Every project is defined by three components: Cost, Time and Scope.
During execution, these components can be superimposed for each unit of project Work Breakdown Structure (WBS) to understand the project progress and performance from 3 different perspectives. Periodic superimposed data snapshots provide decision makers a view of the path the project is on and sufficient foresight to navigate around potential issues. The WBS makes it possible to identify and classify the risks associated with individual scope units.
To capture synchronous snapshots there is a need for data streams and a stable electronic platform that will store and process the data streams into usable information. We call that platform an Integrated Project Controls System. The data streams are established through project data collection processes embedded in engineering, construction, accounting and procurement workflows. When the recent snapshots are compared to the past snapshots, trends and variances are determined. The variances are used to update the project Time, Cost and Scope forecasts. The trends are used to identify risks and what action needs to be taken to avoid an undesirable compromise.
Below is a simple model that depicts project controls components (Cost, Time, Scope), reference levels (baseline, forecast, commitment, actual) and the data streams (budget, schedule, drawings, quantities, forecast updates, actual progress and cost).
Project A, Month-3 Snapshot
| Cost | Time | Scope | |
| Baseline | Estimated Budget | Baseline Schedule | Baseline scope ( quantities, drawings, specs etc) |
| Forecast | Forecast Cost at Completion | Schedule Forecast Updates | Baseline Scope + Scope Changes |
| Commitment | Contract Awards + Change Orders, Payroll Processed | As-purchased Schedule. | Scope in Production + Change Orders |
| Actual | Invoices Received, Payroll Processed | Work Completed, Earned Value | Scope Completed |
Each row depicts 3 different perspectives and constitutes a point of reference whose comparison provides the status of a project, subproject or unit of work that is defined by the project's WBS.
Based on our experience, project controls can be effective when Cost, Time and Scope are analyzed contemporaneously, which is made possible through an Integrated Project Controls System and data collection points embedded in project management workflows. We are looking forward to meeting you to explain this further.
