Introduction to Project Management Malcolm Kear EFTS/EODI

Introduction to Project Management Malcolm Kear EFTS/EODI Training Programme Wednesday, 10 June 2009

Course Objectives To provide participants with: – An awareness of the importance of applying good practice Project Management in projects of any size. – An understanding of essential elements, including the Leadership Role of the Project Manager, Project Planning, Risk Management and Stakeholder Engagement. – An understanding of the principle elements of design control to be applied within projects at Culham.

Culham Challenges “What are the particular technical challenges facing projects at Culham?” – Research environment requirements may be hard to define and may change producing one or a few items rather than production line – Uncertainties of leading edge R&D solutions may have to be developed, including possibly new technologies ‘first of a kind’ so planning and estimating is difficult – Need to balance the desire to get maximum performance versus achieving acceptable reliability/availability

Culham Challenges “What are the particular management challenges facing projects at Culham?” – Requirements hard to define and may evolve – Risk Management (all aspects) crucial but difficult – Cross functional team composition – Competing pressures on resources, e.g. design office – Working with scientific organisations not used to project and QA disciplines planning may be poor – Collaborative agreements rather than contracts – Political - EC funding requirements – Growing funding pressures due to ITER

What is a Project? “Unique process consisting of a set of coordinated and controlled activities with start and finish dates, undertaken to achieve an objective conforming to specific requirements, including constraints of time, cost, quality and resources” A Project is a planned set of activities A Project has a scope A Project has time, cost, quality and resource constraints

What is Project Management? The art of organising, leading, reporting and completing a project through people

What is Project Management? A project is a planned undertaking A project manager is a person who causes things to happen Therefore, project management is causing a planned undertaking to happen.

Exercise 1 Write down three attributes of a good Project Manager

Project Manager Role A Good Project Manager – Takes ownership of the whole project – Is proactive not reactive – Adequately plans the project – Is Authoritative (NOT Authoritarian) – Is Decisive – Is a Good Communicator – Manages by data and facts not uniformed optimism – Leads by example – Has sound Judgement – Is a Motivator – Is Diplomatic – Can Delegate

Stakeholder Engagement

Stakeholder “A person or group of people who have a vested interest in the success of an organization and the environment in which the organization operates”

Exercise 2 Write down three typical project stakeholders

Exercise 2 - Typical Stakeholders Sponsor Funding Body Customer Suppliers End User HSE/Environmental Agency Maintenance Team Neighbours/Community/Shareholders Fusion Community Interfaces

Stakeholder Engagement process Identify Stakeholders Assess needs Define actions Establish communication channels Gather feedback Monitor and review

The Project Process Gate 0 Project Justification - Approve Project Definition Gate 1 Strategic and Budgetary Approval Undertake Design Gate 2 Design Approval - Approval of Final Documents Readiness for Gate 3 Manufacture - Approval to place Contract Initiate Project Prepare Technical Design Ensure Machine Compatibility Prepare Safety Case Modification Project set-up Major Project Proposals Project Definition Appoint Project Sponsor Assess Project Priority Assess Budget Implications Est. Proj. Deliverables and Objectives Appoint Project Leader Approve Project Set-up - Initial WBS, OBS and CBS - Project Plan - Risk and Procurement Strategies ** These will only take place here for large projects demanding DO effort for preliminary Conceptual work Draft Statement of Requirements (SoR) Review & Approve SoR Identify Resources Appoint Project Team Produce & Maintain Procurement Plans Undertake Project Risk Assessment Prepare Project Boundary Document Develop Project Management Plan (PMP)* Raise initial TCD-R/PERF** Prepare Preliminary Conceptual Design** Raise Contract Documentation Place Contract Hold Kick off Meeting (KOM) Clarify Issues (Quality Plan) Monitor Progress Witness key Procedures Complete Release Note Approve Complete Package**** Approve Release Note Pack & Dispatch Equipment Project Team/Contractor/ICM **** This includes supporting documentation Detailed Design Tender Invitation & Assessment Extend TCD-Rs/PERFs Prepare Sub-system Detailed Design Hold Detailed Design Review (DDR) Clear Sub-system DDR Issues Use TCD-I/MMAC for Sub-system DD Approval Prepare Final Documents including: - Design Documents., Machine Compatibility Documents., Safety Case Modification Project Team/Interfaces/EFDA/CSU/JDC *** These will comprise: - Technical Specification - Drawings - Contractual Requirements Compile Tender Docs.*** Send out Invitations (ITTS) Hold Clarification Meetings Receive Tenders Evaluate Tenders Arrange site visits Approve changes to Specs. Choose preferred Company Raise/Extend Sub-system TCD-Rs/PERFs Agree Classifications & Interfaces Prepare Sub-system Scheme Design Hold Sub-system Scheme Design Review (SDR) Clear Sub-system SDR Issues Update PMP Use TCD-I/MMAC for Subsystem SD Approval Project Team/Contracts/EFDA Project Team/Interfaces Project Leader/Project Team/EFDA/CSU Implement Project Manufactur e Equipment Scheme Design Raise/Extend/Update initial TCD-R/PERF Prepare Outline Conceptual Design Define Design Constraints Prepare Interface Requirements Spec. (IRP) Finalise Conceptual Design Hold Conceptual Design Review (CDR) Clear CDR Issues Initiate Modification Safety Case Update PMP Approve Proceed to Detailed DesignProject Team/IRP/EFDA/CSU/JDC EFDA/CSU/JOC Management * This will include: Conceptual Design Undertake Tender Gate 4 Readiness for Operation - Acceptance of System Complete Project Install Equipment Test & Commission Confirm Completion Project Review Note: Overall Project Management and Reporting will be as defined in the Project Management Plan (PMP) Gates (Formal Decision Points) See accompanying notes Test Equipment against Test Schedule Commission Complete System Undertake Post Project Review Project Team/ICM/EFDA/CSU Project Team/CSU Receive Equipment Pre-test Equipment Install equipment Project Team/ICM Confirm Technical Completion Review Project Records Complete Handover Documents Resolve Reservations Obtain Acceptance of Completed Project Project Team/EFDA/CSU UNCONTROLLED WHEN PRINTED

