st3 Solution
st3 Solution
ST-3 SOLUTION
Q1 a) Discuss about the concept and need of cost monitoring earned value
analysis
Ans:-cost monitoring is the process of tracking, analysing, and reporting the costs incurred
in a project. It is an essential part of project management because it helps to ensure that the
project is delivered within the budget and that the resources are used efficiently. Cost
monitoring also helps to identify and control any deviations from the planned costs, and to
take corrective actions when necessary. Cost monitoring can provide valuable insights for
project managers, stakeholders, and clients from different perspectives, such as:
- Performance perspective: Cost monitoring can measure the performance of the project in
terms of cost efficiency, profitability, and return on investment. It can also compare the actual
costs with the baseline costs and the earned value to assess the progress and the quality of the
project deliverables.
- Risk perspective: Cost monitoring can identify and quantify the risks associated with the
project costs, such as cost overruns, underestimations, inflation, currency fluctuations, and
unforeseen events. It can also help to mitigate the risks by implementing risk
management strategies, such as contingency planning, risk allocation, and risk transfer.
- Learning perspective: Cost monitoring can facilitate the learning and improvement of the
project team and the organization. It can provide feedback and lessons learned from the
project costs, and help to identify the best practices and the areas for improvement. It can also
help to update and refine the cost estimation and budgeting processes for future projects.
To perform effective cost monitoring, project managers need to use various techniques and
tools that can help them to collect, analyze, and report the cost data. Some of the
common cost monitoring techniques and tools are:
1. cost variance analysis: This technique compares the actual costs with the planned costs to
determine the cost variance, which is the difference between the two. A positive cost variance
indicates that the project is under budget, while a negative cost variance indicates that the
project is over budget. cost variance analysis can help to identify the causes and
the impacts of the cost deviations, and to take corrective actions accordingly.
2. cost performance index (CPI): This is a ratio that measures the cost efficiency of the
project. It is calculated by dividing the earned value (EV) by the actual cost (AC). The earned
value is the value of the work completed in the project, while the actual cost is the amount
spent on the project. A CPI greater than 1 indicates that the project is performing well in
terms of cost, while a CPI less than 1 indicates that the project is performing poorly in terms
of cost. CPI can help to evaluate the cost performance of the project and to forecast the
final project cost.
3. Cost forecasting: This technique predicts the future costs of the project based on the
current cost data and trends. It can use different methods, such as extrapolation, regression, or
simulation, to estimate the total project cost, the remaining project cost, and the cost at
completion. Cost forecasting can help to revise the project budget and to allocate the
resources accordingly.
4. Cost reporting: This technique communicates the cost information to the relevant
stakeholders and clients in a clear and concise manner. It can use different formats, such as
tables, charts, graphs, or dashboards, to present the cost data and the analysis. Cost reporting
can help to inform the stakeholders and clients about the status and the performance of the
project costs, and to support the decision-making and the accountability processes.
• Schedules
• Budgets
• Production rates
• Overtime
• Waste
Intangible standards, meanwhile, may be:
• Team morale
• Managerial performance
• Customer satisfaction
While it is more difficult to set intangible standards, it’s still possible and valuable. Tangible
and intangible elements of a project are intertwined, and improvements in one will often
affect the others. Project managers who prioritize intangible standards will also see improved
results in their tangible standards.
Measure Performance
Once standards have been set, the next step of the control process group is measuring and
tracking performance against those standards. Measurement and monitoring is what allows
a project manager to quickly and effectively respond to lagging performance and return the
project to its correct course.
The simplest way to track performance is to monitor metrics connected to the standards that
have been set. Tangible standards typically have clear connections to certain metrics. For
example, a manager tracking their team’s adherence to a specific schedule can monitor when
work is submitted and the number of revisions necessary before the work is approved.
Similarly, to monitor how the team is performing regarding the budget, the manager can track
spending on different supplies.
When monitoring performance regarding intangible standards, project managers may need to
get creative. There’s no single metric that can be tracked to effectively monitor employee
morale. Instead, managers can collect qualitative data by talking to employees, collecting
anonymous surveys, and monitoring the team’s general attitude over time.
