting with dynamic calculation of earned value and (time) estimate to complete. With only 100 tasks reporting, you will get live earned value measurement to a resolution of approximately 1% of total (Tasks are never identical and of equal effort). That’s better than you will ever get estimating, and, there is no cost or time delay in getting the data. I’ve done this on knowledge work projects of all types, 200-500 team members wide, and it has worked flawlessly. I’d be interested in your views on this approach. The traditional Project Controls paradigm has been perpetuated within engineering and construction for some time, but I believe there is an opportunity to rethink the approach, as outlined above. Hal:

I think you are really on to something here. People closest to the work have the best insight, and the truth about what is and isn’t working, is or isn’t getting done, etc. I have used this approach, successfully, with a few additional extensions to this basic idea. One: It is difficult to establish partial progress (percent complete) but relatively easy to establish done, or not done. Two: For activities (tasks) in succession, the next step validates the previous (can’t hang drywall if the studs aren’t there) so, the concept of self reporting isn’t as irresponsible as it might first appear (reference to other posts here). Last, if you allow automated reporting of done or not done, within a dynamic updating environment, the methodology will scale to a project of any size, and, allow for more detailed task assignments than would be practical if progress updating is by manual means. So, make the plan very detailed, assign each piece uniquely, allow self reporting with dynamic calculation of earned value and (time) estimate to complete. With only 100 tasks reporting, you will get live earned value measurement to a resolution of approximately 1% of total (Tasks are never identical and of equal effort). That’s better than you will ever get estimating, and, there is no cost or time delay in getting the data. I’ve done this on knowledge work projects of all types, 200-500 team members wide, and it has worked flawlessly. I’d be interested in your views on this approach. The traditional Project Controls paradigm has been perpetuated within engineering and construction for some time, but I believe there is an opportunity to rethink the approach, as outlined above.

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By: Tim Allen http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20821 Tim Allen Sat, 17 Jan 2009 04:24:33 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20821 David, I agree with your statement that both styles (humanistic and mechanistic) require accurate bookkeeping. The problem that I find from what Hal wrote is that on the smaller projects in an IT setting the bookkeeping is unwieldy and unmanageable as the communication is more instantaneous and collaborative. With this I find that the humanistic nature tends to become faulty when we collapse the execution and control on reporting back earned value and it turns out to be more along the lines of perceived value. The books become "baked". Without a stand up meeting or measurable actions in a time-box setting employees tend to think they have done more or slide into doing less. EV works in large projects as stated but a microcosm will need to be refined in the years to come to manage what I dub agile "lite". David,

I agree with your statement that both styles (humanistic and mechanistic) require accurate bookkeeping. The problem that I find from what Hal wrote is that on the smaller projects in an IT setting the bookkeeping is unwieldy and unmanageable as the communication is more instantaneous and collaborative. With this I find that the humanistic nature tends to become faulty when we collapse the execution and control on reporting back earned value and it turns out to be more along the lines of perceived value. The books become “baked”. Without a stand up meeting or measurable actions in a time-box setting employees tend to think they have done more or slide into doing less. EV works in large projects as stated but a microcosm will need to be refined in the years to come to manage what I dub agile “lite”.

