PMGT 1865
Project Time, Cost
and Resources
Week 1: Introduction
Presented by
Jin Xue
• Introductions
• Unit overview & housekeeping
• Understand different stages of a project
life cycle
• Planning in different contexts
• Develop project scope
Learning
Outcomes
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PMGT1865 - INTRODUCTION
Objectives of this unit of study:
This unit of study introduces students to tools, methods and
approaches such as the work breakdown structure, milestone
planning, precedence diagraming, Gantt charts and critical
pathways.
These tools and techniques help project managers
cost and resources; and understand the impact on
balance time,
the schedule,
budget and resource allocation associated with potential risks.
PMGT1865 - Learning Outcomes
1. Explain how existing organisational functions and processes may influence planning
decisions about schedule, budget and resources
2. Compare implications associated with planning time, cost and resources in different contexts
(contrasting traditional and agile environments)
3. Compare and contrast alternative formats of schedule, including milestone plan,
precedence diagram, and Gantt chart.
4. Develop a precedence network from a given Work Breakdown Structure, including durations
and determine critical path.
5. Determine the work effort of activities; develop strategic resource plan to deliver the project;
and balance resources using schedule.
6. Estimate project costs and calculate a project budget.
7. Develop a risk analysis and management plan focusing on effect of risks on time, cost
and resources; calculate impact on the schedule, budget and resource allocation
associated with potential risks.
8. Relate time cost and evaluation to selection of suppliers and partners.
Mode of Delivery
Weekly:
1 Workshops (2 Hours)
2 Self study (6-8 Hours)
CANVAS
All course content and communications will be via Canvas
http://canvas.sydney.edu.au
ENGG1865 Schedule Overview
Weeks Topics
Week 1 Introduction
Week 2 CPM
Week 3 Early Feedback Quiz
Week 4 Overlapping networks
Week 5 PERT
Week 6 Resource planning
Week 7 Resource levelling
Week 8 Procurement planning
Week 9 Project Planning using MS Project
Week 10 Earned value management
Week 11 Controlling project time, cost and resources
Week 12 Group Presentations
Week 13 Final Quiz
Assessments
No Name Description Worth Due Date
1 Class Participation Working in
groups/online
discussions
15% Every week
2 Individual
Assignment
Research task 30% Week 5
3 Canvas Quizes Knowledge Test 10%+20% Week 4 and
Week 13
4 Group Assignment Develop project plan
for a given case study
in groups
17.5% Week 12
5 Group Presentation To the Sponsor of your
case study project
7.5% Week 13
Academic Dishonesty
Activity 1
In groups of 5 - introduce yourself.
• Your background
• Something interesting about yourself
• Your strengths and weakness
Each group should be prepared to share one fact about their group
with class, choose someone to speak for your group.
Time: 10min (intro) + 10min (sharing)
Four-phase project lifecycle
PMBoK processes
“Kick-off” - defining
the project and
getting authorisation
to commence
Developing the Project Management
Plan (PMP) in consultation with
project stakeholders
Executing the work;
monitoring for change and
variation; and controlling the
project so that it is delivered
on time, within budget and to
the desired level of quality
Shutting down the
project and
capturing lessons
learned
Page 63
PMBoK Framework
Initiation Planning Implementation Closure
Integration
Management
Develop Project
Charter
Develop Project Management Plan Direct &Manage Project Work; Monitor
& Control Work; Perform Integrated
Change Control
Close
Project or
Phase
Scope
Management
Plan Scope Management; Collect
Requirements; Define Scope; Create WBS
Validate Scope; Control Scope
Time
Management
Plan Schedule Management; Define
Activities; Sequence Activities; Estimate
Activity Resources ; Estimate Activity
Durations; Develop Schedule
Control Schedule
Cost
Management
Plan Cost Management; Estimate Costs;
Determine Budget
Control Costs
Quality
Management
Plan Quality Management Perform Quality Assurance;
Control Quality
HR
Management
Plan HR Management Acquire Project Team; Develop
Project Team; Manage Project
Team
Communication
Management
Plan Communications Management Manage Communications;
Control Communications
Risk
Management
Plan Risk Management; Identify Risks;
Perform Qualitative Risk Analysis; Perform
Quantitative Analysis; Plan Risk Responses
Control Risks
Procurement
Management
Plan Procurement Management Conduct Procurements Close
Procure
ments
Stakeholder
Management
Identify
Stakeholders
Plan Stakeholder Management Manage Stakeholder
Engagement; Control
Stakeholder Engagement
Importance of Project
Planning
❑ Positively co- related to
project success
❑ Improves efficiency
❑ Reduces risk level
WhyisPlanning Important?
This article taken from theABC
news website, (27/12/17)
highlights the scale of the
planning problem, even in
relatively mature project
environments.
Planning in Different Contexts
While the principles of planning project time, cost and resources are
broadly similar across different industries and organisations there are
different approaches that are suitable in different contexts. This module
aims to uncover the different methods, tools, frameworks and
processes used across different project and organisationalcontexts.
ProjectManagementMethodologies
There are a number of common project management
methodologies or guidelines. The table below helps us consider
which approach would be better for a particularproject.
Which of the above would be more in keeping with thestyle
of a large construction project andwhy?
Planning for Constructionand Engineering Projects
Construction and large scale engineering projects often have a long
duration, long upfront planning time and a long warranty or defect
rectification period. The resource skills required are often scare,
expensive and have the potential to burden the project with extra
cost if not planned and managed appropriately.
The red circle
highlights the planning
concepts and tools
commonly used within
the construction
environment.
