Case Study: Issue Management

00:04 Issue management is an essential part of the project manager's job.

00:08 We've seen how to execute a project from start to finish without issues, but there will always be some.

00:14 That's why it's a good idea to have a look now at a detailed case study to show how detailed planning, good interpersonal skills and, of course, issue management combined to keep a project on track.

00:25 Let us set the scene.

00:27 It's early March and the project is progressing well.

00:30 Rey, our project manager, starts her Wednesday with the next project status meeting. She begins her usual routine, writing down the participants and starting with the overall status of the project.

00:42 Last week everything was green.

00:44 Construction works are progressing very well.

00:47 Rey is feeling confident.

00:48 Then Richard, the lead engineer, shares this week's status.

00:54 There have been a few slowdowns this week, but the construction team managed to catch up. We are now back on track and will complete the walls very soon as per the schedule. Perfect.

01:05 Thanks, Richard.

01:08 Rey continues. Let's move to the next key workstream.

01:12 Car manufacturing.

01:14 She turns to the head of manufacturing.

01:17 Jeff, you have not participated the last two meetings.

01:20 How are things progressing? Yes, I was on holiday the last two weeks.

01:26 And unfortunately, my report is not positive.

01:29 The manufacturing is experiencing a delay.

01:33 The marketing manager responds immediately.

01:36 How big is this delay? We plan to complete a car every four weeks.

01:42 However, it takes us more than five weeks per car for six cars.

01:46 This means we need a total of 32 weeks, eight more than the 24 planned. So the delay is about 30%.

01:55 My apologies. We will do our best to catch up.

02:00 Quiz moment. What would your reaction be? One Respond rigidly.

02:06 Ask for immediate resolution.

02:08 Demand that Jeff fixes it all in two weeks time.

02:11 He is responsible for the car manufacturing.

02:14 To respond calmly, try to understand more about the issue and what the impact is after that.

02:22 Work out what can be done to resolve it.

02:25 Three respond calmly.

02:28 He has apologized, so you cannot yell at him.

02:31 Hopefully next things will be better.

02:35 Answer. You need to carefully analyze the situation.

02:41 Emotions must stay under control not only the project manager's emotions, but also those of the other stakeholders.

02:47 Finger pointing is not good practice.

02:50 Therefore, answer one is wrong.

02:53 Answer three is also wrong.

02:55 You are emotionally under control, but you have not planned any action to address the issue. Hoping it will be better next week is not going to help.

03:03 You need actions.

03:05 So as you probably guessed, answer two is the best.

03:12 Rey responds calmly.

03:14 Thanks for sharing, Jeff.

03:16 Is clear. We have an issue and the delay is serious.

03:19 Do you know why the assembling is moving so slow? The marketing manager interrupts nervously.

03:27 The exhibition cars are the most important thing.

03:30 There's no point in the whole project if we don't have the cars.

03:33 Your department is responsible for getting this fixed as soon as possible.

03:37 Victoria, you're in charge of HR.

03:39 You need to recruit more people.

03:42 Jeff responds. Defensively, the workers are doing their best.

03:46 We even added one more person to work only on the exhibition models.

03:50 It's not their fault.

03:52 Then suddenly the whole room is speaking over each other, pointing fingers, making excuses. Things are getting out of hand.

04:00 Rey knows she needs to take control of her meeting and interrupts the crowd.

04:05 Everybody, please let me recap.

04:08 We have an issue in the manufacturing stream which we cannot resolve during this meeting.

04:12 I will address all the details afterwards.

04:16 I will add an action for me and Jeff to meet and discuss an action plan this afternoon.

04:21 Jeff, is that okay for you? Jeff confirms.

04:25 Rey writes this in the Project Diary.

04:28 Great. We will resolve this in due course.

04:31 For now, we must continue with the meeting as there are still areas we need to discuss if we are going to make this project a success.

04:39 Okay. Let's see the last workstream.

04:42 Recruitment and training of the staff.

04:44 Victoria, how are we looking? All is progressing well.

04:48 We posted the job offer on various sites two weeks ago and have already scheduled a few interviews. No concerns at this point.

04:56 Rey grins.

04:58 Okay, team, thank you for today.

05:00 Any other questions? No. Okay.

05:03 I will email you all the minutes of the meeting and we will see each other next week.

05:08 Whoo! Tough day.

05:10 Quiz moment. What is Rey's best course of action? One. The issue is huge and the whole project can fail immediately. Write an email to the sponsor explaining there is a high chance the project will be delayed. Suggest that new people should be recruited in manufacturing to meet with Jeff and discuss the details behind the issue and their possible resolution. After the meeting, send a note to the sponsor informing them on the issue.

05:39 Three. Calm down.

05:41 Stress does not help anyone.

05:43 Wait until next week to see what the progress will be.

05:47 Answer. Same as before.