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By: David Green http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20820 David Green Fri, 19 Dec 2008 03:52:47 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20820 I suspect that as often is the case with innovative thought, that babies go with bathwater. The benefits of what I'd call 'humanistic' project management: my term for the approach espoused by Hal and others, should be measurable. In my work in construction in the NSW Govt. we did find that by one measure our cooperative approach to contrating reaped huge rewards: contract litigation plummeted; but that was influenced by a comprehensive systematic change in our procurement approach. But I'd expect that if humanistic approaches produced better results they'd be measurable generally; EV is probably a good method on very large projects with adequate controls; the challenge on smaller projects is to find a control method that allows simple communication to sponsors, provides useful information to enable corrective action to the project manager and team, and has predictive value, without denying that the highly communicative demands that humanistic methods entail. I think the difference between humanistic and mechanistic PM approaches are much like those between modern cooperative general management and taylorist 'smoke stack' management approaches in style; but both styles still need accurate book keeping. I suspect that as often is the case with innovative thought, that babies go with bathwater. The benefits of what I’d call ‘humanistic’ project management: my term for the approach espoused by Hal and others, should be measurable. In my work in construction in the NSW Govt. we did find that by one measure our cooperative approach to contrating reaped huge rewards: contract litigation plummeted; but that was influenced by a comprehensive systematic change in our procurement approach.
But I’d expect that if humanistic approaches produced better results they’d be measurable generally; EV is probably a good method on very large projects with adequate controls; the challenge on smaller projects is to find a control method that allows simple communication to sponsors, provides useful information to enable corrective action to the project manager and team, and has predictive value, without denying that the highly communicative demands that humanistic methods entail.
I think the difference between humanistic and mechanistic PM approaches are much like those between modern cooperative general management and taylorist ’smoke stack’ management approaches in style; but both styles still need accurate book keeping.

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By: Glen B. Alleman http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20819 Glen B. Alleman Sat, 06 Dec 2008 22:37:26 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20819 Phil and David, In controls system (a topic I'm famailar with), feedback is always negative. Positive feedback drives the control loop to its limit. If positive feedback is all that is available, an inverter is placed between the control loop and the controlled elelement. The "notion" and I emphasize "notion" that "control" is somehow bad is usually due to the lack of understanding about how control systems work. One of the primary gaps in the "PM theory is obsolete" thesis is the missing element of sampling time. In the thermostatic model used there to conjecture the theory is obsolete, the sampling time is missing. Your house thermostat is a "bang-bang servo" controller. It is ON or it of OFF. The "thermostatic" control of your cruise control is a closed loop negative feedback system with a sub-second sample time. The autonomous guideance controls the engineers we do planning for build 10millisecond "feedforward" loops that dock spacecraft and land UAV's. They use a Thermostatic (meaning linear, feedback, variable gain) loop. The "trouble" in the PM discussion world starts when terms are redefined without understanding the consequence. In the "performanace based contracting" is the US Government, predictive performance measures assure the contractor they have a high probability of getting their award fee on the planned date. This requires "control" of the cost, schedule, and technccal performance of the work products on weekly "sample times," most often using Earned Value and Monte Carlo simulations. It doesn't always work, and the there are some spectacular disasters, but the princples are sound. It's the practice that goes in the ditch. Phil and David,
In controls system (a topic I’m famailar with), feedback is always negative. Positive feedback drives the control loop to its limit. If positive feedback is all that is available, an inverter is placed between the control loop and the controlled elelement.
The “notion” and I emphasize “notion” that “control” is somehow bad is usually due to the lack of understanding about how control systems work.
One of the primary gaps in the “PM theory is obsolete” thesis is the missing element of sampling time. In the thermostatic model used there to conjecture the theory is obsolete, the sampling time is missing. Your house thermostat is a “bang-bang servo” controller. It is ON or it of OFF. The “thermostatic” control of your cruise control is a closed loop negative feedback system with a sub-second sample time. The autonomous guideance controls the engineers we do planning for build 10millisecond “feedforward” loops that dock spacecraft and land UAV’s. They use a Thermostatic (meaning linear, feedback, variable gain) loop.
The “trouble” in the PM discussion world starts when terms are redefined without understanding the consequence.
In the “performanace based contracting” is the US Government, predictive performance measures assure the contractor they have a high probability of getting their award fee on the planned date. This requires “control” of the cost, schedule, and technccal performance of the work products on weekly “sample times,” most often using Earned Value and Monte Carlo simulations.
It doesn’t always work, and the there are some spectacular disasters, but the princples are sound. It’s the practice that goes in the ditch.

