Triple Constraint Model And Planning Methods To Manage Constraints Of Iron Triangle

Part A

Triple Constraint Model

Triple Constraint model is the most widely used predominant framework that helps project managers across the globe to monitor, assess and control the organizational processes. It is a building block that helps to improve project planning and design for businesses (Serrador and Turner 2015). The Triple Constraint model consists of time, costs and scope as its constraints where scope is referred to project performance and, cost and time refers to deliverables of a given project.

The features of Triple Constraint model are that it helps to measure the performance of the given project, budget estimation of project, schedule estimation of project, quality estimation of project. The success criteria of Triple Constraint model is keeping correct balance between the constraints of the project. The critical success factors of Triple Constraint model are consideration of performance targets in short period in order to generate specified results within the project budget as well as scheduled time line (DuBois et al. 2015). The key performance indicator of Triple Constraint model are time management, scope management, quality management, project performance and budget management. The strengths and limitations of Triple Constraint model are best evaluated and processed when the result of the project is compared and contrasted with the expected result of the organizational business processes. The result of the organizational business processes consists of advantages such as NPV (Net Present Value), payback analysis, ROI (Return on Investment) and others (Ekrot, Kock and Gemünden 2016). Hence, the comparison of overall advantages involved with the organizational business processes to the result of the project triangle constraint model implementation. This helps to evaluate the goals and objectives of the project management triangle constraint model.

 

Figure 1: Triple Constraint model

(Source: Rugenyi 2015)

The above figure shows that there are three constraints in the Triple Constraint model and they are time, cost and scope. This are the factors that helps to complete a project for successful organizational success.

Strengths

The strengths of the Triple Constraint model from control perspective are given below as follows.

• Measure of performance of the project- The Triple Constraint model helps in assisting project managers to make effective decisions and controlling of project manager’s respective projects throughout the execution stage (Silvius and Schipper 2016). This provides advantages in planning and controlling or project in project management. Thus, Triple Constraint model has remarkably become the first and foremost measurement framework to evaluate and improve the performance of the project globally.
• Estimation of project budget- The proper estimation of the budget involved with the project is done by identifying the different costs related to particular project management to improve organizational business processes (Heagney 2016). This constraint in Triple Constraint model helps to identify, assess and understand the budgets and costs related to respective projects of different project managers.
• Estimation of schedule of project- The estimation of schedule of project is an essential factor involved with the project. This estimation helps to complete the project at scheduled time without any delay in time schedule (Joslin and Müller 2015). This constraint in Triple Constraint model helps project managers to estimate the time scheduled for a particular project.
• Estimation of quality of project- The proper estimation of quality of project is necessary for effective outcome of the project. The project quality does not come under the Triple Constraint model as a constraint, however, project quality is the ultimate goal and objective of the Triple Constraint model (Serrador and Turner 2015). This can be shown as, if there is involvement of high cost with the project, then the project will yield effective project quality. The implementation of resources of low quality in the project will affect the project success.  

Limitations

• Strategic dimension model-The strategic context is the factor by which the delivery of benefits resulting from project success is done. The Triple Constraint model lacks strategic factor and thud project manager face problems in the project during the execution phase (Heagney 2016). The Triple Constraints model is helpful in providing a measure of project success in terms of tactical success and the model lacks the key factors like relevance, sustainability and impact of the project success in reality.

Case study- Water Projects in Kakamega County

The case study on water projects in Kakamega County, Kenya, helps to determine the factors related to the project such as time, cost and quality. The water projects in Kakamega County, was determined to face problems such as delay in time, budget over-runs and quality failure (Kanda et al. 2016). However, the project completed satisfactorily with the influence of factors like time, cost and quality. The case study shows brief description of factors influencing water project to complete it successfully. The triple constraint model for the water projects shows that the constraints of the model are helpful in determining the project in its execution phase.

Triple Constraint Model

As per Bronte-Stewart (2015), the potential problem of Triple Constraint model is that its emphasis is basically on cost, time and scope. This shows that it only helps to analyze the project delivery based on this criteria. The project success and management of project successfully are two different aspects that helps to achieve organizational success. The Triple Constraint model is limited only to time, scope and budget criteria and hence does not provide overall achievement of project.

