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1Project Scheduling and Risk Management
2Previous Discussion Function PointCocomo ModelDiscussion
3The Four P’sPeople — the most important element of a successful projectProduct — the software to be builtProcess — the set of framework activities and software engineering tasks to get the job doneProject — all work required to make the product a reality
4StakeholdersSenior managerswho define the business issues that often have significant influence on the project.Project (technical) managers who must plan, motivate, organize, and control the practitioners who do software work.Practitionerswho deliver the technical skills that are necessary to engineer a product or application.Customerswho specify the requirements for the software to be engineered and other stakeholders who have a peripheral interest in the outcome.End-userswho interact with the software once it is released for production use.
5How to lead?How to organize?How to collaborate?How to motivate?How to create good ideas?Software Teams
6Team LeaderThe MOI ModelMotivation. The ability to encourage (by “push or pull”) technical people to produce to their best ability.Organization. The ability to mold existing processes (or invent new ones) that will enable the initial concept to be translated into a final product.Ideas or innovation. The ability to encourage people to create and feel creative even when they must work within bounds established for a particular software product or application.
7Software TeamsThe following factors must be considered when selecting a software project team structure ...the difficulty of the problem to be solvedthe size of the resultant program(s) in lines of code or function pointsthe time that the team will stay together (team lifetime)the degree to which the problem can be modularizedthe required quality and reliability of the system to be builtthe rigidity of the delivery datethe degree of sociability (communication) required for the project
8Organizational Paradigmsclosed paradigm—structures a team along  a traditional hierarchy of authorityrandom paradigm—structures a team loosely and depends on individual initiative of the team members open paradigm—attempts to structure a team in a manner that achieves some of the controls associated with the closed paradigm but also much of the innovation that occurs when using the random paradigmsynchronous paradigm—relies on the natural compartmentalization of a problem and organizes team members to work on pieces of the problem with little active communication among themselvessuggested by Constantine [Con93]
9Why Are Projects Late?an unrealistic deadline established by someone outside the software development groupchanging customer requirements that are not reflected in schedule changes;an honest underestimate of the amount of effort and/or the number of resources that will be required to do the job;predictable and/or unpredictable risks that were not considered when the project commenced;technical difficulties that could not have been foreseen in advance;human difficulties that could not have been foreseen in advance;miscommunication among project staff that results in delays;a failure by project management to recognize that the project is falling behind schedule and a lack of action to correct the problem
10Scheduling Principlescompartmentalization—define distinct tasksinterdependency—indicate task interrelationship effort validation—be sure resources are availabledefined responsibilities—people must be assigneddefined outcomes—each task must have an outputdefined milestones—review for quality
1140-50%15-20%30-40%Effort Allocation“front end” activities customer communication analysis design review and modificationconstruction activities coding or code generationtesting and installation unit, integration white-box, black box regression
12Defining Task Setsdetermine type of projectassess the degree of rigor requiredidentify adaptation criteriaselect appropriate software engineering tasks
13 CPM Definition: In CPM activities are shown as a network of precedence relationships using activity-on-node network constructionSingle estimate of activity timeDeterministic activity timesUSED IN  :  Production management - for the jobs of repetitive in nature where the activity time estimates can be predicted with considerable certainty due to the existence of past experience.
14Critical Path Analysis
15The last activities that must be completed before an activity can beginPrecedence table
16Activity on Arc Network 2B(8)A(3)D(12)153E(10)F(20)C(7)4The network will build up with each mouse click, in the order you would construct it on paper.
17Event Times Earliest event timeEETLatest event timeLETEach event node needs two boxes, to mark in the event times.2B(8)A(3)D(12)153E(10)F(20)C(7)4
18Earliest Event Times The EET for an event occurs when all activities leading into that event are complete.32B(8)A(3)4212D(12)153E(10)0F(20)C(7)422To find EETs, work forwards through the network from the start node to the finish node.
