THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700
rodwelch@pacbell.net


S U M M A R Y


DIARY: April 28, 1995 08:30 AM Friday; Rod Welch

Attended seminar on planning research and technology projects.

1...Summary/Objective
......Presentation Improvement
......Submit Powerpoint File
2...Changes to Improve IT Planning and Management, Avoid Guess and Gossip
3...Cross Check Accuracy Using 2 Methods to Estimate Cost
4...Measure Twice Cut Once Works Improves Accuracy in Construction and IT
.....Murphy's Law & Risk Management
.....Economics 101: the Business Cycle
.....Pied Piper Leading Us Down Wrong Path
5...Realistic Planning - Estimate Ranges, Not Specifics
6...Productivity - Effort Variance - Risk
.....Resource Profile
.....Effort Variance Factor (EVF)
.....Risk Analysis
.....Overtime ("Whatever It Takes")
.....Ergonomics
.........Future PMI Seminar
.....Productivity in IT Has Declined
.....Information Highway (Revolution) Reduces Productivity
..................Connecting Information Creates Knowledge
7...Controls
......Reporting Supports Planning
8...Work Performance Data Base
.....20 80 Executive Management Method
9...Complexity & Risk
10...Follow Up
11...Sound Management Practice Saves Time and Money
.....Long Way Around is Short Way There
12...Measuring Actual Progress/Cost & Earned Value
13...Listening and Learning Strengthened by Doing as Well as Hearing
14...Seminar Presentations More Effective by Attendees Performing Tasks


..............
Click here to comment!

CONTACTS 

SUBJECTS
Estimating Research & Tech Projects, 950428
Proposals, Preparation to Win New Business
Bad Management Overwhelming Tendency Cheaper than Good Management
Seminar Project Management High Technology Estimating Cost Schedule N
Manual Given to Attendees Provides Work Product Deliberable to Enable

0807 -
0807 -    ..
0808 - Summary/Objective
0809 -
080901 - Follow up ref SDS 8 0000.
080902 -
080903 - Gopal Kapur presented ways to improve planning for IT projects using
080904 - sound practices for estimating cost and scheduling.  The presentation
080905 - supports POIMS principles, consistent with Cal Tech seminar on 921021,
080906 - Van Kasper's report on the "Information Revolution," the Asilomar
080907 - Conference on 940612 and the Kerzner Lecture a few months ago on
080908 - 950202.  These diverse sources indicate a strong pattern of emerging
080909 - awareness that better communication improves management.
080911 -  ..
080912 - Will contact Gopal and PMI about doing a seminar on communications to
080913 - show how the problems brought out in the lecture today can be solved
080914 - using communication metrics.
080915 -
080916 -    [...below, provided information on POIMS to Gopal's son, Raj.
080917 -    ref SDS 0 YG38
080919 -     ..
080920 -    [On 950502 this was done. ref SDS 12 0001
080922 -     ..
080923 -    [On 950601 applied these ideas in PMI events on communications...
080924 -    ref SDS 13 0989]
080925 -
080926 -
080928 -  ..
0810 -
0811 -
0812 - Presentation
0813 -
081301 - Gopal Kapur used Powerpoint to support his seminar.  Each slide is set
081302 - out in manuals provided to attendees.
081304 -       ..
081305 -      Presentation Improvement
081306 -      Submit Powerpoint File
081307 -
081308 -      The manual was excellent in providing extra pages for notetaking,
081309 -      however, this kind of information is difficult to roll over into
081310 -      controllable action items that are linked to original source
081311 -      material.
081313 -       ..
081314 -      It would be easier to analyse workshop materials and ideas, and
081315 -      therefore more likely to be applied, if we could get a disk with
081316 -      the Powerpoint file that can be converted to ASCII.  Attendees
081317 -      can then simply link things up, instead of re-entering what has
081318 -      already been prepared in the manual.  The workshop thesis that
081319 -      recycling knowledge has a big payoff (supported by POIMS, see
081320 -      ref OF 10 G15N) could be enhanced by providing a disk.  If there
081321 -      is an extra $10 or $20 charge, it would be well worth the cost to
081322 -      save many hours otherwise required to make the powerfull ideas
081323 -      and methods presented in the seminar readily available for follow
081324 -      up analysis and implementation.
081325 -
081326 -
081327 -
081328 -
081329 -
0814 -