Planning methods to manage constraints of the Iron Triangle

Zero based Budgeting- The budgeting method and cost planning is defined as zero based budgeting that helps to justify the overall budget involved with each activity of the project. This is a budgeting method were initialization of the method is done with zero base and implication of project is done through various analysis processes. The implementation of strategic goals at top-level is involved with the budgeting process in a project (Glass, V., Stefanova and Prinzivalli 2014). This method helps project managers to analyze and measure the prior costs with the present expectations of a particular project. The process of Zero based Budgeting helps is as follows. They are identifying goals and objectives of business, developing and analyzing new and improved ways to accomplish goals. The other processes are discovering and identifying new and improved ways to fund and support business processes, and prioritization of funds. The usage of zero based budgeting in companies is done annually (Ekanem 2014). The Zero based Budgeting helps to create budget for the companies annually without spending huge amount of money and tracking of money spent on every activities of project. However, there are paper work involved with this method and small industries cannot afford this method. The other disadvantage is that it requires experienced and continuous training for implementation of this method.

Cost Breakdown Structure- The breaking down of the overall project into a significant and meaningful methods and activities for completion of the project in the schedule budget is done through cost breakdown structure. The Cost Breakdown Structure helps to provide summary of budget involved with the project for each activities. The project activities are broken down based on costs that are involved with the project that will help to identify and control the project entirely (Huia and Mohammedb 2015). The process of Cost Breakdown Structure is described in four steps. The first one is establishment of cost structure to gather overall information that is required to identify and understand the components and costs involved with the project development. The second one is comparison of prices are done to identify the reasons for cost variance related to project. The third one is negotiations is done based on findings from comparisons of project. The fourth one is additional negotiations are done to analyze the aspects that impacts the fluctuation of costs. The use of Cost Breakdown Structure is that it helps to justify the costs charged to the customers and maintaining providers and sellers who are accountable (Laura and Vicente 2014). However, this method is complex if all elements contributing in project development are not identified properly.  

Strengths

 

Figure 2: Cost Breakdown Structure

(Source: Huia and Mohammedb 2015)

The above cost breakdown structure image shows how the breakdown of cost according to activities of project development is done. The image shows cost breakdown structure related to construction and helps to understand the various factors and costs related to project development.

Control methods to manage constraints of the Iron Triangle

S-Curve- The shape of a particular curve related to business environment including the aggregated costs that is involved with the project (Pande and Sabihuddin 2015). The S-Curve provides monitoring and tracking of actual updates and progress of the project that corresponds to the aggregated costs acquired in the project. The analysis of cost and work through S-curve is done based on following aspects. The aspects are costs (baseline, design and actual) and work (baseline, design and actual). The benefits of using S-curve in project development is that it helps to determine four key indicators. The indicators are project slippage, project growth, completion of actual percentage against completion of target percentage till date and completion of actual percentage against completion of baseline percentage till date. However, S-curve does not provide any clear advice to project managers on what actions to take when discontinuity in technology is faced. The indications given through S-curve are small and it cannot help to analyze project completely.

 

Figure 3: S-curve

(Source: Pande and Sabihuddin 2015)

The above diagram is an example of S-curve in construction industry that helps to understand the analysis of S-curve in project development to ensure better and improved project outcome.

Earned Value- The controlling of project plan, work completion and value of actual work is an approach that helps in keeping the project development on track (Chen, Chen and Lin 2016). This approach is termed as earned value which also helps to estimate cost performance index, schedule variance, schedule performance, performance index for completion of the project development (Willems and Vanhoucke 2015). The usefulness of earned value is that it helps to make comparison of completed work with the expected amount of work at given time schedule. The Earned value method has ability to provide measurements of project development based on three constraints of Triple Constraint model.

Control methods

Earned Value

Strengths

• Comparison of actual and approximated costs-This method enables comparison to be done between the actual costs acquired against the approximated costs essential for completion of project in a given time period (Patil, Desai and Gupta 2015).
• Estimation of project performance factors-The ability of this method is to estimate the cost and schedule performance index, schedule variance that helps in estimating performance index before and after the project completion.
• Single system- The Earned Value method implementation provides benefits that it is used as a single system that helps in tracking of project in accordance with time, cost and scope.
• Flexibility-This method helps to provide flexibility to project managers for development of project as it helps to adjust the working process and budget during the project development.
• Up-front planning- The up-front planning  is required to establish a high earned value to control budget and time at real time analysis.
• Objectivity is maintained- The objectivity is maintained throughout the project that gives a clear view of every stage of project. This helps to understand the status of project before completion and after completion.
• Increased accountability- The accountability aspect increased in project development that establishes high performances from project through this method.