Compare Actual Performance with Standards
After collecting data regarding performance, project managers are responsible for comparing
that data to the standards they set. During this phase, the manager can identify gaps between
the standards and their team’s actual performance.
These gaps may be both positive — where the team is exceeding standards — and negative
— where the team has failed to meet goals. Positive gaps are good news and a sign that the
manager was appropriately conservative in their estimates. These gaps can be monitored and
the team praised, but otherwise require no additional action.
Negative gaps spell problems for a project. Once a manager identifies a failure to achieve
standards, they need to further investigate the gap to determine its size and severity. A minor
gap may be a simple variation that can be safely left alone. For example, if a team is one day
behind schedule, it’s possible that the project will naturally return to schedule. However, if
the project has fallen a week behind schedule, this is a more significant deviation that may
need to be addressed.
Analyze Deviations
Once a project manager has identified places where their team is failing to meet standards,
it’s necessary to understand why those failures are occurring. If a project manager has
invested appropriate time and effort into the previous process groups, then deviations should
be rare. When they do occur, it’s a sign that the manager did not fully account for all
elements of the project’s circumstances or requirements. Identifying the elements that were
missed is essential for effectively revising the standards or activities involved in the project to
achieve the original goal.
Analyzing deviations involves a thorough examination of both the standards and the team’s
performance. The specific nature of the gap between the two will assist project managers in
identifying the cause. One example may be a team that is consistently failing to meet
deadlines. If the lag between the intended deadline and the submission of the work is steadily
growing, the team may not have the skills, drive, or manpower to accomplish high-quality
work in the time allotted.
Managers should also consider tangentially related metrics to better understand the root cause
of deviations. In the example above, a project manager could check the number of overtime
hours recorded by the team. If they are regularly recording significant overtime, then the
problem is likely a simple lack of manpower. However, if overtime is rarely recorded, or only
recorded shortly before a deadline, then the team may not be motivated to put in the work to
accomplish goals on time.
Take Corrective Actions
The last step of the process is acting to improve the identified deviations. When positive gaps
are identified, managers should avoid changing anything until the project is complete. These
points where performance has exceeded expectations give the project buffer room in case of
later delays or setbacks.
Any change in the software configuration Items will affect the final product. Therefore,
changes to configuration items need to be controlled and managed.
Ans:Project prioritization is the process of determining which existing and new projects are
the most urgent for an organization. This can be done through several project prioritization
methods that allow portfolio managers to assess the feasibility, impact and potential value of
a project. Project prioritization is especially important for larger organizations that have
multiple projects and programs in their portfolio. These organizations, like any other, must
execute multiple projects simultaneously but have limited resources, which makes it
necessary to prioritize potential project ideas.
Program managers, portfolio managers and PMOs are responsible for prioritizing projects.
They do so by establishing project prioritization criteria that weigh the pros and cons of
existing projects and potential projects and then make a decision based on their analysis.
● Critical path activities Any delay in an activity on the critical path will cause a delay
in the completion date for the project. Critical path activities are therefore likely to have a
very high priority for close monitoring.
● Activities with no free float A delay in any activity with no free float will delay at
least some subsequent activities even though, if the delay is less than the total float, it might
not delay the project completion date. These subsequent delays can have serious effects on
our resource schedule as a delay in a subsequent activity could mean that the resources for
that activity will become unavailable before that activity is completed because they are
committed elsewhere.
● Activities with less than a specified float If any activity has very little float it might
use up this float before the regular activity monitoring brings the problem to the project
manager’s attention. It is common practice to monitor closely those activities with less than,
say, one week free float.
● High-risk activities A set of high-risk activities should have been identified as part
of the initial risk profiling exercise. If we are using the PERT three-estimate approach we will
designate as high risk those activities that have a high estimated duration variance. These
activities will be given close attention because they are most likely to overrun or overspend.
● Activities using critical resources Activities can be critical because they are very
expensive (as in the case of specialized contract programmers). Staff or other resources might
be available only for a limited period, especially if they are controlled outside the project
team. In any event, an activity that demands a critical resource requires a high level of
monitoring.