19Latest Event Times The LET for an event is the latest it can occur without delaying subsequent events.42B(8)A(3)4212D(12)153E(10)0F(20)C(7)422To find LETs, work backwards through the network from the finish node to the start node.
20Critical Activities Critical activities are activities that cannot run late. For critical activities:Latest finish — Earliest start = length of activity2B(8)A(3)D(12)153E(10)F(20)C(7)4The green arrows mark the critical activities, which form the critical path. The critical path(s) must form a continuous route from the start node to the finish node.
21TasksWeek 1Week 4Week 3Week nWeek 2Task 1Task 2Task 3Task 4Task 5Task 6Task 7Task 8Task 9Task 10Task 11Task 12Timeline Charts
22Use Automated Tools toDerive a Timeline Chart
23Schedule Trackingconduct periodic project status meetings in which each team member reports progress and problems.evaluate the results of all reviews conducted throughout the software engineering process.determine whether formal project milestones (the diamonds shown in Figure 27.3) have been accomplished by the scheduled date.compare actual start-date to planned start-date for each project task listed in the resource table (Figure 27.4).meet informally with practitioners to obtain their subjective assessment of progress to date and problems on the horizon.use earned value analysis (Section 27.6) to assess progress quantitatively.
24Earned Value Analysis (EVA)Earned valueis a measure of progressenables us to assess the “percent of completeness” of a project using quantitative analysis rather than rely on a gut feeling
25Computing Earned Value-IThe budgeted cost of work scheduled (BCWS) is determined for each work task represented in the schedule. BCWSi is the effort planned for work task i.To determine progress at a given point along the project schedule, the value of BCWS is the sum of the BCWSi values for all work tasks that should have been completed by that point in time on the project schedule. The BCWS values for all work tasks are summed to derive the budget at completion, BAC. Hence,BAC = ∑ (BCWSk) for all tasks k
26Computing Earned Value-IINext, the value for budgeted cost of work performed (BCWP) is computed. The value for BCWP is the sum of the BCWS values for all work tasks that have actually been completed by a point in time on the project schedule.“the distinction between the BCWS and the BCWP is that the former represents the budget of the activities that were planned to be completed and the latter represents the budget of the activities that actually were completed.” [Wil99] Given values for BCWS, BAC, and BCWP, important progress indicators can be computed:Schedule performance index,  SPI = BCWP/BCWSSchedule variance, SV =  BCWP – BCWSSPI is an indication of the efficiency with which the project is utilizing scheduled resources.
27Computing Earned Value-IIIPercent scheduled for completion = BCWS/BACprovides an indication of the percentage of work that should have been completed by time t.Percent complete = BCWP/BACprovides a quantitative indication of the percent of completeness of the project at a given point in time, t.Actual cost of work performed, ACWP,  is the sum of the effort actually expended on work tasks that have been completed by a point in time on the project schedule. It is then possible to computeCost performance index, CPI = BCWP/ACWPCost variance, CV =  BCWP – ACWP
28Project RisksWhat can go wrong?What is the likelihood?What will the damage be?What can we do about it?
29Reactive Risk Managementproject team reacts to risks when they occurmitigation—plan for additional resources in anticipation of fire fightingfix on failure—resource are found and applied when the risk strikescrisis management—failure does not respond to applied resources and project is in jeopardy
30Proactive Risk Managementformal risk analysis is performedorganization corrects the root causes of riskTQM concepts and statistical SQAexamining risk sources that lie beyond the bounds of the softwaredeveloping the skill to manage change
31Risk Management ParadigmcontroltrackRISKidentifyplananalyze
32Risk IdentificationProduct size—risks associated with the overall size of the software to be built or modified.Business impact—risks associated with constraints imposed by management or the marketplace.Customer characteristics—risks associated with the sophistication of the customer and the developer's ability to communicate with the customer in a timely manner.Process definition—risks associated with the degree to which the software process has been defined and is followed by the development organization.Development environment—risks associated with the availability and quality of the tools to be used to build the product.Technology to be built—risks associated with the complexity of the system to be built and the "newness" of the technology that is packaged by the system.Staff size and experience—risks associated with the overall technical and project experience of the software engineers who will do the work.
