Klausurfragen

Solution: Frequent and incremental delivery

• The product is developed according to limited duration cycles and delivered in incremental portions to converge on an optimal customer solution

• To gain the bility to

  • create and respond to change in order to profit in a turbulent global business environment

  • to quickly reprioritize use of resources when requirements, technology, and knowledge shift

Avoid, Migitate, Transfer, Accept

• First preventive strategies that allow to minimize risk before it happens (Avoid & Migitate)

• Than Strategies dealing with risks and reduce the impact of risks

Avoid

• Most simplistic and often the most practical method

Migitate

• Activities designed to reduce project risk.

Transfer

• Transferring risk to other stakeholders (insurance policies, hiring of sub-contractors, contract clauses)

Accept

• The least desirable response

• There are still options available in order to minimize the impact from this risk

Whole-life costs

• Cost of implementation and any incremental transitional, operational and maintenance costs

Net benefits

• Value of the benefits less the cost of implementation, transition and ongoing operation, calculated over a defined period

Return on Investment

• Percentage of profits or savings resulting from investments

Internal Rate of Return

• Calculation of the period of time required for the ROI to repay the sum of the original investment

Discounted Cash Flow

• Means of expressing future benefits based on the current value of money, sometimes discounted cash flows include risk adjustments as the business may

  not be confident that all the benefits will materialize

Payback Period

• Length of time an investment reaches a break-even point.

Net Present Value

• Value of discounted future cash inflows less the initial investment, the shorter the better

Economic Value Added

• Residual wealth calculated by deducting the cost of capital from the operating profit, adjusted for taxes on a cash basis

Benefit-cost ratio

• The relationship between the relative costs and benefits, expressed in monetary or qualitative terms

Sensitivity Analysis

• Adjusting the input factors (e.g. costs, timescale, quality, scope, project risks) to model the point at which the output factors (e.g. operations and maintenance costs, business benefits and business risks) no longer justify the investment

Stakeholders analysis

• Graph: Power over Intrest

Stakeholders needs

Product vision / Objectives

• Short text about the objectives of the project

Long-term schedule and milestones

• Duration & Ressources

Project organization

• Graph with Project Organization (PM-Team, Worker)

Business Case and preliminary budget

• Price Braskdown & CF

Risks

Finish Float: Late Start - Early Start

Finish Float: Late Finish - Early Finish

Total Float: Maximum amount of time that will not delay the overall project

• Late Finish - Early Finish

Free Float: Amout of time an activity can be delayed without delaying the start of its successors

• Early start successor - Early start activity - Duration activity

Path with a total float of zero

• Total Float: Maximum amount of time that will not delay the overall project

The critical path corresponds to the path which has the maximum duration

• Equals the minimum duration to execute a process

• Activities on the critical path are critical activities that don’t allow float Project duration is therefore given by the sum of the durations of the critical activities

Path with an total float > 0

Total Float: Maximum amount of time that will not delay the overall project

Path with total float < 0

• Total Float: Maximum amount of time that will not delay the overall project

Its necassary to increase the number of ressources and productivity or changing the equipment and technologie

If the project duration is predetermined and we have network paths of activities with duration higher than the predetermined one

These activities are included between hypercritical events and identify one or more hypercritical paths

To satisfy the predetermined completion date it is necessary to reduce the duration of the hypercritical activities by increasing the amount of resources assigned to them (which leads to an increase of costs)

If the project duration is predetermined and we have network paths of activities with duration lower than the predetermined one

These activities are included between subcritical events and identify one or more subcritical paths

We can increase the duration of the subcritical paths to make them critical (which leads to a reduction of costs)

TF = total Float

Overlap consecutive activities that would normally be carried out sequentially.

This means that certain parts of the project are executed simultaneously or partially simultaneously to save time

important to note that this can be associated with increased risk, as activities may not be completed before their dependent activities begin.

A & B => Depends on whether it belongs to the CP and whether there are no subcritical paths

C => It depends on how much the risk increases

Der WACC (Weighted Average Cost of Capital) ist eine Finanzmetrik, die die durchschnittlichen Kosten des Kapitals für ein Unternehmen darstellt. Es berücksichtigt die verschiedenen Kapitalquellen und ihre jeweiligen Gewichtungen im Gesamtkapital des Unternehmens. Der WACC wird in der Unternehmensbewertung und Kapitalkostenanalyse verwendet

Ce = Cost of equity levered