Lecture 1 Summary

Introduction to Primavera Project Management Module

 Overview: Primavera P6 is a comprehensive, multi-project planning and control tool designed

for large organizations. It provides scalability for enterprise-wide project management.

 Database Support: Built on Oracle and Microsoft SQL Server, allowing for centralized data
storage.

 Core Features:

o Work Breakdown Structure (WBS): Hierarchically organizes project deliverables.

o Organizational Breakdown Structure (OBS): Represents management hierarchy.

o Critical Path Method (CPM) Scheduling: Calculates project schedules by identifying

critical activities.

o Resource Leveling: Ensures resources are evenly distributed across activities.

o User-Defined Fields & Codes: Customize fields to match organizational needs.

Why Primavera?

 Primavera P6 helps organizations manage projects in one central location, supporting real-time
collaboration on updates, issues, and status.

 Integration with ERP: Connects with ERP systems for seamless project and resource
management.

 Real-Time Analysis: Enables cross-project analysis, including earned value and resource
tracking.

Scheduling Techniques

 CPM (Critical Path Method): Focuses on the sequence of crucial tasks that directly impact the
project completion date.

 PERT (Program Evaluation and Review Technique): Adds a probabilistic approach to task
duration estimates, unlike CPM, which uses fixed durations.

Lecture 2 Summary

Project Portfolio Management (PPM)

 Purpose of PPM: Provides a centralized view of multiple projects, enabling efficient resource
allocation and strategic decision-making.

 PPM Benefits:

o Visibility: Detailed views from executive summaries to specific project plans.

 o Resource Optimization: Ensures resources are allocated based on organizational
priorities.

Project Roles in Primavera

 Network Administrators: Configure network for optimal performance, manage user access, and
maintain security policies.

 Database Administrators: Handle database setup, access rights, performance monitoring, and
backup procedures.

 Operations Executives: Strategic planners who analyze data across projects, prioritize initiatives,
and make funding decisions.

 Project Controls Coordinators: Oversee Primavera's implementation, set up organizational

structures (OBS, EPS), and manage security rights.

 Project & Program Managers: Ensure projects are completed on time and budget, allocate
resources, and communicate updates.

 Resource Managers: Plan and allocate resources, manage costs, and support project billing and
financial analysis.

Structuring Projects

 OBS (Organizational Breakdown Structure): A hierarchy representing the organizational

structure, showing roles and responsibilities.

 EPS (Enterprise Project Structure): A tree structure for organizing projects within the
organization.

 WBS (Work Breakdown Structure): A breakdown of project work into manageable sections,
with each WBS element representing a component of the project deliverable.

Lecture 3 Summary

Project Management Process

 Planning:

1. Define Project Scope: Identify all activities and their dependencies.

2. Determine Project Duration: Set start and end dates for the project.

3. Allocate Resources: Identify human, material, and financial resources needed.

4. Assign Tasks: Establish roles and tasks for team members.

5. Estimate Costs and Budget: Calculate projected expenses and set a baseline budget.

 Controlling:
 o Baseline Schedule: Save the original schedule as a reference to track deviations.

o Progress Monitoring: Compare actual progress against the baseline, assess budget
adherence, and make adjustments.

 Managing:

o Regular Updates: Update progress on a weekly or biweekly basis.

o Consistency: Establish a policy for routine updates to ensure accuracy.

Project Life Cycle

 Starts with planning and structuring, followed by scheduling, controlling, and managing until
project completion.

Lecture 4 Summary

Primavera Data Management

 Enterprise Data:

o Available across all projects, enabling centralized management.

o Includes EPS, OBS, project codes, cost accounts, and resources.

 Project-Specific Data:

o Exclusive to individual projects, such as WBS, activities, risks, and baselines.

 User-Specific Data:

o Tailored layouts, filters, and changes for each user, supporting personalized workflows.

EPS and OBS

 Enterprise Project Structure (EPS):

o Forms a hierarchical view of projects across the organization.

o Nodes represent different levels (e.g., department, project group).

 Organizational Breakdown Structure (OBS):

o Assigns managers at each level, ensuring responsibilities are clear.

o Aligns with EPS to manage resources and accountability.

Lecture 5 Summary

Work Breakdown Structure (WBS)

  WBS Overview:

o Divides projects into smaller, manageable components.

o Ensures each part of the project aligns with organizational goals and reporting
requirements.

 Attributes of WBS:

o Every project has a unique WBS structure.

o Can assign responsibility to specific managers for each WBS component.

o Supports cost tracking, activity grouping, and schedule monitoring.

 WBS Dictionary:

o Contains detailed descriptions and codes for each WBS element, viewed in table, chart,
or Gantt format.

Activity Details

 Activity Types:

o Task Dependent: Fixed duration, independent of resource availability.

o Resource Dependent: Adjusts based on resource availability and individual calendars.

o Milestones: Zero-duration activities marking significant project phases.

o Level of Effort: Ongoing tasks without direct deliverables (e.g., project management).

o WBS Summary: Summarizes activities within each WBS level.

