AN AL YT IC AL I NSI GH T, GL O BAL L E AD ER S

MGMT 562: Project Management

Fall 2017, Module 1
Instructor: Mengshi Lu
E-mail: lu420@purdue.edu
Office Hours: Wednesday 10-11 am
Office: 517 Krannert Building
Class Meetings: Lectures: MW 2:50 4:20pm, 4054 Rawls Hall; Lab sessions: TBA

Course objectives
This course seeks to introduce different phases of managing projects from conception to termination with particular
emphasis on quantitative tools for planning, scheduling, resource allocation, monitoring, and control. In addition, topics
such as risk management, communication, and conflict management will be covered. Students will also gain a working
knowledge of both @RISK and MSProject software.

Course Materials
Announcements, updated schedules, assignments, class notes, etc. will be posted on Blackboard.
1. Required Course Packet: Available at Purdue Union Copy Center
2. Recommended Book: Microsoft Project 2013 Step by Step (Chatfield and Johnson)
3. Recommended Book: Critical Chain (Goldratt)

Email Policy
Please include MGMT 562 in the subject line of all emails and enough information in the body of the email that I can
answer your question in a single response. I do my best to respond within one day during the week and two days on the
weekend. Appointment requests should be sent at least 48 hours in advance through MSOutlook.

Course Grades
Attendance and Class Participation 20%
Group Assignments 60%
Individual Assignments 20%

Final grades will be assigned according to the Krannert grading policy for masters courses (see
http://www.krannert.purdue.edu/masters/student-life/academics/grading-policy/home.asp): The target grade
distribution for elective courses is 40-50% A/A- , 40-55% B+/B, 0-10% B-, and 0-5% C+ or below resulting in
approximately an average GPA of 3.42 for each elective course where the GPA is calculated as A = 4, A- = 3.70, B+ = 3.30,
B = 3.00, B- = 2.70, C+ = 2.30, C = 2.00, C- = 1.70, D = 1.00 and F = 0.00.

Attendance and Class Participation

Students are expected to attend all class sessions and prepare by reading assigned course material and/or
preparing assigned discussion questions.

1
 Students must try to schedule job interview travel and other appointments so they do not conflict with class
meetings.
Students with a medical or other emergency must notify the instructor at the earliest possible opportunity and
may be required to provide appropriate documentation.
Attendance and participation grades will include participation in class discussion, participation in small group
activities, the quality of work handed in for small group activities, peer evaluations, and self-evaluations in both
Week 4 and at the end of the term.
If, at any point during the module, I feel that many students are not doing the required reading and class
preparation, I reserve the right to give unannounced quizzes that will be considered part of your attendance
and participation grade.
The following rubric will be used to determine a percentage grade:

<65% 65-74% 75-84% 85-94% >94%

Does not listen to Student is often Student is mostly Student is attentive Student listens
others; regularly inattentive and uses attentive when when others present attentively
talks while others cell phone in class. others present ideas, ideas, as indicated by when others present
speak or does not but rarely builds on comments that materials,
pay attention while Shows evidence of others remarks or reflect & build on perspectives,
others speak; inconsistent questions. others remarks. as indicated by
detracts from preparation. comments
discussion; uses Shows cursory Sometimes shows that build on others
laptop or cell phone Comments are evidence of having evidence of having remarks
in a distracting sometimes completed course completed course
manner during class. constructive, but readings prior to readings and thought Regularly shows
occasionally class. critically about evidence of having
Shows little evidence disruptive or out of discussion questions completed course
of appropriate turn. Comments are prior to class. readings and thought
preparation. sometimes critically about
Participates constructive, with Comments mostly discussion questions
Comments are minimally in small occasional signs of insightful & prior to class.
generally vague or group activities. insight. Student does constructive; mostly
drawn from outside not use appropriate uses appropriate Comments always
of the assigned terminology; terminology; insightful &
material comments occasionally constructive; uses
not always relevant comments are too appropriate
Does not participate to the discussion general or not terminology.
in small group relevant to the
activities. Participates fully in discussion. Often takes a
small group leadership role in
Misses more than activities. Sometimes takes a small group
one class meeting. leadership role in activities.
small group
activities.

