Applying PRINCE2 product-based planning
In previous articles, I have shown the four steps involved with product based planning. These are used whenever a PRINCE2 plan is created or updated.
However, the PRINCE2 product based planning technique only forms the first part of the creation of a PRINCE2 Plan.
The next obvious steps, having created the product flow diagram and product descriptions for each product, is to identify the tasks and resources required to create each product. Each task will need to be put in a sequence and include their logical dependencies.
Such a diagram is normally called a network diagram.
It is at this point that the Critical Path Method (CPM) will be used based upon the dependencies of each task and their estimated durations.
A planning tool such as Microsoft project will normally be used to carry out the calculations to determine which tasks are on the critical path, which tasks on non-critical, how much float or slack each task has, and what is the earliest delivery date.
The normal view or diagram used to show the resulting calculations is called a Gantt Chart view.
This can be seen in the following PRINCE2 network diagram:
Note that the green rectangles above represent tasks and the grade diamond shape represents the relevant product that has been created because of those tasks. Normally, such tasks would include those activities required to carry out the quality check for each product and appropriate authorization.
Typically, the task name will consist of a noun and a verb, such as ‘dig the hole’, and a product name will consist of a noun or outcome, such as ‘completed foundation’.
When carrying out critical path analysis/method by hand, and calculating critical tasks, it is normal to carry out a forward pass calculation and a backward pass calculation.
The forward pass calculation will determine the earliest finish date, and the backward pass will identify which tasks are critical, which tasks are non-critical, and the amount of float or slack for each task.
The PRINCE2 Product Flow Diagram (PFD)
Returning for a moment to the fourth and final step of the product based planning technique – that is the creation of the Product Flow Diagram, this would typically look like the simple example shown below:
Here you can see that each rectangle represents a product, with the arrow linkage is showing the sequence and dependencies for each.
As a general view, the Product Flow Diagram looked somewhat similar to the network diagram, however the former shows product creation sequence while the latter shows task sequence.
Referring to the diagram above you will note there are different product shapes and colors. There are no rules here about such factors and I have simply used colors to point out key products.
The ellipse is used to indicate an external product. Such products represent those that are needed but already exist, or products that are needed but are created by others outside of the scope of this project.
Can PRINCE2 products be critical and non-critical?
While preparing this article, it occurred to me that since certain activities within a Gantt chart will appear on the critical path, then the so too will their relevant products.
Although not normally shown as such within the official PRINCE2 Manual, it could be helpful to identify such products in the Product Flow Diagram – the colour red is helpful here to show such products just as would occur within the Gantt chart diagram.
When first creating the Product Flow Diagram, critical products and non-critical products will not be known until the tasks and resources needed to create each are subjected to the critical path calculation method.
It is then simply a case of returning to the Product Flow Diagram and colouring them in as shown below:
This could be a useful reference view for the project manager and members of the project board.
The PRINCE2 Product Checklist and milestones
A really powerful PRINCE2 management product is the Product Checklist. This shows keep milestone points throughout the stage along with the planned and actual dates of the steps carried out during product creation.
By comparing the actual dates that such steps were completed, against the original planned dates, a precise check can be made on project progress.
Consider for a moment, that when asking whether aid task is complete or not, there is always some ambiguity and it is often this that leads to errors in identifying real progress.
Such progress estimates are often given in terms of percentage complete, only to find as the task completion date arrives, that such estimates were wrong.
Now compare, and contrast that with product completion.
The PRINCE2 definition of a completed product is that it has been successfully quality checked and approved by the relevant authority. As you can see in the diagram below, the PRINCE2 Product Checklist provides a clear and unambiguous status of real progress:
The planned columns can be entered wants the relevant plan has been approved. As the stage progresses, the project manager can and the actual dates and in this way show unambiguous stage status.
For this reason, the Product Checklist is often included as part of the regular PRINCE2 Highlight Report sent to the project board by the project manager to show them stage and hence project progress.
You can now see why I stopped to consider which products are on the critical path and which products were not, as they too could provide vital progress information and allow the project manager to ensure such supporting tasks and resources will fully available.
This would be an extra layer of control for the project manager to think ahead to help ensure the stage and project completion dates were held.
The link between product based planning and progress control
The diagram below brings all and I have discussed above into sharp contrast.
The main PRINCE2 processes referred to here are:
- Controlling a stage (CS)
- Managing product delivery (MP
- Directing a project (DP)
The key points to note are:
- The relationship and linkage between product based planning, the product checklist, the PRINCE2 management activity of “Review the Stage Status” by the project manager and the identification of any approved products that have been created by that point in time
- When issuing a Work Package to the relevant team manager, an option for that individual is to create a team plan to concur that the Work Package constraints can be met. Such a Work Package will need to tie back to the product checklist and other elements of the plan such as costs and timescales
- Each Work Package will contain details of how checkpoints are to occur to keep the project manager informed of work package status. The PRINCE2 activity of “Review Work Package Status” is used here by the project manager
- The project manager is given one stage at a time by the project board after each stage plan is approved. At that point, stage tolerance is set by the project board, and as long as the project manager can forecast that the stage will complete within such tolerance bounds, then the project manager is free to take any corrective action necessary without referring it upwards to the project board
- During each stage, at the same point in time that tolerance was set, the project board will lay down the timing and content of each Highlight Report. This will be created by the project manager using the PRINCE2 activity “Report Highlights”
- When reporting highlights, the project manager will use Checkpoint Reports, the Product Checklist, and any reference back to project and stage plans. Yet again, reference to the Product Flow Diagram can be helpful here:
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