SUBJECTS
Guesses Not Professional Estimate Project Management Planning Estimat
Estimating 2 Methods Use to Cross Check Improve Accuracy of Cost Esti
Measure Twice Cut Once Good Management Accuracy Carpenter Avoid Rewor
Center for Project Management Gopal Kapur Estimating 2 Methods Use to
Rework Avoid Use Carpenter's Practice Good management Measure Twice C
Estimating 2 Methods Use to Cross Check Improve Accuracy of Cost Esti
Communication Accuracy Measure Twice Cut Once Carpenter Avoid Rework
Accuracy Use 2 Estimating Methods to Cross Check Improve Cost Estimat
Good Management Accuracy Measure Twice Cut Once Carpenter Avoid Rewor
Seminar Project Management High Technology Estimating Cost Schedule N
Manual Given to Attendees Provides Work Product Deliberable to Enable
Guesses Not Professional Estimate Project Management Planning Estimat
Estimating 2 Methods Use to Cross Check Improve Accuracy of Cost Esti

2515 -
251601 -  ..
251602 - Changes to Improve IT Planning and Management, Avoid Guess and Gossip
251603 -
251604 - Gopal indicated IT planning is too often "guesses" (see p. 4 slides 49
251605 - and 51), prepared too quickly and without support, because there is
251606 - lack of training in professional procedures.  Managers pressured to
251607 - turn in optimistic figures.  Many engineers don't like to write
251608 - analysis on reasoning, problems, research, study and discovery for
251609 - constructing solutions.  Without leadership, engineers feel there is
251610 - not enough time to work intelligently by preparing contemporary
251611 - history to capture experience from work performed with an audit trail
251612 - linked back to objectives, requirements and commitments, as called out
251613 - by professional standards.  As a result, calculations of time and cost
251614 - are not supported in IT planning.
251615 -
251616 -     [On 950721 project management standards call for an audit trail
251617 -     showing traceability to original sources. ref SDS 15 1740
251619 -      ..
251620 -     [On 951221 article journal calls for contemperaneous documentation
251621 -     of software development. ref SDS 17 0966
251623 -  ..
251624 - Below, Gopal advises productivity in IT has declined. ref SDS 0 3921
251625 -
251626 -     [On 950705 poor management and engineering practices have bad
251627 -     consequences. ref SDS 14 2955]
251628 -
251629 -     [On 970619 article on management by "guess and gossip" and second
251630 -     guessing. ref SDS 21 7588]
251632 -      ..
251633 -     [On 990525 engineers don't want to read and write. ref SDS 32 0966
251635 -  ..
251636 - The class manual on p. 1 slide 17 shows 8 reasons for poor estimates.
251637 - Slide 39 on p. 3 shows why estimates fail.
251638 -
251639 -
251640 -
251642 -  ..
251643 - Cross Check Accuracy Using 2 Methods to Estimate Cost
251644 - Measure Twice Cut Once Works Improves Accuracy in Construction and IT
251645 -
251646 - Gopal recommends using at least two estimating procedures of the 4 or
251647 - 5 methods shown in the class manual.
251648 -
251649 -     He seems to favor:
251651 -             ..
251652 -         •  Effort Distribution (p. 5 at slide 58)
251653 -         •  Function Point  (p. 6 at slide 6)
251654 -         •  Deliverables Based (WBS)
251655 -
251657 -      ..
251658 -     Gopal's presentation seemed to indicate that Effort Distribution
251659 -     and Function Point are good order of magnitude estimating methods
251660 -     for evaluating feasibility.  As a project moves from feasibility
251661 -     to planning, more detailed estimates are prepared using...
251662 -
251663 -         •  Deliverables Based (WBS)
251664 -         •  Task and Resource
251666 -      ..
251667 -     Using 2 methods to improve the accuracy and usefulness of cost
251668 -     estimates aligns with traditional double entry methods for
251669 -     bookkeeping, cited in POIMS. ref OF 10 3I8M  In construction, good
251670 -     practice requires the carpenter to "measure twice and cut once" in
251671 -     order to avoid mistakes that otherwise accelerate costs from
251672 -     performing rework to make corrections, and so prevents meeting
251673 -     budgets based on estimated costs.
251674 -
251675 -          [On 971002 "measure twice cut once" common practice for cross
251676 -          checking to improve accuracy in construction, illustrated by
251677 -          defining "metrics" for communication based on experience on
251678 -          Oakland Harbor project. ref SDS 25 0240
251680 -      ..
251681 -     On 911123 Morris explained "feel good" management practice that is
251682 -     common in the technology sector. ref SDS 4 1331  Alignment and
251683 -     feedback fit the model used in legal practice for an appropriate
251684 -     communication "metric" to get an accurate story based on the
251685 -     evidence, reported on 950202.  Since accuracy to save lives, time
251686 -     and money conflicts with feel good management, described by Morris
251687 -     on 911123, lawyers are feared by those who fear the truth.
251689 -           ..
251690 -          [On 971008 USACE published a report showing that using SDS
251691 -          for Communication Metrics reduces the cost of rework by
251692 -          reducing mistakes. ref SDS 26 2710
251694 -           ..
251695 -          [On 980101 Peter Drucker commented during a public appearance
251696 -          that double entry bookkeeping is the best information
251697 -          technology he has seen for improving daily management.
251698 -          ref SDS 27 1368
251699 -
251700 -
251701 -
251702 -
2518 -