Group Assignments
Group assignments are case-based executive summaries to be completed in groups of 3-4 students. Assignments should
be submitted PRIOR TO CLASS on the due date given in the schedule below. As we will discuss the homework in class, no
late work will be accepted. Full guidelines for executive summaries and the grading rubric appear at the end of this
syllabus. Plagiarism of solutions found on the internet or other published materials will result in a zero grade.
Individual Assignments
Individual assignments are software-based assignments (@RISK or MSProject) to be completed INDIVIDUALLY. This
means you are not to share files or solutions with your classmates. Doing so will result in a zero grade given to all
students involved. Assignments should be submitted PRIOR TO CLASS on the due date given in the schedule below. As
we will discuss the homework in class, no late work will be accepted.

Peer Evaluations
Peer evaluations will be conducted through CATME. You will receive an email prompting you to complete the evaluation
at both midterm and at the end of the module, and you will have two days to do so in each case. You are expected to do
so thoughtfully and thoroughly, and to fairly evaluate your own participation as well.

Schedule at-a-Glance
Date (Day) Topics Covered Reading Materials Due
1 8/21 (M) Introduction and Project Selection
2 8/23 (W) The Project Team Case: MediSys Corp. Introduction
PM Survey
3 8/28 (M) Project Planning Case: Alvalade XXI Group Assignment 1
Article: Will Project Creep
Cost You or Create Value?
4 8/30 (W) LAB: Task Planning and Budgeting Access to @RISK
Time &
Location TBD
9/4 (M) Labor Day
5 9/6 (W) Project Scheduling (CPM) Article: ABCs of Critical Path Group Assignment 2
6 9/11 (M) LAB: Introduction to MSProject Individual Assignment 1
Time & Midterm Peer
Location TBD
Evaluation
Install MSProject
7 9/13 (W) LAB: Project Scheduling (PERT)
Time &
Location TBD
8 9/18 (M) Resource Allocation and Critical Article: Fundamentals of
Chain Critical Chain
9 9/20 (W) LAB: Resources in MSProject Individual Assignment 2
Time &
Location TBD
10 9/25 (M) Monitoring the Project Case: Turner Construction Group Assignment 3
Company
11 9/27 (W) LAB: Monitoring in MSProject
Time &
Location TBD
12 10/2 (M) Controlling the Project Access to simulation
13 10/4 (W) Closing the Project Article: Dont Throw Good Group Assignment 4
Money After Bad
14 10/11 (W) Final Exam Week Group Assignment 5
No class meeting (worth 20%)
Final Peer Evaluation
Course Feedback
The formal course evaluation period is the last week of the module. You will receive reminder emails from the registrar
during this time period. Further, I will ask for informal feedback in the fourth week, which allows me to make
appropriate changes to the course. If you have constructive feedback at other times, please do not hesitate to send me
an email or speak to me during office hours.

Intellectual Property
All course materials are the intellectual property of either the instructor, the university, or the course packet publishers.
No course materials should be posted on line or duplicated without express written consent.

Purdue University Code of Honor

The purpose of the Purdue University academic community is to search for truth and to endeavor to communicate with
each other. Self-discipline and a sense of social obligation within each individual are necessary for the fulfillment of these
goals. It is the responsibility of all Purdue students to live by this code, not out of fear of the consequences of its
violation, but out of personal self-respect. As human beings we are obliged to conduct ourselves with high integrity. As
members of the civil community we have to conduct ourselves as responsible citizens in accordance with the rules and
regulations governing all residents of the state of Indiana and of the local community. As members of the Purdue
University community, we have the responsibility to observe all University regulations.

To foster a climate of trust and high standards of academic achievement, Purdue University is committed to cultivating
academic integrity and expects students to exhibit the highest standards of honor in their scholastic endeavors.
Academic integrity is essential to the success of Purdue Universitys mission. As members of the academic community,
our foremost interest is toward achieving noble educational goals and our foremost responsibility is to ensure that
academic honesty prevails.