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By: David Green http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20818 David Green Tue, 02 Dec 2008 03:44:39 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20818 The way I'd heard the old saw that Phil quotes is: "a task is 90% complete for 90% of its duration....ask anyone" Same principle: without objective measures, who can tell. For a lot of construction tasks tho we can measure: count bricks, measure volume of concrete placed, mass of steel erected, length of wall completed, number of windows installed; and deviations from promises are also dead easy to spot on most occasions: just count the items. What makes Last Planner work is perhaps the next trade contractor expecting to take up their work by a promised date, with the previous one possibly under financial incentive to meet the commitment (liquidated damages for non-completion). In the NSW Govt. standard GC21 contract, there is an early completion bonus that can be provided which also creates an incentive for the head contractor to meet its 'defect free' completion ahead of time. The way I’d heard the old saw that Phil quotes is:

“a task is 90% complete for 90% of its duration….ask anyone”

Same principle: without objective measures, who can tell. For a lot of construction tasks tho we can measure: count bricks, measure volume of concrete placed, mass of steel erected, length of wall completed, number of windows installed; and deviations from promises are also dead easy to spot on most occasions: just count the items.

What makes Last Planner work is perhaps the next trade contractor expecting to take up their work by a promised date, with the previous one possibly under financial incentive to meet the commitment (liquidated damages for non-completion).

In the NSW Govt. standard GC21 contract, there is an early completion bonus that can be provided which also creates an incentive for the head contractor to meet its ‘defect free’ completion ahead of time.

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By: David Green http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20817 David Green Tue, 02 Dec 2008 03:40:07 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20817 In systems theory, isn't negative feedback that which moves the system back to stability and positive feedback that which moves it away from stability? In systems theory, isn’t negative feedback that which moves the system back to stability and positive feedback that which moves it away from stability?

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By: Glen B. Alleman http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20816 Glen B. Alleman Mon, 01 Dec 2008 19:47:43 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20816 Phil, From my experience (limited to ERP, defense and large constructure), the core issue is defining what "done" looks like before the work starts, measuring progress toward "done" in some unit meaningful to the participants (customer and supplier), and agreeing what needs to take place in the work efforts when "done" is not appearing at the planned cost, schedule, and techncial performance. This is the primary rols of Program Controls- to provide this "actionable insight" to the project management and technical staff, so they can in fact keep moving toward "done" at the planned rate. I'm having a hard time accepting that those doing the work are the right people to be telling management they are making progress. Over and over again, I've seen troubled projects where there was no seperation between "doing" and "reporting." Everwhere from Joint Strike Fighter, to SBIRS (Space Based Infrared System), to possibly the Big Dig, to the IRS $4B rightoff, to the classic ERP deployment where "we'll make it up in system test" becomes the watch word. There are dozens of GAO reports that point out this failure mode. Kent Beck had a great quote. "Optimizim is the disease, feedback is the cure." But this feedback must be a credible indepedent assessment of physical progress to plan. Otherwise your suggestion results - "we're stuck at 80% complete for 150% of the time." I truely await Hal's description of the details of how allowing those doing the work to be the only source of progress to plan. Phil,
From my experience (limited to ERP, defense and large constructure), the core issue is defining what “done” looks like before the work starts, measuring progress toward “done” in some unit meaningful to the participants (customer and supplier), and agreeing what needs to take place in the work efforts when “done” is not appearing at the planned cost, schedule, and techncial performance.
This is the primary rols of Program Controls- to provide this “actionable insight” to the project management and technical staff, so they can in fact keep moving toward “done” at the planned rate.
I’m having a hard time accepting that those doing the work are the right people to be telling management they are making progress. Over and over again, I’ve seen troubled projects where there was no seperation between “doing” and “reporting.” Everwhere from Joint Strike Fighter, to SBIRS (Space Based Infrared System), to possibly the Big Dig, to the IRS $4B rightoff, to the classic ERP deployment where “we’ll make it up in system test” becomes the watch word. There are dozens of GAO reports that point out this failure mode.
Kent Beck had a great quote. “Optimizim is the disease, feedback is the cure.” But this feedback must be a credible indepedent assessment of physical progress to plan. Otherwise your suggestion results – “we’re stuck at 80% complete for 150% of the time.”
I truely await Hal’s description of the details of how allowing those doing the work to be the only source of progress to plan.