Lecture 6 Summary

Primavera Activity Types

 Task Dependent: Completes within a set duration, regardless of resource changes.

 Resource Dependent: Duration adjusts based on available resources.

 Start & Finish Milestones: Mark critical start and end points of project phases.

 Level of Effort: Spans the entire project for tasks like administration, unrelated to direct
deliverables.

 WBS Summary: Aggregates activities within WBS for resource estimation and high-level
progress tracking.

Work Breakdown and Scheduling

 Scheduling Techniques:
 o Forward Pass: Calculates earliest possible start and finish dates.

o Backward Pass: Determines the latest dates for activities without delaying the project.

 Critical Path:

o The longest sequence of dependent activities that determines the project duration.

o Total Float: Time by which an activity can be delayed without affecting project end
dates.

Lecture 7 Summary

Duration Types in Primavera P6

 Fixed Duration & Units: Activity duration remains fixed, and units are adjusted as needed.

 Fixed Duration & Units/Time: Duration and rate of work are set; used when output per day is
fixed.

 Fixed Units: Work effort is constant, useful for activities with budget limitations.

 Fixed Units/Time: Keeps the work rate steady even if duration changes.

Percent Complete Types

 Duration % Complete: Calculates progress based on planned and remaining durations.

 Physical % Complete: Entered manually, often used with Steps to track task completion.

 Units % Complete: Tracks completion based on resource units assigned, updated via timesheets.

Lecture 8 Summary

Network Logic Diagram and Precedence Diagramming

 Network Logic Diagram: Represents activities and their dependencies within a project.

 Precedence Diagramming Method (PDM):

o Boxes represent activities, and arrows denote dependencies (e.g., Finish-to-Start, Start-
to-Start).

 Relationship Types: Defines activity dependencies and includes lags (delays) between tasks.

Critical Path Method (CPM)

 CPM Scheduling:

o Identifies critical activities that directly affect the project’s completion.

o Circular Relationships: Loops cause errors in scheduling and need correction.

 o Open Ends: Activities without predecessors/successors, resulting in unrealistic float
values.

Important Topics

Roles in Organization

Primavera involves multiple roles to ensure project success by overseeing specific functions related to
planning, execution, monitoring, and resource allocation:

1. Network Administrators:

o Responsible for configuring and maintaining the enterprise’s network to support

Primavera applications.

o Ensures secure user access and maintains a security policy to protect data from
unauthorized access.

o Manages reliable network connections for fast data transfer and regularly updates
network resources and user identities.

2. Database Administrators (DBAs):

o Setup and manage the Primavera database, assigning access rights to users.

o Install, configure, and upgrade the database server software.

o Establish database security protocols, manage user roles and permissions, and create a
backup and recovery strategy.

3. Operations Executives:

o Senior-level strategic planners who analyze resource, cost, and schedule data across
projects.

o Responsible for high-level project prioritization, business entity profit/loss analysis, and
go/no-go decisions on projects.
 o Focus on aligning projects with business strategies, managing funding, and overseeing
the project portfolio.

4. Project Controls Coordinators:

o Oversee Primavera implementation to ensure seamless operation and project alignment

with company policies.

o Set up essential structures like EPS, OBS, and define custom fields and codes.

o Collaborate with executives to assign resources and define security rights in Primavera.

5. Program Managers:

o Manage multiple related projects or high-level tasks, ensuring they are completed on
time and within budget.

o Use Primavera to perform cross-project analysis, prioritize resources, and plan projects
before they are funded.

6. Project Managers:

o Oversee individual projects, ensuring tasks are completed within scope, time, and
budget constraints.

o Allocate resources, communicate progress, and handle updates in collaboration with

project stakeholders.

7. Resource & Cost Managers:

o Plan and allocate resources across projects and monitor costs.

o Handle hiring, training, and resource management for efficient resource usage across
projects.

o Perform financial analysis, manage project billing, and integrate financial data.

8. Team Leaders and Members:

o Team Leaders: Manage a team and specific parts of a project. They prioritize tasks and
ensure short-term goals are met.

o Team Members: Skilled contributors who track task progress, update timesheets, and
report task completion.

EPS, OBS, Calendar

These structural elements allow Primavera to organize projects and manage resources across various
organizational levels.

1. EPS (Enterprise Project Structure):

 o A hierarchical structure organizing all company projects, with divisions representing
different departments, project types, or locations.

o Supports cross-project data roll-ups for comprehensive views of costs, timelines, and
resource allocation across the enterprise.

o Allows projects to be grouped under specific nodes, such as divisions or project

categories, to monitor scope, priority, and budgets.