Q3 a)Compute Estimate At Completion (EAC) and Variance At Completion
(VAC) if both SPI and CPI influence the project work when given variables are:
Budget At Completion (BAC) = $22,000
Earned Value (EV) = $13,000
Planned Value (PV) = $14,000,
Actual Cost (AC) = $15,000
Ans:
Schedule Performance Index (SPI) = EV/PV = $13,000/$14,000 = 0.93 Since SPI is less than
1, this indicates that the project is behind schedule
•Cost Performance Index (CPI) = EV/AC = $13,000/$15,000 = 0.87 Since CPI is less than 1,
this indicates that the project is over budget.
•VAC = BAC –EAC = $22,000 –$26,123 = -$4,123 The project is experiencing a budget
overrun of -$4,123.
Q3 b) There is a project having two task A & B and their planned values are
250 &75 and actual cost are 150 &100, earned values are 195 & 75. Calculate
SV, CV, SPI & CPI
For Task A:
For Task B:
Now, let's calculate the Schedule Variance (SV), Cost Variance (CV), Schedule Performance
Index (SPI), and Cost Performance Index (CPI) for each task:
So, summarizing:
• Task A:
• SV_A = -55
• CV_A = 45
• SPI_A = 0.78
• CPI_A = 1.3
• Task B:
• SV_B = 0
• CV_B = -25
• SPI_B = 1
• CPI_B = 0.75
Q4 a) Explain in detail about the best methods of staff selection motivation
Staff selection and motivation are critical aspects of human resource management. Effective
selection methods ensure that the right individuals are hired for the job, while motivation
techniques aim to inspire employees to perform at their best. Here's a detailed explanation of
some of the best methods for staff selection and motivation:
- Conduct a thorough job analysis to understand the roles, responsibilities, skills, and
qualifications required for the position.
- Create detailed job descriptions and specifications outlining the essential criteria for the
role.
2. Structured Interviews:
3. Psychometric Assessments:
- Simulations provide a realistic preview of the job and help assess candidates' performance
in a controlled environment.
5. Reference Checks:
- Use reference checks to validate information provided by candidates and gain insights into
their past performance.
6. Background Checks:
- Ensure compliance with legal requirements and maintain confidentiality throughout the
process.
1. Goal Setting:
- Set clear, specific, and challenging goals aligned with organizational objectives.
- Recognize and reward employees for their achievements, contributions, and performance.
- Provide both intrinsic rewards such as praise and appreciation, and extrinsic rewards such
as bonuses, promotions, and incentives.
- Offer opportunities for continuous learning, skill development, and career advancement.
5. Effective Leadership:
- Foster a supportive and inclusive work environment through effective leadership and
communication.
- Lead by example, provide guidance, and encourage open dialogue to build trust and
rapport with employees.
6. Work-Life Balance:
By implementing these methods effectively, organizations can attract top talent, foster
employee engagement, and cultivate a motivated and high-performing workforce.
1. Establish Clear Goals and Objectives: Establishing clear goals and objectives for the
project is essential for successful project management. This will help to ensure that everyone
involved in the project is on the same page and working towards the same end goal.
2. Set Realistic Deadlines: Setting realistic deadlines for the project is important for
minimizing stress. If deadlines are too tight, it can lead to increased stress levels and a
decrease in productivity.
4. Delegate Tasks: Delegating tasks to team members is important for reducing stress. This
will help to ensure that tasks are completed in a timely manner and that everyone is working
towards the same goal.
5. Take Breaks: Taking regular breaks is essential for reducing stress. Taking a few minutes
to step away from the project and clear your head can help to reduce stress levels and
improve productivity.
