3Project Performance Analysis

This chapter contains the following:

Considerations for Analyzing Project Performance Using the Project Management Dashboard

Project managers can use the Project Management dashboard to review the overall health, progress, and financial status of projects, and resolve issues. The dashboard consists of a group of infolets that displays critical information about your projects. Project managers can use this information for planning work and managing financial projects.

Project managers and project application administrators must run the Update Project Performance Data process from the Scheduled Processes page to refresh the data on the Project Management dashboard.

If you don't see updated information on certain or all infolets, it could be because:

  • You haven't implemented either Project Execution Management or Project Financial Management.

  • You don't have transactions yet.

  • You haven't run the Update Project Performance Data process if you're using Project Financial Management.

Project Management Dashboard Infolets

Depending on whether you implemented Project Financial Management or Project Execution Management offering, the corresponding infolets display data on the Project Management dashboard. You can also implement both offerings simultaneously. You can hide the infolets that display no data. Use the Infolet Repository to enable or disable infolets on the Project Management dashboard.

The Project Management dashboard comprises of the following infolets that project managers can use to review project performance:

Infolet Data Source Data Displayed Actions to Perform

My Projects

All the projects that you manage

Total count of the projects that you manage.

  • Navigate to the My Projects page to analyze each project.

  • Analyze the overall progress of projects and take appropriate action.

Health

Project health based on KPI thresholds

Project health in the order of severity. The project that's most severe appears first.

Run the Update Project Performance Data process so that this infolet displays up-to-date information.

  • View the health of your projects that are enabled for financial management in the order of health status. For example, critical projects are listed topmost, at risk projects follow next, and on track projects follow thereafter.

  • Post messages on the project wall from the infolet to draw attention to the project health status.

  • Manage project costs and budgets and analyze KPIs that contribute to the current project health status.

Time Cards

Missing or partially reported time cards

Missing or partial time cards for the previous five weeks, including the current reporting period week.

You can post messages:

  • On the project wall for time cards that aren't accurately submitted.

  • To the project team members who haven't submitted accurate time cards.

Invoices

Invoices pending approval

Invoices; review to determine which invoices are pending approval.

Approve or reject the invoices if they're assigned to you for approval.

Uninvoiced Cost

Billable cost transactions that are uninvoiced or partially invoiced

Projects that have the highest number of uninvoiced costs.

Drill down to view the project cost transactions that contribute to the uninvoiced amount.

Cost Budget

Comparison of project cost to project budget

The cost budget for the project; displays only the current baseline approved cost budget.

Create a budget or navigate to the Manage Project Budgets and Manage Project Costs pages to review budget and cost information.

You can perform the following actions:

  • Determine the variance between the spent and the budget to date amounts for over budget projects as displayed in the donuts.

  • Ensure that the spent amount includes both project costs and commitments from the start of the project to the current reporting period.

  • Drill down to the Manage Project Costs page. The default view displays project costs incurred within the last 30 days. Change the filter to view data further in the past.

Team Allocation

Number of over or under allocated resources

Over and under allocated team members on projects. You can review resource allocations over weekly periods.

Take appropriate action when:

  • Resources are over or under allocated to the project.

  • Under allocated resources in one project can be used in another project.

  • Under allocated resources cause delays in projects.

Assignments

Assignments ending within two weeks and reserved assignments

Resource assignments for which the assignment end date is within two weeks.

Navigate to the Manage Project Resources page to review resource details and take appropriate action by:

  • Viewing the assignment details.

  • Adjusting the resource assignment.

  • Confirming or canceling the assignment.

Milestones

Milestones past due, at risk, or due soon

Milestones past due, at risk, or due soon.

Navigate to the expanded view for additional details of project milestones in a timeline view. From this detailed view, take appropriate action when project milestones are Past Due, Due Soon, or At Risk.

Change Order

Change orders summarized by additional labor hours and cost impact

Change orders.

From the expanded view, quickly navigate to the details for a change order and take appropriate action by:

  • Creating or accessing the impact of the change order.

  • Approving or rejecting the change order.

Progress

Project progress with respect to planned dates

The target and actual percentage of work completed on projects.

If exceptions exist, navigate to the Manage Task Exceptions page to resolve the exceptions. Take appropriate action by:

  • Analyzing the list of projects that aren't performing well and require immediate action.

  • Performing the next steps to improve the progress of projects.

Project Management Analysis

Draw Insight on Project Health and Progress

This video demonstrates how to use project management infolets to monitor the overall health, progress, and status of your project finances so you can take action to resolve issues.

Use the project management infolets to review your project statuses, identify areas that require attention, and take necessary actions to keep your projects on track.

