Telecommunications Project Management

1. Telecommunications Project Management Week 5 Scope Management Organizational Structure

2. Scope Management • “Set of processes to ensure that the project delivers the work that was specified and to restrict the activities to what is needed for its completion with success.

3. Definition of Scope • First major task • Boundaries in terms of features & functions for the product or service to be delivered (or retired) • Schedule for delivery & budget

4. Project Charter • Executive sponsor outlines the project high-level objectives • Also defined by a Market Service Description (MSD) • Due to project charter: • Work Breakdown Structure (WBS) • Project plan of record agreed on

5. Plan of Record • First Step • Ensures all project participants share a collective vision regarding: • Project objectives • Basic assumptions • Governance (authority & responsibilities)

6. Project Execution • Scope management focuses on keeping project on track with evolving project environment

7. Scope Initiation • Project initiation is the set of activities that end with the definition of a “project charter” • Prompted by: • Need analysis • Feasibility study • RFP • Define the position of the product within the company’s portfolio • Type of innovation • Market potentials • Identify opportunities and threats

8. Project Charter • Brief summary of the contour of the project • General description of scope • How project objectives mesh with corporate strategy • Identify project manager – define authority • General description of project content • PM structure • Identifies project sponsor and expected customers • Telecom • Understanding of current and emerging technologies • New consumer trends • Potential competitors • Existing and forthcoming rules and regulations

9. Scope Planning • Art • Judgment, wisdom, and courage to satisfy stakeholders • Science • Tools to facilitate decision making such as WBS • Match outline in the project to • Triple constraints • Phase in life cycle technology • Type of innovation • In case of mismatch PM needs to inform Project Sponsor and Project Owner of undue risks

10. Market Service Description (MSD) • Describes how the project fits into the product portfolio of the company and target market • Describes value to potential customers • Characterizes the project boundaries: • Regulations • Competitive landscape • Effects of new service on existing customers or legacy services – also effects on internal operations • Rough Order of Magnitude Analysis (ROMA) • Expected revenues • Financial costs • Resources required • Risk assessment • Risk reduction plan • Exit strategy

11. Scope Definition • WBS – “a deliverable-oriented grouping of project elements which organizes and defines the total scope of a project. Each descending level represents an increasingly detailed definition of a project component.” • WBS is a hierarchal representation • Starts from very general • Progresses toward smaller elements • Elements at bottom called work packages (WPs)

12. Work Package • Work a single person can perform in 2-3 weeks • Clear beginning and end dates • Logically related to its predecessors and successor tasks • Details of the execution unneeded

13. SMART Objectives • Specific • Measurable • Achievable • Realistic • Time

14. Work Package Checklist Higher the number of positive answers – more subdivision needed • Is there a need to improve the accuracy of the cost and duration estimates? • Is there more than one person assigned to the work package? • Does the work package include more than one functional activity? • Is there a need to know precisely the timing of activities within the work package? • Is there a need to cost-out activities internal to the work package?

15. Work Package Checklist • Are there dependencies between the internal activities of a work package and other work packages? • Are there significant interruptions in the execution of the internal activities of the work package? • Are there different precursor activities to the individual activities internal to the work package? • Is there any acceptance testing applicable to the deliverable before the entire work package can be done? • Are there any intermediate deliverables that are useful to the project, such as generating a positive cash flow? • Are there any specific risks to internal activities which require focused attention?

