EPM 2193 Monitoring and Controlling Project Requirements

Done, Doing, To Be Done and Impediments

For a team to accomplish their goal, everybody's got to give up a little bit of their individuality – Bill Belichick

Good teams become great ones when the members trust each other enough to surrender the Me for the We

– Phil Jackson
• Done: Unit 6 – Control Quality

• Doing: Unit 7 - Work Authorization System (WAS) and Control Procurement

• To Be Done: 8 Units
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 2-Work Authorization and Work

Performance Reporting Systems
• Work Authorization definition:
• permission and direction, typically written, to begin work on a specific
schedule activity or work package or control account
• collection of formal documented procedures that defines how project work
will be authorized (committed) to ensure that the work is done by the
identified organization, at the right time, and in the proper sequence
• method for sanctioning project work to ensure that the work is done -
includes steps, documents, tracking system, and defined approval levels
needed to issue work authorizations
• subsystem of the overall project management information system (PIMS)
• PMBOK: 146; 567
 EPM 2193 Monitoring and Controlling Project Requirements

Work Authorization Systems (WAS)

• part of Enterprise Environmental Factors

• conditions, not under the control of the project team, that influence,
constrain, or direct the project
• during Planning
• work authorization systems are inputs to Plan Schedule Management
• during Execution
• work authorization systems are tools and techniques to Direct and Manage
Project Work, as part of the Project Management Information System (PMIS)
• during Monitoring and Control
• work authorization systems are inputs to Monitor and Control Project Work
 EPM 2193 Monitoring and Controlling Project Requirements

Work Authorization Systems (WAS)

• Main Components:
• Control account title and identifier
• WBS number and scope of work
• Period of performance
• signatures of the parties responsible for accomplishing the work
• schedule and details when the work should start and be completed, milestones, interim deliverables,
and the final product or deliverable
• time-phased budget that portrays expenses by labour, material equipment, etc.
• most important components of a Project Management Information System include: Work
Performance Data (WPD), Work Performance Information (WPI), and Work Performance
Report (WPR)
• WPD is an output of only Direct and Manage project Work and is an input to Monitoring and
Controlling processes outside Integration knowledge area
• WPI includes both authorized cost and estimates for completing project work
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Control Procurement (Contract Performance)

Objectives (Course Outline):
• Apply techniques to monitor contract performance, and recommend adjustments or changes needed
to meet stated project scope and quality requirements – from course outline
• Create a performance tracking/reporting method and update progress.
• Review results of seller’s quality control inspections to ensure scope and quality requirements are met.
• Review and approve seller’s remediation plan to meet scope and quality requirements if results of scope
validation and quality control inspection are not met
• Unit 6 – contract administration process (review/inspection and close procurements processes)

• Control Procurements process - concerned with managing procurement relationships, monitoring

contract performance, ensuring that all the requirements of the contract are met and making changes
and corrections as required, and closing out contracts – PMBOK 12.3
• project managers have a tendency to ignore the terms and conditions of a contract and focus on what he/she
knows best, i.e., the scope of work
• both buyer and seller must control the contract ensuring that each party meet their obligations and protect
their own legal rights – buzzword for this step is ‘Admin’
• On larger projects with multiple providers, a key aspect of contract administration is managing interfaces
among the various providers (which means managing relationships between them too)
EPM 2193 Monitoring and Controlling Project Requirements
EPM 2193 Monitoring and Controlling Project Requirements
 EPM 2193 Monitoring and Controlling Project Requirements
• SAMPLE: process entails coordinating the interfaces among all vendors, when multiple vendors are
providing goods and services to the project, as well as controlling each of the contracts, e.g. if vendor A has
a due date that will impact whether vendor B can perform its service, the management and coordination of
the two vendors become important - this situation can multiply quickly when multiple vendors are involved
• Toronto 2015 Pan AM Games example – suppliers of tents and suppliers of electricity had to have schedules closely
monitored since tents had to be erected first, then lighting, walls – as per screen shot of MSP file portion below:
Total Outline Task Name
Duration Start Finish Resource Names Predecessors Successors Constraint Type Constraint Date Notes
Slack Level
0 d? 2 Block / Area AA1 450 d? Mon 13-12-02 Thu 15-09-17 As Soon As Possible NA
447 d 3 Lay out block 1d Mon 13-12-02 Mon 13-12-02 113,114 As Soon As Possible NA
447 d 3 Fencing 1d Tue 13-12-03 Tue 13-12-03 As Soon As Possible NA
447 d 3 Site Works 3d Mon 13-12-02 Wed 13-12-04 As Soon As Possible NA
448 d 3 Level and ballast area for flag poles 2d Mon 13-12-02 Tue 13-12-03 Site Works Supplier As Soon As Possible NA
0 d? 3 Building 450 d? Mon 13-12-02 Thu 15-09-17 As Soon As Possible NA
0d 3 Tents 17 d Tue 15-08-25 Thu 15-09-17 As Soon As Possible NA