Key Points in Project Set-up and Definition Create Project Management Plan (PMP) Be clear of scope and objectives Establish clear statement of what is to be done (WBS) Establish Risks to be Managed Establish Costs and Durations Establish Resources Required

Project management Plan - PMP Master Document for Project Defines the following: Project Objectives, Scope, Deliverables Stakeholders (Internal & External) Work to be done (WBS) Project Organisation and Resources (OBS) Project Costings (CBS) Project Schedule Procurement/Contract Strategy Risk Management Quality management Change Management

Project Planning

Project Planning Adequate planning leads to the correct completion of work

Planning Inadequate planning leads to frustration towards the end of the project & poor project performance Project Start Project End

Work Breakdown Structure (WBS) The Work Breakdown Structure is the foundation for effective project planning, costing and management. It is the most important aspect in setting-up a Project It is the foundation on which everything else builds

Work Breakdown Structure - Definition “A Work Breakdown Structure (WBS) is a hierarchical (from general to specific) tree structure of deliverables and tasks that need to be performed to complete a project.”

Example WBS - Top Level ILW Project IT E R -L ik e W a ll P r o je c t 1 . 0 . 0 . 0 .0 R e s e a rc h & D e v e lo p m e n t 1 .1 .0 .0 .0 E n g in e e r in g D e s ig n & M a n u f a c t u r e 1 . 2 .0 . 0 .0 EP2 S h u td o w n 1 .3 .0 .0 .0 P r o je c t M anagem ent 1 . 4 . 0 .0 .0 Be R e c y c lin g 1 . 5 .0 . 0 .0 I n s t a lla t io n P r e p a r a t io n 1 .6 .0 .0 .0 E r o s io n / D e p o s it io n fo r IL W 1 .7 .0 .0 .0 Be R e c y c lin g 1 .1 .1 .0 .0 S lic e d B e T ile s 1 .2 .1 .0 .0 R e m o te H a n d lin g 1 .3 . 1 .0 .0 O v e r a ll P r o je c t M anagem ent 1 .4 .1 .0 .0 A ssess JET B e S to c k s 1 . 5 . 1 . 0 .0 S lic e d B e T ile s I n s ta ll P r e p . 1 .6 .1 .0 .0 E n g in e e r in g D e s ig n & M a n u f. 1 .7 . 1 .0 .0 B u lk W D iv e r t o r 1 .1 .2 .0 .0 B u lk M e t a l T ile s 1 .2 .2 .0 .0 T o r u s I n s t a lla t io n G ro u p 1 .3 . 2 .0 .0 C o n tra c tu a l M anagem ent 1 .4 .2 .0 .0 P r e p a r e & S h ip JE T Be 1 . 5 . 2 . 0 .0 B u lk M e t a l T ile s I n s ta ll P r e p . 1 .6 .2 .0 .0 E r o s io n / D e p o s it io n A s s e m b y & C a lib . 1 .7 . 2 .0 .0 W C o a tin g s 1 .1 .3 .0 .0 W C o a te d C F C T ile s 1 .2 .3 .0 .0 W a s te M a n . G ro u p 1 .3 . 3 .0 .0 S a fe ty & H P M anagem ent 1 .4 .3 .0 .0 W C o a te d C F C I n s ta ll P r e p . 1 .6 .3 .0 .0 E r o s io n / D e p o s it io n I n s t a lla t io n 1 .7 . 3 .0 .0 M a rk e rs 1 .1 .4 .0 .0 E m bedded D ia g n o s t ic s 1 .2 .4 .0 .0 V acuum G ro u p 1 .3 . 4 .0 .0 Q u a lity M anagem ent 1 .4 .4 .0 .0 E m b e d . D ia g . I n s ta ll P r e p . 1 .6 .4 .0 .0 E r o s io n / D e p o s it io n M anagem ent 1 .7 . 4 .0 .0 R&D M anagem ent 1 .1 .5 .0 .0 E n g in e e r in g D & M M anagem ent 1 .2 .5 .0 .0 I L W T ile R e m o v a l & R e p la c e m e n t 1 .3 . 5 .0 .0 F Z J C o n tra c t M anagem ent 1 .4 .5 .0 .0 I n s ta ll P r e p . M anagem ent 1 .6 .5 .0 .0 B u lk W T ile s 1 .2 .6 .0 .0 E P 2 S h u td o w n M anagem ent 1 .3 . 6 .0 .0 C o m p o n e n t In s p e c t & R e -p a c k 1 .2 .7 .0 .0 I n s ta ll P r e p . B u lk W 1 .6 .6 .0 .0 I n s ta ll P r e p . O t h e r A c t iv it ie s 1 .6 .7 .0 .0