16. Telecom Work Package • Only highest level of WBS specified • Details typically left to functional organizations executing the tasks • 2 key implications • Due to project planning team having limited knowledge to compose WBS into WPs, scope definition has large element of risk – Especially when new market or technology is involved • Margin of error in ROMA is high – high probability of misjudging the time and costs needed

17. Technical Plan • Statement of Work (SOW) • All WPs that must be executed and integrated with each other to deliver planned services • Telecom services • Network technology • Operations support systems • Methods and procedures

18. Technical Service Description (TSD) • Technical features of the service • Performance expectations • Capacity • Performance • Availability • Reliability • Translated into requirements on equipment & engineering rules for network • Define equipment configuration, quality objectives, and quality measures

19. TSD Aspects • Access to core network • Network topology • Numbering or addressing plan • Frequency plan • Physical installation of network • Layout for physical installation • Procurement, warehousing, deployment of equipment and policies of spares • Backup and emergency procedures • Training of personnel • Customer support • Network support • Change control procedures • Disaster recovery

20. TSD Aspects • Operation Support Systems (OSS) • Provisioning • Configuration and inventory management • Network element management • Maintenance • Accounting and billing • Security

21. Case Study • EZ Pass

22. Sources of Scope Change • Internal Factors • Change project priorities due to • Major reorganizations • Changes in sponsorship or funding • Changes in resources availability • Premature definition of scope • External factors • New market demands • Changes in regulations • New industry configurations (mergers or spin-offs)

23. Scope Creep • Results from changes in customer profile or expectations • Factors • Focus on the wrong applications or lack of knowledge of end-user application • Addressing wrong set of customers or end-users, especially if customers needs not correctly represented • Contradictory requirements • Requirement instability

24. Scope Management Principles • Subjectivity • Experience • Understanding trends in technology • Individual ambitions • Ideological or sociopolitical motives • Outsmart the competition • Maintain employment • Gain markets • Process needed to make sense of incoming information and adjust project scope • Project estimates in terms of cost and duration changeable • Frequency of change dependent upon innovation level • Cost of modifications to the project increases with progress in the implementation • Tracking and warning system helpful • Problem resolution sought to rectify project trajectory – with sufficient analysis and discussion

25. Change Control Policy • Stakeholders that can request a change • Document change request including urgency, severity, and reason – also effect on project cost/schedule • Process for examining and validating the request • Document the decision and consequence • Communication process concerning decision

26. Scope Verification • Tracking and Issue Management • Data collection and processing • Information distribution to team members and stakeholders • Facilitate work and not impede it • Inform team members of individual assignments • Remind them of forthcoming events • Track and document issues raised and their resolutions • Collect performance data and feedback • Process the data and distribute information on variances and any changes to the plan

27. Scope Verification • Project Termination • Causes • Changes in technology made service obsolete • Unexpected technical or technological difficulties • Market expectations and customer profile change • Project sponsor lost interest or power • Company structure change

28. Organizational Structure

29. Organizational Structures • Organizational Work Flow • Authority – power granted by individuals • Responsibility – obligation incurred by individuals in their roles within organization • Accountability – answerable for satisfactory completion of an assignment • Accountability = authority + responsibility

30. Growth of Trust • Even though a problem exists, both the project and functional manager deny that any problem exists. • When the problem finally surfaces, each manager blames the other. • As trust develops, both managers readily admit responsibility for the problems. • The project and functional managers meet face-to-face to work out the problem. • The project and functional managers begin to formally and informally anticipate problems.

31. Traditional Organization • Two centuries old • P.92

32. Traditional Organization • Advantages • Easier budgeting and cost control possible • Better technical control possible • Specialists can be grouped to share knowledge and responsibility • Personnel can be used on many different projects • Flexibility in use of manpower • Continuity in the functional disciplines: policies, procedures, and lines of responsibility easily understandable • Good control over personnel • Communication channels well established • Quick reaction capability exists

33. Traditional Organization • Disadvantages • No one individual directly responsible for the total project • No project-oriented emphasis • Coordination becomes complex • Decisions favor strongest functional groups • No customer focal point • Response to customer needs is slow • Difficult to pinpoint responsibility • Motivation and innovation decreased

34. Line-Staff Organization (Project Coordinator) • P.99

35. Line-Staff Organization • Unsuccessful due to: • Upper-level management not ready to cope with the problems arising from shared authority • Upper-level management was reluctant to relinquish any of its power and authority to project managers • Line-staff project managers who reported to a division head did not have any authority over a project in other divisions