Adverse Weather Conditions

The University takes into consideration local and regional weather conditions, travel conditions and decisions by local
school districts when deciding whether to delay, dismiss or cancel classes and/or routine operations for an entire campus
due to Adverse Weather Conditions. When conditions warrant, a decision to delay, dismiss, or cancel classes and/or
routine operations is coordinated with appropriate local city, county or state officials and communicated to faculty, staff
and students of the affected campus. The decision to delay, dismiss or cancel classes and/or routine operations for the
West Lafayette campus is made by the President and for each of the Regional Campuses it is made by the Chancellor.
The President and the Chancellors will each assign a designee for such purposes to act in his or her absence.

Adaptive Programs Statement:

Students with disabilities must be registered with Adaptive Programs in the Office of the Dean of Students before
classroom accommodations can be provided. If a student is eligible for academic accommodations because the student
has a documented disability that will impact the students work in this class, please schedule an appointment with the
instructor to discuss the needs.

Emergency Statement:
In the event of a major campus emergency, course requirements, deadlines and grading percentages are subject to
changes that may be necessitated by a revised semester calendar or other circumstances.
Schedule of Topics, Readings, and Additional Resources

Class Session 1:
Topics: Basic terms, the project lifecycle, the PM triangle, project portfolios and selection methods, ethical duties of the
project manager

Additional Resources: The Project Management Institute: www.pmi.org, www.projectmanagement.com

Net Present Value: http://www.investopedia.com/terms/n/npv.asp

Class Session 2:
Topics: Project team structures, cross-functional teams, tools for managing project teams

Prior to Class: Complete PM Experience Survey, form groups in Blackboard

Reading: Medisys Corp.: The IntensCare Product Development Team

How does the Medisys corporate culture influence project selection?
How would you define success on this project? What may jeopardize that success?
Why was the Project Manager selected? What attributes should be sought in a Project Manager?
What process was used to assemble the project team? What risks are inherent in this process?

Additional Resources: Tuckmans Stages of Team Development: http://hrweb.mit.edu/learning-development/learning-

topics/teams/articles/stages-development

Class Session 3:
Materials Due: Group Assignment 1

Topics: The project charter, the project plan, risk management planning, requirements gathering, scope management

Reading:
1. Fixing the Payment System at Alvalade XXI: A Case on IT Project Risk Management
What are the business goals of the payment card project? What is required to meet these goals?
Who was responsible for managing quality on this project? What quality planning was done?
What key risks should have been identified prior to project execution? Which would be deemed most critical?
2. Will Project Creep Cost You or Create Value?

Additional Resources: Example Quality Management Plan (posted on Blackboard)

Class Session 4 (meet in computer lab):

Topics: Task planning and budgeting

Additional Resources: @RISK Users Guide (posted on Blackboard), Tracking Signal Worksheet (posted on Blackboard)

Class Session 5:
Materials Due: Group Assignment 2

Topics: Critical Path Method (CPM)

Reading: The ABCs of the Critical Path Method

Class Session 6 (meet in computer lab):
Materials Due: Individual Assignment 1, Midterm self-evaluation survey in Blackboard

Topics: Introduction to MSProject

Prior to Class: If you are not a Krannert student, please make sure you are able to log in to a computer in the Krannert
lab, and contact the Krannert Computing Center with any issues.

Additional Resources: Chapters 1 - 4 from optional text, Microsoft Project 2013 Step by Step

Class Session 7 (meet in computer lab):

Topics: Project scheduling under uncertainty (PERT)

Additional Resources: Understanding z-scores and normal distributions: https://statistics.laerd.com/statistical-

guides/standard-score.php

Class Session 8:
Topics: Resource allocation and Critical Chain

Reading: An investigation into the fundamentals of critical chain project scheduling

Additional Resources: Critical Chain by Goldratt (optional text)

Class Session 9 (meet in computer lab):

Materials Due: Individual Assignment 2

Topics: Resources in MSProject

Additional Resources: Chapters 5 - 11 from optional text, Microsoft Project 2013 Step by Step

Class Session 10:

Materials Due: Group Assignment 3

Topics: Monitoring the project

Reading: Turner Construction Co.: Project Management Control Systems

1. How does Turner differentiate itself from its competitors? How do PM tools contribute to (or detract from)
their overall business strategy?
2. How does Turner use its IOR system to make decisions?
3. What are the downsides of Turners reliance on its IOR system? What risks might it fail to capture?

