Question

Define three principal techniques used by managers in “what if” questions in project analysis

Answer 1

Principal techniques used by managers in “what if” questions in project analysis

• Classic technique. ...
• Waterfall technique. ...
• Agile Project Management. ...
• Rational Unified Process. ...
• Program Evaluation and Review Technique. ...
• Critical Path Technique. ...
• Critical Chain Technique. ...
• Extreme Project Management.

What-if analysis is used to explore and compare various plan and schedule alternatives based on changing conditions. It can be applied in the primary project phases to try-out scenarios and optimise your plan. During execution, it is an important tool used to predict the consequence of any event (late delivery etc.)

What-if scenario analysis can range from a simple evaluation of the effects of changing the duration of one or more activities, to more complex analysis like introducing duration uncertainty, running a project forecasts based on performance-to-date, all the way to a schedule and cost risk analysis, taking identified project and enterprise risks into account.

Some examples might be:

• What if lead time for major equipment or components is extended?
• What if we sub-contract parts of the prefab or fabrication work?
• What if we need to extend the duration of certain engineering activities?
• What is the effect on completion date and resources if the current performance trend continues?
• What if prefabrication work seven days a week instead of five?
• What if we accelerate the schedule?

Answering these questions quickly, reviewing the results and asking new questions is the process by which engineers and project managers find the best solutions. The questions often involve making changes to data, running the analysis, examining the predictions, comparing it to the schedule, and then challenging the effect.

Simply put, what-if simulations provide an opportunity to develop project outcomes fitting predetermined characteristics, in order to test how project plans will perform under varying factors and controls.