Chapter6 - exercise2

Questions:

Consider Table 6-3, Network Diagram Data for a Small Project. All duration estimates or estimated times are in days; and the network proceeds from Node 1 to Node 9.

a. Draw an AOA network diagram representing the project. Put the node numbers in circles and draw arrows from node to node, labeling each arrow with the activity letter and estimated time.

b. Identify all of the paths on the network diagram and note how long they are, using Figure 6-8 as a guide for how to represent each path.

c. What is the critical path for this project and how long is it?

d. What is the shortest possible time it will take to complete this project?

e. Review the online tutorials for Gantt and PERT charts in the third Suggested Reading by Mark Kelly in this chapter. Write a one-page paper with your answers to the questions in the tutorials. Also include any questions you had in doing the tutorials.

Table 6-3. Network Diagram Data for a Small Project

Answers:

a. Activity-on-Arrow (AOA) Network Diagram for a Small Project.

Figure 1. AOA Network Diagram for a Small Project

b. Determining the critical path for this Small Project.

Note: All duration estimates or estimated times are in days.

Path 1: A-B-E-H-K Length = 2+2+2+2+2 = 10 days

Path 2: A-C-F-H-K Length = 2+3+3+2+2 = 12 days

Path 3: A-C-F-I-J-K Length = 2+3+3+5+1+2 = 16 days

Path 4: A-D-G-J-K Length = 2+4+6+1+2 = 15 days

c. What is the critical path for this project and how long is it?

Since the critical path is the longest path through the network diagram, Path 3, A-C-F-I-J-K, length is 16 days that is critical path for this Small Project.

d. What is the shortest possible time it will take to complete this project?

Path 1, A-B-E-H-K, length is 10 days, that is the shortest possible time taken to complete this Small Project.

e. Tutorial Questions & Answers.

Figure 2. A PERT chart drawn to show the development of a system

QUESTION 1: Which tasks are on the critical path of the PERT chart above?

Answer:

A-B-D-F-I Length is 2+3+3+3+3 = 14 days. (the longest possible path).

QUESTION 2: What is the slack time for tasks C, D and G?

Answer:

Task C: C-E Length = 1+4 = 5 days

While the top pair of task C-E is being done at the same time as the bottom pair of task D-F. Task C-E takes 1+4 = 5 days. Task D-F takes 3+3 = 6 days, so task C-E will finish one day early before task D-F finish. Therefore, either task C or task E could take one extra day to finish the project, and the slack time is one day for task C.

Task D: D-F Length = 3+3 = 6 days

Whereas task D is on the critical path, but critical tasks have no slack while they cannot run overtime without affecting the ending date of the project. Therefore, task D has no slack time accordingly.

Task G: G-H Length = 2+5 = 7 days

Task G-H takes a total of 7 days. While task B-C-E takes 3+1+4 = 8 days and task B-D-F takes 3+3+3 = 9 days. So, task G could run an extra 2 days before it caused delays, since it had to wait for task B-D-F to finish the project. Therefore, the slack time is 2 days for task G.

QUESTION 3: the person working on task C tells the project manager he can't start work until one day after the scheduled starting date. What impact would this have on the completion date of the project? Why?

Answer:

If the person cannot start work until one day after the schedule starting date, the impact would cause tasks C and E to start one day late, but would not have impact on the completion date of the project while task C-E has one day of slack to be used and the other concurrent tasks D, F joined up to begin task I.

QUESTION 4: Task A will be delayed by 2 days because some equipment has arrived late. If the project manager still wants to finish the project within the original time frame, he will need to shorten the time for one or more of the tasks. What steps can he take to reduce the number of days allocated to a task?

Answer:

If the project manager wants to finish the project within the original time frame because task A will be delayed by 2 days, then he/she could put more people to work on it, and people could work more hours in a day or company could increase the efficiency of production (e.g. automating a manual task).

QUESTION 5: The project manager decides to reduce the time needed for tasks D and F by one day each. How effective will this reduction be in achieving his aim of maintaining the original finish time for the project?

Answer:

If the project manager decides to reduce the time needed for tasks D and F by one day each, so the old critical path from 14 to 12 days. However, tasks D and F are no longer on the critical path, the new critical path A-B-C-E-I is the longest at 13 days. Therefore, the completion date of the project will be shortened by one day earlier than originally.

References

1. Kelly, M. (2006). Project Management Tools: Gantt Charts and PERT Charts, McKinnon Secondary College, Australia. Retrieved March 4, 2006, from http://www.mckinnonsc.vic.edu.au/la/it/ipmnotes/ganttpert/

2. Schwalbe, K. (2006). Information technology project management (4^th ed.). Boston Massachusetts: Thomson Course Technology.

Chapter5 - exercise1

Question:

Use PowerPoint, Visio, or similar software to create a WBS in chart form (similar to an organizational chart – see the sample in Figure5-2).

Assume the level 1 categories are initiating, planning, executing, controlling, and closing. Under the executing section, include level 2 categories of analysis, design, prototyping, testing, implementation, and support.

Assume the support category includes level 3 items called training, documentation, user support, and enhancements.

Result is as shown in Figure 1 Resulting WBS in chart form.

Figure 1. Resulting WBS in chart form.