The system should cover the entire gambit of an employer's occupational health and safety
organisation. The key elements of a successful safety and health management system are:
1. Policy and commitment
The workplace should prepare an occupational safety and health policy programme as part of
the preparation of the Safety Statement required by Section 20 of the Safety, Health and
Welfare at Work Act 2005. Effective safety and health policies should set a clear direction for
the organisation to follow. They will contribute to all aspects of business performance as part
of a demonstrable commitment to continuous improvement. Responsibilities to people and
the working environment will be met in a way that fulfils the spirit and letter of the law. Cost-
effective approaches to preserving and developing human and physical resources will reduce
financial losses and liabilities. In a wider context, stakeholders' expectations, whether they
are shareholders, employees or their representatives, customers or society at large, can be
met.
2. Planning
The workplace should formulate a plan to fulfil its safety and health policy as set out in the
Safety Statement. An effective management structure and arrangements should be put in
place for delivering the policy. Safety and health objectives and targets should be set for all
managers and employees.
3. Implementation and operation
For effective implementation, organisations should develop the capabilities and support
mechanisms necessary to achieve the safety and health policy, objectives and targets. All
staff should be motivated and empowered to work safely and to protect their long-term
health, not simply to avoid accidents. These arrangements should be:
The decision is then no longer attributable to any individual group member as all the
individuals and social group processes like social influence contribute to the decision
outcome.
The decisions made by groups are mostly different from those made by individuals. For
example, groups tend to make decisions that are more extreme than those made by individual
members, as individuals tend to be biased.
Group decision making has two advantages over individual decision making.
Synergy
It is the idea that the whole is greater than the aggregate of its parts. When a group makes a
decision collectively, its judgment can be powerful than that of any of its members. Through
discussing, questioning, and collaborative approach, group members can identify more
complete and robust solutions and recommendations.
Sharing of information
Group decisions take into account a wider scope of information as each group member may
contribute distinct information and expertise. Sharing information increases understanding,
clarifies issues, and facilitates movement towards a collective decision.
Diffusion of Responsibility
Lower Efficiency
Group decisions can sometimes be less efficient than individual decisions. It takes additional
time because there is a need of active participation, discussion, and coordination among
group members. Without good facilitation and structure, meetings can get eliminated in
trivial details that may matter a lot to one person but not to the others.
Groupthink
In order to eliminate group think and group shift from a group, we can use four different
techniques that will help us make a collaborative decision that is best for the group. These
techniques are −
• Brainstorming
• Nominal group thinking
• Didactic technique
• Delphi technique
Organizational behaviour is the academic study of how people interact within groups. The
principles of OB are applied primarily in attempts to help businesses operate more
effectively. Organizational behaviour is the study of how people interact in group settings.
This field of study includes areas of research dedicated to improving job performance,
increasing job satisfaction, promoting innovation, and encouraging leadership.
Organizational behavior can be studied using a variety of methods to collect data. Surveys
are a popular research method in organizational behaviour research. They involve asking
individuals to answer a set of questions, often using a Likert scale. The goal of the survey is
to gather quantitative data on attitudes, behaviour, and perceptions related to a particular
topic. In a similar manner, companies may perform interviews to gather data about
individuals' experiences, attitudes, and perceptions.
Recruitment
Organizational behavior research is used to identify the skills, abilities, and traits that are
essential for a job. This information is used to develop job descriptions, selection criteria,
and assessment tools to help HR managers identify the best candidates for a position. This is
especially true for roles that may have technical aspects but rely heavier on soft skills.
Training
Organizational behavior can be used to design and deliver training and development
programs that enhance employees' skills. These programs can focus on topics such as
communication, leadership, teamwork, and diversity and inclusion. In addition,
organizational behavior can be used to be better understand how each individual may
uniquely approach a training, allowing for more customized approaches based on different
styles.
Performance Management
Organizational behavior is used to develop performance management systems that align
employee goals with organizational objectives. These systems often include performance
metrics, feedback mechanisms, and performance appraisal processes. By leveraging
organizational behavior, a company can better understand how its personnel will work
towards common goals and what can be achieved.
Employee Engagement
Organizational behavior is used to develop strategies to improve employee engagement and
motivation. These strategies can include recognition and rewards programs, employee
involvement initiatives, and career development opportunities. Due to the financial
incentives of earning a paycheck, organizational behavior strives to go beyond incentivizing
individuals with a paycheck and understanding ways to enhance the workplace with other
interests.
