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Successful Project Management

Brian HarringtonMTN-SIM, LLC

SIMUL8 Corporation | SIMUL8.com | [email protected]

About the Presenter

Brian Harrington is a Six Sigma Black Belt with 20 years operations research and simulation experience at Ford Motor Company. He designs and implements manufacturing process improvements which incorporate many conflicting objectives such as robust, flexible, and Lean systems.

Now running his own discrete event simulation specialists firm MTN-SIM LLC, he continues to deliver high quality complex models for a wide range of manufacturing, healthcare, and business process improvements. He also acts as a technical ambassador for SIMUL8 Corporation assisting in teaching, mentoring, marketing, and consulting projects.


Housekeeping

1. Audio

2. Q and A

Recording available on: www.simul8.com

http://www.simul8.com/


Project Management using Simulation

• The facts• Factors to consider when managing a project

• Tools to identify key input factors

• Decision making using simulation• Creating trade-offs and balancing

MoneyTi

me

Quality


The Facts…IBM Institute for Business Value Study

(48 countries, 1400 samples)

60% of projects fail to meet their objective44% fall short on at least one of their Cost, Quality, Time objectives15% miss all of their objectives or are stopped by management20% Highly successful (“Change Architects”)35% Moderately successful45% Below average successful

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1 Article: “Making Change Work” IBM 2010 Sample size 1,500 practitioners worldwide

2 Article: “Making change work . . . while the work keeps changing” IBM 2014Sample size 1,380 practitioners worldwideBy Hans-Henrik Jorgensen, Oliver Bruehl and Neele Franke 2014

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Cost, Quality, and TimeSmall or Large, Projects…

Need to be on Budget!On Time!

And Strive for Continuous Improvement of Quality!

Project Management


Conflicting Objectives

Sounds good to upper management, but how is this even possible?


Enterprise Success Equates to…

Shorter Development Time Beating your Competition to Market

Delivering Quality

The pressure is on Project Management!


Simulation- Reduces the Risk

Most successful companies use Discrete Event Simulation to address such critical factors as:

Cost, Quality, and Time


What’s Critical

How do we know what to focus on when it comes Cost,

Quality, and Time?


Critical to Quality, Cost, Time

Materials

Machinery/Equipment

Methods

People

Effect:Not achieving desired throughput

Companies need to focus on what is critical to the business and its customers.


CT is Input into a QFDQuality Functional Deployment

• User Requirements into Design Parameters

• Correlation Matrix of the “What’s” & “How’s”

• Prioritizing what is most important


Include C,Q,T Metrics into your Simulation


Simulation metrics

• Throughput (JPH)– Changeovers– Batch Builds

• Number of Repairs– Repair rate

• Number of Scrapped Units– Scrap rate

• Cost– Number of Carriers– Number of Pallets– Number of Tugs & Racks– Number of Robots


Finance & Income Statement


Poll Question

Does your company’s managers use simulation results when comparing costly proposals?

A.Always (100%)B.Most of the time (80%)C.Some of the time (50%)D.Never



Cost

Cost Avoidance- Biggest bang for your buck!• Comparing simulation scenarios

Replication • Can you replicate these actions elsewhere?

Additional Cost Measures•Cost per unit•Material Costs•Scrap Costs


Comparing Proposed SolutionsAutomated Guided Vehicle System

vs. Tugs and Racks

Large difference in cost per system.

What are the benefits of each system?

Will the company achieve these benefits?

Is there a better place to spend the funds?


Quality

• Equipment

• Product Design

• Method/Process

• Tests• Repairs

Where to place quality equipment within your facility, and how much is necessary?


Quality Example

Strategically placing a vision detection system to analysis weld integrity and

random imperfections.

Reduces scrapReduces destructive testing

Reduces heavy & light repairs


Quality within a Bodyshop

Where to place quality equipment within your facility, and how much is necessary?


Time

What Discrete Event Simulation does bestThe model is an animated database of events taking place at discrete times; producing realistic behavior and results.

Predicts the facilities capability (Parts per Hour) Provides insight into system performance (Wait, Blocked)

Optimize operating patterns (Shifts, Planned DT)Predicts long-term behavior (1 yr. of production)

Includes outliers (Catastrophic delays)


We have the Time

Cycle TimesChangeover TimeBreakdown TimeShift PatternsConveyor SpeedsResource TimesTravel MatrixDwell TimesShelve Life TimeDelaysConditional TimeLoad TimeUnload TimeSimulation TimeWarm-up Time… The list goes on


Overall Program Timing

As for project management the simulation analysis will reduce the overall development

time, it will keep the focus on the critical steps. Allowing managers to make decisions, accept implementation bids, and keep the program

moving forward.


It’s a Bit of a Juggling Act

“Project management is like juggling three balls – time, cost and quality. Program management is

like a troupe of circus performers standing in a circle, each juggling-three balls and swapping balls

from time to time.”

– G. Reiss

1 Project Management Demystified: Today's Tools and Techniques GEOFF REISS

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http://www.amazon.com/s/ref=ntt_athr_dp_sr_1?_encoding=UTF8&field-author=GEOFF%20REISS&search-alias=digital-text&sort=relevancerank


Poll Question

How would you rate your company’s success with respect to Projects?

A.Highly SuccessfulB.Moderately SuccessfulC.Below Average



Balanced Project Management

Project Managers must keep the project moving forward

On TimeWithin BudgetBest in Class Quality

How?

Corporate Strategy

1.Data-backed Decisions

2.“Simulation Milestones” within your strategic timeline

3.“Simulation Sign-Offs”

Simulation studies must be sized properly to deliver Results at Key

Milestones!


Keep your eye on the ballSimulation models can…

Address all three areas of concern

Justify trade-offs within your development plan

Identify interrelationships between key input factors

Provide the muscle to keep your project on target!

Q TC

Q TC

QTC


Questions?



Questions?

If you have any questions around this topic, please email: [email protected]

Continue the discussion on the SIMUL8 Users Group– LinkedIn Group


3 Legged Stool CQT v2

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