Example WBS - Top Level TSCL Project O p t ic a l S y s te m s 5 . 5 .C .0 .0 .0 .0 .0 T h o m s o n S c a tt e r in g C o re (L ID A R ) 5 . 5 .C .1 .0 .0 .0 .0 L I D A R P r o je c t M anagem ent 1 . 1 . 0 . 0 .0 L ID A R S y s te m C o n c e p ts 1 . 2 .0 .0 .0 Laser S y s te m s 1 .3 .0 .0 .0 C o lle c t io n O p t ic s 1 .4 .0 .0 .0 L a s e r P a th O p t ic s 1 .5 .0 .0 .0 C o n tro l & A c q u is it io n 1 .6 .0 .0 .0 L ID A R P o r t E n g in e e r in g 1 . 7 . 0 .0 .0 L ID A R S e r v ic e s 1 .8 .0 .0 .0 In te rfa c e s & I n t e g r a t e d T e s t in g 1 . 9 .0 .0 .0 K e y P r o je c t M ile s t o n e s 1 . 1 . 1 . 0 .0 O v e r a ll C lu s t e r C o - o r d in a t io n 1 .2 . 1 .0 .0 L a s e rs 1 .3 .1 .0 .0 C o lle c t io n O p t ic a l D e s ig n 1 . 4 . 1 .0 .0 L a s e r P a th O p t ic a l D e s ig n 1 .5 . 1 .0 .0 C o n tro l S y s te m I n t e r f a c e D e f in i t i o n 1 . 6 . 1 . 0 .0 S h u tte rs 1 . 7 .1 .0 .0 W a te r S e r v ic e s 1 . 8 .1 .0 .0 L ID A R In te rfa c e s 1 . 9 . 1 . 0 .0 K e y P r o je c t D e liv e r a b le s 1 . 1 . 2 . 0 .0 P e r fo r m a n c e A n a ly s is 1 .2 . 2 .0 .0 Laser L a yo u t 1 .3 .2 .0 .0 C o lle c t io n W in d o w s 1 . 4 . 2 .0 .0 Laser W in d o w s 1 .5 . 2 .0 .0 C o n tro l S y s te m 1 . 6 . 2 . 0 .0 L a b y r in th 1 . 7 .2 .0 .0 In te rs p a c e V a cu um 1 . 8 .2 .0 .0 M o c k -u p F a c ilit y 1 . 9 . 2 . 0 .0 K e y IT E R M ile s to n e s & I P L 1 . 1 . 3 . 0 .0 L ID A R N e u t r o n ic s 1 .2 . 3 .0 .0 La ser B e am C o m b in e r 1 .3 .3 .0 .0 In -V a c u u m C o lle c t io n M ir r o rs 1 . 4 . 3 .0 .0 P la s m a F a c in g L a s e r M ir r o rs 1 .5 . 3 .0 .0 A c q u is it io n S y s te m 1 . 6 . 3 . 0 .0 E x te n s io n T u b e s & M ir r o r M o u n t in g 1 . 7 .3 .0 .0 L ID A R Pow er 1 . 8 .3 .0 .0 B a s ic M o c k - u p T e s ts 1 . 9 . 3 . 0 .0 O v e r a ll M anagem ent 1 . 1 . 4 . 0 .0 S c a tt e r in g T h e o ry 1 .2 . 4 .0 .0 E x -V a c u u m C o lle c t io n O p t ic s 1 . 4 . 