Let's say you want to perform the following tasks using the Health and Progress infolets:

Task Infolet

Analyze transactions for a critical project

Health

Review task exceptions

Progress

Analyze Transactions for a Critical Project

Use the Health infolet to review the project health based on the status of the KPIs. In this example, let's review a project that's in Critical status.
  1. Navigate to the Project Management Dashboard area on the Home page.

  2. Click the Expand icon on the Health infolet.

  3. Click the Actions menu for a project that's in Critical status.

  4. Click View KPI Watchlist to examine the KPI Watchlist for the critical project.

    Note: Instead of using the Actions menu, you can click the name the project to open the KPI Watchlist.

  5. On the KPI Watchlist dialog box, place your mouse over various points on the charts and graphs to view the values and generation dates.

  6. Click the Actions menu for the ITD Actual Nonbillable Cost (%) KPI.

  7. Click View Costs to study the cost transactions that are making this KPI critical.

  8. On the Manage Project Costs page, locate an unbilled transaction.

  9. Enable the check box for the transaction.

  10. Click Set to Billable to make the transaction billable.

  11. Click Done.

Review Task Exceptions

Use the Progress infolet to compare the target and actual percentage of work completed on your projects, and to identify task exceptions. In this example, let's analyze a task with exceptions.
  1. On the Progress infolet, locate a project that's behind schedule and has at least one exception.

    Tip: Projects that are behind schedule appear at the beginning of the infolet.

  2. Click the Exceptions number for the project.

  3. On the Manage Task Exceptions page, click Preview Total Impact.

  4. On the Preview Total Impact page, review the impact of the exceptions on the project schedule and compare the current and proposed task values.

  5. Click Accept All to update the project plan with the proposed values.

    Note: If you're not okay with the impact of accepting the changes, then you can decline the changes or discuss them with the project team.

  6. Click Done.

Project managers use the Progress infolet from the Project Management Dashboard to compare the target and actual percentage of work completed on the projects they own. Projects with maximum variance between actual and target percent complete appear topmost. Projects with same variance between actual and target percent complete are sorted in the reverse order of number of exceptions. If no effort is planned for a project, then the infolet displays zero percent complete. As soon as the team members start entering progress for tasks, the actual percent is calculated. From the Progress infolet, you can drill down to the Manage Project Plan and Manage Task Exceptions pages to view the details.

Settings That Affect Project Progress

Values in the Progress infolet are derived from the Manage Project Plan page. The project progress depends on the following values of a project:

  • Current date

  • Planned start date

  • Planned finish date

  • Planned effort in hours

  • Current effort in hours

  • Actual hours

Formulas to Calculate Project Progress

Here are the formulas to calculate the target and actual percent complete of a project:

  • target percent complete = (expected hours / planned effort in hours) * 100

    • expected hours = (expected duration * planned effort in hours) / planned duration

    • expected duration = current date - planned start date + 1

    • planned duration = planned finish date - planned start date + 1

  • actual percent complete = (actual hours / current effort in hours) * 100

    Note: The actual percent complete is the rolled up percent complete of the project.

This table shows the values used to calculate target and actual percent complete for Project 1. Assume the current date is 2-Jun-2017, the calendar is 5 days a week with no holidays, and a workday contains 8 hours.

Name Planned Effort in Days Planned Start Date Planned Finish Date Planned Effort in Hours Actual Hours Remaining Hours Current Effort in Hours Expected Hours

Project 1

57

22-May-2017

30-Jun-2017

456

120

336

456

160

Task 1

10

22-May-2017

02-Jun-2017

80

40

40

80

(10 * 80) / 10 = 80

Task 2

7

01-Jun-2017

09-Jun-2017

56

16

40

56

(2 * 56) / 7 = 16

Task 3

20

05-Jun-2017

30-Jun-2017

160

0

160

160

0

Task 4

20

24-May-2017

20-Jun-2017

160

64

96

160

(8 * 160) / 20 = 64

This table shows the values used to calculate target and actual percent complete for Project 2. Assume the current date is 2-Jun-2017, the calendar is 5 days a week with no holidays, and a workday contains 8 hours.

Name Planned Effort in Days Planned Start Date Planned Finish Date Planned Effort in Hours Actual Hours Remaining Hours Current Effort in Hours Expected Hours

Project 2

16

29-May-2017

14-Jun-2017

128

48

72

128

48

Task 1

5

29-May-2017

02-Jun-2017

40

40

0

40

(5 * 40) / 5 = 40

Task 2

3

02-Jun-2017

06-Jun-2017

24

8

16

24

(1 * 24) / 3 = 8

Task 3

8

05-Jun-2017

14-Jun-2017

64

0

64

64

0

The project progress is determined as follows:

  • If target percent complete is greater than actual percent complete then your project is behind schedule.