05:51 Answer to balances emotions and comes up with correct actions to take.

05:56 Rey writes down the meeting's minutes and sends it out.

05:59 She now has time to think out the problem.

06:02 This is a significant delay, over 30%.

06:06 And we are already a few weeks in.

06:09 A quick calculation shows that at this pace they will need an extra eight weeks, which is late August after the target completion date and is also after the project completion date.

06:19 Maybe I shouldn't waste time and go straight to the sponsor to start the process of hiring more people to help out.

06:25 Although that doesn't sound right, let me check my notes from the 365 project management course I took.

06:32 I have a section on issues.

06:34 Maybe you can help me organize my thoughts.

06:38 Ah, yes, I remember.

06:40 React, read, respond, resolve or repeat.

06:45 Hmm. That's right.

06:47 If I do go to the project sponsor, it's my responsibility to bring more information and possibly a suggested solution.

06:54 I'll see Jeff in a bit and work on the first two steps.

06:57 React and read.

06:59 I will, however, write in pencil the root cause of the delay.

07:04 Slower production and manufacturing.

07:09 Rey goes to Jeff's office.

07:11 She sees his name and title on the door.

07:13 Jeff Vader, head of manufacturing.

07:17 The two meet.

07:19 Hi, Jeff. Hey, Rey.

07:21 How are you? How was your vacation? Very nice. Thanks. We went skiing.

07:27 There wasn't much snow during the first few days, so we went for a hike and climbed a mountain. It was amazing.

07:32 Felt like I was on top of the galaxy.

07:35 Anyhow, let's get back to work.

07:37 We are in a bad situation.

07:40 Unfortunately we are.

07:42 Please tell me more about the delay.

07:44 What has been done so far to react to the issue and increase the speed or production? Jeff responds.

07:52 As soon as I came back and found out about the delay, I added one more mechanic to work on the project cars.

07:58 Rey adds the comment into the React box, Rey continues, Has that helped increase the speed of manufacturing? Jeff Checks notes? Not really.

08:09 It seems my mechanics are not actually causing the delay.

08:13 I spoke to our shift lead.

08:14 He confirmed the mechanical works are done as per expectation.

08:18 However, the software engineers are delivering their part too late.

08:23 Rey puzzles. Software engineers.

08:26 Can you tell me more about the car manufacturing process, the main stages from A to Z? It is time that we read this situation more carefully.

08:36 Jeff agrees and begins.

08:39 Simply said it works like this.

08:41 With the help of robots, the mechanics work on the chassis the core of the automobile doors are then assembled and the body goes through the painting salon.

08:51 Then mechanics install the engine, the transmission, etc.

08:54 Electronics and software from basic driver controls to Bluetooth media are then programmed and tested by the IT department.

09:01 Once ready interiors are assembled and the mechanics complete the installation.

09:06 Voila! Rey responds.

09:09 Oh, so it's not the mechanics on the assembly line that are late, but the software unit. Yes.

09:15 Jeff says okay seems my initial guess of the root cause has to be updated. Rey erases the previous and updates the root cause.

09:25 Rey then asks, Have you discussed the issue with the software team? I wanted to push them to be faster, Jeff responds.

09:34 I spoke to their manager.

09:35 However, he was not very cooperative and said it's not possible to do everything so fast and that they are really busy.

09:43 Rey opens her diary.

09:45 Okay. We need to talk to them.

09:48 I will organise a meeting for tomorrow morning.

09:51 Rey set up a meeting in the calendar 9:30 a.m.

09:54 inviting Jeff and the IT manager Arthur Deeto.

09:57 She also invites the three software team members Bee, Bill and Abe.

10:01 Rey's happy this is organised tomorrow.

10:04 She will understand the issue with it better and be able to suggest the solution.

10:08 Probably one or two additional engineers will have to be hired for the IT unit the next day. Rey is drinking coffee in the kitchen, chatting with a few other colleagues, then goes into the meeting room a few minutes early to read through her notes. Again, Arthur Bee, Bill and Abe, enter the room and soon after. Jeff.

10:28 Rey opens the meeting and explains the progress of the project and the issue with the delay in production.

10:33 She also shares that she had a conversation with Jeff and it seems the capacity of the IT team is insufficient to deliver on time.

10:41 Arthur jumps in.

10:43 I heard that people are expecting us to develop, test and complete the software and electronics faster, but that is just impossible.

10:51 Everyone knows these are complex tasks.

10:54 Rey replies, okay, I understand and thank you for the efforts.

10:58 However, we need to solve this.

11:00 I was thinking of requesting additional resources for your team.

11:04 Arthur sits back in his chair.

11:06 Well, I am not sure this is needed, but even so, this will not help your project much.

11:11 Recruitment and training would take 2 to 3 months and the showroom needs to be operational before that race stops to reflect again.