SUBJECTS
Downsize Reengineer Remove Management Levels Give People Computers fo
Murphy's Law Bad Luck Bad Management Not Prepared Good Luck Proactive

2704 -
270501 -      ..
270502 -     Murphy's Law & Risk Management
270503 -
270504 -     Gopal advised that poor planning and estimating in IT work
270505 -     presents a growing risk of survival in a maturing market, which is
270506 -     less able to buy-off the impact of mistakes that cause delays and
270507 -     cost overruns.
270509 -      ..
270510 -     Below, Gopal says engineers fail to use to good management.
270511 -     ref SDS 0 3921
270512 -
270513 -          [On 950705 complained about poor project management.
270514 -          ref SDS 14 2955]
270515 -
270516 -          [On 000125 report that most large IT projects fail.
270517 -          ref SDS 35 8960]
270519 -           ..
270520 -          [On 001012 frustrations lead to calls for moving forward even
270521 -          in the wrong direction. ref SDS 36 B4P2
270523 -      ..
270524 -     This arises because many IT projects are complex and so difficult
270525 -     to plan, and the team is anxious to work on the technology, rather
270526 -     than devote time to budgets and schedules.  As a result, figures
270527 -     are assembled to gain approval of a boss or the client, rather
270528 -     than reflect reasonably expected cost and schedule factors.  See
270529 -     also below. ref SDS 0 2310
270530 -
270531 -          [On 990525 Morris advised that Engineers do not like to write
270532 -          up analysis, because they want to work on the technology.
270533 -          ref SDS 32 0966]
270535 -      ..
270536 -     Often, or, at least, sometimes, this lack of planning and poor
270537 -     estimates turns out satisfactorily, or seems so for awhile,
270538 -     because favorable market conditions buy-off poor management, and
270539 -     this builds confidence in "sloppy" management practice.  When the
270540 -     larger project comes along, there is no tradition nor experience
270541 -     (organizational discipline/process) available to ensure that more
270542 -     attention is given to define scope, tasks, resources, durations,
270543 -     budgets and responsibilities. Without experience, needed analysis
270544 -     is overlooked in the rush to accomplish great deeds, be noticed,
270545 -     get a raise and so on.
270546 -
270547 -         [On 960125 meeting with Turner Construction reviewed role of
270548 -         tradition and culture that supports use of sound management
270549 -         practice, ref SDS 18 6930, and at ref SDS 18 6301]
270550 -
270552 -      ..
270553 -     Automated tools shorten the investment of time needed to prepare
270554 -     estimates.  This lowers the cost of estimating and planning, and
270555 -     thereby increases the range of occasions when sound practices can
270556 -     be employed.  This is the precise argument for using SDS, as set
270557 -     out in POIMS. ref OF 1 7117  However, without a tradition of
270558 -     applying sound management practices, even a minimal effort is
270559 -     avoided as unnecessary.
270560 -
270561 -
270562 -
270563 -
270564 -
2706 -

SUBJECTS
Recession, Reengineering/Downsizing from
Recessions, Imploding Management, Feel Good
Meltdown, Management Imploding on Itself
Pied Piper Leading People Down Wrong Path Entertainment Sweet Soundin
Pied Pipers of Change Reliance on Style Rather than Content Results i
Buy-off Mistakes Avoid Invest Sunshine Profits to Improve Management

