PM FPX 4030 Assessment 1 Project Management Plan

Student Name

Capella University

PM-FPX4030 Scheduling, Cost, and Quality Management

Prof. Name

Date

Executive Summary

Patient Safety and Physician Satisfaction remain a top priority for Preventative Care Healthcare Organization (PCHO). Over the past five years, PCHO has expanded from one to five locations. To meet the evolving needs of its patients, physicians, shareholders, and the community, PCHO aims to implement an Electronic Medical Record (EMR) System to replace its current manual processes. As competitors in the community adopt EMRs, it is crucial for PCHO to lead in acquiring an EMR system and maintain its position as a healthcare leader. The benefits of an EMR system include:

• Elimination of bulky paper records
• Improved access to clinical data
• Enhanced clinical workflows
• Reduced medical errors and improved patient safety
• Simplified compliance with Meaningful Use, Patient-Centered Medical Home (PCMH), and other quality programs
• Enhanced data collection and analysis capabilities
• Seamless interaction with affiliated hospitals, clinics, labs, and pharmacies (Athenahealth, Inc., 2018).

Additionally, our third-party accounting firm projects a 25% increase in profits within the first two years, with a steady increase of 10% to 15% annually thereafter. PCHO will invite bids from established EMR providers with a project budget of $250,000. The selected vendor will have 12 months to complete the project, subject to physician approval. A Project Change Control Committee will oversee adherence to timelines, budget, project scope, and quality standards. Physicians and HIM staff will be able to access the EMR system via PCs, laptops, tablets, and mobile phones, enhancing service speed and patient satisfaction. The Project Manager will establish a risk management team to address potential concerns. Currently, the risk of completing the project on time and within budget is minimal.

Statement of Work

• Project approval
• Vendor selection
• Project Charter
• Project Scope Statement
• Application installation
• Application testing
• Application training
• EMR implementation at all five PCHO sites

To ensure the project is completed within the current fiscal year without disrupting ongoing operations and other projects, budget approval is needed for the next quarter.

Project Scope Management

Project Name: Preventative Care – Electronic Medical Record (EMR)
Prepared by: Angelo Riccio
Date: 04/15/2018

Overview

Preventative Care, a healthcare organization with five locations in Peoria, Illinois, seeks to implement an Electronic Medical Record System. The organization has expanded from one to five locations over the past five years and requires a vendor that meets its growing business needs. The organization is open to bids from established vendors and those in the design or development stages.

Business Objectives

• Access patient records from all five locations
• Browser-based application with minimal requirements
• Centralized physician scheduling
• Consolidation of application servers in one location

Project Description

The EMR system must include:

• Patient information
• Patient insurance information
• Patient visits
• Physician information
• Physician appointments and schedule
• Patient billing
• Patient allergies
• Patient diagnosis
• Patient vaccinations
• Patient medication orders and prescriptions
• Patient lab orders and results

Project Scope

In Scope

• Budget: $250,000
• Installation at all five Preventative Care locations
• 12-month turnaround
• Interface connectivity among all locations
• Required documents for vendors: Project Charter, Scope Statement, Project Timeline, Project Costs, Project Risks, Technical Requirements, Labor Requirements, Communication Plan

Out of Scope

• Estimates exceeding the $250,000 budget
• Remote access for physicians
• Third-party vendors without PCHO’s permission

External Dependencies

No external dependencies have been identified.

Assumptions

• Vendors will meet bid deadlines
• Vendors will adhere to the budget
• Physicians will approve vendor selection

Constraints

• Budget of $250,000 must not be exceeded
• Vendor must be US-based to manage travel costs

Project Milestones

• Vendor Selection: 06/01/2018
• Vendor Approval: 06/08/2018
• Project Start: 07/15/2018
• Project Completion: 12/15/2018

Primary Plans

The project will include:

• Project Scope Management Plan
• Project Time Management Plan
• Project Cost Management Plan
• Project Quality Management Plan

Authorizations

Project Scope Statement Approval / Signatures

This document aims to document initial planning efforts and reach mutual agreement on the project’s objectives and scope before significant resources are committed.

Project Time Management Plan

Introduction

Please see the attached Work Breakdown Structure (WBS) document for detailed tasks, durations, and dependencies for completing the Preventative Care – Electronic Medical Record (EMR) Project. Vendors must adhere to the WBS as outlined by the Project Management Office.

