PROJECT CONTROL
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Project Control Defined

Types of Control Systems

Need for Balance in Control Systems
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Control of Creative Efforts

Changes and Change Control
11-1
Project Control Defined
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CONTROL: The act of reducing the
difference between plan and reality
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The last element in the plan-implementmonitor-control cycle
Uses the information from the monitoring
process to get and keep a project on track
11-2
Control Can Be Complicated
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Performance, cost, and schedule issues
all have a human element
Symptoms are obvious, but root causes
never are
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“Messes” vs. “problems”
Hard to separate random events from
systemic difficulties
11-3
Two Fundamental Purposes of
Project Control
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Regulate project results through
alteration of activities
Efficiently use and protect
organizational assets
11-4
Asset Conservation Has Three
Aspects
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Physical Assets
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Human Resources
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Maintenance, inventories, security
protection
Managing acquisition, development and
performance of people
Financial Resources
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Budgets, audits, financial ratio analyses
The concept of “due diligence”
11-5
Purpose of Control

To make the actual meet the plan
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The Process
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1.
2.
3.
4.
5.
Identify key performance areas
Set standards
Measure performance
Compare
Take corrective action
11-6
Three Types of Controls
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Cybernetic controls
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Go-no go controls
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“Steering”
Key feature: automatic operation
Most common project control
Test that predetermined specifications have been
met
Post controls

After the fact
11-7
A Cybernetic Control System,
Figure 11-1
11-8
Typical Paths for Correction of
Deviation, Figure 11-2
11-9
A 2nd-Order Feedback System,
Figure 11-3
11-10
A 3rd-Order Feedback System,
Figure 11-4
11-11
More on Go-No Go Controls

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Based on project plans, budgets,
schedules
Can be periodic or milestone-driven
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Both are essential
“Phase-gated” criteria are hurdles that
must be passed to go to next project
stage

Common terms: “exit criteria,” “milestone
decisions,” “system maturity models”
11-12
Sample Project Status Report,
Figure 11-5
11-13
Components of Post Control
Process

Benefits future projects more than the
present one
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See Project Auditing in Chapter 12
Four parts
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Project objectives
Milestones, checkpoints, budgets
Final report on project results
Recommendations
11-14
Some Desirable Control
System Features
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Flexible, able to adapt to unforeseen
events
Cost effective (control value > control
cost)
Useful and ethical
Accurate, precise, timely
Simple and maintainable
Fully documented
11-15
Critical Ratio

Critical ratio = actual progress
X
scheduled progress
budgeted cost
actual cost
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I.e., CSI = SPI X CPI, as in Chapter 10
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Indices and ratios greater than 1.0 are favorable
11-16
Critical Ratio Control Limits,
Figure 11-8
11-17
Cost Control Chart, Figure
11-9
11-18
Effective Control Systems Must
be Balanced
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Balance means
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Measuring both tangibles and intangibles
Looking at both long-term and short
Keeping flexibility in the system
Addressing human factors
Focusing on correction, not punishment
Optimizing control, not maximizing it
11-19
A Question of Balance
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Too little control?
Too much control?
C
Control
$
C
Mistakes
Amount of Control
11-20
Control of Creative Activities
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Controlling “knowledge work” is difficult
Three tools
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Progress reviews
Reassigning people
Control of resource inputs
11-21
Controlling Changes and
Scope Creep
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Changes can drive higher costs and
stretched out schedules
So controlling them is an essential
project management task
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A formal change system is a must for
project control
11-22
Five Principles of a Formal
Change Program
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All contracts specify formal change
process
All changes require formal change order
All change orders approved in writing
by client and project organization
Project manager is always consulted
The approved change order becomes
part of the master plan
11-23
Changes and Change Control
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Remember the last step of the control
process: Take corrective action, so that
the actual matches the plan
Two Types: Business and Technical
Changes
11-24
Business Changes
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Business-related
Driven by such things as:
 Spec relief
 Deliverables changes
 Funding shifts
 Schedule changes
 Acts of God
 Subcontractor changes
11-25
Technical Changes

Technological issues, such as:
 New technologies
 Laws of physics
 Competitor response
 Changes in client requirements
(real or political)
11-26