Weaknesses

• Quality factor-The quality factor is not included in this method which is the most important aspect of project development.
• Decreasing project quality-This results in high earned value incorporation however, with improper maintenance of project quality (Patil, Desai and Gupta 2015).
• Accuracy-The earned value results is exact measurement that may or may not be correct or accurate.
• Variations in tasks- There are possibility of variations that can be seen in earned value which is cumulative and work physically done on different individual tasks.

Avenues

• Requirement of Suitable software-There is requirement of suitable software that will help to coordinate the various criteria of the project.
• Estimation of quality and earned value at once-The project criteria includes both estimation of earned value as well as project quality at once.

References

Bronte-Stewart, M., 2015. Beyond the iron triangle: Evaluating aspects of success and failure using a project status model. Computing & Information Systems, 19(2), pp.21-37.

Chen, H.L., Chen, W.T. and Lin, Y.L., 2016. Earned value project management: Improving the predictive power of planned value. International Journal of Project Management, 34(1), pp.22-29.

DuBois, M., Hanlon, J., Koch, J., Nyatuga, B. and Kerr, N., 2015. Leadership styles of effective project managers: Techniques and traits to lead high performance teams. Journal of Economic Development, Management, IT, Finance, and Marketing, 7(1), p.30.

Ekanem, E.E., 2014. Zero-based budgeting as a management tool for effective university budget implementation in University of Calabar, Nigeria. European Journal of Business and Social Sciences, 2(11), pp.11-19.

Ekrot, B., Kock, A. and Gemünden, H.G., 2016. Retaining project management competence—Antecedents and consequences. International Journal of Project Management, 34(2), pp.145-157.

Glass, V., Stefanova, S. and Prinzivalli, J., 2014. Zero-based budgeting: Does it make sense for universal service reform?. Government Information Quarterly, 31(1), pp.84-89.

Heagney, J., 2016. Fundamentals of project management. AMACOM Div American Mgmt Assn.

Huia, O.C. and Mohammedb, A.H., 2015. The Role of Cost Breakdown Structure in Life Cycle Cost Model. JURNAL TEKNOLOGI, 74(2), pp.117-121.

Joslin, R. and Müller, R., 2015. Relationships between a project management methodology and project success in different project governance contexts. International Journal of Project Management, 33(6), pp.1377-1392.

Kanda, E.K., Muchelule, Y., Mamadi, S., Ugwu, K.E., Onwuka, E.M., Sah, B., Jha, V.K., Gupta, S., Pandey, V.K., Ejem, E.A. and Ibe, C.C., 2016. Factors Influencing Completion of Water Projects in Kakamega County, Kenya. International Journal of Research in Management, Science & Technology, 4, pp.1-5.

Laura, C.S. and Vicente, D.C., 2014. Life-cycle cost analysis of floating offshore wind farms. Renewable Energy, 66, pp.41-48.

Pande, A.A. and Sabihuddin, S., 2015. Study of Material Management Techniques on Construction Project. International Journal of Informative & Futuristic Research ISSN (Online), pp.2347-1697.

Patil, S.M., Desai, D.B. and Gupta, A.K., 2015. Earned Value Analysis In Construction Industry. International Journal of Informative & Futuristic Research Paper ID JIFR/MH/2015/SI-I/003.

Rugenyi, F., 2015. Assessment of the Triple Constraints in Projects in Nariobi: The Project Managers’ Perspective. International Journal of Academic Research in Business and Social Sciences, 5(11), pp.1-16.

Serrador, P. and Turner, R., 2015. The relationship between project success and project efficiency. Project Management Journal, 46(1), pp.30-39.

Silvius, A.G. and Schipper, R., 2016. Exploring the relationship between sustainability and project success-conceptual model and expected relationships. SciKA-Association for Promotion and Dissemination of Scientific Knowledge, 4(3), pp.5-22.

Willems, L.L. and Vanhoucke, M., 2015. Classification of articles and journals on project control and earned value management. International Journal of Project Management, 33(7), pp.1610-1634.