2. OBS (Organizational Breakdown Structure):

o Represents the organization’s management hierarchy, showing roles and responsibilities

associated with specific projects or tasks.

o Aligns with the EPS, assigning responsible managers to specific nodes or projects to
ensure accountability.

o Supports centralized resource management by linking project managers and

department heads with specific WBS elements, ensuring clear responsibilities.

3. Calendar Types in Primavera:

o Global Calendar: Available across all projects and commonly used for defining standard
work hours, national holidays, and other general working/non-working days.

o Project-Specific Calendar: Unique to individual projects, defining specific working days,

non-working days, and shifts for project activities.

o Resource-Based Calendar: Linked to individual resources to manage their availability

across projects, accounting for vacations, personal leave, and resource-specific
workdays.

Calendars are essential in scheduling as they define work hours, holidays, and time off, which impacts
project timelines and resource availability.

Activity Types & Project

Primavera categorizes activities into various types, each suited to different project needs. Understanding
these types ensures appropriate scheduling, resource allocation, and project tracking.

1. Task Dependent:

o Activities with a defined start and end time, scheduled independently of resource
availability.

o Primarily relies on the activity calendar for its schedule.

o Useful for tasks that need to be completed within a specific timeframe regardless of
assigned resources.

2. Resource Dependent:
 o Scheduling adjusts based on the resources assigned, allowing each resource’s availability
to influence the task duration.

o Suitable for activities where the pace of work depends on the availability and work
hours of individual resources.

3. Milestones:

o Start Milestone: Marks the beginning of a significant project phase. It has no duration
and only has a start date.

o Finish Milestone: Indicates the end of a project phase or a critical project deliverable.
Like start milestones, it has zero duration and only a finish date.

4. Level of Effort (LOE):

o Used for tasks that span the entire project duration but don’t produce specific
deliverables, like administrative work or project management.

o Their duration is determined by predecessor and successor relationships, and they

expand or contract with the project schedule.

5. WBS Summary:

o Rolls up activities within a WBS level to provide a high-level view of the project phase.

o Useful for summarizing project progress and managing resource allocations at the WBS
level.

Percent Complete Types

Primavera offers three methods to track progress, each providing different insights into task completion.
Selecting the appropriate percent complete type depends on the nature of the task and available
resources.

1. Duration % Complete:

o Calculated based on the planned versus remaining duration of a task.

o Automatically adjusts remaining duration when a % complete value is entered.

o Suitable for ongoing tasks where elapsed time reflects progress rather than specific
deliverables.

2. Physical % Complete:

o Progress is manually updated by the user, allowing precise tracking based on completed
steps or physical work done.

o Often used in conjunction with Steps, where each step represents a portion of the work.
Each completed step updates the Physical % Complete.
 o Manual Duration Adjustment: Remaining duration isn’t automatically calculated; users
must enter it or set an Expected Finish date.

3. Units % Complete:

o Tracks progress based on actual units of work completed, often associated with
resources assigned to the activity.

o Updates are made through timesheets or manually, showing how much of the allocated
resource units have been used.

o Effective for resource-intensive tasks, but the completion rate doesn’t always equate to
progress achieved, as units used doesn’t always imply task completion.

Case Study: Applying Primavera Concepts to Project Management

This case study outlines a step-by-step approach to managing a project using Primavera, from planning
through controlling and managing.

1. Planning:

o Define Scope: Identify all project activities and their dependencies, using WBS to break
down the project into manageable components.

o Set Duration: Determine project start and end dates, based on critical tasks and
resources.

o Allocate Resources: Use EPS to assign resources efficiently across projects and ensure
availability for scheduled activities.

o Budget Estimation: Calculate the expected costs and allocate resources in line with
budget constraints to establish a financial baseline.

2. Scheduling:

o Use Critical Path Method (CPM): Identify critical activities in the project plan. The
critical path determines the project duration, highlighting activities that directly impact
project completion.

o Define Relationships and Dependencies: Use Precedence Diagramming Method (PDM)

to map dependencies, setting relationships like Finish-to-Start, Start-to-Start, and lags
where necessary.

o Baseline Schedule: Save the original schedule as a reference point to track progress and
measure deviations over time.

3. Controlling:

o Monitor Progress: Use the baseline to compare current status against the planned
schedule, observing time and budget variances.
 o Adjustments and Contingency: Make adjustments for any deviations from the baseline,
using float calculations to manage delays within allowable limits.

o Resolve Loops & Open Ends: Ensure logical sequencing in the schedule by eliminating
circular relationships (loops) and addressing open-ended activities for accurate
scheduling.

4. Managing:

o Regular Updates: Establish a consistent update schedule (e.g., weekly or biweekly) to

input actual start and finish dates, resource consumption, and budget changes.

o Team Coordination: Keep all team members informed about any schedule changes,
delays, or scope adjustments, ensuring collaborative effort and alignment.

o Final Review and Reporting: Use Primavera’s reporting tools to generate performance
summaries, cross-project reports, and detailed analyses for management and
stakeholders.