Culture
Organizational behavior research is used to develop and maintain a positive organizational
culture. This includes devising strategies that supports employee well-being, trust, and a
shared vision for the future. As each individual may act in their own unique manner, it is up
to organizational behavior to blend personalities, integrate backgrounds, and bring people
together for a common cause.
▪ A thorough outline of specific tasks, expectations, due dates and resources involved in
the project.
▪ Project team members that will be sending and receiving project information.
▪ The type(s), expected frequency and preferred methods for which information will be
distributed.
▪ Possible inclusion of information related to team expectations, role responsibilities or
guidelines for status meetings and team meetings.
▪ The primary source where the communication will be stored and can be easily
retrieved throughout the project.
Project Execution and Control Phase
Compile and synthesize project status information. Note that:
▪ Based on project status, the form of communication as well as the recipients may vary
based on the impact of information being conveyed.
▪ As new information is received throughout a project, stakeholder needs may change
and/or additional stakeholders may be added to a previously created communication
plan. The plan must be updated to reflect the changing needs.
Project Closing Phase
Communication of project results and findings should include:
Clear determination of success metrics based on the originally established
measurements.Lessons learned for application into future organizational projects.
Communication plan leadership
Leadership is based on the idea of authority or power, although leaders do not
necessarily have much formal authority. Power may come either from the person’s
position (position power), from the person’s individual qualities (personal power) or
may be a mixture of the two. Position power has been further analysed into:
● coercive power, the ability to force someone to do something by threatening
punishment;
● connection power, which is based on having access to those who have
power;
● legitimate power, which is based on a person’s title conferring a special status;
● reward power, where the holder can give rewards to those who carry out tasks to his
or her satisfaction. Personal power, on the other hand, can be further analysed into:
● expert power, which comes from being the person who is able to do a
specialized task;
● information power, where the holder has exclusive access to information;
● referent power, which is based on the personal attractiveness of the leader.
Q 6 b)Explain about the Oldham Hackman job characteristic model under the
Staffing in Software Projects.
The Job Characteristics Model starts at this point. It suggests five core job dimensions
that must be present to generate positive work outcomes. These then lead to three
psychological states, and these states influence desirable work outcomes.
• Skill variety – This describes the range of skills and activities necessary to
complete the job. The more a worker is challenged to use a wide variety of
skills, the more satisfying the job is likely to be. Jobs that ask workers to make
decisions and solve problems will usually be more satisfying than jobs with
tasks that are routine and predictable.
• Task identity – This dimension measures the degree to which a person can
complete an activity or job in full. Workers who are able to take an activity
from start to finish are usually more satisfied. For example, sewing an entire
dress would be more satisfying than just sewing buttons onto it.
• Task significance – This looks at the impact and influence of a job. Jobs are
more satisfying if workers believe that they make a difference, and are adding
real value to co-workers, the organization, or the larger community. For
example, if a worker is interested in sports, constructing signs for the Olympic
games would be more satisfying than constructing signs for a new business
park.
• Autonomy – This describes the amount of individual choice and discretion
involved in a job. More autonomy leads to more satisfaction. For instance, a
job is likely to be more satisfying if people are involved in making decisions,
instead of simply being told what to do.
• Feedback – This dimension measures the amount of information a worker
receives about his or her performance, and the extent to which he or she can see
the impact of the work. The more that people are told about their performance,
the more interested they'll be in doing a good job.
According to Hackman and Oldham, these core job dimensions lead, to a greater or
lesser extent, to three different psychological states. These are:
According to the model, where people experience these states to a great extent, they
improve their outcomes, do higher quality work, and contribute more meaningfully to
the organization. This is what every manager wants!
Using the five core job dimensions, you can score each job by its potential to motivate
people. This is shown by the equation below:
From this equation, we can see that autonomy and feedback carry more weight than
any of the first three job dimensions. For instance, a job can be low on skill variety
and still have a reasonable MPS if autonomy or feedback are high. A job that's low on
either autonomy or feedback, though, will be scored significantly lower.