3508 -
350901 -      ..
350902 -     Economics 101:  the Business Cycle
350903 -
350904 -     With the pace of business life increasing daily due to advances
350905 -     enabled by IT, successful firms, including in the IT sector, are
350906 -     racing to meet a destiny with disaster.  Soon business losses will
350907 -     begin to mount that cannot be covered up by "buying" more work, we
350908 -     will begin to read about recessions, "re-engineering," layoffs,
350909 -     and business cycle corrections.
350910 -
350912 -      ..
350913 -     Pied Piper Leading Us Down Wrong Path
350914 -
350915 -     The weaker firms will fade from the scene, and those who adhere
350916 -     most strongly to sound management practices will soldier on.  Once
350917 -     the weaknesses have been wrung out, business will begin to come
350918 -     back, people will get confident they can succeed by doing sloppy
350919 -     work, competition to tell the sweetest story will again fuel a
350920 -     race to cut corners, as the Pied Piper leads us back to
350921 -     overwhelming tendencies for embracing bad management.
350923 -      ..
350924 -     On 921205 reviewed Stephen Covey on "leadership" and "management"
350925 -     ref SDS 6 5940
350926 -
350927 -
350928 -
350929 -
350930 -
350931 -
3510 -

SUBJECTS
Estimating Research & Tech Projects, 950428
Proposals, Preparation to Win New Business

3804 -
380501 -  ..
380502 - Realistic Planning - Estimate Ranges, Not Specifics
380503 -
380504 - Gopal strongly suggests providing a range of values and project
380505 - durations, rather than a specific cost and date of completion (see p.
380506 - 18 slide 243)
380507 -
380508 -     Several attendees worried about the need to satisfy management
380509 -     goals on allocating budget authority in order to get approval for
380510 -     their project, and to meet commitments to customers, so they can
380511 -     make a sale.  Both the desire to get approval and to make a sale
380512 -     color estimates with self-interest desire to hold a job.
380514 -      ..
380515 -     Gopal feels estimates should always be accompanied by support
380516 -     information that shows the level of confidence management can
380517 -     place in cost and schedule projections, per above. ref SDS 0 GX5M
380518 -     Pressure to be a "can do" person, a "team player," that goes along
380519 -     with management's seat of the pants expectations, hopes and
380520 -     marketing promises to clients in order to make a sale, must be
380521 -     balanced with the prospect of equally unpalatable consequences if
380522 -     the firm "buys the job".
380524 -          ..
380525 -         Actually, I think more needs to be considered on this point.
380526 -         The ultimate scenario is that the "yes" people get the
380527 -         assignments, and then move up based on a record of being
380528 -         involved in big projects.  Others wind up stuck cleaning up
380529 -         the mess.
380530 -
380531 -
380533 -  ..
380534 - Productivity - Effort Variance - Risk
380535 -
380536 - Gopal seemed to indicate in explaining reduction estimate methods on
380537 - p. 5, that IT employees work an average of 17 days per month.
380538 -
380539 -     Initially this seemed startling, because the average work days per
380540 -     month in construction is 21 or even 22 days.  However, if
380541 -     vacations and sick days are included, then the number of days an
380542 -     employee actually works per month average out to less than 21 or
380543 -     22 days, and evidently in IT, this is 17 days.  This value is
380544 -     needed to resource load a schedule to calculate project duration.
380545 -
380547 -      ..
380548 -     Resource Profile
380549 -     Effort Variance Factor (EVF)
380550 -
380551 -     Gopal shows on p. 11 slide 142) a series of factors for adjusting
380552 -     "baseline" estimates of performing work.  "Baseline" values shown
380553 -     on p. 11 slide 135, are either published standards, or discerned
380554 -     from organization history discussed below under "Work Performance
380555 -     Data Base."
380557 -      ..
380558 -     Gopal said performance can vary by an order of magnitude (slide
380559 -     141) from one person to another, for a particular person from day
380560 -     to day, and under different conditions, and for a team from
380561 -     project to project.  This makes IT estimates inherently risky.
380562 -
380564 -      ..
380565 -     Risk Analysis
380566 -
380567 -     He feels consideration should be made to adjust every estimate for
380568 -     work variance factors. These include...
380569 -
380570 -        •  Skill
380571 -        •  Interruption (meetings, calls, reports)
380572 -        •  Assignment Loss (working on multiple projects)
380573 -        •  Influences (platform stability, tool maturity, vendor
380574 -           support)
380575 -
380577 -      ..
380578 -     Overtime ("Whatever It Takes")
380579 -
380580 -     I asked about the effect of people working longer hours and
380581 -     weekends which is common in IT work because of its "cutting edge"
380582 -     character?
380584 -      ..
380585 -     Gopal seemed to indicate this factor is reflected in the 17
380586 -     days/month standard.
380588 -      ..
380589 -     However, I was not sure how the factor of longer hours was
380590 -     actually reflected in the work days per month figure.
380592 -      ..
380593 -     Gopal pointed out the fall off in production that arises if too
380594 -     much overtime is used.  The corollary problem is people driving
380595 -     themselves because the work is interesting, beyond the point of
380596 -     diminishing returns.  This causes mistakes that extend the time
380597 -     and cost of the project even for well intentioned people.
380599 -      ..
380600 -     Working hard does not always mean working productively,
380601 -     particularly on sensitive knowledge work.  Management is
380602 -     responsible to provide oversight and guidance.
380603 -
380604 -
380605 -
380606 -
380607 -
3807 -

