Following completion of the detailed planning for the work package the activity list is drawn up. This is a tabular compilation of all work packages and contains key information from the detailed work package planning from which schedule planning can subsequently be derived.
After the activity list has been drawn up it is possible to make an initial estimation of whether it is possible to achieve the project objective in the scope of the resources available. The addition of all costs and all capacity that the individual responsible for the work package considers necessary is now possible. However, an inference to the sufficient availability of the necessary capacity is not yet possible, as typically no even utilisation is indicated, with the problem instead illustrated via individual capacity peaks . In addition, it is also possible to record the procedures that are required for the initiation of a work package. In turn, this enables the identification of when which work package begins. The work packages that have no direct predecessor begin immediately, all others follow systematically from this. This also leads automatically to an initial schedule planning. This schedule planning is little more than a first draft; however, as various conditions such as leave days, capacity bottlenecks etc are not yet included .
Creation of the activity list
The creation of the activity list requires no additional work with regard to content but is a purely administrative action, as it deals solely with the consolidation of the data acquired in the detailed planning of the work package. Consequently, no project team meeting should be wasted upon this task. It is wholly adequate for it to be provided to all those project management members responsible for the work package, respectively the individual responsible for the co-ordination of the work packages ahead of a project team meeting. Then all data can be entered into a list without the entire team wasting valuable time on the matter.
Dealing with shortages of capacity and resources
In the course of creating the activity list, in most cases that which the majority of participants have suspected becomes apparent for the first time: the resources specified in the project charter are not sufficient to achieve the targeted project objective.
Before it is possible to negotiate an expansion of resources for the project with the customer it should first be closely examined whether all of the participants have planned in a responsible manner, including in view of the scarcity of resources. There are two potential methods available for this:
The lawnmower method
Popular not only in project management but also in politics, this is a means of putting a halt to costs that are getting out of hand. If a total of twenty percent of resources are lacking, then everyone must cut twenty percent from their planned resources. A genuine advantage in this scenario is that there is no need for burdensome and time-consuming negotiation. On the surface, a just solution, as all participants are apparently affected equally. However, from a more differentiated perspective this is an unacceptable simplification with catastrophic long-term consequences.
Individual negotiation
The considerably more laborious strategy is to negotiate each single work package individually and examine it for savings potential. In this case it is even possible to save significant sums. To do this, it is necessary to pose the following questions:
• Does the described activity serve the achievement of the project objective, or is it a “nice to have” activity?
• Is a similar or identical effect possibly achieved elsewhere in the project to the same extent or even more cheaply, or is there the possibility of this?
• Is it possibly more economical to place such an activity externally?
• Are there opportunities whereby a minimal degree of (dispensable) functionality can be waived in order to save significant resources (Pareto principle)?
In order to conduct these individual negotiations it is essential that an open and trust-based project culture has already been established within the project team. As in many cases the expertise of the individuals responsible for the respective work packages is decisive, project management and the rest of the project team must rely upon the fact that all participants are open and honest, entering into negotiations with the intention of treating the scarce resources in a responsible manner.
Requesting of additional resources
In spite of ambitious efforts, it is possible that the original objective agreement cannot be met with regard to the resources required. Should this occur, project management is obliged to present this to the customer without delay in the form of an escalation report and to apply for additional resources. In this respect it should also be pointed out that although, with the aid of project management, it is possible to achieve a maximum result with scarce resources, conjuring tricks are not possible.