Total Outline
Slack Level Task Name Duration Start Finish Resource Names Predecessors Successors Constraint Type Constraint Date Notes
0d 3 Tents 17 d Tue 15-08-25 Thu 15-09-17 As Soon As Possible NA
0d 4 Tent 17 d Tue 15-08-25 Thu 15-09-17 As Soon As Possible NA
0d 5 Lay Out Tent Location 1d Tue 15-08-25 Tue 15-08-25 Tents Supplier 166 As Late As Possible NA
0d 5 Tent - deliver & erect 5d Wed 15-08-26 Tue 15-09-01 Tents Supplier 165 167 As Late As Possible NA
0d 5 Hand over from supplier 0d Wed 15-09-02 Wed 15-09-02 Tents Supplier 166 168 As Late As Possible NA
0d 5 Install electrical distribution 1d Wed 15-09-02 Wed 15-09-02 Temporary Power Supplier
167 169,174 As Late As Possible NA
0d 5 Install carpet 1d Thu 15-09-03 Thu 15-09-03 Tents Supplier 168 170 As Late As Possible NA
0d 5 Install walls 1d Fri 15-09-04 Fri 15-09-04 Tents Supplier 169 171 As Late As Possible NA
0d 5 Install HVAC 2d Tue 15-09-08 Wed 15-09-09 Tents Supplier 170 172 As Late As Possible NA
0d 5 TEL/DATA cabling 1d Thu 15-09-10 Thu 15-09-10 TEC 171 173,175,184 As Late As Possible NA
0d 5 Space complete 0d Thu 15-09-17 Thu 15-09-17 172 177 As Late As Possible NA
0d 5 Power on 0d Thu 15-09-17 Thu 15-09-17
Temporary Power Supplier 168 As Late As Possible NA
Water Infrastructure
0d 5 Water Connection 1d Fri 15-09-11 Fri 15-09-11 172 176 As Late As Possible NA
Supplier
0d 5 Install Catering Equipment 4d Mon 15-09-14 Thu 15-09-17 CCW 175 177 As Late As Possible NA
0d 5 Hand over to VEM 0d Thu 15-09-17 Thu 15-09-17 176,173,184 As Late As Possible NA done by Zone
Manager
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Control Procurement

• Due to varying organizational structures, many organizations treat contract administration as an
administrative function separate from the project organization
• While a procurement administrator may be on the project team, this individual typically reports to a
supervisor from a different department. This is usually true if the performing organization is also the
seller of the project to an external customer
• Legislative Assembly example – PM worked closely with Procurement Officer in Purchasing department (not
core team member) to conduct RFI, RFS, RFP and vendor selection and contract administration
• Toronto 2015 Games example – PM worked closely with seller’s Procurement Advisor (not core team)
• The project management processes that are applied may include, but are not limited to:
• Direct and Manage Project Work. To authorize the seller’s work at the appropriate time.
• Control Quality. To inspect and verify the adequacy of the seller’s product.
• Perform Integrated Change Control. To assure that changes are properly approved and that all those with a
need to know are aware of such changes.
• Control Risks. To ensure that risks are mitigated.
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Control Procurement

• process includes a financial management component that involves monitoring payments to the seller
• Process ensures that payment terms defined within the contract are met and that seller compensation is
linked to seller progress, as defined in the contract
• one of the principal concerns when making payments to suppliers is that there is a close relationship of
payments made to the work accomplished.
• process reviews and documents how well a seller is performing or has performed based on the
contract and establishes corrective actions when needed
• performance review may be used as a measure of the seller’s competency for performing similar work on
future projects
• similar evaluations are also carried out when it is necessary to confirm that a seller is not meeting the
seller’s contractual obligations and when the buyer contemplates corrective actions
• process also includes capturing the necessary details for managing any early terminations of the contracted
work (for cause, convenience, or default) in accordance with the termination clause of the agreement
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Control Procurement

• Activities in Control Procurements include:
• Monitoring performance against the contract including all its components (terms and conditions,
scope of work, etc.); Scope verification

• Performance reviews; Reviewing cost submittals (identifying patterns); Authorizing payments

• Costs - analyzing above informs you that the earned value is less than the planned value –
Q: what should you expect as an outcome if this trend continues? A: Behind schedule.
• Implementing change control; Making and handling changes; Disseminating changes to the
appropriate parties

• Documentation; Meetings; Correspondence; Record keeping

• Identifying risks

• Understanding the legal implications of action taken

 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Control Procurement

• Buyers and sellers administer contracts
• Sellers create performance reports
• Buyer reviews performance report

• Scenario for discussion:

• You are the PM of a large project and your sponsor and management want portions of the project to
be outsourced. You have been given the responsibility to outsource.
• Who must ensure that all of the project work is authorized, contracted properly, and funded?
• As a PM, you notice that a deliverable mentioned in the general conditions of the contract has not yet
been received. The seller, however, points out to the special provisions of the contract that specifically
void that deliverable.
• What should you do? A. Require the deliverable as in the contract; B. Do nothing; C. Contact the contract
manager; D. Send a letter requiring that the deliverable be met
• During control procurement, the concern is only with the quality processes of:
• A. Our vendors; B. Vendors of our vendors; C. All vendors all the way down in our supply chain; D. All vendors
up to third tier
 EPM 2193 Monitoring and Controlling Project Requirements

UNIT 7 - Contract Administration

• Discuss the contract administration process, including reviewing/inspecting outcomes on an ongoing
basis for procured goods and services (and including closed procurement, i.e. closing out contracts)

• Review:

• Note: Also Review PMBOK 12.3.2.2 for Claims Administration as a tool & technique

• processes are written from the viewpoint where goods and services are obtained from outside the
project
• Control Administration process - concerned with closing out contracts
EPM 2193 Monitoring and Controlling Project Requirements