Project Schedule Plan

The attached Gantt Chart provides a graphical representation of the EMR Project Schedule. It includes task deadlines, deliverables, and baseline data, which serves as the original scope, cost, and schedule. Changes to the baseline require approval from the Project Change Control Committee (PROJECT-MANAGEMENT.COM, 2018, January 25).

Critical Path Analysis Summary

For the critical path analysis, tasks critical for timely project completion have been identified. Delays in these tasks will affect the entire project schedule (Schwalbe, 2016).

Project Cost Management

Cost Management Plan

Project Name: Preventative Care – Electronic Medical Record (EMR)

Introduction

Preventative Care requires an EMR system to replace its manual process. The company’s growth necessitates a vendor that meets its expanding needs. Bids are accepted from established and developing vendors.

Units of Measure

• Budget: $250,000
• Labor: 12 months / 261 business days

Level of Precision and Accuracy

Three vendor bids have been received:

1. Vendor A: $225,000 in 11 months
2. Vendor B: $225,000 in 11 months
3. Vendor C: $250,000 in 12 months

Control Thresholds

The approved budget is $250,000 with a ±10% variance allowed. Performance will be monitored using Microsoft Project to compare actual versus planned values (Biafore, 2007).

Performance Measurement

Earned Value Management (EVM) will be used to measure project performance at major milestones. Vendors will answer key questions about project progress and completion (O’Reilly, 2017, May 11).

Documentation

Key project documents include the Business Case, Project Charter, Scope Statement, WBS, Project Schedule, Risk Register, Communication Plan, and Lessons Learned.

Reporting

Weekly status reports will be emailed to key stakeholders. Executives will receive monthly updates. Risk reports will be sent as needed.

Project Quality Management

Introduction

Quality metrics such as pass/failure rates, service availability, and customer satisfaction will be tracked throughout the EMR project (Schwalbe, 2016).

Quality Planning Tools

• Fishbone Diagram
• Control Chart

The Fishbone Diagram will help analyze quality issues, while the Control Chart will provide an overview of process stability (DeBenedetti, 2017, September 26; Usmani, 2015).

Fishbone Diagram

The diagram identifies causes and effects related to project issues. It involves steps such as drawing the problem statement, brainstorming, and identifying root causes.

Control Chart

Control charts track process variations over time, helping to determine if processes are in control or need adjustment (American Society for Quality, 2018).

Out-of-Control Signals and Quality Metrics

When analyzing control charts, it is crucial to identify any “out-of-control signals.” Upon detecting such signals, mark them on the chart and investigate their causes. Document the investigation process, findings, the identified cause, and the corrective actions taken.

As outlined earlier in the project plan, Earned Value Management (EVM) will be employed to measure project performance. EVM enhances communication regarding project activities and improves visibility and accountability. The core principle of EVM is that the value of the work completed should match the budget allocated for that work (Deshpande, 2014). For the Preventative Care – Electronic Medical Record (EMR) project, the following Quality Metrics will be utilized:

1. Planned Value (PV)
2. Actual Cost (AC)
3. Earned Value (EV)
4. Schedule Variance (SV)
5. Schedule Performance Index (SPI)
6. Cost Variance (CV)
7. Cost Performance Index (CPI)
8. Estimated at Completion (EAC)

EVM involves calculating three key values to summarize the Preventative Care – Electronic Medical Record (EMR) project:

• Planned Value (PV): This is the portion of the approved total cost estimate planned to be spent on an activity during a given period (Schwalbe, 2016).
• Actual Cost (AC): This represents the total direct and indirect costs incurred for accomplishing work during a given period (Schwalbe, 2016).
• Earned Value (EV): This estimates the value of the work actually completed, based on the original planned costs and the rate at which the work is completed (Schwalbe, 2016).

Assuming the project is halfway through its year-long duration with a total budget of $250,000, the budgeted amount at the 6-month mark is $130,000. The Actual Cost at this point is $115,000. Therefore:

• Planned Value (PV): $130,000
• Actual Cost (AC): $115,000
• Earned Value (EV): $125,000 (calculated as $250,000 * 0.5)
• Schedule Variance (SV): EV – PV = $125,000 – $130,000 = -$5,000 (negative, indicating the project is behind schedule)
• Schedule Performance Index (SPI): EV / PV = $125,000 / $130,000 = 0.96 (less than 1, indicating poor performance)
• Cost Variance (CV): EV – AC = $125,000 – $115,000 = $10,000 (positive, indicating the project is under budget)
• Cost Performance Index (CPI): EV / AC = $125,000 / $115,000 = 1.08 (greater than 1, indicating efficient cost performance)
• Estimated at Completion (EAC): Total Project Budget / CPI = $250,000 / 1.08 = $231,481

Summary and Quality Concern

The project is behind schedule due to the negative SV and SPI below 1. There is a need to accelerate progress in the second half of the project. However, since CV is positive and CPI is greater than 1, the project is under budget. As the project manager for the Preventative Care – Electronic Medical Record (EMR) project, I believe we are in a strong position to get the project back on schedule while maintaining the budget and quality.