36. Pure Product (Projectized) Organization • P.100

37. Pure Product Organization • Advantages • Complete line authority over the project • Participants work directly for the project manager • Strong communication channels • Rapid reaction time • Personnel have loyalty to project – increased morale with product identification • Focal point for out-of-company relations • Flexibility in determining time, cost, and performance trade-offs • Upper-level management has more free time for executive decision making

38. Pure Product Organization • Disadvantages • High cost to maintain this due to duplication of effort, facilities, and personnel • Retain personnel on a project long after needed • Technology suffers – outlook to future to improve company’s capabilities for new programs hampered • Lack of opportunity for technical interchange between projects • Lack of career continuity and opportunities for project personnel

39. Matrix Organizational Form • P.102

40. Matrix Organization • Matrix Organization Ground Rules: • Participants full-time on project • Horizontal and vertical channels of communication • Quick and effective means of conflict resolution • Horizontally and vertically oriented managers willing to negotiate for resources • Horizontal line permitted to operate as a separate entity except for administrative purposes

41. Matrix Organization • Key Questions: • If each functional unit is responsible for one aspect of a project, and other parts are conducted elsewhere, how can a synergistic environment be created? • Who decides which element of a project is most important? • How can a functional unit answer questions and achieve project goals and objectives that are compatible with other projects?

42. Matrix Organization • Advantages • PM maintains maximum project control over all resources including cost and personnel • Policies and procedures can be set up independently for each project • PM has authority to commit company resources • Rapid response possible for changes, conflict resolution, and project needs • Functional organization exist as support • Each person has a “home” after project completion • Key people shared = program cost minimized • Strong technical base developed – knowledge available for all • Conflicts minimal • Better balance of time, cost, and performance • Rapid development of specialists and generalists • Authority and responsibility shared • Stress distributed among the team

43. Matrix Organization • Disadvantages • Multidimensional information flow • Multidimensional work flow • Dual reporting • Continuously changing priorities • Management goals different from project goals • Potential for continuous conflict and conflict resolution • Difficulty in monitoring and control • Each project organization operates independently – possible duplication • More effort and time to initially define policies and procedures • Functional managers may be biased • Balance of power between functional and project organizations must be watched • Rapid response time possible for individual problem – reaction time can be slow • People may feel they do not control their own destiny - due to reporting to multiple managers

44. Matrix Organization • Other possible undesired results: • Project priorities and competition for talent may interrupt the stability of the organization • Long-range plans suffer as company is caught up in meeting schedules and fulfilling requirements of temporary projects • Shifting people from project to project may disrupt training • Lessons learned may not be communicated to other projects

45. Matrix Organization Pathologies • Power Struggles – horizontal vs. vertical hierarchy • Anarchy – formation of organizational islands during periods of stress • Groupitis – confusing the matrix as being synonymous with group decision making • Collapse during economic crunch – flourish during growth and collapse during lean times • Excessive overhead – how much supervision necessary? • Decision strangulation – too many people involved in decision making • Sinking – pushing the matrix to the depths of the organization • Layering – matrix within a matrix • Navel gazing – overly involved in the internal relationships of the organization

46. Matrix Organization Situations • Complex, short-run products are organization’s primary output • Complicated design calls for both innovation and timely completion • Several kinds of sophisticated skills needed in designing, building, and testing the product • Rapidly changing marketplace calls for significant changes in products

47. Matrix Organization Requirements • Training in matrix operations • Training in how to maintain open communications • Training in problem solving • Compatible reward systems • Role definitions

48. Matrix Organization • P. 110

49. Philosophy of Management • P. 112

50. Strong, Weak, & Balanced Matrix • Strong Matrix • PM has more influence over the worker • Weak Matrix • Line Manager has more influence over worker • Most common denominator is where the command of technology resides