11:18 Where did she go wrong? Have the expectations been set wrongly or are the guys not dedicating the agreed amount of time to the project cars? It was supposed to be around 20% of their time.

11:30 Let's check. Rey directs her question toward Bee, Bill and Abe.

11:34 Can you tell me on average how much time you work on the project cars every day.

11:39 They respond in unison.

11:41 Quite a lot recently.

11:43 Maybe three or 4 hours a day.

11:44 Some days even more.

11:47 Very quickly calculates.

11:49 Out of an eight hour working day, this is close to 50%.

11:53 But how is that possible? They dedicate two times more on the project and still there's a delay.

11:59 So it can't be a resource problem.

12:01 So it's probably a wrong estimation of the duration of their tasks.

12:05 She scratches out the issue again.

12:07 Let's check. Guys, I suppose the I.T.

12:10 and electronics work on the prototype/project cars is quite different from what you do every day.

12:15 Does it take you much longer? Well, no, not really.

12:19 It is quite similar.

12:21 Rey is perplexed.

12:23 What can possibly be the reason then? Expectations, resources, duration, estimations all seem to be okay.

12:31 Rey concentrates while the rest continue the discussion.

12:34 She closes her eyes, starts breathing slowly.

12:38 She opens her mind to all possibilities and sees tasks, activities, scope.

12:46 That's it. She remembers the memo from the management meeting, which Sonia gave her during the initiation phase.

12:52 It was about what features and gadgets the exhibition cars should have.

12:57 Rey asks the IT team.

12:59 Can you please describe the activities you perform on the project cars? What are the most time consuming ones? Bee, Bill and Abe are quick to answer.

13:08 Well, we do the standard computerisation GPS radio monitor connection, but what takes the most time is installing the driving support gadgets.

13:18 Rey is starting to see the big picture.

13:20 What are the driving support gadgets? Bee, Bill and Abe continue driving control such as cruise control mirrors.

13:27 Signalisation when cars are nearby, front sensor to signal if the car in front is stopping too quickly and if you are approaching it.

13:35 It is the testing of those that take a good 50 to 60% of our time.

13:40 The force is strong with Rey now.

13:42 She's figured it out.

13:44 She clearly remembers the memo from the initiation phase when defining the scope and requirements. The management discussed that point and decided that for the exhibition cars, these systems are not necessary.

13:55 The cars will only be displayed and will not be used for test drives.

13:59 Only the internal computerization is needed.

14:02 The monitor, audio and video.

14:04 Bingo. Rey has finally completed step two.

14:08 Read the situation to find the root cause.

14:12 But it wasn't an easy one.

14:14 Jeff Arthur Rey exclaims, I know what our root cause is.

14:18 I feel a disturbance in the scope.

14:22 The driving support systems should not be developed for the project cars as we do in normal manufacturing.

14:27 For these, we need only the basics.

14:31 Bill, Bee Abe, were you told that? They all look at each other and respond together.

14:37 No. Arthur interjects.

14:41 I remember there was some conversation around that, but I need to check the details.

14:46 In the afternoon, Arthur replies, confirming this requirement on the scope has indeed been agreed as per the memo.

14:52 Rey knows the next step is to implement the solution and asks if Bee, Bill and Abe can be instructed to reprioritize their tasks and skip this part.

15:00 As of today.

15:01 Arthur confirms this has already been done a few minutes ago.

15:05 Great. Rey goes back to her project plan and Gantt-Chart.

15:08 She quickly calculates when the car production will finish, if the I.T.

15:12 guys can now move quicker.

15:14 Unfortunately, it's too late to be ready by the established due date.

15:18 Actually, four more weeks will be needed on top.

15:22 Hmm. But Rey is an excellent planner, and she had put five weeks in between the target production completion date and the week when the cars will be positioned in the showroom.

15:32 A hidden buffer.

15:33 So issue resolution, knowledge and good planning saved the galaxy today.

15:39 Rey checks the Issue resolution lists and see there is one more step to check if the solution is working and the issue resolved.

15:47 She will have to repeat step three if the solution is not effective or even step two if it comes to light, there is a different root cause.

15:54 She adds this as a first agenda item for the next project status meeting to be able to control progress.

16:01 Finally, Rey sends a summary to the sponsor explaining the issue, the root cause and the implemented solution, and the sponsor replies.

16:10 Thanks, Rey. You have taken the right actions and I am confident the team will succeed with the new plan.

16:15 Regards, Sonia.

16:17 During the next few project status meetings, the actual results show the manufacturing is moving at the expected pace.

16:25 Rey can now validate the issue has been resolved.

16:29 The life of a project manager is a dynamic one, and how they deal with problems will make or break them.

16:36 Keeping a cool head and having controls like this one will ensure they always come out on top. So that brings us to the end of the execution phase of the project.

16:46 Next lesson, we'll bring this whole thing to a close.

16:50 Nice job.