Project Quality Tools Evaluation

Pareto Chart

A Pareto chart is a fundamental quality tool that identifies the most frequent defects or issues by categorizing and counting them (American Society for Quality, 2018). It is used when analyzing data on problem frequencies and helps focus on the most significant issues (American Society for Quality, 2018).

Advantages:

• Helps focus on critical inputs
• Provides a simple, visual format for importance
• Allows comparison of process changes

Disadvantages:

• Does not reveal root causes
• Cannot quantify the severity of problems or the impact of changes (Wilhite, 2017)

Histogram

A histogram displays the distribution of variables through a bar graph, with each bar representing the frequency of a characteristic (Schwalbe, 2016). It is used to compare large data ranges.

Advantages:

• Facilitates easy comparison of data
• Suitable for large data sets

Disadvantages:

• Inconvenient for comparing multiple categories
• Difficult to extract exact data values (Acampora, 2013)

Scatter Diagram

A scatter diagram helps identify relationships between two variables by plotting numerical data pairs on a graph (Schwalbe, 2016).

Advantages:

• Shows variable relationships
• Useful for identifying non-linear patterns

Disadvantages:

• Does not provide precise correlation extent
• Limited to showing relationships between two variables (Usmani, 2014)

Flow Chart

A flow chart visually represents project methodologies, illustrating interdependent processes and activities over the project lifecycle (Westland, 2018).

Advantages:

• Provides visual clarity
• Facilitates communication and problem-solving

Disadvantages:

• May require complete redrawing for modifications
• Reproduction issues due to non-typable symbols (EdrawSoft, 2018)

Project Lessons Learned and Reflection

Lessons Learned:

• Vendor Selection: Six months was insufficient for evaluating vendors. An additional two months would have been ideal.
• Budget: $250,000 was inadequate; an extra $50,000 was necessary.
• Physician Training: Required additional time due to lower than expected participation.
• Communication Plan: Key stakeholders missed meetings, leading to scheduling issues.

Reflections: This class has deepened my understanding of project management concepts, particularly EVM, and provided insight into various project documents and tools. I have gained familiarity with terms and definitions that enhance my professional skills. Although I remain challenged by GANNT charts, resources like video training have been invaluable. Overall, the experience will benefit my future project management endeavors.

References

Acampora, J. (2013, May 20). Comparative Distribution Chart – Histogram or Box Plot Alternative. Retrieved June 5, 2018, from https://www.excelcampus.com/charts/comparativedistribution-chart-histogram-box-plot-alternative/

American Society for Quality (2018). CONTROL CHART. Control Chart – Statistical Process Control Charts | ASQ. Retrieved May 31, 2018, from http://asq.org/learn-about-quality/datacollection-analysis-tools/overview/control-chart.html

American Society for Quality. (2018). PARETO CHART. Retrieved June 5, 2018, from http://asq.org/learn-about-quality/cause-analysis-tools/overview/pareto.html

American Society for Quality. (2018). SCATTER DIAGRAM. Retrieved June 5, 2018, from http://asq.org/learn-about-quality/cause-analysis-tools/overview/scatter.html

Acampora, J. (2013, May 20). Comparative Distribution Chart – Histogram or Box Plot Alternative. Retrieved June 5, 2018, from https://www.excelcampus.com/charts/comparativedistribution-chart-histogram-box-plot-alternative/

PM FPX 4030 Assessment 1 Project Management Plan

Schwalbe, K. (2016). Information Technology Project Management (8th ed.). Boston, MA: Cengage Learning.

Usmani, F. (2014). What is a Scatter Diagram. Retrieved June 5, 2018, from https://pmstudycircle.com/2014/08/what-is-a-scatter-diagram-correlation-chart/

Wilhite, T. (2017, September 26). The Disadvantages of Pareto Analysis. Retrieved June 5, 2018, from https://bizfluent.com/list-6831238-disadvantages-pareto-analysis.html

Westland, J. (2018, February 15). Sample Project Management Flow Chart. Retrieved June 5, 2018, from https://www.projectmanager.com/blog/sample-project-management-flow-chart