SUBJECTS
Ergonomics Impact Productivity Information Highway
Management productivity, Needs Integration
Ergonomics of Management Not Conducive to
Technology Productivity Declined Past 10 Years
Productivity IT Poor Because Refuse to Use Good Management
Programmers Resist Using New Tools, 000614
Fast Easy Create Code Before Design Requirements Productivity Poor IT
Productivity Fallen Past 10 Years Need Better Partnership between Lea
Technology Enables Accurate Timely Information Save Time and Money To
Listen Accurate Understanding Timely Follow Up Get Things Done Correc

7912 -
791301 -      ..
791302 -     Ergonomics
791303 -
791304 -     I asked if there have been any studies done that show the effect
791305 -     of different arrangements of work environment.
791306 -
791307 -         •  Desk and storage space
791308 -         •  Chairs
791309 -         •  Computer Power (e.g. using a 286 v. Pentium)
791310 -         •  Screen size for multitasking (17" or 21" v. 14")
791311 -         •  Windows v. Os2 v. DOS
791312 -         •  LAN Server wait times
791313 -         •  Lighting
791314 -         •  Proximity to colleagues, authority, information
791315 -         •  Access to colleagues, authority, client, information
791317 -      ..
791318 -     Often these factors vary as a function of hierarchy, rather than
791319 -     the need to turn out quality knowledge work in a timely manner.
791321 -      ..
791322 -     Gopal said ergonomics are important to productivity, but did not
791323 -     indicate how to include this in the estimate of how long work will
791324 -     take, or whether adjusting these factors can improve a flagging
791325 -     project.
791327 -          ..
791328 -         Future PMI Seminar
791329 -
791330 -         This might warrant an entire PMI seminar.  If you are going to
791331 -         do a "knowledge" (IT) project with a fixed budget and schedule
791332 -         target, then consideration beyond hierarchy must be given to
791333 -         how knowledge work is performed.  Management may need
791334 -         consciousness raising on this point.
791335 -
791337 -      ..
791338 -     Productivity in IT Has Declined
791339 -     Information Highway (Revolution) Reduces Productivity
791340 -
791341 -     Gopal said recent studies have shown that over the past 10 years
791342 -     the increase in the flow of information has significantly reduced
791343 -     productivity of knowledge work.  This is reflected in the "Work
791344 -     Interruption" factor shown in slide 142 on p. 11.
791346 -      ..
791347 -     Planning and good management practice are avoided under the excuse
791348 -     of "working on technology, rather than wasting time on paperwork,"
791349 -     reported above, ref SDS 0 7007, which then causes daily work to
791350 -     degrade toward entropy by relying on guess and gossip from using
791351 -     conversation to expedite.  This causes continual mistakes, noted
791352 -     by Kissinger reported on 940609 reviewing his book Diplomacy.
791353 -     ref SDS 7 4238  Mistakes require rework to recover, which causes
791354 -     cost and schedule overruns.
791355 -
791356 -         [On 950705 example of this impact. ref SDS 14 2955]
791358 -          ..
791359 -         [On 960205 study reports people waste 70% of day in
791360 -         unproductive meetings, in part because people do not invest
791361 -         time to be prepared. ref SDS 19 5902
791363 -          ..
791364 -         [On 960326 people resist reading the record to be prepared for
791365 -         working effectively. ref SDS 20 LO5G
791367 -          ..
791368 -         [On 950927 reviewed need for better management in talks with
791369 -         Intel. ref SDS 16 2867]
791371 -          ..
791372 -         [On 970707 government study identifies information entropy as
791373 -         cause of extra cost. ref SDS 22 0108]
791375 -          ..
791376 -         [On 970829 book cites information overload as main cause of
791377 -         management failure. ref SDS 23 2878]
791379 -          ..
791380 -         [On 970919 article reports IT has reduced productivity over
791381 -         past 10 years. ref SDS 24 4739
791383 -          ..
791384 -         [On 990226 report Intel product delayed due to poor
791385 -         engineering. ref SDS 30 0001
791387 -          ..
