The first stage in the bottom-up cost estimating process is to compile a complete list of every known item that is going to cost money. This can prove difficult. But any item inadvertently left out of the cost estimates will result in an underestimate for the project as a whole. This can jeopardize planning and scheduling, and (if not realized in time) lead to serious problems and red faces when the time comes to hand the project over to the customer. And, of course, if the project has been sold for a fixed price, the additional work must be paid for not out of the budgeted project funds, but from the contractor's expected profits.
Preparation of a work breakdown, complete with cost codes, is a logical way of considering the total project, and should reduce the risk of errors of omission. At the outset of a project, however, the work breakdown can usually only be compiled in fairly broad terms. Many of the smaller items will remain unknown or ill-defined until the project has advanced well into its engineering design phase. In many cases a detailed work breakdown will not be possible until long after the contract has been signed and everything has become a firm commitment. A fair degrees of judgment is therefore necessary in deciding what should go into the earliest version of a project task list.
One very useful way of helping to prevent forgotten tasks is to use checklists. Every company with sufficient experience can develop these. A full checklist would include all possible factors ? technical, commercial, statutory, environmental, social, and so on ? that might eventually have a bearing on the work and its costs. Some checklists can be long and detailed documents: typically they list as many possibilities as the compiler can think up, so that they must inevitably include some irrelevancies and seem tedious. However, it is in this very wealth of detail that the importance and strength of checklists lie.
The task list must include not only all the obvious items of project hardware, but also every associated software job. 'Software' is a familiar term in the context of computers and IT projects, but most projects quite remote from computer work have their own software content. Schedules for production inspection and testing, instruction and maintenance manuals, lists of recommended spares and consumable items may have to be specially written. These, together with any other documentation specified in the proposal or contract, are software tasks which must usually be allowed for in the estimated costs.
Activities often forgotten during the estimating phase of manufacturing projects, only to be remembered too late for inclusion in the project budgets (and price), include incidental processes such as paint spraying, heat treatments, inspection and testing. In some firms these may be covered b y the general overhead rate, but in many others they will not, and must be listed among the direct cost estimates. Protective plating, silk screen printing, engraving and so on are frequently omitted from estimates.
Project Management Task List
Project managers manage...projects! Or, do they? Actually, I put forth that, at the end of the day, all project managers do is manage tasks. In fact, in a final analysis, all any manager does ultimately is manage tasks. This premise is based on the idea that, again in the final analysis, all that matters is action -- and action comes in the form of performing tasks. What various levels of management - i.e. project, department, organizational, and the like - do is simply manage more complex collections of tasks. But, in the end, all that matters is the execution of those tasks, because that is where the action takes place.
Managing Tasks on a Project
The function of scoping, planning, controlling, managing risks, and more is all about figuring out what tasks are to be done and making sure they get done (at the right time and in the right order). But without the execution of those tasks, any upstream job function, such as the planning and so forth, are a waste of time. Getting the tasks done is what it is all about; and anyone aspiring to get into project management needs to know how to get tasks done -- and how to lead others to do so.
Managing Tasks in a Department
Keeping a department going on a day to day basis involves spending time "at the edge", or on the exception. It involves being both reactive, as processes are monitored and adjustments are needed, and it involves being proactive, as projects are undertaken to improve and advance the processes that exist within the department. Being good at managing change is being a good planner; but sound task management, at the end of the day, is where all the action that matters takes place. Without that action on the tasks, no planning or other managing is needed.
Managing Tasks in an Organization
Action in an organization is a collection of executable tasks within the organization. Making that action take place where it counts the most is the job of upper management. Understanding how to get things done, as well as what, why, when, where, and who, is what leadership is all about. All executives must be good at task management in order to perform effectively.
The Knowledge Economy and Task Management
The knowledge economy has a close relationship with task management; but, unfortunately, people often lose sight of the relationship. In the distant past, it used to be that an individual would be responsible for many tasks, and that is still true in many small businesses. For example, even today, a small proprietor of an auto body shop is usually intimately familiar with every detail of operations, from estimating and business development, to repairing auto bodies, to administration and finance. Much of the high-level-knowledge management work, because it is in one head, is simply executed.
In larger organizations, by contrast, a great deal of collective effort might be put into the process of just turning a bolt. For example, on a manufacturing production line, a worker may need to place a panel and connect it using a couple of bolts. The action of performing this task ends up being a small fraction of the total cost of completion. Behind the task, we will likely find work studies, statistical analysis, much planning and coordination, product design scenarios, and more - all culminating in someone tightening a couple of bolts. Without the tightening of those bolts by hand, all of the upstream work is for naught. Everyone working in "knowledge management" needs to recognize the ultimate goal of their efforts -- maintain perspective on the main objective.
Personal Time Management and Task
It is easy to become frustrated with personal time management and, sometimes, even more frustrated with much more complex challenges. It always comes back to task management, no matter what level is being worked. For example, managing a project is simply an umbrella over a more complex set of tasks, and the only thing that really moves the project forward is the completion of those tasks. A similar statement can be made about department management or organization management.
A more complex situation, such as building a system, or building a building, proves the point. In the end, after all the planning, meeting, discussion, and thinking, what is left is a set of tasks that, if completed on time and within budget to proper quality standards, brings about a successful project. So it is simply a collection of everybody's task lists, alignment with the strategy, and properly prioritizing and sequencing what ties together time and task management. And, in the end, it's all about task management.
Both John Reynolds & John Reiling are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
John Reynolds has sinced written about articles on various topics from Management, Family and Home. John Reynolds has been a practicing project manager for nearly 20 years and is the editor of an informational website rating project management software products. John Reynolds's top article generates over 2400 views. Bookmark John Reynolds to your Favourites.
John Reiling has sinced written about articles on various topics from Management, Facts about Barack Obama and Education. John Reiling, PMP, has experienced portfolio, program, and project management in organizations of all sizes. John's web site Project Management Training Online pr. John Reiling's top article generates over 9900 views. Bookmark John Reiling to your Favourites.
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