33Risk Componentsperformance risk—the degree of uncertainty that the product will meet its requirements and be fit for its intended use.cost risk—the degree of uncertainty that the project budget will be maintained.support risk—the degree of uncertainty that the resultant software will be easy to correct, adapt, and enhance.schedule risk—the degree of uncertainty that the project schedule will be maintained and that the product will be delivered on time.
34Risk ProjectionRisk projection, also called risk estimation, attempts to rate each risk in two ways the likelihood or probability that the risk is real  the consequences of the problems associated with the risk, should it occur. The are four risk projection steps:establish a scale that reflects the perceived likelihood of a riskdelineate the consequences of the riskestimate the impact of the risk on the project and the product,note the overall accuracy of the risk projection so that there will be no misunderstandings.
35Building a Risk TableRiskProbabilityImpactRMMMRiskMitigationMonitoring& Management
36Building the Risk TableEstimate the probability of occurrenceEstimate the impact on the project on a scale of 1 to 5, where 1 = low impact on project success 5 = catastrophic impact on project success sort the table by probability and impact
37Risk Exposure (Impact)The overall risk exposure, RE, is determined using the following relationship [Hal98]:RE = P x Cwhere P is the probability of occurrence for a risk, and C is the cost to the project should the risk occur.
38Risk Exposure ExampleRisk identification.  Only 70 percent of the software components scheduled for reuse will, in fact, be integrated into the application. The remaining functionality will have to be custom developed.Risk probability.  80% (likely).Risk impact.  60 reusable software components were planned. If only 70 percent can be used, 18 components would have to be developed from scratch (in addition to other custom software that has been scheduled for development). Since the average component is 100 LOC and local data indicate that the software engineering cost for each LOC is $14.00, the overall cost (impact) to develop the components would be 18 x 100 x 14 = $25,200.Risk exposure.  RE = 0.80 x 25,200 ~ $20,200.
39Risk Mitigation, Monitoring,and Management mitigation—how can we avoid the risk?monitoring—what factors can we track that will enable us to determine if the risk is becoming more or less likely?management—what contingency plans do we have if the risk becomes a reality?
40Risk Due to Product SizeAttributes that affect risk:•  estimated size of the product in LOC or FP?•  estimated size of product in number of programs, files, transactions?•  percentage deviation in size of product from average for previous products?•  size of database created or used by the product?•  number of users of the product?•  number of projected changes to the requirements for the product? before delivery? after delivery?•  amount of reused software?
41Risk Due to Business ImpactAttributes that affect risk:•  affect of this product on company revenue?•  visibility of this product by senior management?•  reasonableness of delivery deadline?•  number of customers who will use this product •  interoperability constraints•  sophistication of end users?•  amount and quality of product documentation that must be produced and delivered to the customer?•  governmental constraints•  costs associated with late delivery?•  costs associated with a defective product?
42Risks Due to the CustomerQuestions that must be answered:•  Have you worked with the customer in the past?•  Does the customer have a solid idea of requirements?•  Has the customer agreed to spend time with you? •  Is the customer willing to participate in reviews?•  Is the customer technically sophisticated?•  Is the customer willing to let your people do their job—that is, will the customer resist looking over your shoulder during technically detailed work?•  Does the customer understand the software engineering process?
43Risks Due to Process MaturityQuestions that must be answered:•  Have you established a common process framework? •  Is it followed by project teams?•  Do you have management support  for software engineering •  Do you have a proactive approach to SQA? •  Do you conduct formal technical reviews?•  Are CASE tools used for analysis, design and testing?•  Are the tools integrated with one another?•  Have document formats been established?

