Project success is often difficult to define and can vary from one project to another; however, there are several methods that can be used to help monitor and ensure project success. Regular status updates and reviews can help to identify potential problems early on and allow for corrections before the project goes off track.
After project execution, the project manager must complete five levels of monitoring and control.
This is a level one measure of performance. The project baseline is defined in the project statement, project charter, project scope management plan, and agreed procedures.
Instructions to establish the project baseline were included in topic one.
To reiterate, there are a variety of methods to measure performance, including surveys, interviews, focus groups, observation, and document review. The most appropriate method(s) to use will depend on the nature of the organisation's business and the specific goals of the project.
Learn more about performance measurements here.
A variance occurs when there is a difference between the project baseline and the actual results.
Project managers are responsible for tracking and managing variances. They need to be able to identify them early on so they can be addressed quickly and effectively. There are two types of variances: positive and negative. Positive variances indicate that the project is ahead of schedule or under budget, while negative variances mean that it is behind schedule or over budget.
It's important for businesses to understand both types of variances so they can take steps to correct them when necessary.
The metrics chosen for a project are described in the project scope management plan.
Two key metrics are:
- Cost variance (CV): the amount of cost overrun or underrun at a specific point.
- Schedule variance (SV): how much the project is behind or ahead of schedule at a specific point.
Where:
- BCWS = Budgeted cost of work scheduled
- BCWP = Budgeted cost of work performed
- ACWP = Actual cost of work performed
The formulae for calculating cost and schedule variances (CV) and (SV) are:
- CV = BCWP - ACWP
- SV = BCWP - BCWS
A schedule variance doesn't always mean a cost variance will happen, or vice versa, but any variance should be investigated and addressed as quickly as possible.
Note: Corrections throughout the execution phase ideally address problems, so they don't turn into more critical issues later.
Watch the video next to learn more about variance analysis.
Other methods to measure performance against acceptance criteria include:
- creating performance criteria and/or targets against which a project team member, the project team or a project deliverable is compared at various points during the project – this may be completed through performance management plans, regular performance reviews or a performance corrective action plan
- daily or weekly reporting of tasks completed or status of tasks – this may involve asking team members to report their progress each week in a team meeting or progress report
- using a Gantt chart – the timeline indicates points that connect the start of the project to the end. It is visual and the progress of the project against timelines (schedule) and outcomes decided in the development stage of the project can be seen immediately
- setting incremental milestones where each completed step is documented and represented as a percentage of the total project deliverables
- using experience and expert opinion – this method relies on the experience and subjectivity of the project manager and/or project sponsor as to whether a task has been completed satisfactorily
- undertaking a quality review evaluating what is being done against set quality standards – this method might involve the use of a checklist where the project manager audits completed work against acceptance criteria
- calculating the cost ratio – this measure is based on the budgeted finance allocation verses the hours of labour used to complete a task or project
- setting a goal and measuring the outcome of the project against the goal at the end of the project – this method might involve the analysis of progress reports in comparison to agreed deliverables
- benchmarking the project against other projects or similar external projects – this method might involve comparing work against other project results.
Corrections are an unavoidable part of any project. The key to minimising their impact is effective project management. This includes accounting for potential variances and having a plan in place for addressing them. Even the best-laid plans can go awry, but by being prepared for the unexpected, you can minimise the impact of corrections on your project schedule and budget.
Corrective action will be needed if work fails to meet the milestones or when spending exceeds the budget.
Update the paperwork
After corrective action (like extending the timeline, obtaining additional resources, or implementing improved procedures), update the project baseline, project management plan and other project documents.
To update them:
- produce a new version
- save the copy with a new version number and name
- adjust the figures in the relevant location.
Note: Instructions to make new calculations and estimates were included in the topic about changes to scope.
The evaluation of the project impact is a process that helps to identify, assess, and understand the different types of impacts that a project may have on its stakeholders. To carry out this evaluation effectively, it is important to understand how to identify and measure the various types of impact. The focus of an impact evaluation should be on the beneficiaries of the project, but other stakeholders should also be considered. It is important to assess how the project has impacted each group, as well as whether the impacts are positive or negative.
There are many ways to evaluate the impact of a project. One common approach is to use a stakeholder identification matrix, which helps to map out who the stakeholders are and how they are affected by the project. A stakeholder analysis can help to identify which groups are most affected by the project and what type of impact they have experienced.
Monitor the impact within established time, cost, and quality constraints by following change control procedures like Earned Value Analysis (EVA). This tool allows project managers measure the impact of changes to a project. For example, if the scope of a project is changed, earned value analysis can be used to determine how the change will affect the budget and schedule of the project.
The PMBOK discusses EVA in detail and provides guidelines for tracking earned value.
The key steps are as follows:
- estimate the budget for the entire project and for each individual task or phase
- track actual costs as they are incurred
- assign an earned value to each task or phase based on its estimated budget
- track actual hours worked versus planned hours worked.
Note: Information about variance between actual versus planned aspects was included earlier.
Seek feedback
Use active listening and questioning to elicit the views and opinions of others.
Active listening is a skill that can be used in any phase of a project evaluation. It involves projecting an attitude of openness and genuine curiosity and using open and closed questions to draw out information. Active listening features include making eye contact, paraphrasing, and reflecting emotions. When used effectively, active listening can help build trust and understanding, gather information more effectively, and resolve conflicts.
Tips for seeking feedback from others are included next:
- make sure you have a solid plan before seeking feedback. this will ensure that you are able to get the most useful feedback possible
- seek feedback from the right people. not everyone who you ask for feedback will have the same level of knowledge, interest, or expertise
- be prepared to listen and take criticism constructively; feedback can be tough to hear, but it's important to remember that it is meant to help you improve your project
- thank people for their time and input once the feedback session is over.
Ask questions like 'What worked?', 'What could we improve?' so feedback can be incorporated into your recommended changes.
Analyse feedback
Analyse as much information as you can from a variety of different sources.
You can do this by reading stakeholder feedback and looking for patterns and trends.
Did most stakeholders agree that deliverables met quality standards? Dis most stakeholders agree that the project was managed successfully? Did you stay within budget?
Classify each piece of feedback as either positive or negative and consider potential opportunities for improvement in each category of project management.
Recommend improvements for future projects
There are many types of recommended improvements that can be made to a project during its management phase.
The three general categories of improvement suggestions appear next:
- Process changes usually involve refining or modifying how the team completes tasks or works together.
- Communication enhancements can include developing better meeting protocols, improving information sharing channels, or increasing training on effective communication methods.
- Tools and techniques modifications may involve adjusting the way tasks are tracked or managed within the software used for the project or tweaking how team members collaborate on deliverables.
Making suggestions for improvement is an important part of being a proactive project manager. By keeping an eye out for areas that could use some improvement, you can help ensure that your project runs as smoothly as possible.
In conclusion, managing scope is important to ensure that the project is completed on time and within budget. By using a scope management plan, you can ensure that all stakeholders are aware of the project's parameters and that any changes to the scope are documented and approved prior to implementation.
During implementation, you can use the scope management plan to explain expectations, and measure progress against the acceptance criteria
Before closure, you can use the scope management plan to identify outcomes for reporting and signoff. Typically, once all the tasks have been completed, the project manager will ask for confirmation that terms and conditions in the scope management plan have been met and formally hand over control.