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By: Phil Rutherford http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20815 Phil Rutherford Mon, 01 Dec 2008 07:29:54 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20815 I agree with Glen. There is an old saying that the first 90% of a project's time is spent doing the first 90% of the work, and the last 10% of the project's time is spent doing the last 90% of the work. We have such a fixation with project controls being 'only' about cost, time and quality that we forget the 101 other things by which the progress and success of a project can be measured. But, in reality, while to a project manager the achievement of these might be a source of pride, to the customer these are simply "Cheap", "Yesterday", and "Best", three legs of a stool which can never meet. But we keep on measuring a project manager and his/her projects by them. Once we stop doing this the truth about what is reall going on will start to emerge from a project and we will be assured that regardless of whether or not the feedback is positive or negative, it will always be honest and capable of carrying us forward (even to a point where the project is cancelled altogether). I agree with Glen. There is an old saying that the first 90% of a project’s time is spent doing the first 90% of the work, and the last 10% of the project’s time is spent doing the last 90% of the work.

We have such a fixation with project controls being ‘only’ about cost, time and quality that we forget the 101 other things by which the progress and success of a project can be measured. But, in reality, while to a project manager the achievement of these might be a source of pride, to the customer these are simply “Cheap”, “Yesterday”, and “Best”, three legs of a stool which can never meet. But we keep on measuring a project manager and his/her projects by them.

Once we stop doing this the truth about what is reall going on will start to emerge from a project and we will be assured that regardless of whether or not the feedback is positive or negative, it will always be honest and capable of carrying us forward (even to a point where the project is cancelled altogether).

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By: Glen B. Alleman http://www.reformingprojectmanagement.com/2008/11/30/889/comment-page-1/#comment-20814 Glen B. Alleman Mon, 01 Dec 2008 02:42:22 +0000 http://www.reformingprojectmanagement.com/2008/11/30/889/#comment-20814 Hal, <i>"The future of project controls is to place the responsibility for gauging where we are and how we are doing at every moment with the people who are executing the project. No separation of execution and control. "</i> Is the antithesis of how aerospace and defense operate. From my experience there and in ERP and Enterprise software, this is the literal kiss of death of a project. Those with the technical responsibility have very little if any incentive of reporting accurate and credible progress to plan. The very nature of planning and controls is to have an independent and credible assessment of the physical percent complete. I’d be VERY interested to see how this notion has come about in your construction domain? This is not to say that the technical staff does not plan, concur with the measures of progress - percent complete, apportioned milestones, physical deliverables, or the myriad of other assessment of progress. But to have those performing the work to be responsible for reporting the “gauging” the progress is strictly forbidden in government contracting – for all the right reasons. Those responsible for delivery have a disincentive to report bad news. Hal,

"The future of project controls is to place the responsibility for gauging where we are and how we are doing at every moment with the people who are executing the project. No separation of execution and control. "
Is the antithesis of how aerospace and defense operate. From my experience there and in ERP and Enterprise software, this is the literal kiss of death of a project. Those with the technical responsibility have very little if any incentive of reporting accurate and credible progress to plan. The very nature of planning and controls is to have an independent and credible assessment of the physical percent complete.

I’d be VERY interested to see how this notion has come about in your construction domain? This is not to say that the technical staff does not plan, concur with the measures of progress – percent complete, apportioned milestones, physical deliverables, or the myriad of other assessment of progress. But to have those performing the work to be responsible for reporting the “gauging” the progress is strictly forbidden in government contracting – for all the right reasons. Those responsible for delivery have a disincentive to report bad news.

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