  • If target percent complete is less than actual percent complete then your project is ahead of schedule.

  • If target percent complete is equal to actual percent complete then your project is on schedule.

This table shows the calculation of target percent complete and actual percent complete for Project 1 and Project 2 and their progress results. For Project 1, the planned and current effort are same. For Project 2, the current effort is less than the planned effort.

Project Expected Hours Actual Hours Target Percent Complete Actual Percent Complete Progress

Project 1

160

120

(160 / 456) * 100 = 35

(120 / 456) * 100 = 26

9 percent behind schedule

Project 2

48

48

(48 / 128) * 100 = 37.5

(48 / 128) * 100 = 37.5

On schedule

Performance status is individually calculated for all levels of the task and resource hierarchy. The performance status for individual tasks and resources is calculated only for percentage-based KPI values. These calculations are based on the threshold values that you set while creating percentage-based KPIs.

Settings That Affect Performance Status for Tasks and Resources

In the Manage Financial Project Settings page, if you enable the Track KPI by Task and Track KPI by Resource settings for a KPI, then a status indicator appears for the task and resource on project performance reports when the individual KPI value isn't on track. This helps identify troubled tasks and resources in a hierarchical task and resource structure in a project.

Examples of Performance Status for Tasks and Resources Calculations

Let's assume that for the KPI named ITD Nonbillable Cost as a Percentage of Total Cost, the threshold values are defined as listed in the following table. The status of the tasks and resources is calculated as listed in the Status Indicator column.

Threshold Level Threshold Range From Threshold Range To Status Indicator

1

-99.00%

-12.00%

Critical

2

-11.99%

-5.00%

At Risk

3

-4.99%

4.99%

On Track

4

5.00%

11.9%

At Risk

5

12.00%

99%

Critical

Suppose that the System Implementation main task contains six sub tasks: Planning, Definition, Build, Test, Release, and Support. The table shows the corresponding costs for each sub task and the ITD Nonbillable Cost as a percentage of the total cost. The sum of the cost of each sub task rolls up to the main task.

Task Hierarchy Task ITD Nonbillable Cost ITD Billable Cost ITD Total Cost ITD Nonbillable Cost as a Percentage of Total Cost

1

System Implementation

21,000

105,000

126,000

16.66%

1.1

Planning

0

21,000

21,000

0%

1.2

Definition

6,000

51,000

57,000

10.53%

1.3

Build

15,000

33,000

48,000

31.25%

1.4

Test

0

0

0

0%

1.5

Release

0

0

0

0%

1.6

Support

0

0

0

0%

The ITD Nonbillable Cost as a Percentage of Total Cost KPI value for the Definition task is 10.53% (6,000/57,000). Based on the threshold levels defined for this KPI, the Definition task shows the At Risk status indicator.

Lets take another example where the Consulting resource breakdown structure contains a Labor resource. Labor is a parent to the Project Manager resource, which is a parent to the Maxwell Martin, Robert Altima, and Fred Jones resources.

The ITD Nonbillable Cost as a Percentage of Total Cost KPI value for Labor is 12.97% and for Fred Jones is 0%. So, Labor has a status indicator of Critical and Fred Jones doesn't have a status indicator. This is because the KPI value for each row in the hierarchical structure is calculated separately.

Resource Hierarchy Resource ITD Nonbillable Cost ITD Billable Cost ITD Total Cost ITD Nonbillable Cost as a Percentage of Total Cost

1

Consulting

19,776

105,315

125,091

15.81%

1.1

Labor

15,700

105,315

121,015

12.97%

1.1.1

Project Manager

15,700

50,000

65,700

23.90%

1.1.1.1

Maxwell Martin

2,800

14,000

16,800

16.67%

1.1.1.2

Robert Altima

8,400

0

8,400

100.00%

1.1.1.3

Fred Jones

0

36,000

36,000

0%

If you track tasks and resources for a project, each task and resource with a KPI value that's not on track is designated as an exception. The KPI value for the project doesn't impact the exception designation for individual tasks and resources. For example, if a task has a Critical status indicator based on the KPI value and threshold definition, it's designated as an exception even if the project has an On Track status indicator.

Note: Task and resource performance status is based on the latest summarized data, which may not be the same as the summarized data that's used to generate the latest KPI values.

FAQs for Project Performance Analysis

The overall health indicator is visible only after the overall health is calculated. The overall health is calculated for a project if KPIs are associated to the project and are enabled, and KPI values and summarized performance data are generated for the project.

The KPI with the most severe status determines the overall health of the project. For example, if three out of four KPIs on a project are on track, and one is at risk, then the overall health of the project is at risk.

You can also configure the overall health calculation during implementation.

