Learn the differences between Critical Chain Project Management and Critical Path.
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ProjectManager.com Director Devin Deen presents the history of critical chain project management and its advantages over the long standing critical path methodology.
He explains how this style of project management came out around 1996-1997 when Eliyahu Goldratt published his book, Critical Chain Method.
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It won’t work. Consider this, the Resource A (R.A) estimates time to complete Work Package 1 (WP.1) in T time. The PM compresses schedule for WP.1 to T/2 time (plus T/2 buffer). Now, R.A will finish late and use buffer time, or finish in T/2 time and submit incomplete work with hidden errors. R.A knows he/she is now underperforming and feels bad about it. For the next Work Package B, R.A will submit time estimate of 2T. The PM will half it to T and allocate a buffer T. This will allow R.A to comfortably complete WP.2 on time. It will also wise up other resources to use inflated numbers in their estimates. Great, isn’t it?
Another problem is, what happens if there is dependency, if R.A has to hand in completed WP.1 to Resource B. As I mentioned above, Resource B will either receive incomplete package on time, or will have to delay working on WP.1 because R.A is late and is using extra time from buffer.
Also, this completely goes against principles of agile (self-organizing teams, and what not).
Robotically cutting their expected completion time by 50% is a great way to loose your best employees. Instead you should explain to them the urgency, ask them for a best case and worst case, and then expect from them the best case, but your buffer is added by (worstcase - bestcase)/2 for each task. Everything else he says is good. Shareholders have a expected delivery date of bestcase plus percentage buffer or buffer left whichever is less (if you are halfway through and buffer is gone then you need to crash or fast-track to get back the lost buffer). Also, you should always refer to your used or remaining buffer status in terms of percent, not hours.
This was FANTASTIC!! You are a great communicator and I would think this method suits better than Critical path as that is more rigid and introduces possibilities for less or more effort from the project team. Love it!
When I typed in "Chain Thinking" I wanted to see if there was anyone else that did it. What I mean by chain thinking is sometimes I start thinking about something then end up thinking about something totally different. For example, I think about Basketball then end up thinking about Chinese board games. I can't really explain it just happens.
If you want to learn more about the phenonemon you're describing and how to utilize it in a creative process, you might want to look into the concept of "mind mapping" ( https://en.wikipedia.org/wiki/Mind_map )
No! If anything, it is more important that it be thoroughly communicated with the project team. One of the difficulties in making introductory videos on Critical Chain (and this is a very good one) is that it is easier to explain that we cut task estimates than it is to explain why we cut task estimates. One big part of this is that estimates are just that, estimates! When I worked in 'traditional' PM, If I gave an estimate of 40 hours to complete a task, I expected that I would finish within the 40 hours. I knew that if I were late, then the next task would start and probably finish late. A quick cost benefit analysis told me that it was better to finish early than late. No one ever gave me kudos for finishing early and I received several 'what happened' when I was late. Experience has shown that people give an estimate that they can hit about 85% of the time.This is not being coy or unethical, it was my realistic estimate of when I was very confident that I could finish. Experience has also shown that the variability in these estimates effectively doubles the time to complete. Part of this is the CYA above and part is due to multi-tasking with my other project responsibilities. What never seems to come across in these videos is that after an organization has used CCPM for a while, and people understand that they are to provide 50% vs. 85% estimates, and they do not get yelled at when finish an individual task late, then they start to give aggressive dates to begin with and the buffer is added to their estimate (usually at a 50% add-on). This effectively is the same thing as described in the video with the 'cut 50%' part removed. Getting back to your question, for this to evolve successfully, the project team needs to understand the culture change required for CCPM.
Portfolio management is the art and science of making decisions about investment mix and policy, matching investments to objectives, asset allocation for individuals and institutions, and balancing risk against performance. Portfolio management is all about determining strengths, weaknesses, opportunities and threats in the choice of debt vs. equity, domestic vs. international, growth vs. safety, and many other trade-offs encountered in the attempt to maximize return at a given appetite for risk.
Strategic Asset Allocation.
The Key Elements of Portfolio Management.
Portfolio Management Tips for Young Investors.
One of the reasons most often given for not investing is a lack of knowledge and understanding of the stock market. This objection can be overcome through self-education and step-by-step through the years because investors learn by investing. Classes in investing are also offered by a variety of sources, including city and state colleges, civic groups, and not-for-profit organizations, and there are numerous books aimed at the beginning investor.
Early Higher Risk Allocation.
An Exemplary Egg.
The idea is to select stocks across a broad spectrum of market categories. This is best achieved through an index fund. Aim to invest in conservative stocks with regular dividends, stocks with long-term growth potential, and a small percentage of stocks with better returns or higher risk potential.
Certain AAA-rated bonds are also good investments for the long term, either corporate or government. Long-term U.S. Treasury bonds, for example, are safe and pay a higher rate of return than short- and mid-term bonds.
Keep Costs to a Minimum.