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Lean Project Management Principles

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Lean Project Management Principles

  1. 1. Lean Project Management Principles “ Any Project worth doing is worth doing fast and right”. PMI Dade Dinner Meeting
  2. 2. Definitions of Lean  Lean System: emphasizes the prevention of waste ( Mura) : extra time, labor or material spend that does not add value to the product or service.  Lean Enterprise: foster a company culture where employees constantly look to improve their skills levels and production processes. Product and Services are driven the right amounts, to the right location, at the right time and in the right condition. PMI Dade Dinner Meeting
  3. 3. Lean Thinking The goal of Lean Thinking is the creation of a continuous stream which delivers customer value with the least waste of resources within the shortest possible time. PMI Dade Dinner Meeting
  4. 4. Definitions of Project PMBOK: “A Project is temporary endeavor undertaken to create a unique product, service or result” PMBOK: “Project Management is an application of knowledge, skills tools and techniques to project activities to meeting project Requirements” PMI Dade Dinner Meeting
  5. 5. Lean Goals Project Goals  Improve Quality  Complete on time  Eliminate Waste  Complete on Budget  Reduce Lead Time  Meet Performance  Reduce Total Costs Requirements More about Behaviors, More about Tools, Change, Improvement Techniques, Methods, Results PMI Dade Dinner Meeting
  6. 6. Lean Principles LPM Principles  Specify Value  Eliminate Waste  Identify the Value Stream  Empowerment, Respect,  Flow Integrity  Pull  Decide later, Deliver fast  Perfection  Amplify Learning  See the whole  Risk Management PMI Dade Dinner Meeting
  7. 7. Principle 1: Eliminate Waste PMI Dade Dinner Meeting
  8. 8. Shift Mindset CURRENT REQUIRED THINKING THINKING Material Movement Waiting M W Over Inventory Production WASTE I TYPES O OF WASTE T O Over Transport D Processing Defects WASTE NOT DEFINED S REACT TO LARGE EXAMPLES Skills REACTIVE IMPROVEMENT PMI Dade Dinner Meeting
  9. 9. The Baton Pass-Goal to Win the Race Preparing a Building Plan Team Work Practice Avoid for Perfection Rework PMI Dade Dinner Meeting
  10. 10. Project as a Value Stream  Look at Project as a Processes (chains) : a set of activities with inputs, processing and outputs  Looks for sets of processes (work packages) as a value stream  Look for weak links in a project’s chains exposes some of the most wasteful practices in an organization.  Eliminate Bottlenecks within teams, Build Strong routines PMI Dade Dinner Meeting
  11. 11. Value Stream Thinking Problem Solving Validate Root Causes Current State Analysis IdentifyWaste Solutions Actions Plans PMI Dade Dinner Meeting
  12. 12. Lean Project Manager Lean project managers prefer to review the way that work elements pass between team members. Lean project management differentiates itself from other methodologies by emphasizing the opportunity to improve “hand-offs” Focus on Dependencies not on Deadlines PMI Dade Dinner Meeting
  13. 13. Strong WBS  Eliminating waste  Build strong Plans  Build strong teams that understand their value  Build a Strong WBS  Responsibilities for deliverables and milestones  Visibility for the Project Manager to see relations PMI Dade Dinner Meeting
  14. 14. Principle 2: Empowerment, Respect, Integrity PMI Dade Dinner Meeting
  15. 15. Where to you Start?  Customer Needs?  Customer Requirements?  Financial Performance?  Customer Satisfaction? Ahhhhh !  Who is the Customer? –Who are my Stakeholders? PMI Dade Dinner Meeting
  16. 16. Responsibility Matrix  Roles  Project Leader  Task Manager  Resource  RASIC Chart R= Responsible A= Accountable S= Support I= Inform C= Consult PMI Dade Dinner Meeting
  17. 17. Leading Projects Manage things, Lead people - Stephen Covey  Identify Project Stakeholders  Needs of each Stakeholders (in terms of product and process)  Clear Plans, Goals, Targets, including Stakeholders RASIC PMI Dade Dinner Meeting
  18. 18. Team Building  Forming  Storming  Norming  Performing Leading toward the Goal Initial State of Project Team Align the Team Towards the Goal PMI Dade Dinner Meeting
  19. 19. Empower your Team EMPOWER (def.) give power or authority to; to authorize; to enable; to delegate  Functional managers empower team members to represent functional discipline without approval for decisions or actions  Self directed teams -describe what is required; let teams determine how  Requires more management planning & capable, trained personnel  Results in greater commitment and ownership PMI Dade Dinner Meeting
  20. 20. The Last Planner  The person who will execute the planned work of the Project  Make Last Planner indentify the work  Increase commitment from the process owner  Increase Empowerment, Decrease Centralized Delegating PMI Dade Dinner Meeting
  21. 21. The Last Planner Principle  Plan in greater detail as you get closer to doing the work.  Produce plans collaboratively with those who will do the work.  Reveal and remove constraints on planned tasks as a team.  Make reliable promises.  Learn from breakdowns. PMI Dade Dinner Meeting
  22. 22. Continuous Improvement  Look for Quick Wins  Promote Positive Impact of Procedural changes  Keep it small Small = Small = Less Total = Less Team = Less Projects Impacts Disaster Failure Punished PM PMI Dade Dinner Meeting
