ISBN 9788131522646,Quantitative Methods In Project Management

Quantitative Methods In Project Management



Cengage Learning

Publication Year 2014

ISBN 9788131522646

ISBN-10 8131522644


Number of Pages 288 Pages
Language (English)

Business & management

This is a practitioners book, combining theoretical and practical applications for project professionals. It is a loosely coupled work flow that takes PMs through the most important quantitative methods, integrates them and shows interrelationships that cannot be obtained by separate readings. These practical methods can be applied easily by project practitioners who are not steeped in theory and need to know how to make everyday use of numerical analysis in projects. This book also covers financial and life cycle risk as well as risk for the project itself and contains unique extensions to earned value and project initiation. This book will be of particular interest to project managers, program managers, project administrators, system engineers, cost and risk estimators, as well as continuing education and seminar providers.

Many J. Ross Publishing customers have purchased John Goodpasture's Quantitative Methods in Project Management with David Rico's ROI of Software Process Improvement - a book that masterfully illuminates complex topics in ROI.

Introduces probability and statistics for the project manager and discusses their importance for setting achievable expectations and managing risk.
Discusses the work breakdown structure and its connection to the company general ledger with examples of estimates using different methods, under various states of uncertain and incomplete information.
Covers decision trees and decision tables used for quantitative decision making and includes examples of simple trees, trees with independent conditions and trees with dependent conditions.
Explains risk-adjusted methods in capital budgeting and introduces the concepts of expense accounting and earned value.
Examines the numbers and provides insight on project contracting as a risk management tool.
Covers special topics such as hypothesis testing, regression analysis, probability-impact analysis, Six Sigma and QFD analysis.

About the Author

John C. Goodpasture is President, Square Peg Consulting, Inc., a consulting firm in the field of project management. He has an MS in Electrical Engineering and over 35 years of work experience in complex multi-million-dollar programs and projects in the defense, intelligence, aerospace and commercial industries. John is the author of Managing Projects for Value, has authored dozens of articles in PM Network magazine and has authored and presented numerous papers and several unique quantitative techniques to PMI National Symposium. He is an experienced and sought-after speaker, instructor and lecturer.
Table of Contents
1. Project Value - The Source of All Quantitative Measures

Successful Projects
Business Value Is the Motivator for Projects
A Framework for Value, Risk and Capability - The Project Balance Sheet
2. Introduction to Probability and Statistics for Projects

There are No Facts about the Future
Probability, What do We Mean by It?
Random Variables and Their Functions in Projects
Probability Distributions for Project Managers
Key Statistics Used in Projects
The Arithmetic of Operations on Statistics and Random Variables
Probability Distribution Statistics
The Central Limit Theorem and Law of Large Numbers
Confidence Intervals and Limits for Projects
Covariance and Correlation in Projects
3. Organising and Estimating the Work

Organising the Scope of the Work
Estimating Methods for Projects
4. Making Quantitative Decisions

A Project Policy for Decisions
The Decision Tree
Decision Tables
Decisions and Conditions
5. Risk - Adjusted Financial Management

Financial Statements
Capital Budgeting
Discounted Cash Flow
6. Expense Accounting and Earned Value

The Expense Statement
Applying Three - Point Statistical Estimates to Cost
The Earned Value Concept
Preparing the Project Team for Earned Value
Applying Earned Value
Time - Centric Earned Value
7. Quantitative Time Management

Quantitative Techniques in Time Management
Setting the Program Milestone
The Schedule Network
The Critical Path Method
The Central Limit Theorem Applied to Networks
Monte Carlo Simulation of the Network Performance
Architecture Weaknesses in Scheduling Logic
Rolling Wave Plan
The Critical Chain
8. Special Topics in Quantitative Management

Regression Analysis
Hypothesis Testing
Risk Management with Probability Times Impact Analysis
Six Sigma and Project Management
Quality Function Deployment
9. Quantitative Methods in Project Contracts

Project Contracts
The Mathematics of Project Contracts