Class Session 11 (meet in computer lab):

Topics: Monitoring in MSProject

Additional Resources: Chapters 12 - 16 from optional text, Microsoft Project 2013 Step by Step
Class Session 12 (bring laptops to class):
Topics: Controlling the project

Prior to Class: Sign up for a student user account at Harvard Business Publishing, http://hbsp.harvard.edu.

Class Session 13:

Materials Due: Group Assignment 4

Topics: Closing the Project

Reading: Dont Throw Good Money After Bad

 THE EXECUTIVE SUMMARY (adapted from material by Annabelle Feng)
Typically, an executive summary is a short synopsis of a longer report. However, for the purposes of this
course, your entire report will be a single-page executive summary, the objective of which is to describe and
justify a specific course of action as concisely as possible. The intention, in limiting you to a single page of
text, is to force you to focus on the most compelling arguments for the course of action that you are
advocating. Although you are restricted to a single page of text to present your recommendation, you may
attach additional pages as exhibits. For example, it would be appropriate to include details of any
quantitative or financial analysis as an exhibit. However, you should make sure the executive summary
can be understood without the exhibits, and you should certainly not include an exhibit that does not merit
specific reference in the text of your executive summary. You should not use exhibits as means of avoiding
the one-page limit.

STRUCTURE
Although executive summaries can be written in different forms, it is important that you open with a
statement that sets the tone and context for the recommendation that you will be presenting and captures
the strategic relevance of the problem at hand.

Following the opening statement, there are two main approaches that can be adopted. The first is to lead
off with the recommendation, and then provide the rationale for it. Alternatively, one can adopt a more
linear approach by presenting the analysis that leads logically to the recommendation. Depending upon
the situation, either of these two approaches can be effective.

The following guidelines may aid in writing your executive summary:

The recommendation should be sufficiently specific that it can be acted upon. Avoid wishy-washy
phrases like, They should consider; They might want to; etc.
Do not recommend that they complete a study or gather more information. You should either gather
that information, or make the necessary assumption to reach a recommendation.
Explain why you have rejected any reasonable alternatives to the course of action that you are
advocating.
Recognize any significant risks that might be associated with the course of action that you are
recommending and suggest how they might be mitigated.
Virtually all executive summaries should include some type of quantitative analysis, the details of which
can be attached (and appropriately referenced) as exhibits.