  23. 23. Principle 3: Decide Later, Deliver Fast PMI Dade Dinner Meeting
  24. 24. Small Commitment  Map out a series of interconnected projects  Smaller achievable projects  More efficient Scheduling PMI Dade Dinner Meeting
  25. 25. Pipeline Management  Manage the number of projects in the pipeline and their release to avoid overloading resources and increasing work in process  Focus resources on highest priority projects to finish sooner; don’t start other projects until resources become available. Use DRUM  Project start dates and completion dates should not be bunched together -a steady flow (and constant “new news” to the market) and not a log jam  Use your Drum resources and build you Drum Schedule Project 1 Project 2 Project 6 Project 3 Project 2 Project 4 Pj. 7 Project 4 Project 7 Project 1 Project 5 Project 5 Project 3 Project 6 PMI Dade Dinner Meeting
  26. 26. Defer Decisions Baseline Case Module 1 Design Complete definition before development begins. Product Mod. 2 Integration Build & test Development of all modules Definition Design starts immediately. Mod 3 Design Alternative 1 M.1 Module 1 Design Phased definition. Definition Def & development of modules System M.2 Mod. 2 Integration Build & test deferred to allow flexibility Definition Def Design for changes. M.3 Mod 3 Def Design Alternative 2 M.1 Module 1 Design Phased definition. If one Def module not on the critical System M.2 Mod. 2 Integration Build & test path requires significant lead Definition Def Design time to build, begin sooner M.3 Mod 3 Build Def Design PMI Dade Dinner Meeting
  27. 27. Deciding as Late as Possible  Delivering as fast as possible  Emphasis on Planning and Development phases  Relay Race culture  Eliminate waste: Inventory, Waiting and Defects  Dynamic and Motivational Environment PMI Dade Dinner Meeting
  28. 28. Critical Chain Project Management (CCPM) Traditional Project Management  Task estimates are padded to better insure meeting schedule  Tasks started late because of other pressing demands  Work fills available time  By coordinating via start and finish dates, effort spent finishing early often wasted  Lateness is always passed on - can’t be made up without reducing scope or increasing resources Critical Chain Project Management (CCPM) can significantly reduce the development schedule PMI Dade Dinner Meeting
  29. 29. Principle 4: Amplify Learning PMI Dade Dinner Meeting
  30. 30. Educate your Team  Plan for Training in the WBS  Specially on new and mostly unique Projects  Look for members on waiting spaces  Prepare your members for future phases PMI Dade Dinner Meeting
  31. 31. Promote, Promote, Promote  Promote the impact of Professional Development  Make promotion part of your plan  Show successful experiences  Go beyond long term effects to create a productive workplace  Look for quality idea generation behavior PMI Dade Dinner Meeting
  32. 32. Synchronize Activities  Collocation of development personnel  Visual management tools to show status and performance  Frequent, short coordination meetings  Tools to share information PMI Dade Dinner Meeting
  33. 33. Rapidly Explore Activities  While an emphasis on value and time with lean practices would suggest not wasting time exploring alternatives when an acceptable solution exists, this is not the case  Greatest value when multiple alternatives can be rapidly explored –this is the only way to move towards a more optimum solution  Set-Based Design involves developing multiple sets of solutions in parallel & relatively independently.  As the design progresses, the sets of solutions are gradually narrowed based on additional information from development, testing, the customer, etc., and the best solution 'emerges' PMI Dade Dinner Meeting
  34. 34. Principle 5: See the Whole PMI Dade Dinner Meeting
  35. 35. Project Cycle  See whole = Watch the Project Cycle Constantly  Strong Project Chartering  Move through Project Cycle many times  Look for new opportunities  Free team from unnecessary tasks (non-value Tasks) PMI Dade Dinner Meeting
  36. 36. Project Chartering  Project: New Opportunity or Solve a Problem  Start Lean Thinking  No Project Charter , No Project  “The Project Charter is the tool to get people aligned on understanding the Project”, Leach, 2005  “ The document that formally authorize the project” , PMBOK  Get all stakeholders to agree on it  Use your project Charter in project selection  Make it visual and accessible PMI Dade Dinner Meeting
  37. 37. Elements of Project Charter  1-3 Pages / 1-3 hour  Use a Project Mind Mapping Software  Vision  Mission/Objectives  Membership  Organizational Linkage  Boundaries  Key Assumptions and Constraints  Team and Individual Responsibilities  Metrics  Operating Guidelines  Feasibility Studies PMI Dade Dinner Meeting
  38. 38. Portfolio Management  Define a Selection Criteria  Define project benefits and  ROI impacts  NPV  Quantify the project impacts  Payback  Rank Projects  IRR  Cash Flow Analysis Project 1 Project 2 Project 6 Project 3 Project 2 Project 4 Pj. 7 Project 4 Project 7 Project 1 Project 5 Project 5 Project 3 Project 6 PMI Dade Dinner Meeting
  39. 39. The Project Delivery System  Project Systems consist of  People  Processes  Products/Services  Relationships  The Goal : Define a PMO PMI Dade Dinner Meeting
  40. 40. Lean Project Management Is about: Building Lean Behaviors in your organizations Thank You Q&A PMI Dade Dinner Meeting
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