4 .0 .0 O th e r L a s e r M ir r o r s 1 .5 . 4 .0 .0 L ID A R I n s tr u m e n t a t io n 1 . 6 . 4 . 0 .0 E x t e rn a l P o r t O p t ic s M o u n t in g 1 . 7 .4 .0 .0 S p e c tro m e te r A re a 1 . 8 .4 .0 .0 Tokam ak T e s ts 1 . 9 . 4 . 0 .0 S a fe ty & H P M anagem ent 1 . 1 . 5 . 0 .0 R &D Tasks 1 .2 . 5 .0 .0 C o lle c t io n O p t ic s M e c h a n ic a l D e s ig n 1 . 4 . 5 .0 .0 L a s e r P a th M e c h a n ic a l D e s ig n 1 .5 . 5 .0 .0 S a f e ty I n t e r lo c k s 1 . 6 . 5 . 0 .0 B i o s h i e ld 1 . 7 .5 .0 .0 Laser R oom 1 . 8 .5 .0 .0 F in a l S y s t e m T e s t in g 1 . 9 . 5 . 0 .0 R is k M anagem ent 1 . 1 . 6 . 0 .0 R a d ia t io n E f f e c t s D a ta 1 .2 . 6 .0 .0 S p e c tro m e te r S y s te m 1 . 4 . 6 .0 .0 B eam Dum p 1 .5 . 6 .0 .0 S a f e ty S y s te m 1 . 6 . 6 . 0 .0 BSM P e n e t r a t io n s 1 . 7 .6 .0 .0 P o r t C e l l/ In te rs p a c e 1 . 8 .6 .0 .0 S y s t e m A s s e m b ly & D i s - a s s e m b ly 1 . 9 . 6 . 0 .0 Q u a lity M anagem ent 1 . 1 . 7 . 0 .0 R e m o te H a n d lin g 1 .2 . 7 .0 .0 D e te c to rs 1 . 4 . 7 .0 .0 A lig n m e n t S y s te m 1 .5 . 7 .0 .0 Ite m T e s t U n it 1 .2 . 8 .0 .0 A lig n m e n t S y s te m 1 . 4 . 8 .0 .0 C a lib r a t io n S y s te m 1 .5 . 8 .0 .0 E n g in e e r in g A n a ly s is 1 .2 . 9 .0 .0 C a lib r a t io n S y s te m 1 . 4 . 9 .0 .0 E M A n a ly s is f o r In -P o rt C o m p . 1 . 7 .7 .0 .0

Project Planning – WBS (1) Lowest Level of WBS is the Work Package (WP) WP can be clearly defined allowing package to be costed, scheduled and resourced WP contains a list of Tasks to be Performed that form the basis for the Schedule WP allows assignment of responsibilities (Work Package Manger, WPM)

Project Planning – WBS (2) WBS allows hierarchical build-up of costs and schedule Cost and Schedule can be reported at any level of the WBS WBS facilitates strong management during project execution (Cost and Schedule control) WBS can be used for many other things Document Management, Risk Management etc.