791388 -         [On 990524 proposed helping engineers apply good practices to
791389 -         improve productivity. ref SDS 31 0876
791391 -          ..
791392 -         [On 990524 report that managers avoid good engineering
791393 -         practices in order to save time. ref SDS 31 6892
791395 -          ..
791396 -         [On 990525 engineers resist writing the record so people can
791397 -         be prepared because people resist reading the record to be
791398 -         prepared. ref SDS 32 0966
791400 -          ..
791401 -         [On 990925 Intel product delayed again due to poor
791402 -         engineering. ref SDS 33 0001
791404 -          ..
791405 -         [On 000125 report that most large IT projects fail.
791406 -         ref SDS 35 8960]
791408 -          ..
791409 -         [On 001101 cause of poor productivity is poor engineering
791410 -         management practices, Linux, Mozilla are examples. ref SDS 37
791411 -         MX6H
791413 -          ..
791414 -         [On 010408 Gary reports IT is not effective for
791415 -         managing software projects. ref SDS 38 9H8H
791417 -          ..
791418 -         [On 020315 examples of preparing requirements after code is
791419 -         created. ref SDS 39 CP5K
791421 -      ..
791422 -     This seems to support the POIMS concept of Communication Metrics
791423 -     that continually...
791424 -
791425 -                  Connecting Information Creates Knowledge
791426 -
791427 -     ...to enable managers and engineers to more readily convert
791428 -     information into knowledge. ref OF 10 1105
791430 -      ..
791431 -     Gopal feels better communication improves project management.
791432 -
791433 -
791435 -  ..
791436 - Controls
791437 -
791438 - Gopal said that project "control" is a major project attribute that is
791439 - under utilized and this in turn results in failed projects and poor
791440 - estimates because of inadequate information from which to prepare
791441 - estimates.
791442 -
791444 -       ..
791445 -      Reporting Supports Planning
791446 -
791447 -      The importance of organizational history is shown on page 2 of
791448 -      the project manual.  It seems to support the POIMS concept of
791449 -      better "reporting" supports better "planning." ref OF 9 2300
791450 -
791452 -  ..
791453 - Work Performance Data Base
791454 -
791455 - Gopal said attendees can improve their project estimates and schedules
791456 - if they establish a method to collect information during project
791457 - performance on actual resources needed and problems encountered. This
791458 - information can then be analysed to develop standards to estimate and
791459 - plan future projects.
791461 -  ..
791462 - A number of attendees asked about how accurate performance information
791463 - can be provided without risk of being blamed for results that fall
791464 - below expectations?
791466 -  ..
791467 - Gopal recommended trying a reporting system that does not identify the
791468 - people who submit information.  This will produce more accurate
791469 - information.  He described a lock box his firm has used.  Employees
791470 - can prepare reports without their signature and drop them into the
791471 - lock box.  The information is then analysed and a report prepared to
791472 - identify estimating standards for future projects.
791474 -  ..
791475 - Gopal indicated they only need to report on 30% of the budget items or
791476 - scheduled activities, because for estimating and planning, they only
791477 - need information on controlling work.  This reduces the reporting
791478 - burden.
791479 -
791481 -      ..
791482 -     20 80 Executive Management Method
791483 -
791484 -     Gopal's recommendations seems consistent with industry practices
791485 -     using the "20 80" information management concept that executives
791486 -     use to avoid being overburdened by non-essential information.
791487 -     This method strives to identify 20% of daily working information
791488 -     that has 80% of the influence on events.  (See review of Axiom
791489 -     Management a few days ago on 950426. ref SDS 11 4022)
791491 -      ..
791492 -     Gopal mentions below that "earned value" methods are beginning to
791493 -     take hold which will require greater accountability, but may
791494 -     improve accuracy of the data base.
791495 -
791496 -
791497 -
791498 -
7915 -