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Lecture 9 (02-06-2011)

  • 1. 1Project Scheduling and Risk Management
  • 2. 2Previous Discussion Function PointCocomo ModelDiscussion
  • 3. 3The Four P’sPeople — the most important element of a successful projectProduct — the software to be builtProcess — the set of framework activities and software engineering tasks to get the job doneProject — all work required to make the product a reality
  • 4. 4StakeholdersSenior managerswho define the business issues that often have significant influence on the project.Project (technical) managers who must plan, motivate, organize, and control the practitioners who do software work.Practitionerswho deliver the technical skills that are necessary to engineer a product or application.Customerswho specify the requirements for the software to be engineered and other stakeholders who have a peripheral interest in the outcome.End-userswho interact with the software once it is released for production use.
  • 5. 5How to lead?How to organize?How to collaborate?How to motivate?How to create good ideas?Software Teams
  • 6. 6Team LeaderThe MOI ModelMotivation. The ability to encourage (by “push or pull”) technical people to produce to their best ability.Organization. The ability to mold existing processes (or invent new ones) that will enable the initial concept to be translated into a final product.Ideas or innovation. The ability to encourage people to create and feel creative even when they must work within bounds established for a particular software product or application.
  • 7. 7Software TeamsThe following factors must be considered when selecting a software project team structure ...the difficulty of the problem to be solvedthe size of the resultant program(s) in lines of code or function pointsthe time that the team will stay together (team lifetime)the degree to which the problem can be modularizedthe required quality and reliability of the system to be builtthe rigidity of the delivery datethe degree of sociability (communication) required for the project
  • 8. 8Organizational Paradigmsclosed paradigm—structures a team along a traditional hierarchy of authorityrandom paradigm—structures a team loosely and depends on individual initiative of the team members open paradigm—attempts to structure a team in a manner that achieves some of the controls associated with the closed paradigm but also much of the innovation that occurs when using the random paradigmsynchronous paradigm—relies on the natural compartmentalization of a problem and organizes team members to work on pieces of the problem with little active communication among themselvessuggested by Constantine [Con93]
  • 9. 9Why Are Projects Late?an unrealistic deadline established by someone outside the software development groupchanging customer requirements that are not reflected in schedule changes;an honest underestimate of the amount of effort and/or the number of resources that will be required to do the job;predictable and/or unpredictable risks that were not considered when the project commenced;technical difficulties that could not have been foreseen in advance;human difficulties that could not have been foreseen in advance;miscommunication among project staff that results in delays;a failure by project management to recognize that the project is falling behind schedule and a lack of action to correct the problem
  • 10. 10Scheduling Principlescompartmentalization—define distinct tasksinterdependency—indicate task interrelationship effort validation—be sure resources are availabledefined responsibilities—people must be assigneddefined outcomes—each task must have an outputdefined milestones—review for quality
  • 11. 1140-50%15-20%30-40%Effort Allocation“front end” activities customer communication analysis design review and modificationconstruction activities coding or code generationtesting and installation unit, integration white-box, black box regression
  • 12. 12Defining Task Setsdetermine type of projectassess the degree of rigor requiredidentify adaptation criteriaselect appropriate software engineering tasks
  • 13. 13 CPM Definition: In CPM activities are shown as a network of precedence relationships using activity-on-node network constructionSingle estimate of activity timeDeterministic activity timesUSED IN : Production management - for the jobs of repetitive in nature where the activity time estimates can be predicted with considerable certainty due to the existence of past experience.
  • 15. 15The last activities that must be completed before an activity can beginPrecedence table
  • 16. 16Activity on Arc Network 2B(8)A(3)D(12)153E(10)F(20)C(7)4The network will build up with each mouse click, in the order you would construct it on paper.
  • 17. 17Event Times Earliest event timeEETLatest event timeLETEach event node needs two boxes, to mark in the event times.2B(8)A(3)D(12)153E(10)F(20)C(7)4
  • 18. 18Earliest Event Times The EET for an event occurs when all activities leading into that event are complete.32B(8)A(3)4212D(12)153E(10)0F(20)C(7)422To find EETs, work forwards through the network from the start node to the finish node.
