W17_SSG_Resource Baseline (Cost Profile)


PROBLEM DEFINITION

I am attending the training of CCP preparation course with several tasks to be completed with tight schedule and limited resource (time & cost). In order to be able to finish the task on time and on budget, I would like to have my own cost baseline based on W16 CPM schedule to be followed.

DEVELOPMENT OF FEASIBLE ALTERNATIVES

There are some software’s available for scheduling and cost management hat can be used. In this blog, writer is choosing Primavera Project Management P6 V.7. By using this software we would be able to see the breakdown of the work, duration of each activity, and the cost baseline profile to be followed.

DEVELOPMENT OF OUTCOMES FOR EACH ALTERNATIVE

Each of the activities represents duration of each task and the total expected hours per week reflected on the calendar type of each activity. Based on this, we can develop the cost profile by multiplying the budget hours x time rate ($200 / hours).

SELECTION OF CRITERIA

Having put all the activities and  to Primavera, It shows that the training preparation start on August 26 and project to be completed on February 14, 2014. The cost profile is developed from the expected hours of each activities x unit rate (US$ 200 / hour).

Figure 1. Activities, duration, and Bar Cart

Figure 2. Resource utilization during the course

 

ANALYSIS FOR THE ALTERNATIVES

Based on the above cost profile, it shows that major cost will be spent on the beginning of the training which is face to face training, and all distance learning. This cost profile represents the early start approach.

The other cost will be used at the end of the training which is shelf study to face the final exam.

SELECTION ON THE PREFERRED ALTERNATIVES

Due to this training is so demanding, we have to preserve the time in mostly in the beginning and the end of the training.

PERFORMANCE MONITORING AND POST EVALUATION RESULT

Once the training is started and the cost baseline completely developed, the next step is to update the actual status of each time period. The major concern is on the resource availability on the beginning and the end of the training. In case the resource is not sufficient in the certain period, resource leveling is an options.

REFERENCES

Humphreys.G.C.(2011).Project Management Using Earn Value.CA: Humphreys & Associate Management Consultant.

United States Government Accountability Office.(2012).GAO Schedule Assessment Guide. Washington, DC:  U.S. Government Printing Office.

Giammalvo, P.D.  (2013). AACE Certification Preparation  Course-3rd  day module. (pp 55). Jakarta.

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1 Comment

Filed under Sutoyo S, Week 17

One response to “W17_SSG_Resource Baseline (Cost Profile)

  1. Again an excellent posting using the course as your case study…… If you can do it for this course, then there is no reason why you cannot or should not be able to apply it in your day to day working environment….

    BR,
    Dr. PDG, Jakarta, Indonesia

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