Can a time card be reported as missing and also be included as an unprocessed transaction?

No, both these situations can't coexist. Time cards that haven't been entered are considered missing. A time card is an unprocessed transaction after it's entered into the application and before it's included in the Update Project Performance Data process.

Use the Review Project Performance page to perform detailed financial performance analysis for a project than what's possible on the Project Performance Dashboard. You can review amounts at the task or resource level, and drill down to individual expenditure items.

You can't view the KPI category analysis due to the following reasons:

  • The project unit doesn't track KPIs.

  • No KPIs are associated with the project.

  • KPI values aren't generated.

FAQs for Project Comparison Graphs

The ledger currency is used if all projects in the project list are using the same ledger currency. However, if the projects in the project list are using different ledger currencies, then the user-preferred currency is used to bring all projects into the same currency.

KPI values that are generated for the project appear on the KPI analysis project comparison graphs. The remaining KPIs are excluded.

When a time card has an error, is pending, or is missing for a project.

Time transactions that are in error are received from the transaction source but failed the posting process.

Pending time transactions are received from the transaction source but haven't completed the posting process.

Time transactions are missing if the project cost for a team member doesn't exist for the transaction source, document, and the time period specified in the reporting options for the project unit.

The Percent Complete Analysis graph displays data for the last 90 days with a maximum of 13 periods.

FAQs for KPI Watchlist

If you generate KPI values when no previous approved forecast exists, a zero value is used to generate KPI values. So, the trend appears unfavorable because the difference between the current and prior forecast is the same as the current forecast. The results will be accurate once a new forecast is approved, project performance data is summarized, and KPI values are generated.

What happens if I use PTD amount-based measures for large projects?

PTD amount-based measures use the same threshold values for all phases of the project. This may result in a spike in the KPI values if the amounts that are used to calculate the KPI values vary widely throughout the project. To avoid this problem, consider using different sets of threshold values for amount-based KPIs defined in small and large projects.

Yes. You can change the default sort order in the KPI watchlist by modifying the sort order of performance status indicators. By default, KPIs are sorted based on the current period status, with the least favorable status appearing at the top of the list and the most favorable status appearing at the bottom of the list. If there is no current period status, the KPIs are sorted by name.

Inactive KPIs, disabled KPIs, or KPIs for which future references are deleted continue to appear until you regenerate KPI values. Determine if a KPI is enabled or active in the Reporting tab of the project definition.

Inactive KPIs, disabled KPIs, or KPIs for which future references are deleted continue to appear until you regenerate KPI values. Determine if a KPI is enabled or active in the Reporting tab of the project definition.

FAQs for KPI Historical Trending

What happens if a KPI value exceeds the threshold limits defined for the KPI?

An up or down arrow appears in the Exceeds Threshold column of the KPI History table, and the closest threshold is used to determine the KPI status. If KPI values fall outside the threshold ranges, consider extending the upper and lower threshold ranges.

While defining KPIs, you can determine if a positive increase between the current and previous KPI value is a favorable or unfavorable trend. Therefore, an upward trend may not necessarily indicate that KPI performance is improving.

For example, for a KPI based on a non-billable percentage of total costs, a low value for non-billable costs is preferred. Hence, a downward trend is favorable.

Why does the trend indicator differ from the KPI values on the Analyze KPI page?

The variance is likely due to a small difference between the KPI values that's ignored while calculating the trend on the Analyze KPI page for KPIs that are based on non-currency measures. The KPI values on the Analyze KPI page are based on the currency definition for currency-based measures and user preferences for non-currency-based measures. However, the trend indicator is determined by taking into account only two places of decimal values for non-currency-based measures.

FAQs for Project Financial Performance

When the cost and revenue budgets are contained in different budget versions, the effort represented in project performance reporting is only for the cost budget. Similarly, when the cost and revenue forecasts are contained in different forecast versions, the effort represented in project performance reporting is only for the cost forecast.

The Financial Performance region displays summarized financial data. The summarization process always includes the original and current baseline budget, and current and previous forecasts for the financial plan types that are designated as approved cost or revenue budgets and forecasts.

Additionally, any other financial plan types enabled for use on the project on the Summarization tab, and KPIs based on custom measures, are included when the summarization process is run.

The revenue amount in the Financial Performance region includes only external and interproject contracts. It doesn't include any intercompany revenue associated with the project.

FAQs for Task and Resource Level Analysis

The task and resource structure regions share a master-detail relationship. The Analyze KPI page lets you select which structure appears in the master and detail regions. Depending on your selection, the detail structure region automatically displays the other structure. For example, if you select the task structure to appear in the master region, the detail region displays the resource structure. Selecting a row in the Task Structure region displays the assigned resource for that task in the Resource Structure region.