  • 19. 19Latest Event Times The LET for an event is the latest it can occur without delaying subsequent events.42B(8)A(3)4212D(12)153E(10)0F(20)C(7)422To find LETs, work backwards through the network from the finish node to the start node.
  • 20. 20Critical Activities Critical activities are activities that cannot run late. For critical activities:Latest finish — Earliest start = length of activity2B(8)A(3)D(12)153E(10)F(20)C(7)4The green arrows mark the critical activities, which form the critical path. The critical path(s) must form a continuous route from the start node to the finish node.
  • 21. 21TasksWeek 1Week 4Week 3Week nWeek 2Task 1Task 2Task 3Task 4Task 5Task 6Task 7Task 8Task 9Task 10Task 11Task 12Timeline Charts
  • 22. 22Use Automated Tools toDerive a Timeline Chart
  • 23. 23Schedule Trackingconduct periodic project status meetings in which each team member reports progress and problems.evaluate the results of all reviews conducted throughout the software engineering process.determine whether formal project milestones (the diamonds shown in Figure 27.3) have been accomplished by the scheduled date.compare actual start-date to planned start-date for each project task listed in the resource table (Figure 27.4).meet informally with practitioners to obtain their subjective assessment of progress to date and problems on the horizon.use earned value analysis (Section 27.6) to assess progress quantitatively.
  • 24. 24Earned Value Analysis (EVA)Earned valueis a measure of progressenables us to assess the “percent of completeness” of a project using quantitative analysis rather than rely on a gut feeling
  • 25. 25Computing Earned Value-IThe budgeted cost of work scheduled (BCWS) is determined for each work task represented in the schedule. BCWSi is the effort planned for work task i.To determine progress at a given point along the project schedule, the value of BCWS is the sum of the BCWSi values for all work tasks that should have been completed by that point in time on the project schedule. The BCWS values for all work tasks are summed to derive the budget at completion, BAC. Hence,BAC = ∑ (BCWSk) for all tasks k
  • 26. 26Computing Earned Value-IINext, the value for budgeted cost of work performed (BCWP) is computed. The value for BCWP is the sum of the BCWS values for all work tasks that have actually been completed by a point in time on the project schedule.“the distinction between the BCWS and the BCWP is that the former represents the budget of the activities that were planned to be completed and the latter represents the budget of the activities that actually were completed.” [Wil99] Given values for BCWS, BAC, and BCWP, important progress indicators can be computed:Schedule performance index, SPI = BCWP/BCWSSchedule variance, SV = BCWP – BCWSSPI is an indication of the efficiency with which the project is utilizing scheduled resources.
  • 27. 27Computing Earned Value-IIIPercent scheduled for completion = BCWS/BACprovides an indication of the percentage of work that should have been completed by time t.Percent complete = BCWP/BACprovides a quantitative indication of the percent of completeness of the project at a given point in time, t.Actual cost of work performed, ACWP, is the sum of the effort actually expended on work tasks that have been completed by a point in time on the project schedule. It is then possible to computeCost performance index, CPI = BCWP/ACWPCost variance, CV = BCWP – ACWP
  • 28. 28Project RisksWhat can go wrong?What is the likelihood?What will the damage be?What can we do about it?
  • 29. 29Reactive Risk Managementproject team reacts to risks when they occurmitigation—plan for additional resources in anticipation of fire fightingfix on failure—resource are found and applied when the risk strikescrisis management—failure does not respond to applied resources and project is in jeopardy
  • 30. 30Proactive Risk Managementformal risk analysis is performedorganization corrects the root causes of riskTQM concepts and statistical SQAexamining risk sources that lie beyond the bounds of the softwaredeveloping the skill to manage change
  • 32. 32Risk IdentificationProduct size—risks associated with the overall size of the software to be built or modified.Business impact—risks associated with constraints imposed by management or the marketplace.Customer characteristics—risks associated with the sophistication of the customer and the developer's ability to communicate with the customer in a timely manner.Process definition—risks associated with the degree to which the software process has been defined and is followed by the development organization.Development environment—risks associated with the availability and quality of the tools to be used to build the product.Technology to be built—risks associated with the complexity of the system to be built and the "newness" of the technology that is packaged by the system.Staff size and experience—risks associated with the overall technical and project experience of the software engineers who will do the work.