References

1. Schwalbe, K (2006), Information technology project management (4^th ed.). Sydney: Thomson Course Technology.

Chapter4-exercise3

Perform a financial analysis for a project using the format provided in Figure 4-3. Assume the projected costs and benefits for this project are spread over four years as follows: Estimated costs are $100,000 in Year 1 and $25,000 each year in Year 2, 3, and 4. Estimated benefits are $0 in Year 1 and $80,000 each year in Year 2, 3, and 4. Use an 8 percent discount rate. Create a spreadsheet (or use the business case financials template provided on the companion Web site) to calculate and clearly display the NPV, ROI, and year in which payback occurs. In addition, write a paragraph explaining whether you would recommend investing in this project, based on your financial analysis.

Understanding the economic climate and rapid pace of change in businesses and technologies, top management usually have certain recommendations for the length of the payback period of an project investment or appeal to focus on delivering positive financial result quickly while they create a project plan, then they might require all information technology projects to have a payback period of less than two years or even one year, regardless of the estimated NPV or ROI (Schwalbe, 2006). However, because sometimes many crucial projects cannot achieve a payback so quickly or reap a profit in a short time period, that is top management worries and don’t want to continue investing the project, therefore, the organization must also consider positive long-range goals when making technology investments (Schwalbe, 2006). Consequently, according to this financial analysis results as shown in Table 1 financial analysis and Figure 2 charting the payback period, the estimated NPV=41,740, ROI=25% and the cumulative benefits in payback chart is going to have positive number in fourth year. Even though this project needs three years more than two years to get benefits, but I would recommend investing in this project based on this financial analysis, because its calculated cash flow is positive growth.

Table 1. Financial analysis.

Figure 2. Charting the Payback period.

References

1. Schwalbe, K (2006), Information technology project management (4^th ed.). Sydney: Thomson Course Technology.

Chapter3-exercise1

Question:

Study the WBS and Gantt charts provided in Figures 3-3 and 3-4. Enter the WBS into Project 2003, indenting tasks as shown to create the WBS hierarchy. Then enter durations and dependencies to try to reproduce the Gantt chart. Check your work with the files available on the companion Web site for this text.

Result is as below Figure 1 Gantt chart.

Figure 1. Gantt chart.

References

1. Schwalbe, K (2006), Information technology project management (4^th ed.). Sydney: Thomson Course Technology.

Chapter2-exercise5

Question:

Write a one- to two-page summary of an article about the importance of top management support for successful information technology projects.

Today is information age, the role of information systems in leveraging businesses against competitors in the marketplace, while taking advantage of new business opportunities is steadily increasing. Information technology (IT) projects have become staples in companies seeking to fulfill their business objectives. Therefore, in order to meet the company’s business objectives and market requirements, the company sometimes needs to do some changes to create projects. However, not all employees who can accept changes, so that the level of commitment and support of top management is a very important factor in helping project managers successfully lead projects.

According to this titled top management support article, it described how top management is influencing employees to accept the changes of information system executing in the organization. Sometimes IT project managers are trying to implement some changes, but are running into resistance. For example, a company may be that IT is "sponsoring" an IT project - ERP, but employees are resisting. Therefore, when faced with resistance to "The Right Thing To Do" from the very people they're trying to help, then the IT projects are needed by top management support to command people to accept the change. As Lemon et al. (2002) stated that lack of top management involvement and support are one of common areas for information systems project failure persist. For example, any significant project will require redefinition of job roles and responsibilities; however, top management support is required to ensure this happens smoothly. There are many important roles description of top management support for successful IT projects as the following:

1. Resources. Project managers need adequate resources support by top management. Top management must have commitment to provide the budget, human resources and visibility resources that project manager need to accomplish the change.

2. Empowerment and Objectives. Top management must set the clear objectives, define the bounds, provide the resources, and empower people on results. While a goal for the change is challenging, therefore, one that is a step in an even larger vision and plan for defining project goals by top management.

3. Participative process. As successful change is accomplished by people who are motivated to change, not command. Always, project managers must have cooperation from people in other department of the organization for project success, and then top management must step in to encourage people to cooperate with project managers, such as the three elements of motivation to change, see Resistance #3. For example, developing ERP system may need production department to tell how the production operation is, and then motivating them is better way to provide their ideas with prize for building user-friendly ERP system, not be visualized by IT managers.

4. Accountability: Top management can hold people accountable for project delivery, such as controlling the project is on schedule, have expected project results and requested changes.

5. Coach, don't dictate. Top management must share information and offer help in a way that doesn't disempower staff or relieve them of any authority or accountability for project results. For example, project managers often need someone to mentor and coach them on leadership issues, according to some IT project managers are inexperienced as managers (Schwalbe, 2006, p.51), especially project management as a team work by means of using communication, so that project managers should get top management support to take classes to develop leadership skills.

In conclusion, as Schwalbe (2006, p.52) stated that IT project managers work best in an environment in which top management values information technology. Top management support is important resource definitely for project success.

References

1. Lemon, W.F., Bowitz, J., Burn, J., & Hackney, R. (2002), Information systems project failure: a comparative study of two countries. Retrieved 01 April 2002 from http://www.accessmylibrary.com/coms2/summary_0286-25115343_ITM.

2. Myer, ND (2007), Top Management Support. Retrieved 28 March, 2007, from http://www.cio.com.au/index.php/id;1332094453.

3. Schwalbe, K (2006), Information technology project management (4^th ed.). Sydney: Thomson Course Technology.