So how many times have you heard … “We need to think out of the box!”? Probably more times and meetings that can be counted. No, this will not be another article about leadership and strategic thinking.
A few weeks ago, I hired someone to complete some yard and lawn tasks that I quite frankly dislike doing (do you know how difficult it is to find any local young people that want to do work for some extra money?). I discussed the tasks that needed to be completed and asked him for a price.
After quoting $160, I thought to myself, “Hmmm, that sounds too low, but let’s see what happens.” The next morning, he called me while buying materials and asked if he could change the cost to $190. I agreed. When he arrived, being a business professor, I thought it was time for a “teaching moment” about scope of services. And time for a new post.
Why is This Situation Important?
Many research studies have examined the causes (the Why) of project failures. Project Smart has outlined fifteen causes associated with project failures (which will be cross referenced in this article).
Many people often add project management to their LinkedIn profile, resume and interview discussion without any formal training or experience with project management concepts. Confusing project management with task management (Project Smart: #s1, 4, 5). That’s ok, some adults are guilty of the same mistake.
Building renovations, repairs or even yard work are projects. Costs, expectations, quality and time frame are the metrics that can deviate from either (or both) of the partner stakeholders (customer, supplier/contractor); causing negative outcomes to the business operations and partner relationships (Project Smart: #s1, 8, 10). One of the most cited and credible studies on project management is the CHAOS report published by the Standish Group.
It’s All About Scope
When a customer buys a product, for example a sofa, the order references a specific model number along with notations for material (color, fabric, etc.) and finish (paint color for any wood components). The customer approves the order and associated details through a signature. Then, upon accepting delivery, inspect the product acknowledging the delivery of the specific details outlined on the order. Accepting delivery if all details are delivered as promised. Detailed, specific and objective.
Scope is the defined features and functions of a product, or the scope of work needed to finish a project. Scope should be written in the form as nouns that are delivered to the customer/client. It helps if the noun can be defined in a measurable narrative (a future article). Scope is the blue box depicted below.
The deliverables that will be provided to the project stakeholder (client, customer, user). The deliverables can have a physical nature (car, building, television) with dimensions and features defined to amplify the scope of the product. For services, the deliverables can be defined as ideas or labor that completes the outcome of task(s). Examples of these are procedures manual, training course (with syllabus and outline), yard/tree service or advertising campaign.
Inside the Box Thinking
Ultimately, scope are the boundaries of the project. The entire listing of products and/or services that will be delivered. Think of all the components that will be delivered will be “inside the box.” Specific defined parameters that do not extend outside the box. The concept of using the “box” as a metaphor of those boundaries is to manage and control the “bad” side of leading a project … scope creep. If you were in my class, you would hear me say … “I never want to hear that term in this class.” (To teach students the right way to be a successful project manager)
Scope ____ is analogous to telling your parents that you just were dismissed from college. Scope ____ is what happens when a project manager allows the boundaries of the scope agreement to extend past the agreement; thereby increasing time, cost and risk. Yes, the same as the parents asking, “So how do you plan to deal with this?”. Not a great conversation.
The outside dashed lines are the features, functions and other deliverables that are requested and approved for integration of the project after the project begins. These change requests are common in projects (information technology, home renovations, etc.), but often are not analyzed and estimated adequately to determine the project factors affected from the change in scope (risk, cost, time, quality).
The research documented in the CHAOS report (2014) clearly illustrates the issues with project management. A staggering 42% of the originally-proposed functions and features (approved scope) are implemented in the final project. Only 9% of the project in large companies were successful.
The report depicts the project factors that create project success (page 8) are: 1) user involvement, 2) executive management support and 3) clear statement of requirements (aka, scope). While the report does not provide any correlational analysis between the factors, it is clear that factors 1 – 3 have influence over the other two factors.
Reviewing the other seven factors, it is my experience that if scope is not completed well, several factors (proper planning, realistic expectations, smaller project milestones and clear vision/objectives) will be impaired. It is also interesting that the report identifies the project challenging factors that are related or affected by scope (incomplete/changing requirements, lack of user input and unrealistic time frames).
The Scope Talk Not Discussed
However, the “textbook” discussion cannot rely on those basic definitions. What’s missing? And why is it relevant? Thinking “outside the box”.
In lectures about scope, I name these exclusions to the scope. The definition of scope is the clear listing of boundaries associated with the project. It establishes communication (or at least should). You cannot define the color of stain that the kitchen cabinets will be painted. Why? They should not unless they affect the cost, time, quality and risk associated with the cabinet installation and use. Therefore, it is important to define the exceptions associated with the scope.
Defining the exceptions, if done correctly, greatly define the inside of the box (scope boundaries). Let’s use the example below as a practical example.
Consider a home addition. Clearly, the scope would include an architect or other drawing to define the dimensions and placement of the addition. An exception could be items such as: customer will 1) purchase all lighting fixtures, 2) paint the external shingles and 3) purchase and install floor covering. In each of these examples, they assist in the clear definition of what will be completed by the contractor.
So What Are the Takeaways?
Scope is communication. Genuine, honest and well-thought-out communication. When both parties (customer, clients, suppliers, users, management) clearly understand the scope. Would you buy a $30K car unless you know the model and associated features? A clear title would be expected (because that’s the law). But there are many features that are not as clear and expected.
Business professionals that lead projects (internally or externally) should focus on both scope and exceptions. Ultimately, it is a business contract (offer, acceptance and consideration). The offer is scope. Consider the situations that you have encountered which cause a disrupted business situation.
It is the clear and definable listing of services and products to be rendered. The entirety of this process is pre-sales. Even in an internal project, the initial documents (analysis, cost benefit, project plan, etc.) are all before the project is approved for implementation (acceptance).