  • 33. 33Risk Componentsperformance risk—the degree of uncertainty that the product will meet its requirements and be fit for its intended use.cost risk—the degree of uncertainty that the project budget will be maintained.support risk—the degree of uncertainty that the resultant software will be easy to correct, adapt, and enhance.schedule risk—the degree of uncertainty that the project schedule will be maintained and that the product will be delivered on time.
  • 34. 34Risk ProjectionRisk projection, also called risk estimation, attempts to rate each risk in two ways the likelihood or probability that the risk is real the consequences of the problems associated with the risk, should it occur. The are four risk projection steps:establish a scale that reflects the perceived likelihood of a riskdelineate the consequences of the riskestimate the impact of the risk on the project and the product,note the overall accuracy of the risk projection so that there will be no misunderstandings.
  • 35. 35Building a Risk TableRiskProbabilityImpactRMMMRiskMitigationMonitoring& Management
  • 36. 36Building the Risk TableEstimate the probability of occurrenceEstimate the impact on the project on a scale of 1 to 5, where 1 = low impact on project success 5 = catastrophic impact on project success sort the table by probability and impact
  • 37. 37Risk Exposure (Impact)The overall risk exposure, RE, is determined using the following relationship [Hal98]:RE = P x Cwhere P is the probability of occurrence for a risk, and C is the cost to the project should the risk occur.
  • 38. 38Risk Exposure ExampleRisk identification. Only 70 percent of the software components scheduled for reuse will, in fact, be integrated into the application. The remaining functionality will have to be custom developed.Risk probability. 80% (likely).Risk impact. 60 reusable software components were planned. If only 70 percent can be used, 18 components would have to be developed from scratch (in addition to other custom software that has been scheduled for development). Since the average component is 100 LOC and local data indicate that the software engineering cost for each LOC is $14.00, the overall cost (impact) to develop the components would be 18 x 100 x 14 = $25,200.Risk exposure. RE = 0.80 x 25,200 ~ $20,200.
  • 39. 39Risk Mitigation, Monitoring,and Management mitigation—how can we avoid the risk?monitoring—what factors can we track that will enable us to determine if the risk is becoming more or less likely?management—what contingency plans do we have if the risk becomes a reality?
  • 40. 40Risk Due to Product SizeAttributes that affect risk:• estimated size of the product in LOC or FP?• estimated size of product in number of programs, files, transactions?• percentage deviation in size of product from average for previous products?• size of database created or used by the product?• number of users of the product?• number of projected changes to the requirements for the product? before delivery? after delivery?• amount of reused software?
  • 41. 41Risk Due to Business ImpactAttributes that affect risk:• affect of this product on company revenue?• visibility of this product by senior management?• reasonableness of delivery deadline?• number of customers who will use this product • interoperability constraints• sophistication of end users?• amount and quality of product documentation that must be produced and delivered to the customer?• governmental constraints• costs associated with late delivery?• costs associated with a defective product?
  • 42. 42Risks Due to the CustomerQuestions that must be answered:• Have you worked with the customer in the past?• Does the customer have a solid idea of requirements?• Has the customer agreed to spend time with you? • Is the customer willing to participate in reviews?• Is the customer technically sophisticated?• Is the customer willing to let your people do their job—that is, will the customer resist looking over your shoulder during technically detailed work?• Does the customer understand the software engineering process?
  • 43. 43Risks Due to Process MaturityQuestions that must be answered:• Have you established a common process framework? • Is it followed by project teams?• Do you have management support for software engineering • Do you have a proactive approach to SQA? • Do you conduct formal technical reviews?• Are CASE tools used for analysis, design and testing?• Are the tools integrated with one another?• Have document formats been established?