SUBJECTS
Complexity Requires Technology/Specialists
Risk Management Requires Communication
Complexity Creates Risk, Managed by SDS

8505 -
850601 -  ..
850602 - Complexity & Risk
850603 -
850604 - There are good graphics on p. 10 in the manual, for evaluating the
850605 - level of risk in undertaking a new project.  The issues to be assessed
850606 - include:
850607 -
850608 -     •  Technical complexity
850609 -
850610 -        Do we have experience with this.
850611 -        Does anyone have experience with this.
850612 -        How much of what we want to create is entirely new
850613 -
850615 -         ..
850616 -     •  Business complexity
850617 -
850618 -        Objective      - vague or clear
850619 -        Markets        - familiar or unfamiliar
850620 -        Geography      - local or global
850621 -        Time           - loose or tight
850622 -        Finance        - adequate or tight, internal or loan
850623 -        Skills         - possess or hire/train or create
850624 -        Management     - experienced or inadequate
850625 -        Communication  - adequate or poor
850626 -
850628 -  ..
850629 - Gopal said a main indication of "complexity" in both technical and
850630 - business is the number of interface points required to accomplish work
850631 - by individuals.
850632 -
850634 -  ..
850635 - Follow Up
850636 -
850637 - Gopal asked attendees how they expect to apply the ideas presented
850638 - today to improve their work and organizations?
850639 -
850640 -    I suggested one method might be to apply Gopal's idea of first
850641 -    ensuring "understanding" of what has been presented relative to our
850642 -    organization's unique objectives and culture.  After we feel
850643 -    personal understanding has been attained, then prepare a memo to
850644 -    management showing what the organization got for its investment in
850645 -    sending the attendee to the conference.  Submit with a cover letter
850646 -    stating the two or three changes that might be instituted to
850647 -    improve earnings.  The memo itself would explain how improved
850648 -    earnings would be achieved.  Examples of changes might be:
850650 -          ..
850651 -      •  Provide professional estimating and planning training
850653 -          ..
850654 -      •  Perform better scope definition and discipline
850656 -          ..
850657 -      •  Develop performance data and use it to estimate and plan
850658 -
850660 -     ..
850661 -    These changes can be expected to improve earnings by:
850662 -
850663 -      •  Avoiding losses from improperly prepared estimates and plans
850664 -         that fail to allocate adequate budgets, and are unable to
850665 -         support management of projects to meet objectives.
850666 -
850667 -      •  Avoid losses from expending funds for changes that are beyond
850668 -         the scope of the project.
850670 -          ..
850671 -      •  Avoid loss of new business from inability to meet client
850672 -         expectations.
850673 -
850675 -  ..
850676 - Gopal introduced his son, Raj, who gave an overview of Kapur
850677 - Enterprise products and services.  We received literature explaining
850678 - how KE can help attendees implement the ideas presented today.
850680 -  ..
850681 - I gave Raj information on POIMS.
850683 -  ..
850684 - Raj will review POIMS, and let me know if KE would like to incorporate
850685 - Communication Metrics in its services, per planning above. ref SDS 0
850686 - 7K9K
850687 -
850688 -
850689 -
850690 -
850691 -
850692 -
850693 -
8507 -

SUBJECTS
Feel Good Management
Consistent Good Practice Needs Metrics,
Consistent use of Good Management Discovers
Long Way Around is Short Way to Success,
Long Way Around is Short Way to Success, Investing Paragidm
Intelligence Not Write Notes Twice Saves Time Avoids Mistakes Discove
Bumbling Comedy of Errors, Guess Gossip Hunch Hope
Write Notes Twice Not SDS Adds Intelligence to Management Proactive P
Reading Writing Not Enough Time