When writing an executive summary, you should focus on the most important data, conclusions, and
recommendations. Avoid including excessive background and detail. One possible approach in developing
your executive summary is to imagine that you need to present your recommendation to the CEO of your
company while you are with her on an elevator. You need to capture the significance of the issue and make
a logical, compelling case for your recommendation in a very short amount of time. Therefore, you cannot
afford to waste time on minor points or on summarizing information that is not directly relevant for
justifying your recommendation. The following example shows how an executive summary can be
structured and written. Although the right format is important, providing concise yet insightful content
is crucial.
 EXECUTIVE SUMMARY (Example)
Introduction: BMW faces a threat from the Japanese entry into the high end segment of the automobile
market. Although BMWs share has not yet been affected, the threat is real, especially due to the lower
prices, better quality and shorter lead times for new product introductions by the Japanese. It takes BMW
six years to launch a new product, but the Japanese can do it in four. This difference is due to the fact that
the Japanese introduce incremental changes frequently, while BMW made big changes infrequently. It has
been proposed that BMW adopt a prototyping system more like that of the Japanese, by requiring design
decisions to be locked in 12 months prior to each prototype in order to allow pre-production grade tooling
to be used in the construction of each set of prototypes.
Analysis: The major advantage of BMWs current prototyping approach is that it affords maximum
flexibility in the design process; i.e., BMW can make changes relatively late in the design cycle. Not only
does this allow them to respond to the changing tastes of the market, it also allows them to incorporate
technological breakthroughs into their products, enhancing their reputation as a technological leader.
Advantages of proposed approach:
Improved product quality at launch.
Using actual materials bought from suppliers will lead to a more accurate prototype testing.
Use of pre-production tools enables BMW to discover tooling or parts problems earlier in the
product development cycle. Also by procuring parts from suppliers at the prototype stage, any
incompatibility issues with parts can be identified earlier.
Using plant workers for the final prototype more closely approximates the actual assembly line.
The new approach would speed up the ramp-up and pilot processes due to production problems
being identified earlier, and it will allow them time for fine tuning.
Lower warranty expenses due to improved quality of products at launch.
Disadvantages of proposed approach:
Higher tooling costs
Loss of flexibility in design commitment for each prototype build cycle.
Recommendations: To adopt the new prototyping approach BMW will have to trade off flexibility and
quality. While to make design changes later is important to keep up with changing consumer demands,
the higher quality levels of the Japanese vehicles are a bigger threat. BMW can balance these issues by:
For now, use the new approach for the cockpit design. The cockpit seems to be the area where
design and manufacturing quality matter the most, and it would benefit from the new approach.
However, in general they should adopt this approach only in the last one or two batches of the
prototype development cycle. This would minimize the investment needed in pre-production tools
and still offer them enough opportunities to identify problems before the pilot stage.
They should assess each of the 30 major subsystems regarding the relative importance of design
flexibility versus conformance quality at launch. The new approach should be used only for those
subsystems in which conformance quality is judged to be more important than design flexibility.
Although there is incremental investment required for the new prototyping approach, the overall savings
from all 3 stages (Prototyping, Pilot and Ramp-up) will more than justify these investments. (Attachments
skipped.)
 EXECUTIVE SUMMARY RUBRIC

Poor Average Good Excellent

Recommendation Points: Points: Points: Points:

11 (11%) 14 (14%) 17 (17%) 20 (20%)
Recommendation Recommendation is Recommendation is Recommendation is clear
is unclear or not inadequately clear and well-supported and well-supported using
supported. supported. using evidence from the information from both the
case. case and supplemental
sources.

Analysis Points: Points: Points: Points:

16.5 (16.5%) 21 (21%) 25.5 (25.5%) 30 (30%)
Analysis is not Analysis focuses too Analysis contains both Analysis is quantitatively
present or heavily on insignificant qualitative and and qualitatively sound,
focuses primarily details or fails to quantitative and several alternatives
on summarizing balance qualitative and components, but fails to are considered.
information in the quantitative consider risks or
case. information. alternatives.

Format Points: Points: Points: Points:

8.25 (8.25%) 10.5 (10.5%) 12.75 (12.75%) 15 (15%)
Format detracts Format neither Format uses bullets, Format uses bullets,
from content and improves nor detracts italics, headings, etc. to italics, headings, etc. in a
decreases from readability. improve readability. manner that enhances
readability. the content by drawing
attention to main points.

Organization Points: Points: Points: Points:

8.25 (8.25%) 10.5 (10.5%) 12.75 (12.75%) 15 (15%)
Organization Intended organization Organization is clear Organization follows a
follows no logical is clear, but some and information flows in logical order that creates
order information is out of a logical order. clarity and makes
place. information easily
accessible to the reader.

Grammar and Points: Points: Points: Points:

Mechanics 5.5 (5.5%) 7 (7%) 8.5 (8.5%) 10 (10%)
Errors make Some errors exist that Minimal errors exist and Summary is free of
summary impede meaning. do not impede meaning. grammatical or
unreadable. mechanical errors.

Audience Points: Points: Points: Points:

Awareness 5.5 (5.5%) 7 (7%) 8.5 (8.5%) 10 (10%)
Information is not Summary shows Summary is written Information is tailored
tailored toward an evidence of audience appropriately for an nicely toward executive
executive-level awareness, but does executive audience. audience. Shows clear
audience. not clearly tie technical Shows some understanding of the
details to managerial understanding of managerial implications
implications. managerial implications. and relationship to
organizations goals.