Some of these
concepts and tools are
commonly used across
many project
environments.
Planning for Agile Projects
In contrast with the long planning horizon of construction and
engineering projects.Agile projects are most commonly software
development related and have an iterative and short planning horizonto
ensure:
• Regular delivery to clients
• Tight control over scope (flexibility to change)
• Tight control over time and cost
Agile projects utilise ‘Sprints’which in effect are mini projects that
produce a deliverable. Sprints are typically between a week andfour
weeks in duration.
Sprint planning often utilises alternative or additional planning tools to
longer form projects.
Note: Agile projects are subject to the same triple constraint aswaterfall
style projects.
Planning for Agile Projects
SuccessfulAgile delivery depends on the client/sponsorsupporting
the flexible approach taken to delivering scope.
There is a debate in industry about whether Agile is a software
development methodology or a project managementmethodology.
Planning for Agile Projects
Fig. 1. Typical Scrum life-cycle.
Bochetti et al, 2007 describe a Scrum life cycle in the
diagram below. (Scrum is a type ofAgile approach)
Note that the
diagram is circular
in nature
highlighting the
iterative nature of
planning and
delivery on Agile
projects.
Planning for Agile ProjectsVsWaterfallProjects
In his 2013 paper for the PMI Congress, Chickering states that cost
and time constraints are managed by ‘the team’, with the point of
accountability being the Product Owner (role specific to Agile
delivery teams).
Waterfall projects, regardless of industry or organisation often seek
to use rolling wave planning to plan tasks, deliverables and
resources and to estimate the cost and the lowest practical level of
granularity. The Project Manager is always accountable for
managing the time and cost.
Planning for BusinessStrategy and Transformation
Projects
Most organisations undertake projects of various kinds, from
replacement IT systems, to culture change or mass recruitment
programs. There are many different kinds of organisationalprojects.
Planning approaches for these projects will depend on the
organisational perspective on project management. Alternatively, they
may not recognise the activity as a project, and planning in a formal
sense may be minimal.
Some organisations will take a blended approach. They might
adopt their usual approach to planning time and cost, but tailor the
delivery approach to whatever is suitable for the size and type of
project they are undertaking.
Approaches toProjectPlanning in Dynamic Environments
*Taken from Collyer et al, 2010
Activity 2
In groups of 5 discuss and compare:
• What are the differences between planning processes for
traditional (i.e. construction) vs agile (i.e. software
development) projects?
Each group will share one key difference with class
Time: 10min (discussion) + 10min (sharing)
What is Project Scope
➢Scope defines what is and isn’t included in the project
▪ Activities
▪ Deliverables
▪ Functional requirements
▪ Performance and quality requirements
▪ Other requirements (e.g. training, support)
Defining project scope
– Is the process of determining and
documenting:
• Product scope: The features and
functions that characterize a product,
service, or result
• Project/process scope: The work
that needs to be accomplished to
deliver a product, service, or result
with the specified features and
functions (PMBoK)
Ladder
Project Management, council
approvals, select site, procure
builder, marketing, legals, etc
Walls/roof
Furnishings
Scope Creep
Theincremental expansionof the scopeof aproject, which may includeand introduce more
requirements that maynot havebeen apart of the initial planningof theproject
—Business scopecreep: couldbe a result of poor requirements definitionor not
including the usersearlyon
—Technologicalscope creep: introduced by technologistsaddingfeatures not
originally contemplated
—Customer pleasingscopecreep: the desire to please the customer through additional
product features addingmore work to thecurrent project
▪ Resultsof scopecreep
— Budget overrun
— Scheduleoverrun
— Increased workload
— Management inefficiency

Project Scope Statement
Project Name
Project Sponsor Project Manager
Date of Approval Last Revision Date
Scope Description List at high level what is the scope of the project
Project Deliverables List top deliverables of the project
Acceptance criteria List the acceptance criteria
Constraints List any constraints that could affect the project
Assumptions List any assumptions that the project is based upon
Your local council want to set up a community garden on land that has been
used for several years as a car park. The site is in poor condition and will need
to be remediated before work begins on establishing the planting beds and other
facilities for the community garden.
Discuss and develop a scope statement.
Time: 15min
Activity 3
QUESTIONS?
Recommended Readings
Allen, M., McLees, J., Richardson, C., & Waterford, D. (2015). Project planning and
best practices. Journal of Information Technology and Economic Development, 6(1), 1.
Besner, C. & Hobbs, B. (2008). Discriminating contexts and project management best
practices on innovative and noninnovative projects: a grounded model and its
. implications for practice. Project Management Journal, 39(3), S123–
S134. doi: http://dx.doi.org/10.1002/pmj.20064
Boschetti, M.A., Golfarelli, M., Rizzi, S., & Turricchia, E. (2014).Alagrangian heuristic
for sprint planning in agile software development. Computers & Operations
Research, 43, 116-128. doi:10.1016/j.cor.2013.09.007
Chickering, J. (2013). Agile and project managers: tough questions. Paper presentedat
PMI® Global Congress 2013—EMEA, Istanbul, Turkey. Newtown Square, PA: Project
Management Institute.
Collyer, S., Warren, C., Hemsley, B., & Stevens, C. (2010). Aim, fire, aim—Project
planning styles in dynamic environments. Project Management Journal, 41(4), 108-121.
doi:10.1002/pmj.20199
Vaziri, K., Carr, P.G., & Nozick, L. K. (2007). Project planning for construction under
uncertainty with limited resources. Journal of Construction Engineering and
Management, 133(4), 268-276. doi:10.1061/(ASCE)0733-9364(2007)133:4(268)