9511 -
9512 - Question Period
951301 -  ..
951302 - About 1400 Gopal opened up the session for questions from the
951303 - audience.
951304 -
951306 -  ..
951307 - Sound Management Practice Saves Time and Money
951308 -
951309 - Follow up ref SDS 11 T2WK.
951310 -
951311 - Jake described difficulties Joel Koppleman related at the PMI meeting
951312 - a few weeks ago, about using Primavera to plan and manage their IT
951313 - project to upgrade the Primavera CPM program to run under Windows.
951314 - ref SDS 9 2355
951316 -  ..
951317 - Jake asked what Gopal recommends to avoid what happened to Primavera?
951318 -
951319 -     Gopal said the major cause of extra cost and delay is the failure
951320 -     to use tools and good management methods known and prescribed by
951321 -     industry standards, because engineers avoid planning and analysis
951322 -     in order to focus on the "technology," per above. ref SDS 0 3921
951324 -      ..
951325 -     An example is on 890809 where technology executive does not have
951326 -     enough time for adding "intelligence" to management that avoids
951327 -     mistakes and discovers opportunity. ref SDS 2 8211  Stated again
951328 -     on 901007, ref SDS 3 5G5N; on 920513 manager for Navy Ship Repair
951329 -     did not have time for good management. ref SDS 5 5592  On 950426
951330 -     executive training fears executives are unwilling to invest time
951331 -     for avoiding mistakes. ref SDS 11 T2WK
951332 -
951333 -        [On 951221 article on engineering management cites advantages
951334 -        of documentation in software programming. ref SDS 17 0966]
951335 -
951337 -      ..
951338 -     Long Way Around is Short Way There
951339 -
951340 -     Management takes short cuts by relying on conversation instead of
951341 -     documentation.  Conversation seems fast and easy to expedite
951342 -     performance, and, also, save the time and cost for reporting and
951343 -     analysis.  This obscures visibility and early warning of mounting
951344 -     problems due to continuing ambiguity in the mind, which would
951345 -     otherwise be exposed by documentation, assuming the record of
951346 -     daily work is routinely captured and can be accessed quickly when
951347 -     needed to verify alignment, as enabled by SDS.
951348 -
951349 -        [On 950721 industry standards require an audit trail showing
951350 -        traceability to original sources to verify accuracy of daily
951351 -        working information. ref SDS 15 1740
951353 -         ..
951354 -        [On 980307 Andy Grove at Intel explained analysis resolves
951355 -        ambiguity of mental maps. ref SDS 29 3101]
951357 -         ..
951358 -        [On 991025 Peter Drucker calls for technology to "routinize"
951359 -        using good management. ref SDS 34 0785
951360 -
951362 -      ..
951363 -     When problems become visible, good communication skills offer
951364 -     plausible near-term explanations, i.e., cover-ups, often
951365 -     unwittingly, until near the end of planned completion.  Good
951366 -     communication skills are then used to deflect responsibility in
951367 -     order to avoid accountability.  Executives are left with the
951368 -     feeling people are not telling the truth, as in the Primavera
951369 -     case, reported two (2) days ago on 950426. ref SDS 9 3920
951371 -          ..
951372 -         [On 990525 Morris advised engineers are pressured by managers
951373 -         to avoid good management practice. ref SDS 32 0966]
951374 -
951375 -
951376 -
951377 -
951378 -
9514 -

SUBJECTS
Cost Management, C/SCSC

9603 -
960401 -  ..
960402 - Measuring Actual Progress/Cost & Earned Value
960403 -
960404 - I asked if IT firms use their estimates to report on actual costs and
960405 - progress, as for example using the earned value model?
960407 -  ..
960408 - I mentioned this in the context of Gopal's recommendation that IT
960409 - firms develop professional estimators and planners.  Metrics is an
960410 - area where these professionals could make a continuing contribution
960411 - during project implementation, as in the construction and defense
960412 - contracting industries.
960413 -     ..
960414 -     Gopal briefly explained earned value to the class.
960416 -      ..
960417 -     Gopal said the IT community is moving toward greater
960418 -     reliance on controls to manage work in progress.  Right now
960419 -     controls are mainly used to launch IT projects, but not to manage
960420 -     them.  He cited an example of Kapur client who used earned value
960421 -     on a recent project, and now expects to continue this practice.
960422 -     Gopal feels that in 6 years, there will be greater reliance on
960423 -     controls to manage progress on IT projects.
960424 -
960425 -
960426 -
960427 -
960428 -
9605 -

SUBJECTS
Presentation Methods

9703 -
970401 -  ..
970402 - Listening and Learning Strengthened by Doing as Well as Hearing
970403 - Seminar Presentations More Effective by Attendees Performing Tasks
970404 -
970405 - A strong point of Gopal's presentation are the several group
970406 - participation exercises he provided.  These are in the manual and
970407 - offer participants ways to recognize weaknesses in their knowledge
970408 - which the class can remedy.  They also provide energy and heighten the
970409 - attention of attendees by doing physical tasks, as well as listening
970410 - to expert commentary.
970411 -
970412 -
970413 -
970414 -
970415 -
970416 -
970417 -
970418 -
970419 -
970420 -
9705 -