Project Planning A word about Scheduling – Schedules (task durations) can have a wide variation – There is no unique answer. Rather, there is a statistical variation depending on assumptions – Need to understand the basis of scheduling (Most challenging; Most likely; Absolute certainty - bet your life on it!) – Most people are very optimistic/naive

Common schedule development Accuracy of Timescale Estimates 100 90 80 Subsequent Estimates Probability 70 60 50 40 30 First Estimate 20 10 0 1 2 3 4 5 6 7 8 9 10 Timescale 11 12 13 14 15 16 17

Example WBS for the ITER-Like Wall & TSCL Projects ILW WBS MJ Kear ILRH Schedule TSCL WBS

Project Planning – Key Points Recognise that adequate project planning is essential Produce a sound WBS Use the framework provided by the Project Management Plan (PMP) template Involve the right people Allow enough time Be systematic

Project Risk Management

Project Risk – Definition (1) “Project risk is an uncertain event or condition that, if it occurs, has a positive or negative effect on a project objective”

Project Risk – Definition (2) “A combination of the probability of a defined threat or opportunity (Likelihood) and the magnitude of the consequences of the occurrence (Impact) defines a Risk Index”

Risk Impact Threat Scope Poor Quality Product Threat Schedule Late Delivery Threat Cost Overspend In addition there are health, safety and environmental threats that must be managed (CDM Regulations)

Risk Management Process Identify Risks Assess likelihood and impact Rank risks and prioritise Define risk management approach & actions Implement actions Monitor & review

Example Risk Management for the ITER-Like Wall Project MJ Kear Microsoft PowerPoint Presentation

Risk Management – Key Points Make the management of risk integral to the way the project is managed Ensure that cost and time contingencies are consistent with identified risks Focus on the “significant few” – don’t try to manage too many risks Be vigilant and proactive

Project Monitoring and Control

Exercise 3 Write down three typical project control/monitoring activities

Project Monitoring Typical Monitoring Activities – regular reviews of progress against schedule using WBS as basis (Plan against Baseline) – regular review of actual costs (O/P from SAP) against budgeted costs and Earned Value at WBS level – regular review of resource loading – regular progress meetings with project team – regular meetings with contractors – production of periodic progress reports – risk reviews – inspections/ audits

Project Control Typical Control Activities – assign responsibilities at Work Package level – staged authorisation of work to be done – staged release of budgets (staged release of WBS(e) numbers) – ensure PM has a ‘Management Reserve’ under his control – seek corrective action reports when WPs go ‘off track’ (overrunning or overspending) – release Management Reserve carefully

Project Monitoring and Control Summary Monitor against the plan – status regularly Take a factual approach to decisions Identify management action early Check that defined controls are being applied – correct if necessary Apply change control

Introduction to Design Management

Design Management Design takes place as part of a project Design Management is part of Project Management Design Management considerations must be included in the PMP

Exercise 4 Write down three Design Management Activities

Exercise 4 - Design Management Activities Sub-divide Design Stages (CD, SD & DD) Sub-divide Tasks (WBS) Define Constraints and Interfaces (WPD Summary Sheet) Formally Initiate the Design (TCD-R/PERF) Ensure Design conforms to H&SE and CDM Requirements Hold Design Reviews (Peer review) Formally Approve Design (TCD-I/MMAC)

Design Stages Conceptual Design Scheme Design Detailed Design

Conceptual Design Phase TCD-R Decide Local or TCS route Develop Conceptual Design Define Constraints & Interfaces Carry out Conceptual Design Review Initiate Safety Case Modification if required Obtain Approval to Proceed to next stage

Scheme and Detailed Design Basic considerations and process similar to concept Need to ensure that safety & environmental issues receive proper consideration as design develops (CDM Regulations)

Exercise 5 List who should be invited to a design review Write down three issues that should be considered at a design review

Exercise 5 - Design Reviews, Attendance Project Leader or nominee (Chairman) RO (Work Package Manager) Customer End User Safety and Quality Reps All other Relevant Interfaces/Stakeholders Other Experts in the area being reviewed

Exercise 5 - Design Reviews, Issues to Consider Assumptions and Constraints Technical Solutions - Does it meet the Spec? Safety, Environment and CDM issues Can it be Manufactured/Maintained? Actions from previous DRs Issues to be resolved (including Timescales)

Safety & Environment Need to ensure that safety & environmental issues receive proper consideration as design develops – Involve the right people from the start – Systematically identify issues – Hazards/Risks, Environmental Aspects & Impacts – Carry out rigorous reviews at each design stage – Control Design Changes MUST take note of CDM Regulations

CDM Regulations CDM - Construction (Design & Management) Regulations recently updated Now must have someone in EACH Project Responsible for CDM Currently information is on the Conceptual, Scheme & Detailed Design steps on the Process Maps More information will be developed over the coming months

Design Change control Needs to be a formal and defined procedure New procedure in place CD/P/J008 for JET Facilities

Confirm Completion Ensure design records are complete and accurate Ensure any outstanding actions or issues are addressed Ensure Maintenance Records are produced Ensure User Manuals are produced Hold a formal Post Project review